Colruyt N.V.

Annual Report • Aug 4, 2022

information.

information.

Halle, 10 June 2022

FINANCIAL YEAR 2021/22

FINANCIAL YEAR 2021/22

Annual report presented by the Board of Directors to the Ordinary General Meeting of Shareholders of 28 September 2022 and Independent auditor's report

The Dutch annual report in the European Single Electronic Format (ESEF) is the only official version.

Dit jaarverslag is ook verkrijgbaar in het Nederlands. Ce rapport annuel est également disponible en français.

colruytgroup.com/en/annualreport. Our corporate website also includes all press releases, extra stories and background

Annual report presented by the Board of Directors to the Ordinary General Meeting of Shareholders of 28 September 2022 and Independent auditor's report

Format (ESEF) is the only official version.

This Annual report is also available on

The Dutch annual report in the European Single Electronic

colruytgroup.com/en/annualreport. Our corporate website also includes all press releases, extra stories and background

Dit jaarverslag is ook verkrijgbaar in het Nederlands. Ce rapport annuel est également disponible en français.

This Annual report is also available on

Intro

• Word from the Chairman
• Continuity
• Who are we?
• Our vision on sustainability
• Management report
• Key figures

Activities

• Retail
• Wholesale
• Foodservice
• Other activities
• Group support activities

Corporate governance

• Governance, supervision and management
• Sustainable corporate governance
• Share ownership and Colruyt shares

Corporate sustainability

• SDG 2 Zero hunger
• SDG 3 Good health and well-being
• SDG 6 Clean water and sanitation
• SDG 7 Affordable and clean energy
• SDG 8 Decent work and economic growth
• SDG 12 Responsible consumption and production
• SDG 13 Climate action
• EU Taxonomy
• Our indicators

Financial report

• Consolidated income statement
• Consolidated statement of comprehensive income
• Consolidated statement of financial position
• Consolidated statement of cash flows
• Consolidated statement of changes in equity
• Management responsibility statement
• Independent auditor's report
• Notes to the consolidated financial statements

Definitions

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Word from the Chairman

Like the previous one, the 2021/22 financial year was a challenging period, with the worldwide pandemic impacting our business in various ways. In this uncertain context, we also had to cope with the consequences of the July 2021 flood and the conflict in Ukraine. Given these trying circumstances, we take pride in having shown sufficient flexibility and creativity to continue to function properly. Despite raw material shortages, disrupted production chains and logistical obstacles, we continued to fulfil our social role, with food supplies never really compromised. In doing so, we also maintained our role as guardian of customers' purses, despite higher wholesale prices and lengthier negotiations with suppliers at the end of the financial year. We did this with a continuing focus on simplicity and efficiency.

I am proud of our employees who were there, day in, day out, to serve our customers to the best of their ability, both on the front line and behind the scenes. During periods of illness and quarantine, we noted a heart-warming wave of solidarity among the stores. Moreover, headquarters staff jumped in en masse to handle the end-of-year peak. In the wake of the widespread flooding in mid-2021, our technical department ensured that the stores concerned were able to reopen in record time. In addition, we took many initiatives benefiting the victims of the catastrophic events here and abroad.

In a complex and challenging context, we were still able to close the financial year in a satisfactory way. Our Colruyt Lowest Prices, OKay and Spar formulas were able to consolidate their combined market share in Belgium. The divergent performance of our diversified brand portfolio resulted in a 1,2% increase in group sales to just over 10 billion euros. The net result closed significantly lower at 2,9% of sales. In the coming financial year, Colruyt Lowest Prices will be continuing its longstanding lowest price strategy, while all of our brands remain committed to efficiency, service, friendly staff, quality products and services.

Colruyt Group continued to invest heavily in the future, spending 488 million euros on new stores and renovations, production buildings, machines, rolling stock and a wide range of IT software and platforms. Examples include the new Collect&Go distribution centre in Londerzeel, the Fine Food salad factory, the office building in Zwijnaarde and some fifteen transformation programmes preparing us for the digital future through even more efficient systems and processes. In addition, we continued to expand the Colruyt Group ecosystem through a number of acquisitions, inter alia Newpharma, Foodbag, Roelandt Group, JIMS and Culinoa, thereby strengthening our ambitions in such areas as e-commerce, vertical integration, health and sustainability.

In an ever-faster digitalisation context, we are responding to evolving customer needs with innovative digital concepts and services. For example, OKay Direct is the first self-service store where customers can shop completely autonomously 24/7. And since mid-2022, Collect&Go has been offering home deliveries in densely populated cities like Brussels and Antwerp.

Relying on the skills and entrepreneurship we so cherish with our 33.000 employees, we have accomplished a great deal as a group in another exceptional year. I am convinced that, with dedication and perseverance, our efforts will bear fruit in the years to come.

As a Belgian retailer, we continued to help promote domestic production, often in close cooperation with various partners throughout the chain. Following the acquisition of the Roelandt industrial bakery, we are now able to offer our customers a wider range of bread and pastries. We started construction of a sea farm where we intend to harvest the first Belgian mussels by summer 2023. Furthermore, we have established a unique chain for organic Belgian bread wheat, the basis for Bio-Planet's delicious bread.

We have also taken extra initiatives in the field of sustainability. We are particularly proud of our afforestation project in the Democratic Republic of Congo. Together with the local population and NGOs, we are planting 12 million trees there, meaning that by 2030 we as a group will absorb more CO2 than we emit. We are also pleased with the growing support for the Eco-score, an easy-to-understand label showing a product's environmental footprint. The label is already available online

for half of the foods offered at Bio-Planet and Colruyt Lowest Prices. In addition, our new watersaving crate-washing facility is now in operation, while all wastewater and rainwater from our headquarters buildings is being treated on-site, reducing our consumption of mains water by up to 90%.

Finally, we continued to invest strongly in the production and distribution of renewable energy. Through our participation in the energy holding company Virya Energy, we are pioneering the industrial production of green hydrogen and helping to build large-scale wind farms at home and abroad. At our headquarters, we opened Belgium's largest battery charging bay, where as many as one hundred cars can be recharged simultaneously.

Like last year, this annual report contains our sustainability reporting, in line with the UN's Sustainable Development Goals. More on this at colruytgroup.com and in the special sustainability brochure supplementing the annual report.

Change was the order of the day in the past financial year and will continue to be so, partly due to unpredictable events, but also due to evolving customer needs or sustainability standards. But whatever happens, as a retailer we will continue to ensure the availability of affordable food, our core task both today and tomorrow. At the same time, as a key Belgian player, we are helping to find solutions to major social, economic and environmental issues where we, together with our customers, staff and partners, can really make a difference. However, today's challenges with regard to soil, energy or climate are so urgent and comprehensive that we need more than ever a government able to take hard decisions. We therefore wish our politicians the courage to take swift and decisive action for the benefit of our planet.

In addition to the long term, the short term obviously deserves our full attention. Historically high inflation and high energy prices, along with strong competition in the Belgian retail market, are largely responsible for the drop in our operating margin. These three factors are set to continue to be a challenge in the current 2022/23 financial year. With its unique footprint and a meaningful, broad range of products offered via an adapted organisational structure, our group is well equipped to meet future challenges. We said goodbye to our COO Retail Marc Hofman who took up his well-deserved retirement. I am very grateful to Marc for his efforts over the past nine years. With the COOs Jo Willemyns and Stefan Goethaert at my side, I am confident about our group's successful future.

Above all, we continue to invest in our people, in their entrepreneurship and skills, as key components within the group's long-term strategy. I would like to explicitly thank all staff for their efforts and contribution to offer social added value day after day.

