Colruyt N.V.

Interim / Quarterly Report • Dec 12, 2023

Consolidated information for the first semester of the financial year 2023/24

Revenue grows 16,0% Market share increases to 32,1% Operating profit and net result rise sharply

Halle, 12 December 2023

Headlines(1)

A challenging and uncertain macroeconomic context coupled with a competitive Belgian retail market characterised the first half of the 2023/24 financial year. As a retailer and the market leader in Belgium, Colruyt Group continues to actively fulfil its role in society by ensuring that customers receive a qualitative and affordable offering in stores and online, in the most sustainable way possible. Our customers appreciate this, resulting in a market share gain of more than 100 basis points to 32,1% in Belgium (Colruyt Lowest Prices, Okay and Spar).

Revenue rose by 16,0% to almost EUR 5,5 billion, mainly because of food inflation, the market share gain in Belgium and the full consolidation of Newpharma. Excluding Newpharma, revenue increased by 13,5%. Partly because the difference between sales price inflation and cost price inflation normalised, the gross profit margin improved to 29,5%. In this context, Colruyt Lowest Prices continues to consistently implement its lowest-price strategy.

Operating expenses increased primarily because of increased employee benefit expenses (influenced by factors including the automatic wage indexation system in Belgium), increased inflation on various operating expenses and the full consolidation of Newpharma. This is partly offset by decreased energy costs. The group succeeded in mitigating the increase in operating expenses in part through an increased focus on processes, cost control and efficiency.

Several one-off effects occurred in the first half of 2023/24:

• The capital gain of EUR 689 million that Colruyt Group realised on Virya Energy's sale of Parkwind to JERA. This was also accompanied by a one-off positive effect of EUR 19 million due to the discontinued depreciation of Parkwind assets (both presented as a share in the result of investments).
• The capital gain of EUR 8 million realised on the sale of DATS 24 to Virya Energy (presented in the result for the period from discontinued operations).
• The restructuring charge of Dreamland amounting to EUR 6 million (presented in the result for the period from discontinued operations).
• A limited impairment of EUR 3 million in connection with the sale of 75% of Dreamland to ToyChamp (the sale was finalised in early October 2023) (presented in the result for the period from discontinued operations).

Excluding the above one-off effects, the operating profit, net profit from continuing operations and total net profit consequently increased to EUR 246 million (4,5% of revenue), EUR 191 million (3,5% of revenue) and EUR 189 million (3,5% of revenue), respectively, in the first half of 2023/24.

Colruyt Group's investments amounted to EUR 206 million in the first half of 2023/24 (3,8% of revenue), relating primarily to new stores and the modernisation of existing stores, to the expansion of the logistics capacity in Belgium and France, to innovation and digital transformation programmes, and to energy efficiency.

https://www.colruytgroup.com/wps/portal/cg/en/home/investors

⁽¹⁾ The headlines have been prepared based on the consolidated income statement, in which both DATS 24 NV ("DATS 24") and Dreamland NV ("Dreamland") are presented as discontinued operations.

CEO Stefan Goethaert: "In these challenging and uncertain times, we have managed to improve results by consistently implementing our long-term strategy. We have made extra efforts to minimise the increase in operating costs in times of inflation. As a group, we continue to assume our societal role in all our areas of expertise and aim to continue playing a meaningful role throughout our customers' lives. We continue to safeguard their purchasing power with Colruyt Lowest Prices consistently applying its lowest-prices strategy. I would like to thank all employees, customers, suppliers and partners who make this possible. Through mutual respect and constructive cooperation, we make a positive difference and create sustainable added value."

I. Financial report

A. Consolidated income statement(2)

	1/04/2023	1/04/2022	Variance
(in million EUR)	- 30/09/2023	- 30/09/2022
Revenue	5.482	4.725	+16,0%
Gross profit	1.617	1.323	+22,2%
% of revenue	29,5%	28,0%
Operating cash flow (EBITDA)	450	291	+54,5%
% of revenue	8,2%	6,2%
Operating profit (EBIT)	246	108	+128,1%
% of revenue	4,5%	2,3%
Profit before tax	956	101	+848,5%
Profit before tax excluding one-off effects(3)	248	101	+146,1%
% of revenue	4,5%	2,1%
Profit for the period from continuing operations	899	81	+1.012,9%
Profit for the period from continuing operations excluding one-off effects(3)	191	81	+136,2%
% of revenue	3,5%	1,7%
Result for the period from discontinued operations	-2	8	-123,9%
Profit for the period	897	89	+908,9%
Profit for the period excluding one-off effects(3)	189	89	+113,1%
% of revenue	3,5%	1,9%
Earnings per share (in EUR)(4)	7,07	0,69	+923,5%
From continuing operations	7,09	0,63	+1.029,0%
From discontinued operations	-0,02	0,06	-124,2%
Earnings per share excluding one-off effects (in EUR)(3)(4)	1,49	0,69	+116,3%
From continuing operations	1,51	0,63	+139,7%
From discontinued operations	-0,01	0,06	-116,8%

Consolidated information on the first semester of the financial year 2023/24 page 2 / 27

• (2) DATS 24 and Dreamland are presented as discontinued operations in the consolidated income statement, in both the first half of 2023/24 and the first half of 2022/23. In the first half of 2023/24, DATS 24's result is recognised as a discontinued operation for a two-month period, while Dreamland's result is recognised in the same way for a sixmonth period. In the first half of 2022/23, both DATS 24's and Dreamland's results are recognised as discontinued operations for a six-month period.
• (3) In order to facilitate comparability across the two periods, some lines are presented excluding one-off effects. For an overview of the one-off effects in the first half of 2023/24, we refer to the 'headlines' above.
• (4) The weighted average number of shares outstanding totalled 126.833.315 in the first half of 2023/24 versus 128.650.249 in the first half of 2022/23.

Colruyt Group's revenue rose by 16,0% to nearly EUR 5,5 billion in the first half of 2023/24. Food inflation, the market share gain in Belgium and the full consolidation of Newpharma were the main drivers behind this rise in revenue. Excluding Newpharma, Colruyt Group's revenue increased by 13,5%.

Colruyt Group's market share in Belgium (Colruyt Lowest Prices, Okay and Spar) increased to 32,1% in the first half of 2023/24 (30,9% in the first half of 2022/23).

Gross profit rose mainly because of increased revenue, and an increase in the gross profit margin to 29,5% of revenue. The increase in margin can be mainly explained by the difference between sales price inflation and cost price inflation having normalised after cost price inflation exceeded sales price inflation for more than a year. Such normalisation is essential to allow further investments in promotions and lowest prices, as well as expansion, sustainability, digitalisation, and so on. The increase in gross profit as a result of the increased margin does not sufficiently offset the increase in employee benefit expenses (influenced by the automatic wage indexation system in Belgium).

The Belgian retail market remains highly competitive. Colruyt Group is finding that both price and promotional pressure in the Belgian retail market have been on the rise since late summer. As a retailer and as the market leader, Colruyt Group continues to fulfil its role in society, with customers able to count on the group to help them stay on top of their household budgets.

Although net operating expenses increased by EUR 135 million, they decreased from 21,8% to 21,3% of revenue. Operating expenses increased primarily because of increased employee benefit expenses (influenced by factors including the automatic wage indexation system in Belgium), increased inflation on various operating expenses and the full consolidation of Newpharma. This is partly offset by decreased energy costs. Colruyt Group maximises its efforts to manage costs and improve productivity. The group succeeded in mitigating the increase in operating expenses in part through an increased focus on processes, cost control and efficiency. In addition, the group maintains its long-term focus and purposefully pursues its investments in sustainability and efficiency, digital transformation and innovation, employees and high-quality house-brand products.

Operating cash flow (EBITDA) rose by 54,5% to EUR 450 million and amounted to 8,2% of revenue (6,2% in the first half of 2022/23).

Depreciation, amortisation and impairment charges rose by EUR 20 million. Depreciation and amortisation charges rose by EUR 11 million, mainly as a result of the full consolidation of Newpharma and continuous investments in stores, distribution and production centres, and transformation programmes.

Impairment charges rose by EUR 10 million to EUR 14 million. This is primarily due to a EUR 6 million impairment on transformation programmes and impairments on some property, plant and equipment.

