Cnova (CNV) H2 2024 earnings summary

Executive summary

• 2024 marked a return to growth for Cnova after two years of transformation, with a customer-centric reinvestment plan driving operational improvements and a strong Q4 performance, especially during Black Friday.

• Marketplace and B2B activities were key growth drivers, with Marketplace GMV share reaching 65.4% in FY24, up 5.4pts year-over-year.

• The company advanced its CSR initiatives, with sustainable products representing 25% of Product GMV and notable progress in circular economy and carbon-neutral logistics.

Financial highlights

• Overall GMV declined by 5.0% year-over-year to €2,665.5m, but returned to growth in Q4 (+2.1% like-for-like).

• Net sales fell 13.2% to €1,039.1m, mainly due to a strategic shift away from direct sales toward higher-margin services.

• Gross margin improved by €2.2m to €364.3m, with margin rate up 4.8pts to 35.1% of net sales, driven by Marketplace and B2B activities.

• EBITDA was €72.1m (6.9% of net sales), down €9.0m year-over-year; EBITDA excluding IFRS 16 was €47.4m, down €2.5m.

• Net loss improved to €94.5m from €129.7m in 2023, mainly due to lower income taxes.

• Free cash flow improved by €120m to €(78.6)m, reflecting better working capital management and lower capex.

Outlook and guidance

• Management aims to maintain growth momentum in 2025 by continuing investments in customer experience, advancing CSR, and leveraging generative AI.