The investments in both people and a sustainable infrastructure will allow us to continue to be there for millions of customers, day-in, day-out, in the years to come. I also extend a warm thank-you to all the customers who continue to choose us, and to the partners with whom we hope to continue our lasting collaborations.

Perseverance and continuing solidarity, even in difficult times

No sooner had the corona pandemic ended than we were faced again with other, complex challenges. As a group, we are proud that even in these difficult circumstances we have displayed resolve, perseverance and solidarity, both among colleagues and with our customers and the wider population. This has enabled us to play our social role in a creative and flexible way.

Alleviate the needs after flooding

When Belgium was hit by extreme flooding in mid-2021, we immediately came to the rescue, in close consultation with local aid organisations. We quickly dispatched two trucks loaded with canned goods and hygiene products. In all, our distribution centres donated 16 trucks of food to the Food Banks. At the same time, we supported many local initiatives: Retail Partners donated food and other products to a relief campaign in Verviers, Solucious supplied 55.000 bottles of water in Liège, where it also delivered supplies to an institutional kitchen that prepared emergency meals, while Newpharma provided the Red Cross in Angleur with large quantities of hygiene and cleaning products. And we continued to provide logistical support to aid organisations in the weeks and months following the disaster.

The stores in and around the disaster area also played their part, donating water, hygiene and maintenance products to local non-profit organisations and initiatives. Around thirty stores were hit, with around a dozen remaining closed for several days. The local employees, together with colleagues from our technical, IT and other departments, did everything possible to clean up the stores and get them running again. All were open again within a week, except for two completely destroyed Spar stores: they were fully renovated in four and six weeks. These were phenomenal performances in the middle of the holiday period, which would have been impossible without our employees' incredible commitment and solidarity.

Of course, a number of our colleagues were also personally affected in the disaster area. They could count on priority psychological and administrative support and a fasttrack financial intervention from our Solidarity Fund.

Ensuring continuity

During the corona pandemic, we continued to provide our customers with quality service.

In the festive month of December 2021, 1.200 employees from our central services worked more than 2.200 shifts in the stores, absorbing the pressure both of the traditional year-end crowds and the acute staff shortages due to sick or quarantined store employees.

Colruyt Lowest Prices was the first retailer in Belgium to offer high-quality self-tests at an accessible price of 3,50 euros each.

In a global (logistics) crisis, as Belgium's largest Belgian retailer, we continued to help guarantee the food supply. Despite rising inflation, Colruyt Lowest Prices continued to defend consumers' purchasing power like no other.

For refugees and host families

During the humanitarian crisis in Ukraine, we opted to provide aid as efficiently as possible, both through our store network, and by collaborating with reliable partners in the field.

• An Xtra discount of 3% for Belgian host families taking in refugees. In this way, from March 2022, our food stores helped people help other people.
• Delivery of food and medicines to an AB InBev aid convoy, which delivered the goods to refugees in the border areas. In addition, our own specific transports, also with non-food.
• Supply of food to registration centres in Belgium, cooperation with cities and municipalities to support reception initiatives and emergency villages, enhanced cooperation with the Federation of Food Banks, …

Who are we?

A family business

Colruyt Group is a family business that has grown over three generations into a retail group with nearly 33.000 employees and a diverse portfolio of food and non-food formats, in Belgium and abroad. The biggest activity remains our supermarket Colruyt, which has delivered on its brand promise of "Lowest Prices" day after day for 45 years. Over the last half a century, we have diversified our activities substantially. However, we remain true to retail, which still accounts for four fifths of our revenue. Today, we are active in retail with around ten business formats, with both physical outlets and online shops in Belgium, Luxembourg and France. In addition, we operate in foodservice and wholesale, for instance as a dedicated partner for the independent Spar stores. In recent years, we have also grown strongly as a producer and supplier of renewable wind and solar energy. Finally, it is typical of Colruyt Group that we continue to do many things ourselves. We possess a wealth of experience and expertise in areas such as technology, IT and communication, as well as production and packaging of meat, coffee, cheese and wine, for example.

Complementary brands, shared values

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At Colruyt Group, we want to make a positive difference with everything we do. At every stage of life and at all important moments in our customers' lives, we want to be there for them in a suitable way. For this reason, we aim for maximum complementarity between our different brands. One by one, they differentiate themselves with simple solutions for specific requirements. Each in their own, authentic way, our brands express the 'simplicity in retail' that we represent as Colruyt Group. In this way, each brand helps achieve our common mission. Each business format also embodies the same group values. Together, they form the foundation on which we continue to build as a group and a point of reference in this rapidly changing world. For ourselves, for our partners and for our customers. So they all know what they can expect of us, and that creates trust in turn.

Working towards our goals

In stormy times, it is the roots that determine how firmly our tree stands. The fruits on our tree are our results. But results are merely a consequence. They merely tell us something about how we performed in a given context. That's why, at Colruyt Group, we don't focus on results but on goals. That means setting a goal and doing the right thing towards it in the here and now. We are focussed, have confidence in our own ability and hope for the best possible outcome. Not by concentrating on the fruits, but by staying focussed on our orchard and looking after our 'terroir'.

To make a positive difference with everything we do

Firm roots

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Knowing where you come from helps you understand where you are going. At Colruyt Group, we greatly value the insights and experience that three generations of entrepreneurship have brought us. We know who we are, what we stand for together, we appreciate our own strengths, identity and culture. In this way, we manage to keep a family atmosphere and an SME attitude, as a company that now has nearly 33.000 employees.

Faith in people

At Colruyt Group, we always start with a positive view of people. We believe in people's creative power to see and seize opportunities. We assume that every employee is driven to deliver quality and can add something to the greater whole. So, we do all we can to allow our employees' natural life energy to flow as effectively as possible. That stimulates their entrepreneurship and growth, in their craft and as people. After all, as the people grow, our company will grow.

Our positive view of people stems from a wider, more positive worldview and our optimistic nature. We are convinced that through our enterprise, we help build a world in which we all want to live. Step by step, together with colleagues, customers and partners.

Common purpose

Our group mission is to channel the creative power of our people. That is our shared 'why'. At Colruyt Group we want to:

Create sustainable added value together through value-driven craftsmanship in retail.

• Together. Only together with our colleagues, suppliers, business partners, investors and customers can we make a positive difference.
• Added value. Creating social added value gives our work meaning, generates satisfaction and makes us wiser. Those are the true, lasting 'rewards'. Money, on the other hand, is merely a resource that we invest to realise our common dream.
• Sustainable creation. Every day, we start with a blank page. We gaze in amazement at the world to see what is possible, conscious of our strengths and limitations. And we don't waste energy needlessly from ourselves, our environment or nature.
• Value-driven. Our values form a common frame of reference that determines how we behave and cooperate with one another. They ensure that we act coherently and consistently, in everything we do.
• Craftsmanship. Living craftsmanship is a source of joy and pride. Our company's success is determined by the skills, attitudes and knowledge of our employees and their teams.
• In retail. Our craft is still retail, even though, over time, our entrepreneurship and creative drive have spawned many other initiatives.

Our ambitions

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In order to realise our mission and strategy, we have formulated several ambitions and strategic objectives, in which the ultimate focus is always on the customer.

By creating simplicity in retail, we want to make our customers' lives easier. To this end, we want to offer them the right products and services and assist them in all phases of their lives with often innovative but always relevant and simple solutions. Mainly in food and non-food but also in other, related categories such as energy, mobility and health.

We reach our customers via diverse, complementary formats focusing on efficiency and the lowest price, on proximity and convenience, on organic or quality in fresh products from a short chain, etc. We operate most of these store formats ourselves but they also include various forms of partnerships. Finally, we not only focus on individuals, but also offer business customers a growing range of quality services in areas such as foodservice and document management.