The operating profit (EBIT) totalled EUR 246 million or 4,5% of revenue in the first half of 2023/24 (2,3% in the first half of 2022/23).

The net financial result fell by EUR 11 million to EUR -12 million. The decrease in the net financial result stems primarily from an increase in financial costs as a result of rising interest rates.

The share in the result of investments amounted to EUR 722 million. This primarily consists of the capital gain realised on Virya Energy's sale of Parkwind to JERA (EUR 689 million), a one-off positive effect on Parkwind's depreciation as a result of the sale (EUR 19 million) and Virya Energy's positive result for the first half of the year (EUR 17 million).

The effective tax rate on the profit before tax, excluding the share in the result of investments, was 24,4%.

The profit for the period from continuing operations amounted to EUR 899 million (16,4% of revenue). Adjusted for one-off effects, the profit for the period from continuing operations was EUR 191 million or 3,5% of revenue, a 136,2% increase compared to 2022/23 (EUR 81 million or 1,7% of revenue).

In the first half of 2023/24, the result for the period from discontinued operations amounted to EUR -2 million, consisting of:

• DATS 24's result of EUR 7 million (for a two-month period).
• Dreamland's result of EUR -14 million (for a six-month period and including a restructuring charge of EUR 6 million).
• The capital gain realised on the sale of DATS 24 amounting to EUR 8 million.
• An expected capital loss on the sale of Dreamland amounting to EUR 3 million.

In the first half of 2022/23, the result for the period from discontinued operations amounted to EUR 8 million, consisting of:

• DATS 24's result of EUR 20 million (for a six-month period).
• Dreamland's result of EUR -12 million (for a six-month period).

The above developments resulted in a profit for the period of EUR 897 million. Adjusted for one-off effects, the profit for the period was EUR 189 million or 3,5% of revenue, (compared with EUR 89 million or 1,9% of revenue).

B. Segment information

1. Retail

Revenue from retail activities (excluding Dreamland in both the current and prior reporting period) increased by 15,9% to EUR 4,799 million. Excluding Newpharma, revenue from retail activities increased by 13,0%. Retail activities accounted for 87,5% of the consolidated revenue in the first half of 2023/24.

In a competitive market environment, food retail revenue increased by 13,5%. This increase is primarily the result of food inflation and market share gains, partly offset by volume declines in food stores.

Revenue of Colruyt Lowest Prices in Belgium and Luxembourg increased by 14,3% for the reasons mentioned above. Colruyt Lowest Prices continues to consistently implement its lowest-prices strategy and delivers on its commitment to its customers day after day.

In the first half of 2023/24, nine stores were modernised and one new Colruyt store was opened. Colruyt Lowest Prices ranked first again in the 2023 GfK summer report.

Colruyt Lowest Prices is celebrating its 50th anniversary this autumn. In 1973, a team of four members of personnel was tasked with ensuring that Colruyt could offer its customers the lowest prices. Manual pricing recordings have evolved over the years into automated processes. Today's team has around 110 members of personnel. In total, around 150.000 prices are recorded every day (100.000 online and 50.000 offline). To compare all the prices, the system makes around two million calculations a day. Despite the challenging market context of the last few years, Colruyt's brand promise remains intact, with the retailer doing its utmost to safeguard consumers' purchasing power. In times of high food inflation, Colruyt thus also fulfils a societal role, with due respect for the other players in the chain.

Okay, Bio-Planet and Cru reported an aggregate revenue growth of 11,9%. Revenue is impacted by price inflation, partly offset by volume declines.

As a neighbourhood discounter, Okay continues to commit to providing a quick, cheap and easy shopping experience.

Okay's and Okay Compact's store network saw two stores added in the first half of the year, while the modernised store concept was rolled out in several stores. In October 2023, a new Okay Direct was opened in Ghent, targeting an audience looking for an even faster shopping experience, including outside traditional opening hours and on Sundays.

Okay ranked third in the 2023 GfK summer report. In the 'Retailer of the Year' elections, Okay was also voted Belgium's Best Store Chain in the Convenience category for the fourth consecutive year.

Bio-Planet remains a sustainability pioneer with an extensive range of organic, eco-friendly and local products and healthy food. The organic market is gradually recovering from a challenging year in which the energy crisis and inflation caused it to contract sharply. This led to an increase in revenue in the first half of the year. Two new stores were also opened. Bio-Planet took several measures to improve profitability and continues to work on enhancing operational efficiency.

Cru has four markets. A passion for tasty artisan products and customer experience combined with craftsmanship remain guiding principles for the Cru multi-experience markets, while they also continue to further improve operational efficiency.

The revenue of Colruyt in France (including the fuel distribution operations of DATS 24 in France) rose by 8,9% in the first half of the year. Excluding petrol, the revenue of Colruyt in France increased by 14,1%. The French retail market is facing high food inflation and volumes under pressure. In the first half of the year, five new stores were opened in France. Colruyt Prix-Qualité is a conveniently laid out neighbourhood supermarket, where customers can find everything they need for their daily and weekly groceries.

Colruyt Group continues to make targeted investments in its French retail operations by opening new stores and modernising existing ones. The logistics capacity has doubled in recent years, including the new logistics centre that opened in Dole in 2023.

Non-food retail revenue includes the revenue of Newpharma, The Fashion Society, Dreambaby, Bike Republic and Jims. Revenue increased by 64,1% in the first half of the year, primarily because of the full consolidation of Newpharma (since October 2022). Dreamland is presented as a discontinued operation in both the current and prior reporting periods.

The restructuring at Dreambaby led to the closure of five stores in the first half of the year, resulting in a decrease in revenue. Dreambaby operates in a challenging market, further compounded by the current macroeconomic environment. Dreambaby continues to further improve its operational efficiency. Its profitability is also being addressed through a number of actions and through the restructuring.

The revenue of Bike Republic, The Fashion Society and Jims showed a marked increase in the first half of the year by 16,9%, 7,5% and 32,1%, respectively.

As a leading player in its respective market, Bike Republic has 27 stores and still sees potential for expansion in the coming years.

The Fashion Society, the holding company that comprises the fashion chains Zeb, PointCarré and The Fashion Store, expanded its store network to 131 stores.

Jims comprises 34 fitness centres, 30 of which are in Belgium and four in Luxembourg. The increase in revenue at Jims is attributable to expansion and organic growth.

In October 2022, Colruyt Group's stake in the online pharmacy specialist Newpharma increased from 61% to 100%. Newpharma was fully consolidated from January 2023 to September 2023 (i.e. for nine months in total) in the first half of 2023/24. By extending its financial year (January 2023 to March 2024), Newpharma will be fully consolidated for 15 months in the full 2023/24 financial year. In 2022/23, Newpharma was accounted for using the equity method for nine months and fully consolidated for three months.

The non-food retail segment also includes the Dreamland operations, of which a 75% stake was sold to ToyChamp in early October 2023. This means that Dreamland was presented as a discontinued operation (for a six-month period each time) in both the first half of 2023/24 and the first half of 2022/23. From October 2023, a 25% stake of Dreamland will be accounted for using the equity method. In the context of the sale to ToyChamp, an impairment loss of EUR 3 million was accounted for in the first half of 2023/24 (presented in the result for the period from discontinued operations) and a EUR 17 million capital increase occurred at the end of September 2023 to finance restructuring costs and settle outstanding balances with the group.

Colruyt Group continues to purposefully invest in and innovate its online store concepts and digital applications.

Colruyt Group's online sales amounted to 8% of retail revenue (excluding Dreamland) in the first half of 2023/24. Colruyt Group's online revenue is mainly realised through Collect&Go, the shopping service of the Colruyt and Bio-Planet stores and market leader in the online food market in Belgium, and through Newpharma.

Besides its widespread collection network, Collect&Go also offers home delivery, through its own personnel in and around Brussels and Antwerp or private 'Drivers' in the wide vicinity of centre cities. This allows the service to reach over half of Belgian households. The number of regions where home delivery is available continues to expand.

Since mid-November, it has also been possible to easily add ingredient lists from several culinary websites to the Collect&Go shopping basket. While this feature already existed for Colruyt Lowest Prices and Bio-Planet recipes, it is now also available for recipes from other external websites.

