Metro (B4B) Q2 2025 earnings summary

Executive summary

• H1 2024/25 sales in local currency grew 5.3%, with all channels and nearly all segments contributing; total sales rose 4.1% to €15.6 billion, impacted by negative currency effects, especially in Türkiye and Russia.

• Adjusted EBITDA declined to €468 million from €484 million year-over-year, mainly due to cost inflation and price investments in Germany and West; EBITDA including real estate gains reached €537 million.

• Net loss attributable to shareholders widened to €-79 million in H1 2024/25 from €-63 million in H1 2023/24; EPS was €-0.22 versus €-0.17.

• Free cash flow deteriorated to €-961 million from €-643 million, mainly due to higher inventory build-up and credit card receivables.

• A delisting agreement was reached with major shareholder EPGC, leading to METRO AG's shares being removed from the Frankfurt Stock Exchange after 16 April 2025.

Financial highlights

• Delivery sales grew 13.4% to €4.1 billion; METRO MARKETS sales up 15.1% to €80 million.

• Adjusted EBITDA in Germany fell from €53 million to €29 million; West also declined, while East and Russia saw increases in local currency.

• Earnings from real estate transactions surged to €98 million (H1 2023/24: €30 million), mainly from Belgium.

• Net financial result worsened to €-132 million (H1 2023/24: €-97 million), reflecting higher interest expenses.

• Investments totaled €376 million, up from €365 million, mainly due to lease extensions in Italy.

Outlook and guidance

• Management expects FY 2024/25 sales growth of 3% to 7%, with Russia within guidance, Germany and West below, and East and Others above.

• Slight increase in adjusted EBITDA anticipated, with cost inflation offsetting sales growth; segment performance to vary.