Colruyt Group leads the way in many areas of sustainability. We continuously improve the sustainability of our assortment and provide our customers with maximum information via the Eco-score and the Nutri-Score, for example. In this way, we aim to inspire them to make more conscious and sustainable choices. We also want to strengthen our special relationship with customers and maintain our dialogue, even in an increasingly digital world. We want to approach this in a coherent, value-driven and sustainable way. As a family business, we keep our unique company culture alive and are an attractive employer for thousands of people. We reach out to partners from all segments of society and work hard to build on the local connections of production and craftsmanship. Together with partners and the public, we create added value in diverse areas such as climate, mobility or energy supply.

With our positive attitude, we want to continue to make a meaningful difference in the world in many ways, for current and future generations.

Driven by values

At Colruyt Group, we identify nine core attitudes that we consider valuable in helping us realise our mission. They have grown historically and capture the essence of what we all stand for. These values form, so to speak, the roots that feed our tree and determine who we are. Our values inspire us and give meaning to what we do. But they only 'live' insofar as we actually apply them in our everyday work. In order to focus on that, at Colruyt Group we also link nine focus points to our values. These help us act consistently and authentically.

Our values story

We have Respect for every individual. That is the basis for our interaction. Every person is equal, despite the great differences in appearance, culture, background, skills, knowledge, interests, etc. Our Togetherness, the realisation that we all rely on one another to be able to work well, is the basic attitude that enables us to work together as a team. We love to serve others. Our Readiness to serve is therefore the basic attitude required to be able to deliver quality day after day. In this, we aim for Simplicity by reducing things to essentials. That helps us work efficiently and essentially.

To be able to produce good work, we need several other things. Starting with our Faith in people's positive intentions. That is essential if we are to trust. Our Hope then invites us to invest the necessary time and resources, to be clear in our expectations and eventually to let go and be open to the results that follow. It is essential here that we allow ourselves the Space to pause, take a step back and consider what we are doing. As soon as our head is too 'full', that consciousness vanishes and we fall behind.

Finally, we demonstrate inner Courage in showing enterprise. With a positive attitude and a fresh, creative view, constantly working hard and mastering our craft, step by step. That is where our Strength lies, through which we experience satisfaction and fulfilment in our job.

Our vision on sustainability

The core of our mission is 'to create sustainable added value together'. We put this into practice every day.

Given our unique position in the supply chain, our economic impact also enables us to set in motion a positive social and ecological spiral, with long-term results. We believe that in this way our entrepreneurship serves as the driver for sustainable development and a source of inspiration for our environment.

We are continuously making our own activities and products more sustainable, concluding smart partnerships, and are fully committed to innovation, with a view to creating a sustainable positive impact. We are also strongly committed to circularity, with minimal consumption of raw materials and energy, and in so doing respecting the carrying capacity of our planet.

In all our activities, we also nurture and stimulate strong mutual commitment and interaction between employees, customers, suppliers, partners and society. We can be proud of what we have already achieved in recent years and we continue, step by step, to make a positive difference together.

Our approach

3 drivers for the way we organise ourselves

Our sustainability policy is guided by three drivers. To start with: our products and services, the core of our activity as a retailer. A second driver is the infrastructure we use to bring those products to our customers. Finally, our third driver is people, that is our employees, who create added value every day, and our customers and partners with whom we enter into sustainable relationships.

Our organisational culture ensures that this sustainability is deeply rooted in every part of Colruyt Group.

12 programmes for making a difference

We make a difference with 12 programmes where we are keen to make tangible progress through innovation and collaboration across the entire value chain. The word 'programme' makes clear that this work is never finished and that we are constantly refining our strategy and objectives. We are working towards these clear objectives through more than 150 concrete projects.

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4 themes for consuming more consciously

We want to inspire and help consumers and employees to consume more consciously.

'Step by step' is our common language around sustainability. For this, we link products, services and initiatives having clear, strong aims and a demonstrable impact on health, society, animal welfare or the environment to one or more of these four icons.

Our supply chain

As a retailer with its own production departments, we have an impact throughout the entire supply chain. In every link of the chain, we are committed to innovation and collaboration to minimise our ecological footprint.

• Raw materials. We develop sustainable partnerships with suppliers, farmers and other stakeholders. Both for our products and services and for our infrastructure. We also check on site.
• Processing, transportation and sales. We avoid or reduce negative effects by continuously improving our energy consumption, water use, freight transport, etc. At the same time, we take on a positive pioneering role through innovation.
• Consumption. We inform and inspire consumers to enable them to make more conscious choices.
• Waste/recycling. We are constantly working on innovative solutions for packaging, food waste, reuse of materials etc.

17 Sustainable Development Goals to report on

By integrating sustainability into all aspects of our entrepreneurship, we also actively contribute to the 17 United Nations sustainability goals. As a company, we continue to support this sustainability agenda, with its 2030 horizon, using it as a compass for our sustainability strategy. For the second year in a row, we also use the 17 Sustainable Development Goals as a framework for reporting on our achievements.

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Materiality

Where do we have the most impact?

The term 'materiality' indicates how important or 'material' a certain sustainability theme is for an organisation and its stakeholders. Themes that score high on both sides of a so-called 'materiality matrix' are close to the heart of both the organisation and stakeholders. It is these themes where as a company you can have the greatest impact. This year we are publishing such a materiality matrix for the first time.

What do our stakeholders think?

In order to continue to realise sustainable added value together, it is important to keep a finger on the pulse and to understand our shareholders' expectations and interests. What do they see as sustainability priorities? What keeps them awake at night and what doesn't? On the basis of international frameworks (e.g. GRI, SASB, SDGs) and our own sustainability strategy we selected 21 topics that we are already working on today and where we, as a company, can make a difference. We then selected a number of stakeholder groups that are important to our company: customers, employees, business partners, government players, civil society, press and media, financial analysts and shareholders.

Dialogue on current and future sustainability policy

In March 2022, 355 stakeholders participated in our online survey on materiality. Based on a questionnaire they were able to assess and rate the 21 selected topics. How well is Colruyt Group tackling these themes today? And how important should they be for Colruyt Group to ensure a sustainable future? Open questions also allowed participants to make suggestions and share their opinions. Also, at the end of March 2022, we organised a stakeholder consultation with some twenty guests: business partners, sector federations, NGOs, and social and environmental organisations. During this consultation, we dialogued with them on our current and future sustainability policy.

The three dimensions of the materiality matrix

Which topics are important for our stakeholders? What is our impact on the environment and society? What is the financial impact of the topics on our business activities? The three dimensions of the materiality matrix provide a combined answer to these questions.

• First dimension: we consolidated the results of the stakeholder dialogue in the vertical axis.
• Second dimension: we analysed the impact of Colruyt Group on the environment and society. This analysis was based on input from, among others, recognised sources like SASB, MSCI and GRI. The analysis is a translation of these sources that reflect the risks and opportunities of the sector. We mapped out the result on the horizontal axis.
• Third dimension: the third dimension of the matrix indicates the financial impact of the material subjects on Colruyt Group. In this way, we meet the principle of double materiality. This dimension indicates the impact of social developments on our business activities. The larger the sphere, the greater the potential financial impact of this topic on Colruyt Group. Proper management and follow-up of these topics is therefore extremely important.

The result

The result is the materiality matrix that shows how 'material' each topic is for Colruyt Group. This instructive analysis provides a starting point for further discussion, both internally and externally. High-scoring topics are healthy products, product safety and quality, working conditions in the chain, emissions, energy management and fair and sustainable trade.