Since the end of this summer, customers have also been able to collect their Foodbag meal box (from Smartmat NV, in which Colruyt Group has held a stake since February 2022) along with their online groceries from around 100 Collect&Go collection points. By offering this bundled collection option, the group is taking a new step in providing a customer-oriented service in the Belgian online food market.

Numerous features have been added to Colruyt Group's Xtra app in recent weeks and months. Customers can now also use the Xtra app to find the full Newpharma range, order products from the Colruyt and Bio-Planet assortments and collect them from a Collect&Go collection point, consult recipes, create and share multiple shopping lists, and so on.

Innovation and sustainability remain the key values guiding all Colruyt Group's operations.

Smart Technics, Colruyt Group's innovation hub, focuses on introducing robotics in distribution centres and integrating technologies in the stores. Smart Technics developed the Product Finder technology and the 'easy check-out', which Colruyt Lowest Prices store personnel are testing and rolling out. In this way, Colruyt Group is taking steps towards creating the store of the future, aimed at achieving better service for customers and more efficient time allocation for personnel.

Colruyt Group is a benchmark for sustainable entrepreneurship and a source of inspiration for conscious consumption. The group works towards this objective step by step, through a wide array of initiatives and partnerships.

The Eco-Score, introduced in March 2021, is gaining momentum. More and more customers are finding their way to the savings programme, where the points they earn buying food with an A or B Eco-Score can be redeemed to support projects that make a positive contribution to the environment. By doing so, they help protect and restore nature in Belgium.

The group previously announced its ambition to achieve zero-emission freight transport by 2035, both for its own transport to and from the stores and for transport to the distribution centres through suppliers. Towards this end, Solucious commissioned five all-electric refrigerated trucks.

The group is also taking steps towards circularity. Bike Republic and Kringwinkel Antwerp have decided to join forces for a pilot project: old bicycles can be brought into two Bike Republic stores in exchange for a voucher. After these bicycles are made roadworthy again, Kringwinkel Antwerpen sells them in three of its branches.

In the years ahead, the group will continue to invest in making its patrimony more sustainable, in areas such as circularity, energy efficiency and greenhouse gas emission reduction.

2. Wholesale and Foodservice

Revenue from the wholesale and foodservice segment increased by 16,8% to EUR 669 million. These operations accounted for 12,2% of group revenue in the first half of 2023/24.

Wholesale revenue increased by 13,6%. This development, which is primarily attributable to food inflation and the full consolidation of Degrenne Distribution for a three-month period, is partly offset by lower volumes. The Spar Colruyt Group stores in Belgium position themselves as convivial neighbourhood supermarkets for daily grocery shopping, with a wide range of fresh products and personal service.

Colruyt Group continues to focus on a close, long-term collaboration with the independent entrepreneurs and intends to keep expanding its efficient independent store network in Belgium and France over the coming years.

Revenue from Colruyt Group's foodservice operations increased by 31,7% in the first half of 2023/24. Solucious, which delivers foodservice and retail products throughout Belgium to professional customers, including hospitals, SMEs and the hospitality industry, accounted for most of this revenue. Solucious stands out for its convenience, wide product range, smooth and reliable deliveries, and fair and consistent pricing.

Foodservice Alliance (FSA), an independent knowledge and networking organisation in foodservice, named Solucious the most customer-friendly wholesaler. FSA conducted a survey for this purpose among Belgian foodservice operators on their relationship with their suppliers.

3. Other activities

Revenue from other activities amounted to EUR 14 million and primarily concerned revenue from printing and document management solutions.

This segment also includes the DATS 24 operations sold to Virya Energy in early June 2023. As a result of this sale, DATS 24 has not been fully consolidated since 1 June 2023. DATS 24 is presented as a discontinued operation in both the first half of 2023/24 and the first half of 2022/23 (for two months and six months, respectively). The capital gain realised on the sale of DATS 24 to Virya Energy amounted to EUR 8 million and was presented in the line item 'result for the period from discontinued operations'.

Colruyt Group is the majority shareholder of Virya Energy. Virya Energy is active in the development, funding, construction, operation and maintenance of renewable energy sources. Virya Energy's ambition is to continue to invest in other technologies beyond onshore wind energy, such as solar energy and hydrogen, and to expand its reach into new operations and new geographical areas. Virya Energy announced this summer, for example, that it would become a majority shareholder in Constant Energy, a solar power platform in Asia.

In July 2023, the sale of Parkwind by Virya Energy was finalised for a price of around EUR 1,6 billion (net of debt and transaction costs), resulting in a capital gain of EUR 689 million for Colruyt Group in the first half of 2023/24. Following this transaction, Virya Energy paid a dividend of around EUR 585 million to Colruyt Group in September 2023. A capital reduction at Virya Energy at the end of 2023 will also result in a cash inflow of approximately EUR 165 million for Colruyt Group.

Colruyt Group is also exploring the possibility of selling part of its stake in Virya Energy to Korys, the investment company of the Colruyt family, during the 2023/24 financial year. Colruyt Group's stake in Virya Energy would thus decrease from 59,94% (as at 30 September 2023) to approximately 30%, and Korys' stake in Virya Energy would increase to around 70%.

The net carrying amount of Virya Energy in Colruyt Group's consolidated figures amounted to EUR 546 million as at 30 September 2023 (EUR 466 million as at 31 March 2023). The increase in the net carrying amount is primarily attributable to the capital gain realised on the sale of Parkwind, partly offset by a dividend distribution.

C. Consolidated balance sheet(5)

The net carrying amount of the non-current tangible and intangible assets increased by EUR 90 million to EUR 3.626 million. The increase is primarily the net effect of new investments (EUR 206 million), business combinations and changes in the consolidation scope (EUR 74 million, mainly due to the acquisition of Degrenne Distribution), depreciation charges (EUR 189 million), impairment charges (EUR 14 million) and the reclassification of Dreamland's non-current tangible and intangible assets to assets held for sale (EUR 2 million).

Colruyt Group continues to make targeted investments in its distribution channels, logistics and production departments, renewable energy and digital transformation programmes.

Investments accounted for using the equity method increased by EUR 86 million, mainly attributable to Virya Energy because of the capital gain realised on the sale of Parkwind, partly offset by a dividend distribution.

Cash and cash equivalents amounted to EUR 849 million as at 30 September 2023.

Net financial debt (including IFRS 16) amounted to EUR 236 million as at 30 September 2023 (EUR 997 million as at 31 March 2023). Excluding IFRS 16, there was no net financial debt as at 30 September 2023 but a net cash position of EUR 70 million.

Colruyt Group's equity totalled EUR 3.209 million as at 30 September 2023, representing 48,0% of the balance sheet total.

⁽⁵⁾ As at 30 September 2023 and 31 March 2023, Dreamland and DATS 24 are presented as 'Assets from discontinued operations' and 'Liabilities from discontinued operations', respectively, in the consolidated balance sheet.

D. Treasury shares

In the first half of 2023/24, 1.214.861 treasury shares were purchased for an amount of EUR 40,6 million.

After period-end (until 8 December 2023), 843.914 treasury shares were repurchased in the amount of EUR 33,4 million.

On 8 December 2023, Colruyt Group held 8.728.148 treasury shares, which represented 6,51% of the total number of shares issued. The Board of Directors has proposed cancelling 7.000.000 own shares.

II. Events after the balance sheet date

A. Match and Smatch

On 21 September 2023, Colruyt Group reached an agreement with Match NV and Profi NV, subsidiaries of the group Louis Delhaize NV, to acquire 28 Match and 29 Smatch stores in Belgium. This transaction is subject to approval by the Belgian Competition Authority. The completion of the transaction accompanied by the integration in Colruyt Group's consolidated figures is expected in the first quarter of 2024.

B. Dreamland

The sale of 75% of the Dreamland shares to ToyChamp was completed in early October 2023.

In the context of the sale to ToyChamp, an impairment loss of EUR 3 million was accounted for in the first half of 2023/24 (presented in the result for the period from discontinued operations) and a EUR 17 million capital increase was carried out at the end of September 2023 to finance restructuring costs and settle outstanding balances with the group.

