Migros Ticaret (MGROS) Q4 2024 earnings summary

Executive summary

• Achieved consolidated net sales of TL 293.8 billion in 2024, up 12.1% with IAS 29 inflation accounting; 78% growth without inflation adjustment.

• Gained market share in both total and modern FMCG retail, with total FMCG share at 9.8% by year-end.

• Opened 356 new stores and 16 new distribution centers, expanding to 3,621 stores and 1,422 online service stores.

• Online operations (Migros One) GMV doubled to TL 44.3 billion; meal business GMV up 243% to TL 4.8 billion.

• Intensified sustainable energy investments, generating 10% of annual energy from company-owned solar panels.

Financial highlights

• Gross profit rose to TL 68.0 billion (IAS 29), with margin at 23.1% (non-inflation adjusted).

• EBITDA margin reached 5.4% (IAS 29) and 9.2% (non-inflation adjusted); net profit TL 6.6 billion (IAS 29).

• Free cash flow increased 23% to TL 14.3 billion (IAS 29).

• OPEX margin increased to 21.2% (IAS 29), mainly due to higher personnel and energy costs.

• CAPEX reached TL 9.9 billion, focused on new stores, logistics, and solar energy investments.

Outlook and guidance

• 2025 sales growth expected at 8–10% (IAS 29), with EBITDA margin around 6%.

• Targeting ~250 new stores and CAPEX/sales ratio of 2.5–3.0% in 2025.

• Subsidiaries projected to continue strong growth: Migros One GMV x1.6, meal business GMV x2, MoneyPay TPV x3.4 in 2025.