Implications for reporting

We linked the most material topics of our materiality analysis to our initially chosen material Sustainable Development Goals (SDGs). In the Corporate Sustainability chapter, we therefore also use these SDGs to describe the strategy, results and KPIs of these material topics.

Topic	SDG
Healthy products	SDG 3. Good health and well-being
Product safety and quality	SDG 12. Responsible consumption and production
Working conditions in the chain	SDG 8. Decent work and economic growth
Emissions	SDG 13. Climate action
Energy management	SDG 7. Affordable and clean energy
Responsible sourcing	SDG 12. Responsible consumption and production
Fair and sustainable trade	SDG 2. Zero hunger and SDG 12. Responsible consumption and production

Finally, in our Corporate Sustainability chapter, we also pay attention to SDG 6 (Clean water and sanitation). Although the corresponding topic 'water management' did not score highly in the materiality analysis, we find this topic important enough to report on.

Materiality Matrix 2022

• 1 Healthy products
• 2 Product safety and quality
• 3 Product transparency and responsible sales practices
• 4 Development and training
• 5 Local involvement
• 6 Diversity and inclusivity
• 7 Working conditions in the chain
• 8 Safety, health and well-being at Colruyt Group
• 9 Animal welfare
• 10 Emissions
• 11 Biodiversity
• 12 Energy management
• 13 Food loss
• 14 Sustainable packaging
• 15 Responsible sourcing
• 16 Waste management
• 17 Fair and sustainable trade
• 18 Sustainable transport
• 19 Water management
• 20 Data security and customer privacy
• 21 Sound governance

REPORTING

• Where we speak of 'financial year' and use '2021' as a reference, this relates to financial year 2021/2022 (1 April 2021 to 31 March 2022 inclusive). Where we use the term 'products', this refers to our privatelabel products.
• Our sustainability reporting can be found in the Corporate Sustainability chapter, starting on page 153. This presentation of non-financial information and diversity is based on Article 96, § 4 or 119, § 2 of the Belgian Companies Code, implemented by the Belgian Law of 03/09/2017 transposing EU Directive 2014/95/ EU.

Y Importance for our stakeholders: results of the dialogue with our stakeholders

• X Colruyt Group's impact on the ecosystem: analysis of Colruyt Group's impact on the environment and society
• Size of the circles: the financial impact of the topics on our business activities

Management report

Revenue increases slightly, market share grows Operating profit and net result under pressure

Colruyt Group's current year result evolution was impacted by specific effects:

• The Belgian retail market experienced diverse impacts of the easing of COVID-19 restrictions in the financial year 2021/22. Volumes in the food stores were under pressure and market competitiveness increased strongly in terms of both price and promotions. In addition, the last months of the financial year were particularly marked by a challenging macroeconomic environment with high inflation. Colruyt Lowest Prices nonetheless continued to deliver on its brand promise by consistently implementing its lowest prices strategy. The market share of Colruyt Lowest Prices, OKay and Spar in Belgium increased to 30,8%. Colruyt Group's operating expenses and investments were also affected by rising inflation in 2021/22, an effect that was even more pronounced in the last quarter of the financial year. These trends have led to a decrease of the operating profit and the net result of Colruyt Group.
• At the beginning of the financial year 2021/22, Colruyt Group acquired 100% of the shares of the Belgian foodservice partner Culinoa(*) and of the Belgian fitness chain JIMS(*). The services Culinoa provides are complementary to the activities of Solucious,

Colruyt Group's foodservice specialist. JIMS operates 27 fitness centres in Belgium and Luxembourg, which also offer group exercise classes and digital coaching. Both have been fully consolidated since respectively April and May 2021, which has contributed to the consolidated revenue. The impact on the operating profit and the net result is limited.

• In the last quarter of 2021/22 Colruyt Group acquired 100% of the shares of the industrial bakery Roelandt Group(*). With this acquisition, Colruyt Group furthers its investments in the vertical integration of fresh products, in this case bread. Roelandt Group has been fully consolidated since January 2022, which contributed to consolidated revenue. The impact on the operating profit and the net result is limited.
• In the financial year 2020/21, Colruyt Group acquired 100% of the shares of Joos Hybrid(*) and increased its stake in The Fashion Society(*). Joos Hybrid provides companies with hybrid total solutions for document and communication management. The Fashion Society includes the fashion retail chains ZEB, PointCarré and The Fashion Store. Both have been fully consolidated since August 2020, which has contributed to the consolidated revenue.
• As from October 2020, the group stopped selling the general non-food range through the Collishop website, which negatively impacted the consolidated revenue in the first semester of 2021/22.
• At the end of May 2020, Colruyt Group transferred certain assets relating to Eoly's renewable wind energy activities into the energy holding Virya Energy. As a result of this transaction, Colruyt Group realised a one-off positive effect of EUR 31 million in the first half of the financial year 2020/21. This transaction had no material impact on the cash flow statement.

(*) This management report uses the term "the new entities" to refer to the acquisitions made in the financial years 2020/21 (The Fashion Society and Joos Hybrid) and 2021/22 (JIMS, Culinoa and Roelandt Group).

Consolidated key figures

(in million EUR)	1/04/2021 - 31/03/2022 (1)	1/04/2020 - 31/03/2021 (2)	Variance
Revenue	10.049	9.931	+1,2%
Gross profit	2.752	2.792	-1,4%
% of revenue	27,4%	28,1%
Operating cash flow (EBITDA)	741	850	-12,9%
% of revenue	7,4%	8,6%
Operating profit (EBIT)	375	523	-28,3%
% of revenue	3,7%	5,3%
Profit before tax	383	521	-26,5%
% of revenue	3,8%	5,2%
Profit for the financial year	288	416	-30,8%
% of revenue	2,9%	4,2%
Earnings per share (in EUR) (3)	2,16	3,06	-29,4%

(1) For the specific effects that impacted the results of the financial year 2021/22, we refer to the aforementioned key elements.

• (2) The results of the financial year 2020/21 were impacted by the COVID-19 crisis. For the specific effects that impacted the results of the financial year 2020/21, we refer to the aforementioned key elements.
• (3) The weighted average number of outstanding shares equalled 132.677.085 in 2021/22 and 135.503.424 in 2020/21.

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Consolidated income statement

Colruyt Group's revenue rose to over EUR 10,0 billion in 2021/22. Revenue was positively impacted by the revenue increase from the fuel distribution activities of DATS 24 (excluding fuels, revenue decreased by 2,0%) and the full consolidation of the new entities. On the other hand, the revenue evolution was negatively affected by the food store volumes being under pressure following the easing of COVID-19 restrictions and by the discontinuation of the non-food sales through the Collishop website (as from October 2020).

Colruyt Group's market share in Belgium (Colruyt Lowest Prices, OKay and Spar) rose to 30,8% in the financial year 2021/22 (30,6%(**) in 2020/21). At the start of the financial year 2022/23, the market share maintains its upward trend.

The gross profit margin decreased to 27,4% of revenue. Excluding fuels, the gross margin improved by 12 basis points. The full consolidation of the new entities had a positive impact on the gross margin. In the financial year 2021/22, the Belgian retail market was characterised by a competitive market environment, in terms of both price and promotions. The last months of the financial year were marked by price increases, which the group tries to limit as much as possible for the consumer by thoroughly analysing every price increase request and by entering into consultations with the suppliers. At the start of the financial year 2020/21, the gross profit margin was positively impacted by lower promotional pressure following the ban on promotions and discounts in Belgian supermarkets.