Dreamland was recognised as a discontinued operation in the first half of 2023/24. From the second half of 2023/24, Dreamland will no longer be fully consolidated but will be accounted for using the equity method.

C. Interim dividend

In relation to the capital gain realised on the sale of Parkwind, the Board of Directors decided on 8 December 2023 to distribute a gross interim dividend of EUR 1,00 per share. The interim dividend will be made payable on 22 December 2023 (see separate press release for more information).

The cash inflow resulting from this capital gain will also be used to support efforts to further enhance the sustainability of Colruyt Group in the years to come (including sustainable buildings, sustainable transport, sustainable product ranges in the stores, etc.).

C. Other

There were no other significant events after the balance sheet date.

III. Outlook

Colruyt Group still expects the operating profit and the net result (i.e. excluding one-off effects, DATS 24 and Dreamland) to increase sharply in the 2023/24 financial year compared with the prior financial year (on a comparable basis, in line with the key figures of 2022/23), specifically an increase above 50 to 60%. The increases in the first half of 2023/24 are not representative of the full financial year because the comparable basis of the prior financial year was better in the second half of the year than the first half. As the year-end period is important for retailers, it can still influence the above expectations.

As a retailer and the market leader in Belgium, Colruyt Group continues to actively fulfil its role in society by ensuring that customers receive a qualitative and affordable offering in stores and online. In doing so, Colruyt Lowest Prices continues to consistently implement its lowest-prices strategy so that customers can count on us to help them stay on top of their household budgets.

The expected sharp increase of the result can be explained by several factors, including:

• market share gains in Belgium;
• the difference between sales price inflation and cost price inflation having normalised after cost price inflation exceeded sales price inflation for more than a year;
• the increased focus on processes and operational cost control since the 2022/23 financial year.

The group wishes to point out that the macroeconomic context remains challenging and uncertain, and that the fierce competitiveness in the Belgian retail market persists and could even intensify:

• We currently note that the evolution of sales price inflation versus cost price inflation has normalised after cost price inflation exceeded sales price inflation for more than one year. Such normalisation is essential to allow further investments in promotions and lowest prices, as well as expansion, sustainability, digitalisation, and so on. It remains very uncertain whether this trend will continue over the entire financial year.
• Colruyt Group is experiencing increased price and promotional pressure in the Belgian retail market. This could be an indication that competitiveness will intensify further in the weeks and months to come.

The uncertainty associated with the macroeconomic context and the high competitiveness in the Belgian retail market could significantly impact the outlook and adversely affect the group's results.

The group continues to manage its operating costs and cash position as much as possible. Because of its permanent focus on efficiency and operating cost control, Colruyt Lowest Prices can continue to live up to its promise to its customers. In addition, the group maintains its long-term focus and will pursue its targeted investments in sustainability and efficiency, digital transformation and innovation, employees and high-quality house-brand products.

Colruyt Group is also exploring the possibility of selling part of its stake in the energy holding company Virya Energy to Korys, the investment company of the Colruyt family, in the 2023/24 financial year. Colruyt Group's stake in Virya Energy would thus decrease from 59,94% (as at 30 September 2023) to approximately 30%, and Korys' stake in Virya Energy would increase to around 70%. The potential financial effects of this sale are still being studied. If such a transaction were to have an impact on the result, it would be considered a one-off effect.

With a new shareholder structure, Colruyt Group wants to give Virya Energy the opportunity to continue implementing its ambitious growth plans. Colruyt Group considers it important to retain a minority stake, firstly to be able to contribute to this story of growth and secondly to continue jointly building know-how and expertise in relation to the renewable energy transition and energy supply, for instance as part of the ambition to achieve zero-emission freight transport by 2035. Where relevant, Colruyt Group will act and communicate further in accordance with the applicable regulations.

IV. Financial calendar

• Information to financial analysts 13/12/2023 (14h00)
• Publication of 2023/24 annual results 11/06/2024
• Information to financial analysts 12/06/2024 (14h00)
• Publication of 2023/24 annual report On or before 31/07/2024
• General Meeting of Shareholders 25/09/2024 (16h00)

V. Contacts

For questions on this press release or for further information, please send an email to investor@colruytgroup.com or contact Stefaan Vandamme (CFO) or Mélanie Squilbin (Investor Relations) by phone at +32 2 363 50 51 (extension: 92590).

About Colruyt Group

Colruyt Group operates in the food and non-food distribution sector in Belgium, France and Luxembourg with more than 700 own stores and approximately 580 affiliated stores. In Belgium, this includes Colruyt Lowest Prices, Okay, Bio-Planet, Cru, Dreambaby, Bike Republic, Zeb, PointCarré, The Fashion Store and the affiliated stores Spar and PointCarré. In France, in addition to Colruyt stores and DATS 24 filling stations, there are also affiliated Coccinelle, Coccimarket, Panier Sympa and PointCarré stores. Jims operates fitness clubs in Belgium and Luxembourg. Newpharma is the Belgian online pharmacy of Colruyt Group. Solucious and Culinoa deliver foodservice and retail products to professional customers in Belgium (hospitals, SMEs, hospitality industry, etc). The activities of Colruyt Group also comprise printing and document management solutions (Symeta Hybrid). Colruyt Group also holds interests, including in Virya Energy (to which DATS 24 belongs since June 2023) and in Dreamland. The group employs more than 32.000 employees and recorded a EUR 10,8 billion in revenue in 2022/23. Colruyt Group NV is listed on Euronext Brussels (COLR) under ISIN code BE0974256852.

Risks relating to forecasts

Statements by Colruyt Group included in this press release, along with references to this press release in other written or verbal statements of the group which refer to future expectations with regard to activities, events and strategic developments of Colruyt Group, are predictions and as such contain risks and uncertainties. The information communicated relates to information available at the present time, which can differ from the final results. Factors that can generate a variation between expectation and reality are: changes in the micro- or macroeconomic context, changing market situations, changing competitive climate, unfavourable decisions with regard to the building and/or extension of new or existing stores, procurement problems with suppliers, as well as other factors that can impact the group's result. Colruyt Group does not make any commitments with respect to future reporting that might have an influence on the group's result or which could bring about a deviation from the forecasts included in this press release or in other group communication, whether written or verbal.

Deze informatie is ook beschikbaar in het Nederlands. Ces informations sont également disponibles en français.

Only the Dutch version is the official version. The French and English versions are translations of the original Dutch version.

CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

Condensed consolidated interim income statement

		01.04.2023	01.04.2022
(in million EUR)	Note	-	-
		30.09.2023	30.09.2022⁽¹⁾
Revenue	4.	5.481,8	4.724,6
Cost of goods sold		(3.865,0)	(3.401,3)
Gross profit		1.616,8	1.323,3
Other operating income		89,0	78,1
Services and miscellaneous goods		(386,6)	(343,7)
Employee benefit expenses		(847,2)	(754,5)
Depreciation, amortisation and impairment of non-current assets		(203,1)	(183,0)
Other operating expenses		(22,5)	(12,1)
Operating profit (EBIT)		246,4	108,1
Finance income		5,2	7,0
Finance costs		(17,4)	(8,2)
Net financial result		(12,2)	(1,2)
Share in the result of investments accounted for using the equity method	8.	721,8	(6,1)
Profit before tax		956,0	100,8
Income tax expense		(57,2)	(20,0)
Profit for the period from continuing operations		898,8	80,8
Result for the period from discontinued operations	8.	(1,9)	8,1
Profit for the period		896,9	88,9
Attributable to:
Non-controlling interests		(0,1)	-
Owners of the parent company		897,0	88,9
Earnings per share (EPS) – basic and diluted (in EUR) - from continuing operations		7,09	0,63
Earnings per share (EPS) – basic and diluted (in EUR) - from discontinued operations		(0,02)	0,06
Earnings per share (EPS) – basic and diluted (in EUR)		7,07	0,69

(1) As adjusted due to discontinued operations. See 8. Changes in consolidation scope for more information on the restatement of comparative information.

