Cnova (CNV) Q3 2024 TU earnings summary

Executive summary

• GMV returned to growth in Q3 2024 after two years of transformation, with a slight like-for-like increase compared to Q3 2023, driven by marketplace expansion and a strategic shift from direct sales to higher-margin services.

• Restated EBITDA after rents rose by €1m (+8% vs. Q3 2023), and free cash flow turned positive at €4m, a €20m improvement year-over-year.

• Marketplace GMV grew 7.8% year-over-year, now representing 67.4% of product GMV, while direct sales declined 11.6% as part of the business model shift.

• Services revenues increased 3.4% to €83m, with B2B revenues up 46.9%, and services now account for 34% of net sales.

• Customer satisfaction improved, with NPS up 5.2 points and client acquisition rising 4.4% year-over-year.

Financial highlights

• Overall GMV (including VAT) was €651m, flat year-over-year on a like-for-like basis.

• Net sales decreased 8.6% like-for-like to €244m, mainly due to reduced direct sales.

• Restated EBITDA after rents reached €11m (+7.9% vs. Q3 2023).

• Free cash flow improved from -€16m to +€4m year-over-year.

Outlook and guidance

• The transformation plan is on track, with continued focus on marketplace growth, high-margin services, and operational profitability.

• Additional commercial and marketing investments are expected to further boost customer acquisition and loyalty.