Net operating expenses climbed from 19,6% to 20,0% of revenue. The increase is mainly the result of rising inflation on all key financial statement items, such as employee benefit expenses and energy costs, the full consolidation of the new entities and the group's ongoing investments in its employees, high-quality house-brand products, sustainability and digital transition. The increase is also explained by the one-off positive effect of EUR 31 million in the first half of the previous financial year 2020/21 (resulting from the contribution of Eoly's renewable wind energy activities into the energy holding company Virya Energy). Further COVID-19-related costs were incurred in 2021/22, including additional benefits and days of leave that the group granted to its employees in sales, logistics and production as a token of gratitude for the efforts made. In the second half of 2021/22, following a decision of the Belgian government and the various agreements concluded at sector level, Colruyt Group granted to its employees a one-time compensation (the socalled 'corona bonus') in the form of consumption vouchers, for a total amount of approximately EUR 12 million.

The operating cash flow (EBITDA)

amounted to 7,4% of revenue (8,3% in 2020/21 excluding the gain realised on the contribution of Eoly Energy).

The depreciation, amortisation and impairment charges rose by EUR 38 million. The increase is mainly attributable to the full consolidation of the new entities (EUR 14 million) and to the continuous investments in stores,

production and distribution centres and transformation programmes.

The operating profit (EBIT) totalled EUR 375 million or 3,7% of revenue in 2021/22 (5,0% in 2020/21 excluding the gain realised on the contribution of Eoly Energy).

The share in the result of investments increased to EUR 6 million in 2021/22 (EUR -4 million in 2020/21). The increase is explained by the 2020/21 result that was adversely impacted by The Fashion Society and Vendis Capital due to the COVID-19 health crisis. This was partly offset by the higher result generated by Virya Energy in 2020/21.

The effective tax rate increased from 20,0% to 25,2%. The evolution of the effective tax rate is partly explained by one-off effects, such as the exempted gain on the contribution of Eoly Energy into Virya Energy in the previous financial year.

Excluding the gain realised on the contribution of Eoly Energy in the financial year 2020/21, the profit for the period decreased by 25,3% from EUR 385 million (3,9% of revenue) to EUR 288 million (2,9% of revenue).

(**) As Nielsen modified the market share calculation method in 2021/22, last financial year's market share was also revised using this modified method.

Income statement per segment

Retail

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Revenue from the retail activities declined by 1,7% to EUR 8.165 million. The retail activities accounted for 81,2% of the consolidated revenue in financial year 2021/22.

The food retail revenue in Belgium, France and Luxembourg reported significant volume gains (offline and online) in the food stores in the financial year 2020/21 as a result of the COVID-19 health crisis. In the financial year 2021/22 however, the food retail revenue was marked by declining volumes in food stores due to the combination of the easing of COVID-19 restrictions and a competitive market environment in terms of both price and promotions. Notwithstanding this revenue decrease, the market share of Colruyt Lowest Prices, OKay and Spar in Belgium grew to 30,8% (30,6% in 2020/21). In addition, the food retail revenue was impacted negatively by the discontinuation of the non-food sales through the Collishop website (as of October 2020) and positively by the full consolidation of Roelandt Group (as of January 2022).

Revenue of Colruyt Lowest Prices in Belgium and Luxembourg declined by 3,0%. The revenue performance was primarily impacted by the competitive market environment. The last months of the financial year 2021/22 were mainly marked by price increases which Colruyt Lowest Prices tries to limit as much as possible for the consumer, the consumer's financial situation being something that Colruyt Lowest Prices feels very strongly about. Colruyt Lowest Prices therefore continues to consistently implement its lowest prices strategy and delivers on its brand promise day after day.

In the financial year 2021/22, investments in the modernisation of 17 existing stores continued and a new Colruyt store in Luxembourg and a second Colruyt Professional store in Drogenbos were opened.

OKay, Bio-Planet and Cru reported an aggregate revenue decline of 8,6%.

OKay opened five new stores in 2021/22, including one in Ghent with a new innovative store concept that allows customers to shop for groceries 24/7 (OKay Direct). Several stores were renovated this financial year, as in previous years. OKay continues to invest in convenience and in high-quality and fresh products.

For twenty years already, Bio-Planet has been a pioneer in sustainability with a large range of organic and eco-friendly products and healthy food. Bio-Planet wants to make conscious consumption more accessible and continues to focus on Belgian and local connections.

For the Cru multi-experience markets in Overijse, Ghent and Antwerp, artisan products and customer experience, combined with craftsmanship, remain at the forefront while they pursue their efforts to improve operational efficiency.

The revenue of Colruyt in France rose by 4,5%. Excluding fuels, Colruyt's revenue in France declined by 2,4%. Last financial year, the revenue was positively impacted by the COVID-19 crisis, especially in the second half of the year. Three stores were divested near Paris and four new stores were opened in the last quarter of 2021/22. Colruyt Prix Qualité is a clearly laid-out neighbourhood supermarket, where customers can find everything they need for their daily and weekly shop. Colruyt Group continues to invest in its French retail activities, inter alia by renewing existing stores and doubling the logistical capacity in the years ahead.

The non-food retail revenue increased by 33,8% compared to last year. In the financial year 2020/21, revenue was adversely impacted by the government-enforced store closures. In 2021/22, revenue was positively impacted by the full consolidation of The Fashion Society as from August 2020 and the acquisition of JIMS at the end of April 2021. The combined store revenue of Dreamland, Dreambaby and Bike Republic improved by 7,2%.

Bike Republic's store estate grew from 15 to 21 stores. The Fashion Society, the holding that includes the fashion retail chains ZEB, PointCarré and The Fashion Store, is fully consolidated as of August 2020. The multi-brand chain comprises 124 stores in Belgium, Luxembourg and France. In April 2021, Colruyt Group acquired 100% of the shares of the Belgian fitness chain JIMS. In addition to 27 traditional fitness centres and the possibility to attend group exercise classes, JIMS also provides digital coaching.

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

Colruyt Group's online sales amounted to 8% of the retail revenue, excluding fuels, in 2021/22. Colruyt Group's online revenue is primarily generated by Collect&Go. As a shopping service, Collect&Go is the market leader in the Belgian online food market and continued once again this year to show growth. The new e-commerce distribution centre for Collect&Go in Londerzeel has been operational since September 2021 and is four times the size of the previous facility. This will further support growth in the years ahead.

Colruyt Group is launching a home delivery service via Collect&Go, with orders being delivered by its own employees in Brussels and Antwerp. Every week, 500 orders will be delivered from the e-commerce distribution centre in Londerzeel. The home delivery concept launched in May 2020, with groceries being delivered through a network of neighbours, is also being rolled out further. By combining these two services, Collect&Go is able to make home deliveries faster and to serve more customers.

In July 2021, Colruyt Group increased its stake in the online pharmacy specialist Newpharma (accounted for using the equity method) to 61%. With this investment, the group aims at stimulating the consumer with a proactive approach to health. At the same time, it allows the group to further develop its leadership in online retail, with a focus on a multi-channel approach.

In February 2022, Colruyt Group acquired a stake in Smartmat NV, a company specialised in meal boxes under the brands Foodbag and 15gram. This has led the group to further expand its customer-oriented offer in the Belgian online food market.

Innovation and sustainability remain the common threads running through all Colruyt Group's activities. Colruyt Group is a reference point for sustainable entrepreneurship and a source of inspiration for conscious consumption. Colruyt Group works towards this objective step by step, through a wide array of initiatives and partnerships. For example, there are more than 150 projects with which the group wants to make a positive difference both socially and ecologically, always with long-term results in mind. In March 2021, Colruyt Group introduced the Eco-score. The Eco-score indicates a product's environmental footprint and complements the Nutri-Score, with the aim of inspiring the consumer to consume consciously, in terms of both environment and health. In October 2021, Colruyt Group won the Mercurius award with the Eco-score, an award granted by the trade federation Comeos to reward innovation. In terms of vertical integration, the group opened the new production site Fine Food Salads in Halle and acquired 100%

of the shares of the industrial bakery Roelandt Group. These investments strengthen the group's position as an independent player in the market.