Condensed consolidated interim statement of comprehensive income

	01.04.2023	01.04.2022
(in million EUR)	-	-
	30.09.2023	30.09.2022
Profit for the period	896,9	88,9
Items of other comprehensive income from fully consolidated subsidiaries
Items that will not be reclassified to profit or loss
Revaluation of liabilities related to long-term post-employment benefits, after taxes⁽¹⁾	4,1	45,5
Net change in fair value of financial assets at fair value through other comprehensive income, after
taxes	(1,0)	(4,0)
Total of the items that will not be reclassified to profit or loss	3,1	41,5
Items that may be reclassified subsequently to profit or loss
Profit/(loss) from currency translation of foreign subsidiaries, after taxes	0,2	0,7
Net change in fair value of derivative financial instruments, after taxes	(0,4)	-
Total of the items that may be reclassified subsequently to profit or loss	(0,2)	0,7
Items of other comprehensive income from investments accounted for using the equity method
Items that will not be reclassified to profit or loss
Revaluation of liabilities related to long-term post-employment benefits, after taxes	(0,2)	0,9
Total of the items that will not be reclassified to profit or loss	(0,2)	0,9
Items that may be reclassified subsequently to profit or loss
Profit/(loss) from currency translation of foreign operations, after taxes	0,2	-
Net change in fair value of derivative financial instruments, after taxes⁽²⁾	(63,3)	64,0
Total of the items that may be reclassified subsequently to profit or loss	(63,1)	64,0
Other comprehensive income for the period	(60,4)	107,1
Total comprehensive income for the period	836,5	196,0
Attributable to:
Non-controlling interests	-	-
Owners of the parent company	836,5	196,0

(1) Mainly reflects the impact of increased discount rates.

(2) Mainly relates to the interest rate swap contracts within Virya Energy Group. The decrease in the current period reflects the elimination of Parkwind's interest rate swap contracts within Virya Energy NV.

Condensed consolidated interim statement of financial position

(in million EUR)	Note	30.09.2023	31.03.2023
Goodwill		399,9	374,5
Intangible assets		359,1	340,0
Property, plant and equipment		2.867,2	2.820,8
Investments accounted for using the equity method		628,4	542,6
Financial assets	10.	11,4	10,8
Deferred tax assets		22,2	18,2
Other receivables	10.	38,5	38,3
Total non-current assets		4.326,7	4.145,2
Inventories		758,0	826,5
Trade receivables	10.	529,5	534,7
Current tax assets		16,0	22,7
Other receivables	10.	98,5	97,8
Financial assets	10.	34,6	31,3
Cash and cash equivalents	10.	848,6	358,6
Assets from discontinued operations		76,2	130,8
Total current assets		2.361,4	2.002,4
TOTAL ASSETS		6.688,1	6.147,6
Share capital		370,2	370,2
Reserves and retained earnings		2.838,8	2.140,1
Total equity attributable to owners of the parent company		3.209,0	2.510,3
Non-controlling interests		-	0,1
Total equity		3.209,0	2.510,4
Provisions		10,2	8,5
Liabilities related to employee benefits		80,8	87,9
Deferred tax liabilities		96,0	86,3
Interest-bearing and other liabilities	10.	854,5	880,9
Total non-current liabilities		1.041,5	1.063,6
Provisions		0,6	0,9
Bank overdrafts		-	8,4
Interest-bearing liabilities	10.	236,2	471,1
Trade payables	10.	1.316,0	1.295,8
Current tax liabilities		33,4	20,4
Liabilities related to employee benefits and other liabilities		811,6	687,8
Liabilities from discontinued operations⁽¹⁾		39,8	89,2
Total current liabilities		2.437,6	2.573,6
Total liabilities		3.479,1	3.637,2
TOTAL EQUITY AND LIABILITIES		6.688,1	6.147,6

(1) The restructuring of Dreamland NV, the intention of which was announced on 19 April 2023, has given rise to a EUR 5,6 million restructuring charge in the financial year 2023/24. This restructuring is presented as part of the liabilities from discontinued operations.

Condensed consolidated interim statement of changes in equity

		Attributable to the owners of the parent company
(in million EUR, except number of shares)		Number of shares	Share capital	Number of treasury shares	Treasury shares	Other reserves				Retained earnings	Total	Non controlling interests	Total equity
	Note					Revaluation reserves of liabilities related to long-term post employment benefits	Cumulative translation adjustments	Cash flow hedge reserves	Fair value reserves of financial assets through OCI
At 1 April 2023		134.077.688	370,2	6.687.980	(238,6)	(7,8)	(2,7)	78,1	4,5	2.306,6	2.510,3	0,1	2.510,4
Total comprehensive income for the period		-	-	-	-	3,9	0,4	(63,7)	(1,0)	897,0	836,6	(0,1)	836,5
Profit for the period		-	-	-	-	-	-	-	-	897,0	897,0	(0,1)	896,9
Other comprehensive income for the period		-	-	-	-	3,9	0,4	(63,7)	(1,0)	-	(60,4)	-	(60,4)
Transactions with the owners		-	-	1.214.861	(40,6)	0,2	-	(5,4)	0,2	(92,3)	(137,9)	-	(137,9)
Capital increase		-	-	-	-	-	-	-	-	1,0	1,0	-	1,0
Treasury shares purchased		-	-	1.214.861	(40,6)	-	-	-	-	(0,1)	(40,7)	-	(40,7)
Change in ownership percentage		-	-	-	-	-	-	-	-	(0,4)	(0,4)	-	(0,4)
Dividends	7.	-	-	-	-	-	-	-	-	(100,9)	(100,9)	-	(100,9)
Other		-	-	-	-	0,2	-	(5,4)	0,2	8,1	3,1	-	3,1
At 30 September 2023		134.077.688	370,2	7.902.841	(279,2)	(3,7)	(2,3)	9,0	3,7	3.111,3	3.209,0	-	3.209,0

Condensed consolidated interim statement of changes in equity

	Attributable to the owners of the parent company
(in million EUR, except number of shares)	Number of shares	Share capital	Number of treasury shares	Treasury shares	Other reserves				Retained earnings	Total	Non controlling interests	Total equity
					Revaluation reserves of liabilities related to long-term post employment benefits	Cumulative translation adjustments	Cash flow hedge reserves	Fair value reserves of financial assets through OCI
At 1 April 2022	133.839.188	364,8	3.518.954	(143,8)	(21,3)	(1,7)	(8,5)	8,6	2.264,0	2.462,1	-	2.462,1
Total comprehensive income for the period	-	-	-	-	46,4	0,7	64,0	(4,0)	88,9	196,0	-	196,0
Profit for the period	-	-	-	-	-	-	-	-	88,9	88,9	-	88,9
Other comprehensive income for the period	-	-	-	-	46,4	0,7	64,0	(4,0)	-	107,1	-	107,1
Transactions with the owners	-	-	3.169.026	(94,8)	-	-	-	-	(159,7)	(254,5)	-	(254,5)
Capital increase	-	-	-	-	-	-	-	-	1,1	1,1	-	1,1
Treasury shares purchased	-	-	3.169.026	(94,8)	-	-	-	-	(0,4)	(95,2)	-	(95,2)
Transactions with non-controlling interests at associates	-	-	-	-	-	-	-	-	(20,2)	(20,2)	-	(20,2)
Dividends	-	-	-	-	-	-	-	-	(139,8)	(139,8)	-	(139,8)
Other	-	-	-	-	-	-	-	-	(0,4)	(0,4)	-	(0,4)
At 30 September 2022	133.839.188	364,8	6.687.980	(238,6)	25,1	(1,0)	55,5	4,6	2.193,2	2.403,6	-	2.403,6

Condensed consolidated interim statement of cash flows

The amounts indicated below include both continuing and discontinued operations.

	01.04.2023	01.04.2022
(in million EUR)	-	-
	30.09.2023⁽¹⁾	30.09.2022
Operating activities
Profit before tax	948,1	115,9
Adjustments for:
Depreciation, amortisation and impairment of non-current assets	207,1	188,0
Finance income and finance costs	12,4	1,3
Share in the result of investments accounted for using the equity method⁽²⁾	(721,8)	6,1
Losses/(gains) on the sale of property, plant and equipment, intangible assets and financial assets	(3,5)	(2,8)
Discount on capital increase reserved for personnel	1,0	1,1
Other⁽³⁾	(7,1)	(2,0)
Cash flow from operating activities before changes in working capital and provisions	436,2	307,6
Decrease/(increase) in trade and other receivables	31,7	(65,0)
Decrease/(increase) in inventories	18,9	(39,5)
(Decrease)/increase in trade payables and other liabilities	(2,4)	10,2
(Decrease)/increase in provisions and liabilities related to employee benefits	26,6	(21,6)
Dividends received⁽⁴⁾	584,4	4,1
Income tax paid	(39,4)	(25,3)
Cash flow from operating activities	1.056,0	170,5
Investing activities
Acquisition of property, plant and equipment and intangible assets	(205,8)	(227,9)
Business combinations (net of cash and cash equivalents acquired)⁽²⁾	(73,0)	(8,9)
Business disposals (net of cash and cash equivalents disposed of)⁽²⁾	64,1	-
Increase in investment in capital of associates and joint ventures	(1,3)	(0,7)
Proceeds from capital reimbursements of associates and joint ventures	0,2	0,7
(Purchases)/sales of financial assets	(4,1)	(0,4)
(Payment of)/proceeds from repayment of loans granted	(1,6)	7,6
Proceeds from sale of property, plant and equipment and intangible assets	24,4	3,8
Cash flow from investing activities	(197,1)	(225,8)
Financing activities
Acquisition of non-controlling interests	(0,1)	-
Purchase of treasury shares	(40,8)	(95,3)
New borrowings	64,2	626,2
Repayment of borrowings	(345,7)	(242,7)
Interest paid	(5,7)	(0,4)
Interest received	3,3	1,9
Payment of lease liabilities	(35,0)	(28,6)
Cash flow from financing activities	(359,8)	261,1
Net increase/(decrease) of cash and cash equivalents Cash and cash equivalents at 1 April	499,1 352,7	205,8 176,0
Effect of changes in foreign currency rates	-	0,2
Effect of changes in consolidation scope	(1,9)	-
Cash and cash equivalents at 30 September	849,9	382,0

(1) Profit before tax is inclusive of discontinued operations. For 2023/24, this is the sum of the profit for the financial year for the continuing operations (EUR 956,0 million) and the result for the financial year for the discontinued operations (EUR -7,9 million).

(2) See 8. Changes in consolidation scope for more information.

(3) At 30 September 2023, the category 'Other' includes amongst others impairments and reversals of impairments on inventories, trade receivables and other receivables.

(4) See 9. Related party transactions for more information.

Notes to the condensed consolidated interim financial statements

1. Basis of presentation and statement of compliance

Colruyt Group NV (hereinafter referred to as 'the Company') is domiciled in Halle, Belgium and is publicly traded on NYSE Euronext Brussels under the code COLR. The Company's name was changed from Etn. Fr. Colruyt NV to Colruyt Group NV following approval by the Extraordinary General Meeting of 10 October 2023. The condensed consolidated financial statements for the reporting period ending 30 September 2023, contain the financial statements of the Company, its subsidiaries (hereinafter referred to collectively as 'Colruyt Group'), and Colruyt Group's interests in associates and joint ventures.

These condensed consolidated interim financial statements provide information on the period from 1 April 2023 until 30 September 2023 inclusive and were approved for publication by the Board of Directors on 8 December 2023.

These condensed consolidated interim financial statements have been prepared in accordance with International Financial Reporting Standard IAS 34 'Interim Financial Reporting', as adopted by the European Union. They do not contain all information required for full annual financial statements and should therefore be read in conjunction with the consolidated financial statements for the financial year 2022/23.

Amounts are, unless mentioned otherwise, expressed in million EUR, rounded to one decimal place. As a result of rounding, the totals of certain figures in the tables may differ from those in the main statements or between disclosure notes.

2. Significant accounting policies

The accounting principles applied by Colruyt Group in these condensed consolidated financial statements are consistent with those applied by the group in the consolidated financial statements 2022/23, as published in July 2023, except for the changes listed below.

Since 1 April 2023, the following (amendments to) standards and improvements are effective for Colruyt Group:

• IAS 1 (Amendment), 'Presentation of Financial Statements' and 'IFRS Practice Statement 2: Disclosure of Accounting Policies';
• IAS 8 (Amendment), 'Accounting Policies, Changes in Accounting Estimates and Errors - Definition of Accounting Estimates';
• IAS 12 (Amendment), 'Income Taxes - Deferred Tax related to Assets and Liabilities arising from a Single Transaction' and 'Income Taxes - International Tax Reform - Pillar Two Model Rules';
• IFRS 17, 'Insurance Contracts' and IFRS 17 (Amendment), 'Insurance Contracts - Initial Application of IFRS 17 and IFRS 9').

These new or amended standards and improvements have no material impact on the condensed consolidated interim financial statements.

Colruyt Group did not early adopt the following published (amended) standards, which are relevant to the group and effective only after 31 March 2024:

• IFRS 16 (Amendment), 'Lease Liability in a Sale and Leaseback' (effective date for Colruyt Group 1 April 2024);
• IAS 1 (Amendment), 'Presentation of Financial Statements - Classification of Liabilities' (effective date for Colruyt Group 1 April 2024).
• IAS 7 and IFRS 7 (Amendment), 'Disclosures - Supplier Finance Arrangements' (effective date for Colruyt Group 1 April 2024).
• IAS 21 (Amendment),'The Effects of Changes in Foreign Exchange Rates - Lack of Exchangeability' (effective date for Colruyt Group 1 April 2025).

These amended standards will have no material impact on the consolidated financial statements of Colruyt Group.

There are no other (amended) standards, interpretations or improvements which are not yet effective for Colruyt Group and which are expected to have a material impact on the consolidated financial statements of Colruyt Group.

3. Operating segments

Colruyt Group reports its operating segments based on the nature of its activities:

• Retail: stores under Colruyt Group's own management which directly sell to retail customers and bulk consumers. The filling stations in France are also included in this segment as they are inseparably connected to, and therefore an integral part of, the stores in France.
• Wholesale and Foodservice: supply to wholesalers, professional customers and affiliated independent merchants.
• Other activities: printing and document management and DATS 24 Belgium (filling stations and renewable energy) for a period of two months until its sale to Virya Energy (see note 8. Changes in consolidation scope).

As communicated in June 2023 and during the General Meeting of 27 September 2023, Colruyt Group's legal structure has been adapted in the last few months to be better aligned with the four areas of expertise on which the group's long-term strategy is based ('Food', 'Health and Wellbeing', 'Non-Food' and 'Energy'). In view thereof, the food activities have been centralised under a separate subsidiary (Colruyt Food Retail NV) since 1 October 2023.

Given that the CODM (chief operating decision maker) monitored the performance and allocated resources including the discontinued operations based on the segments Retail, Wholesale and Foodservice and Other activities, the segments are reported including the discontinued activities as part of the segments 'Retail' and 'Other activities' in line with previous financial years.

	Retail⁽¹⁾		Wholesale and Foodservice		Other activities		Operating segments
(in million EUR)	2023/24	2022/23	2023/24	2022/23	2023/24	2022/23	2023/24	2022/23
Revenue - external	4.868,7	4.219,5	668,8	572,8	149,0	474,2	5.686,5	5.266,5
Revenue - internal	44,5	35,8	10,5	9,6	4,0	10,6	59,0	56,0
Operating profit (EBIT)	223,4	95,9	22,7	26,2	11,6	26,7	257,7	148,8
Share in the result of investments accounted for using the equity method⁽²⁾	1,0	(3,4)	-	-	724,6	(3,2)	725,6	(6,6)
Acquisition of property, plant and equipment and intangible assets⁽³⁾	141,7	158,3	5,8	14,7	2,4	10,2	149,9	183,2
Depreciation and amortisation	151,9	144,2	11,3	11,1	2,1	5,6	165,3	160,9
Impairment of non-current assets	17,0	4,0	-	-	0,2	0,3	17,2	4,3

(1) Since October 2022, Newpharma has been fully consolidated and no longer accounted for as an associate using the equity method. (2) See 8. Changes in consolidation scope for more information.

(3) Acquisition of property, plant and equipment and intangible assets does not include acquisitions through business combinations, right-of-use assets and changes in consolidation method.