Colruyt Group has committed to continuing to fight food waste in collaboration with 'Too Good to Go'. Colruyt Group has been taking a very conscious approach to food waste for years and aims to raise its customers' awareness in this respect as well. This collaboration is another important step in this direction. In the years ahead, the group will also continue to invest in the sustainable conversion of existing stores into low-energy stores.

Wholesale and Foodservice

Revenue from the wholesale and foodservice segment decreased by 0,9% to EUR 1.065 million and was impacted by the easing of COVID-19 restrictions. These activities accounted for 10,6% of the group revenue in the financial year 2021/22.

Wholesale revenue declined by 5,7%. Last financial year, the revenue was driven by higher sales volumes in Belgium and France, mainly as a result of COVID-19. The Spar Colruyt Group stores in Belgium position themselves as friendly neighbourhood supermarkets for daily grocery shopping, with a wide range of fresh products and personal service. The profitability of the independent Spar entrepreneurs continues to rank among the best on the market. Colruyt Group continues to focus on a close, long-term collaboration with the independent entrepreneurs and intends to further expand its efficient independent store network in

Revenue from the foodservice activities of Colruyt Group increased by 40,6% in 2021/22. The revenue increase was realised mainly by Solucious, the foodservice specialist of Colruyt Group, and was further reinforced by the acquisition of Culinoa in April 2021.

Belgium and France over the coming years.

Solucious delivers foodservice and retail products to professional customers throughout Belgium, including hospitals, SMEs and the hospitality sector. Solucious stands out by its convenience, its wide product range, its smooth and reliable deliveries and its fair and consistent pricing. Solucious achieved a 26,3% revenue increase in 2021/22. In the financial year 2020/21, the COVID-19 health crisis led to a drop in deliveries, especially in those to the hospitality sector. In April 2021, Colruyt Group acquired 100% of the shares

of Culinoa. The services provided by Culinoa, which as a foodservice partner guides and supports over 100 largescale kitchens of healthcare institutions in Belgium, are complementary to those of Solucious. This investment has led to a further increase of the revenue from the group's foodservice activities..

Other activities

Revenue from the other activities increased by 49,7% to EUR 819 million in 2021/22.

These activities accounted for 8,2% of the consolidated revenue.

This segment basically comprises the revenue of the Belgian DATS 24 filling stations. The revenue of DATS 24 was positively impacted by price and volume increases following the easing of COVID-19 restrictions.

The DATS 24 network currently comprises more than 85 CNG stations, one public hydrogen filling station and over 140 electric charging posts on car parks of Colruyt Group stores. Step by step, DATS 24 furthers its efforts to promote greener mobility and to raise the level of public acceptance of the sustainable energy transition through cooperatives and investments in renewable energy. These investments include inter alia the construction of additional public hydrogen filling stations, the expansion of the number of electric charging posts and the recent shareholding in Pluginvest.

Since April 2021, customers can also rely on DATS 24 for the supply of natural gas and green, Belgian electricity. DATS 24 thus provides energy at home, at work and on the road.

The revenue from printing and document management solutions relates to the activities of Symeta and Joos Hybrid (jointly Symeta Hybrid). Joos Hybrid, whose activities are complementary to those of Symeta, is fully consolidated as of August 2020.

Colruyt Group is the majority shareholder of the energy holding Virya Energy. Virya Energy is active in the development, financing, construction and operation of renewable energy sources, with a particular focus on offshore and onshore wind energy, and aims for international expansion. The energy holding is also working towards developing a service offering in offshore renewable energy with recent stakes in GEOxyz, .Ocean and Fluves. Virya Energy currently holds 100% stakes in, amongst others, offshore wind energy (Parkwind) and onshore

wind energy (Eoly Energy and Eurowatt).

Consolidated balance sheet

The net carrying amount of the tangible and intangible fixed assets increased by EUR 253 million to EUR 3.232 million. The increase is primarily the net effect of new investments (EUR 488 million), the full consolidation of Culinoa, JIMS and Roelandt Group (EUR 79 million) and depreciation charges (EUR 359 million). Colruyt Group continues to invest in its distribution channels, logistics and production departments, in renewable energy and in digital transformation programmes.

Investments accounted for using the equity method rose by EUR 144 million, mainly due to the increase of the stake in Newpharma from 26% to 61% in July 2021 and the acquisition of a 41,36% stake in Smartmat in February 2022. Because of these transactions, the cash flow statement of Colruyt Group includes a cash outflow of respectively EUR 72 million and EUR 27 million in the financial year 2021/22.

The current financial assets as at 31 March 2022 mainly relate to the convertible bonds issued by Virya Energy in the financial year 2020/21. The carrying amount of EUR 95 million corresponds to the conversion price and reflects the fair value at 31 March 2022.

This bond issuance fitted with Virya Energy's expansion plans. Both Colruyt Group and Korys subscribed to these bonds. The bonds are interest-bearing and can either be converted into Virya Energy shares or redeemed. The parties have taken the necessary measures in view of the conflict of interest rules.

The net cash and cash equivalents amounted to

EUR -31 million at 31 March 2022 (net of EUR 207 million of short-term financing).

Colruyt Group's equity totalled EUR 2.462 million at 31 March 2022, accounting for 43,8% of the balance sheet total.

The increase in interest-bearing liabilities (current and non-current) by EUR 505 million is mainly attributable to the long-term financing entered into by Colruyt Group to continue to invest in the group's longer-term sustainable growth.

Treasury shares

In 2021/22, 4.650.566 treasury shares were purchased for an amount of EUR 198,2 million. In October 2021, 2.500.000 treasury shares were cancelled.

After year-end, 1.326.899 treasury shares were purchased for an amount of EUR 44,8 million.

On 10 June 2022, Colruyt Group held 4.845.853 treasury shares, which represented 3,62% of the total number of shares issued.

Events after the balance sheet date

Conversion of convertible bonds issued by Virya Energy

In early June 2022, Colruyt Group and its family majority shareholder Korys converted their convertible bonds issued by Virya Energy into shares. As both shareholders converted the bonds, the shareholding remains unchanged. The parties have taken the necessary measures in view of the conflict of interest rules.

Colruyt Group increases its stake in Newpharma to 100%

On 13 June 2022, Colruyt Group increased its stake in Newpharma to 100% by acquiring the shares held by Korys, the investment company of the Colruyt family. This additional investment in Newpharma enables Colruyt Group not only to pursue its ambitions in the area of health, but also to further develop its leadership in online retail.

Because of this transaction, the cash flow statement of Colruyt Group will include a cash outflow of approximately EUR 95 million in the financial year 2022/23. The parties have agreed not to disclose any details regarding the price or any other terms of the transaction. Arm's length principles were applied for the valuation.

As a result of this transaction, Newpharma will be fully consolidated as from July 2022. Excluding possible one-off effects Colruyt Group does not expect this transaction to have a

26

material impact on the net result of the financial year 2022/23. The necessary measures have been taken in view of the conflict of interest rules.

Outlook

Colruyt Group expects the current macroeconomic context, which is marked by inflation, cost increases and a negative consumer confidence, to continue. And this in a market environment that is particularly competitive. In light of the uncertainty caused by the geopolitical situation, the group is unable to make any statements in this regard and these expectations may have to be revised in due course. As a retailer, and as the market leader in Belgium, we want to continue to actively fulfil our role in society. The consumer's financial situation is something that Colruyt Group feels very strongly about. Now more than ever, customers must be able to rely on us. Colruyt Lowest Prices will therefore continue to consistently implement its lowest price strategy. The group will limit price increases as much as possible, by thoroughly analysing every price increase request and by entering into consultations with the suppliers.