	Operating segments		Unallocated		Eliminations between operating segments & reclassification to discontinued operations ⁽¹⁾		Consolidated
(in million EUR)	2023/24	2022/23	2023/24	2022/23	2023/24	2022/23	2023/24	2022/23
Revenue – external	5.686,5	5.266,5	-	-	(204,7)	(541,9)	5.481,8	4.724,6
Revenue – internal	59,0	56,0	-	-	(59,0)	(56,0)	-	-
Operating profit (EBIT)	257,7	148,8	(19,0)	(25,5)	7,7	(15,2)	246,4	108,1
Share in the result of investments accounted for using the equity method	725,6	(6,6)	(3,8)	0,5	-	-	721,8	(6,1)
Net financial result						(12,2)	(1,2)
Income tax expense						(57,2)	(20,0)
Profit for the period from continuing operations							898,8	80,8
Acquisition of property, plant and equipment and intangible assets⁽²⁾	149,9	183,2	55,9	44,7	(1,3)	-	204,5	227,9
Depreciation and amortisation	165,3	160,9	24,1	22,7	(0,3)	(5,0)	189,1	178,6
Impairment of non-current assets	17,2	4,3	0,5	0,2	(3,7)	(0,1)	14,0	4,4

(1) As adjusted due to discontinued operations. See 8. Changes in consolidation scope for more information on the restatement of comparative information.

(2) Acquisition of property, plant and equipment and intangible assets does not include acquisitions through business combinations, right-of-use assets and changes in consolidation method.

	Belgium		France		Other		Total
(in million EUR)	2023/24	2022/23⁽¹⁾	2023/24	2022/23⁽¹⁾	2023/24	2022/23⁽¹⁾	2023/24	2022/23⁽¹⁾
Revenue	4.971,7	4.286,0	468,4	401,6	41,7	37,0	5.481,8	4.724,6

(3) As adjusted due to discontinued operations. See 8. Changes in consolidation scope for more information on the restatement of comparative information.

4. Revenue by cash-generating unit

(in million EUR)	2023/24	2022/23
Retail Food⁽¹⁾	4.481,3	3.948,0
Colruyt Belgium and Luxembourg⁽²⁾	3.543,5	3.101,0
Okay, Bio-Planet and Cru	572,4	511,4
Colruyt France and DATS 24 France	365,4	335,6
Retail Non-food⁽¹⁾⁽³⁾	387,4	271,4
Transactions with other operating segments	44,5	35,8
Retail	4.913,2	4.255,2
Wholesale	537,1	472,8
Foodservice	131,7	100,0
Transactions with other operating segments	10,5	9,6
Wholesale and Foodservice	679,3	582,4
DATS 24 Belgium⁽⁴⁾	135,3	464,0
Printing and document management solutions & Other	14,0	10,3
Transactions with other operating segments	4,0	10,5
Other activities	153,3	484,8
Total operating segments	5.745,8	5.322,4
Eliminations between operating segments	(59,0)	(55,9)
Reclassification to discontinued operations⁽⁵⁾	(205,0)	(541,9)
Consolidated	5.481,8	4.724,6

(1) The subtotals 'Food' and 'Non-food' within the operating segment 'Retail' are for information purposes only.

(2) Including the revenue from the Collect&Go and Bio-Planet webshops realised by Colruyt stores. (3) Including revenue from Dreamland and Dreambaby, Bike Republic, The Fashion Society, Jims and Newpharma (since October 2022).

(4) Including the revenue from DATS 24 Belgium up to and including May 2023.

(5) As adjusted due to discontinued operations. See 8. Changes in consolidation scope for more information on the restatement of comparative information.

5. Income tax expense

The effective tax rate on the profit before tax, excluding the share in the result of investments accounted for using the equity method, was 24,4%.

6. Capital expenditure

During the first semester of 2023/24, Colruyt Group acquired property, plant and equipment and intangible assets for a total amount of EUR 205,8 million (excluding leasing). In the first semester of the comparative financial year, Colruyt Group acquired property, plant and equipment and intangible assets for an amount of EUR 227,9 million (excluding leasing).

The investments of Colruyt Group include amongst others the expansion and modernisation of the store network, investments in the logistics infrastructure and production departments and in future-oriented transformation programmes.

7. Dividends

On 27 September 2023, the General Meeting of Shareholders approved a gross dividend of EUR 0,80 per share for the financial year 2022/23, for a total amount of EUR 100,9 million. This dividend was made available for payment on 3 October 2023.

8. Changes in consolidation scope

8.1. Disposal of subsidiaries

On 1 June 2023, Colruyt Group and Virya Energy NV reached an agreement to fully integrate DATS 24 NV into the energy holding company Virya Energy. Virya Energy NV, an associate and related party of Colruyt Group, paid a final acquisition price of EUR 82 million, resulting in a one-off positive net result for Colruyt Group of EUR 8,5 million, recognised as a result for the period from discontinued operations. As of June 2023, DATS 24 NV has no longer been fully consolidated by Colruyt Group, but by Virya Energy NV. This means that as of June 2023, the results of DATS 24 have been accounted for in Colruyt Group's consolidated figures via Virya Energy NV using the equity method. The fuel distribution activities in France are inseparably connected to, and therefore an integral part of, the stores in France and are not included in this transaction. The requisite measures were taken in the context of the conflict of interest rules.

On 26 July 2023, the sale of Parkwind by Virya Energy to JERA Green Ltd., a subsidiary of JERA Co. Inc., was successfully completed. The final price was EUR 1.625 million (net of debt and transaction costs) at the level of Virya Energy. This transaction resulted in a one-off positive effect of EUR 689 million in the consolidated net result of Colruyt Group, accounted for as a share in the result of investments using the equity method.

8.2. Discontinued operations

The discontinued operations relate to the activities of DATS 24 and Dreamland.

On 1 June 2023, DATS 24 NV was integrated into the energy holding company Virya Energy. As a result, two months of the results of DATS 24 NV in the amount of EUR 7,4 million were included in the discontinued operations in the financial year 2023/24. The assets and liabilities classified as held for sale of DATS 24 NV were derecognised and the positive result of this transaction is now included in the discontinued operations. The capital gain on the sale amounts to EUR 8,5 million.

On 30 September 2023, the assets and liabilities of Dreamland NV were segregated as 'discontinued operations' and the results (EUR -17,8 million - including a EUR 5,6 million restructuring charge and an expected loss of EUR 3,5 million) were reclassified from the continuing to the discontinued operations for both the previous and the current financial year. For more information on the actual transaction, we refer to note 12. Events after the balance sheet date.

In the first half of 2022/23, the result for the period from discontinued operations amounted to EUR 8,1 million, consisting of:

• The result of DATS 24 in the amount of EUR 19,8 million (for a six-month period).
• The result of Dreamland in the amount of EUR -11,6 million (for a six-month period).

8.3. Business combinations

On 6 July 2023, Colruyt Group acquired control over 100% of the shares of Degrenne Distribution and this subsidiary was included in the consolidated figures. Degrenne Distribution is an important player in the distribution sector and operates in the northwest of France and in the Ile-de-France region. The investment is in line with Colruyt Group's ambition to support the growth of the thriving convenience store market in France. The transaction resulted in provisional goodwill in the amount of EUR 33,5 million. The goodwill is underpinned by future synergies that will be generated by new business opportunities and cost efficiencies. The allocation of the acquisition price to the underlying assets will be considered further in the second half of the financial year 2023/24. The transaction was paid entirely in cash and there are no material contingent liabilities arising from it.

Colruyt Group finalised the allocation of the acquisition price to the underlying assets of Newpharma Group NV in the first half of the financial year 2023/24. The comparative figures of the financial year 2022/23 were not adjusted given the non-material nature of this allocation.

There are no other material changes in the consolidation scope.

9. Related party transactions

Colruyt Group has sold its shares of DATS 24 NV to Virya Energy NV. For more information on the actual transaction, we refer to note 8.1. Disposal of subsidiaries.

On 29 September 2023, Colruyt Group received a EUR 584 million dividend from Virya Energy NV. Also, it was proposed at the Board of Directors of Virya Energy NV held in September 2023 to carry out a capital reduction totalling EUR 275 million. This capital increase will be paid in December 2023 and will result in a cash inflow of approximately EUR 165 million for Colruyt Group.