The group's operating expenses, such as employee benefit expenses and energy costs, are heavily impacted by rising inflation. Colruyt Group will nonetheless pursue its investments in efficiency, employees, high-quality house-brand products, sustainability, innovation and digital transition, while maintaining its focus on operating cost control. Colruyt Group maintains its long-term focus and will continue to consistently pursue its long-term strategy.

Colruyt Group expects the consolidated net result excluding possible one-off effects to further decrease in 2022/23 compared to 2021/22.

Excluding possible one-off effects Colruyt Group does not expect the acquisition of Roelandt Group and the increase of the stake in Newpharma to have a material impact on Colruyt Group's net result in 2022/23.

The group points out that the uncertainty arising from the geopolitical situation may impact the 2022/23 result outlook.

Colruyt Group will present its full-year 2022/23 guidance at the General Meeting of Shareholders on 28 September 2022.

Dividend

The Board of Directors will propose a gross dividend of EUR 1,10 per share to the General Meeting of Shareholders.

(1) Excluding the one-off gain related to the contribution of Parkwind into Virya Energy, which had no material impact on the 2019/20 cash flow statement, the net earnings per share amounted to EUR 2,16 and the pay-out ratio to 50,8%.

Segment information

28

In million EUR	Revenue	EBITDA	EBIT
Retail (1)	8.233	632	352
Retail Food	7.699
• Colruyt Belgium and Luxembourg (2)	6.069
• OKay, Bio-Planet and Cru (3)	1.038
• Colruyt France and DATS 24 France	592
Retail Non-food (4)	466
Transactions with other operating segments	68
Wholesale and Foodservice (1)	1.082	72	51
Wholesale	911
Foodservice (5)	154
Transactions with other operating segments	17
(1) Other activities	833	26	14
DATS 24 Belgium	798
Printing and document management solutions (6)	21
Transactions with other operating segments	14
Eliminations between operating segments	- 99	0	0
Corporate (not allocated)	0	11	- 42
Total Colruyt Group consolidated	10.049	741	375

(1) Including transactions with other operating segments.

(2) Including the revenue from the webshops Collect&Go, Bio-Planet, Dreamland and Dreambaby realised by Colruyt stores. Including Roelandt Group as from January 2022.

(3) Including the revenue from the Dreamland and Dreambaby webshops realised by the OKay and Bio-Planet stores.

(4) Including the store revenue from Dreamland and Dreambaby and the revenue from Bike Republic, The Fashion Society and JIMS (as from May 2021).

(5) Including the revenue of Culinoa as from April 2021.

(6) Including the revenue of Joos Hybrid.

Investments realised

(In million EUR)	2021/22 (1)	2020/21 (1)
I. Retail	369	313
Colruyt (Belgium and Luxembourg) (2)	158	137
OKay, Bio-Planet and Cru	24	18
Dreamland, Dreambaby, Bike Republic, The Fashion Society and Jims (3)	16	8
Colruyt France and DATS 24 France	18	17
Other retail and real estate	154	134
II. Wholesale and Foodservice	26	15
Wholesale	15	5
Foodservice (4)	1	1
Real estate	9	9
III. Other activities (5)	21	20
IV. Unallocated corporate activities	72	121
Total Colruyt Group	488	469

(1) Exclusive of acquisitions through business combinations, IFRS 16 and change in consolidation method.

(2) Including Roelandt Group as from January 2022.

(3) Including The Fashion Society as from August 2020 and JIMS as from May 2021.

(4) Including Culinoa as from April 2021.

(5) Including Joos Hybrid as from August 2020. The renewable wind energy activities of Eoly NV were contributed to the energy holding company Virya Energy in financial year 2020/21.

The investments in 2021/22 mainly related to:

• the expansion and the renovation of stores in Belgium and France
• the sustainable renovation of distribution centres and administrative buildings
• new e-commerce distribution centres for Collect&Go and Newpharma
• green energy (solar panels, hydrogen, CNG and charging stations)
• our innovative change programmes and IT investments

Excluding any acquisitions or participations, Colruyt Group expects to carry out in financial year 2022/23 an investment programme of between EUR 480 million and EUR 500 million. The group will continue to invest in:

• new stores and the renovation of existing stores
• the expansion of logistics capacity in Belgium and France (for example, the new distribution centre in Ollignies for the non-food range in the food stores and the new distribution centre near Dôle in France)
• the expansion of production capacity in Belgium, focusing on vertical integration
• innovative change programmes and digital transition

30

• renewable energy (such as hydrogen filling stations and charging stations) and energy-efficiency (for example, the sustainable renovation of buildings and making the car fleet more sustainable)

Production and distribution centres

	m2	aantal
Production and distribution centres
Belgium	624.067	29
France	64.417	4

Company-operated stores of Colruyt Group

		2021/22	2020/21	2019/20	2018/19	2017/18
BELGIUM AND LUXEMBOURG
Colruyt	- number	254	252	248	243	239
	of which leased externally	23	22	19	19	19
	- in '000 m²	454	444	437	426	414
OKay	- number	156	150	145	141	135
	of which leased externally	31	32	29	30	25
	- in '000 m²	92	89	86	82	80
Bio-Planet	- number	31	31	31	29	27
	of which leased externally	14	15	15	15	13
	- in '000 m²	20	20	20	19	18
Cru	- number	3	3	3	3	3
	of which leased externally	2	2	2	2	2
	- in '000 m²	2	2	2	2	2
Dreamland	- number	47	47	45	42	43
	of which leased externally	15	16	15	15	15
	- in '000 m²	80	83	80	76	80
Dreambaby	- number	31	30	29	29	26
	of which leased externally	16	15	15	15	13
	- in '000 m²	19	18	17	17	15
Bike Republic	- number	21	15	13
	of which leased externally	21	15	13
	- in '000 m²	24	18	16
The Fashion Society	- number	109	101
(1)	of which leased externally	109	100
	- in '000 m²	108	99
FRANCE (2)
Colruyt	- number	92	91	87	85	78
	of which leased externally	2	4	4	3	3
	- in '000 m²	90	89	85	81	76
Dreamland	- number	0	0	0	0	2
	of which leased externally	0	0	0	0	2
	- in '000 m²	0	0	0	0	4

• (1) The Fashion Society includes the fashion retail chains ZEB, PointCarré, The Fashion Store and ZEB For Stars as well as 15 stores in Belgium and France operated by franchisees.
• (2) For the French retail activity, as of financial year 2018/19, these figures relate to the number of stores on closing date 31 March. For financial year 2017/18, these figures relate to the number on closing date 31 December.

Key figures over five years

(In million EUR)	2021/22	2020/21	2019/20 (1)	2018/19	2017/18 (2)
Revenue	10.049	9.931	9.581	9.434	9.031
Retail	8.233	8.373	7.956	7.837	7.551
Wholesale and foodservice	1.082	1.088	969	958	933
Other activities	833	557	731	713	690
Intersegment	-99	-87	-75	- 73	- 143
Gross profit	2.752	2.792	2.565	2.471	2.350
EBITDA	741	850	807	758	734
EBITDA margin	7,4%	8,6%	8,4%	8,0%	8,1%
EBIT	375	523	511	485	488
EBIT margin	3,7%	5,3%	5,3%	5,1%	5,4%
Profit before tax	383	521	561	519	519
Taxes	95	105	130	135	145
Net profit	288	416	431	384	374
Net profit margin	2,9%	4,2%	4,5%	4,1%	4,1%
Cash flow from operating activities	499	708	830	565	497
Free cash flow	-108	114	462	260	70
Total equity	2.462	2.527	2.359	2.208	2.042
Balance sheet total	5.614	5.195	4.565	4.147	4.054
Investments (3)	488	469	410	378	392
ROIC (4)	13,4%	17,6%	18,5%	17,3%	18,9%

• (1) Including the impact of IFRS 16 and the full consolidation of Bike Republic as from financial year 2019/20.
• (2) The figures as from financial year 2017/18 are exclusive of the French foodservice business Pro à Pro.