There are no other significant related party transactions.

10. Financial assets and liabilities per category and per class

In accordance with IFRS 7 'Financial Instruments: Disclosures' and IFRS 13 'Fair Value Measurement', financial instruments measured at fair value are classified using a fair value hierarchy.

	Measurement at fair value
(in million EUR)	Quoted prices Level 1	Observable market prices Level 2	Non-observable market prices Level 3	Carrying amount
Financial assets at fair value through other comprehensive income
Equity investments	-	-	10,9	10,9
Cash flow hedging instruments	-	0,3	-	0,3
Financial assets at fair value through profit or loss
Equity investments	7,6	-	0,3	7,9
Fixed-income securities	20,4	0,1	0,5	21,0
Financial assets at amortised cost
Non-current assets
Other non-current receivables⁽¹⁾	-	38,5	-	38,5
Current assets⁽²⁾
Term deposits	-	-	-	6,0
Trade and other receivables	-	-	-	628,1
Cash and cash equivalents	-	-	-	848,6
Total financial assets at 31 March 2023	27,9	38,9	11,7	1.561,3
Financial liabilities (excluding lease liabilities) at amortised cost
Non-current liabilities
Fixed-rate green retail bond	250,5	-	-	256,4
Bank borrowings and others⁽¹⁾	-	319,1	-	319,1
Current liabilities⁽²⁾
Bank borrowings, bank overdrafts and others	-	-	-	208,0
Trade payables	-	-	-	1.316,1
Lease liabilities at amortised cost⁽³⁾	-	-	-	337,8
Total financial liabilities at 30 September 2023	250,5	319,1	-	2.437,4

	Measurement at fair value
	Quoted prices Level 1	Observable market prices Level 2	Non-observable market prices Level 3	Carrying amount
Financial assets at fair value through other comprehensive income
Equity investments	-	-	10,8	10,8
Cash flow hedging instruments	-	0,1	-	0,1
Financial assets at fair value through profit or loss
Equity investments	9,1	-	0,3	9,4
Fixed-income securities	17,3	-	-	17,3
Financial assets at amortised cost
Non-current assets
Other non-current receivables	-	38,3	-	38,3
Current assets⁽²⁾
Term deposits	-	-	-	4,5
Trade and other receivables	-	-	-	632,5
Cash and cash equivalents	-	-	-	358,6
Total financial assets at 31 March 2022	26,4	38,4	11,1	1.071,5
Financial liabilities at fair value through other comprehensive income
Cash flow hedging instruments	-	0,2	-	0,2
Financial liabilities (excluding lease liabilities) at amortised cost
Non-current liabilities
Fixed-rate green retail bond	252,7	-	-	251,1
Bank borrowings and others⁽¹⁾	-	361,9	-	361,9
Current liabilities⁽²⁾
Bank borrowings, bank overdrafts and others	-	-	-	447,0
Trade payables	-	-	-	1.295,8
Lease liabilities at amortised cost⁽³⁾	-	-	-	328,4
Total financial liabilities at 31 March 2023	252,7	362,1	-	2.684,4

(1) The carrying amounts of non-current bank borrowings and other, and other non-current receivables are not materially different from their fair values.

(2) The carrying amounts of current financial assets and liabilities measured at amortised cost are estimated to reasonably approximate their fair values due to their short maturity.

(3) Fair value disclosures are not required in respect of lease liabilities at amortised cost.

During this period, there were no transfers between levels of the fair value hierarchy, no changes in the classification of financial assets and liabilities and no changes in the valuation techniques and parameters applied as set forth in the most recent consolidated annual financial statements.

At 30 September 2023, the total amount of financial liabilities was EUR 2.437,4 million (i.e. 36,4% of the balance sheet total), consisting mainly of:

• A EUR 250,0 million green retail bond, repayment of which is scheduled in February 2028. Interest coupons worth EUR 10,6 million are due annually.
• Bank borrowings, bank overdrafts and other borrowings in the amount of EUR 490,7 million, which on 30 September inter alia include short-term financing in the amount of EUR 67,4 million (EUR 299,3 million as per 31 March 2023).
• Colruyt Group's lease liabilities, which total EUR 337,8 million (EUR 306,6 million of which are IFRS 16 liabilities) in the current financial year, as against EUR 328,4 million (EUR 303,2 million of which are IFRS 16 liabilities) in the previous financial year. The lease liabilities are recognised at a fixed interest rate.
• Trade payables in the amount of EUR 1.316,1 million.

Colruyt Group always strives to have sufficient credit lines and capital market instruments (including commercial paper) available as back-up to minimise the group's liquidity risk. As part of this, a committed revolving credit facility for EUR 670 million was concluded with a banking syndicate. No amount had been drawn down from this credit facility on 30 September 2023. Colruyt Group also makes use of several other bilateral lines of credit.

Colruyt Group uses derivative financial instruments to hedge its currency risk exposure, with no speculative purposes.

In the first half of the year, there were no significant changes in the other risks related to financial instruments in comparison to the disclosure notes to the most recent consolidated annual financial statements.

11. Contingent liabilities

The main change in contingent liabilities in this period relates to liabilities relating to the acquisition of property, plant and equipment, which have not yet been recognised in the statement of financial position. Liabilities relating to the acquisition of property, plant and equipment total EUR 148,4 million (EUR 115,7 million at 31 March 2023) and consist mainly of contractual commitments for the acquisition of land and buildings. As for the other contingent assets and contingent liabilities, there are no significant changes in comparison to 31 March 2023.

12. Events after the balance sheet date

Match and Smatch

On 21 September 2023, Colruyt Group reached an agreement with Match NV and Profi NV, subsidiaries of the group Louis Delhaize NV, to acquire 28 Match and 29 Smatch stores in Belgium. This transaction is subject to approval by the Belgian Competition Authority. The completion of the transaction and hence the integration in Colruyt Group's consolidated figures is expected in the first quarter of 2024.

Dreamland

The sale of 75% of the shares of Dreamland to ToyChamp was completed in early October 2023.

In the context of the sale to ToyChamp, an impairment loss of EUR 3,5 million was recognised in the first semester of 2023/24 (presented in the result for the period from discontinued operations) and a EUR 17 million capital increase was carried out at the end of September 2023 to finance restructuring costs as well as to settle outstanding balances with the group.

Dreamland was reported as discontinued in the first half of 2023/24 and will no longer be fully consolidated but accounted for using the equity method as from the second half of 2023/24.

Interim dividend

In relation to the capital gain realised on the sale of Parkwind, the Board of Directors decided on 8 December 2023 to distribute a gross interim dividend of EUR 1,00 per share. The interim dividend will be made payable on 22 December 2023 (see separate press release for more information).

Treasury shares

In the first semester of 2023/24, 1.214.861 treasury shares were purchased for an amount of EUR 40,6 million.

After period-end (up until 8 December 2023), 843.914 treasury shares were purchased in the amount of EUR 33,4 million.

On 8 December 2023, Colruyt Group held 8.728.148 treasury shares, which represented 6,51% of the total number of shares issued. The Board of Directors has proposed to cancel 7.000.000 treasury shares.

There were no further significant events after the balance sheet date.

13. Management responsibility statement

Stefan Goethaert, CEO, and Stefaan Vandamme, Chief Financial Officer, declare in the name and on behalf of the company, that to the best of their knowledge:

• these condensed consolidated interim financial statements, prepared in accordance with International Financial Reporting Standard IAS 34 'Interim Financial Reporting' as adopted by the European Union, give a true and fair view of the net assets, the financial position and the results of the company Colruyt Group NV and the entities included in the consolidation;
• this interim report on the condensed consolidated half-yearly financial statements gives a true and fair summary of the information required under article 13 §5 and §6 of the Royal Decree of 14 November 2007 on the obligations of issuers of financial instruments admitted to trading on a regulated market.

14. Definitions

For a description of the definitions, we refer to the chapter 'Financial report' of the previous annual report 2022/23.

Halle, 8 December 2023

Stefan Goethaert Stefaan Vandamme CEO Chief Financial Officer

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Only the Dutch version is the official version. The French and English versions are translations of the original Dutch version.