(3) Exclusive of acquisitions through business combinations, IFRS 16 and change in consolidation method.

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(4) The calculation of the ROIC was refined as from financial year 2021/22. In addition, the acquisitions of financial year 2021/22 (i.e. Culinoa, JIMS, Roelandt Group) were not included in the calculation.

Key figures over five years (sequel)

(In million EUR)	2021/22	2020/21	2019/20 (1)	2018/19	2017/18 (2)
Market capitalisation at year-end	5.019	6.925	6.821	9.460	9.460
Weighted average number of outstanding shares	132.677.085	135.503.424	137.279.011	137.758.364	137.758.364
Number of outstanding shares on 31/3	133.839.188	136.154.960	138.432.588	143.552.090	143.552.090
Earnings per share (EPS) (in EUR)	2,16	3,06	3,14	2,78	2,78
Gross dividend per share (in EUR)	1,10	1,47	1,35	1,31	1,31
Dividend yield	2,93%	2,89%	2,74%	1,99%	1,99%
Number of employees	32.996	32.945	30.631	29.903	29.903
Number of employees in FTE	31.210	31.189	29.056	28.339	28.339
Number of own stores in Belgium, Luxembourg and France (3)	744	720	601	572	572
Store area of own stores in '000 m2	889	861	743	704	704
Number of independent storekeepers in Belgium, affiliated stores in France (excluding independent retailers) and franchisees of the multi-brand chain The Fashion Society.	588	591	583	579	579

• (1) Including the impact of IFRS 16 and the full consolidation of Bike Republic as from financial year 2019/20. (2) The figures from financial year 2017/18
• onwards exclude the French foodservice business Pro à Pro.
• (3) Exclusive of the fitness facilities of JIMS (24 in Belgium and 3 in Luxembourg).

Contributions paid to the Belgian treasury in proportion to the added value

In the last financial year, all Belgian companies of Colruyt Group together passed on EUR 975,7 million in social, fiscal and product-related taxes to the Belgian treasury. In addition, the net VAT payment (difference between payable and deductible VAT) to the tax authorities amounted to EUR 299,1 million.

Payments made to the Belgian treasury	(in million EUR)
Social security (1)	375,9
Withholding tax on wages (1)	137,5
Income tax on profits	77,6
Product-related taxes (customs, excise)	329,9
Withholding tax on income from investments	26,7
Property withholding tax	12,3
Registration duties, provincial and municipal taxes and other federal taxes	15,7
Total	975,7

(1) Including charge reductions obtained at federal and regional level.

Distribution of the net added value generated by Colruyt Group in Belgium

All these taxes are the result of the creation by the group of added value. The net added value (1) generated by Colruyt Group in Belgium amounts to EUR 2,1 billion. Of this, 46,6% goes as taxes to the various local and federal governments and 41,2% is paid to employees for services rendered. 5,5% is distributed to shareholders (2) and the remaining 6,7% is invested back into the group to finance future projects.

(1) The excise duties paid have been integrated into the net added value so as to be able to express the total contribution to the treasury of EUR 975,7 million as a percentage of the net added value corrected in this way.

(2) This calculation method takes no account of purchases or cancellations of treasury shares.

own stores 588 independent storekeepers

in Belgium, affiliated stores in France (excluding independent retailers) and franchisees of The Fashion Society

36

744

32.996 employees

Geographic segmentation

of revenue Activities

Colruyt Group's operational activities are subdivided into retail, wholesale, foodservice, other activities and group support activities. The retail shop formulas and the deliveries to independent retailers (wholesale) and professional customers in food service represent the

Colruyt Lowest Prices is primarily aimed at families who do their weekly shopping in a price-conscious way. It is also the ideal format for professionals, associations and households doing big shops in an efficient way.

Colruyt has a wide range, a considerably expanded butcher's section and fresh food department. Day after day, the store chain offers its customers the lowest prices for national brands as well as own brands Boni Selection and Everyday. Is a product cheaper elsewhere nearby? Colruyt immediately lowers its price. The store format prioritises simplicity, efficiency and readiness to serve.

2.000.000 handy shopping bags

The new, reusable bag is simple to place on the shopping cart, where it stays nicely open and upright. This means that the checkout assistants can fill the bag with purchases efficiently, traditionally a highly valued service, which also leads to smoother flows at the checkout. At the beginning of 2022, two million free bags were given out to customers, as an additional sustainable shopping aid besides reusable folding crates.

Slight decrease in revenue, market share recovering

• During the past financial year, Colruyt Lowest Prices recorded a decrease in revenue of 3,0%, mainly due to retail price deflation resulting from a highly competitive market with persistently high promotional and price pressure. The exceptional sales peaks linked to the emerging coronavirus pandemic in the previous financial year were also absent. Towards the end of the financial year, sales stabilised at the level before the coronavirus pandemic, partly due to emerging sales price inflation and normalising customer behaviour.
• Colruyt also recorded excellent sales results in the run-up to the endof-year period, thanks partly to its reputation as a trusted name for shopping for the festive season. On the traditionally busiest days (23 and 30 December) more customers passed through the tills than ever. To cope with the extra volumes, many colleagues from central services came to lend a hand every day in November and December.
• In a slightly contracted market, Colruyt managed to increase its market share once more. As the end of the coronavirus pandemic approached, customers gradually began to shop more frequently once more.
• In a competitive market environment, for both prices and promotions, Colruyt Lowest Prices still continued to guarantee its customers the lowest prices.
• The contribution of Colruyt Professional reached record levels in the last financial year, with March 2022 as the best month in the last four years. The revenue growth is due to a greater influx of customers combined with higher spending per professional customer, driven partly by successive relaxations of the coronavirus measures in the hospitality sector.

• 17 renovations
• New Colruyt Professionals in Drogenbos
• Fifth store in the Grand Duchy of Luxembourg, with a wide assortment of local products, besides well-known Luxembourg and Portuguese brands
• Potential for one or two extra sites each year

Awards

• Best Retail Food Brand 2022 and first place in the GfK winter report.
• Beste Winkelketen van België 2021-22 (Best Retail Chain in Belgium) in the hypermarket and supermarket categories (Salesforce).
• Promo Compliance Award 2021 (SmartSpotter), for compliance with promotional agreements with suppliers.

Making best use of the aisles

In order to respond to evolving customer preferences, Colruyt Lowest Prices launched an accelerated update of store assortments. The assortment was optimised: products were added or removed, existing items were given more or less space. This was accompanied by a redesign of the stores, which took a maximum of four days and did not generally involve closing. The operation resulted in better sales figures in general. In 2021, some 70 stores were upgraded.

• More than 200 new items on average in the food and fresh ranges
• Larger bread cabinet, new cabinets for cold meats, tapas, veggie and hummus
• Optimised, smaller non-food assortment
• More space for non-alcoholic drinks, beer, parapharmacy, ...

In December 2021, Colruyt became the first supermarket in Belgium to offer quality Covid self-test kits for 3,5 euros each, making these tests accessible to more people. The first 10.000 kits flew out of the doors in a few hours. Our online pharmacy Newpharma provided the necessary expertise.

The parapharmacy section trialled in 2021 (first aid, cold products, skincare, ...) could be found in more than 200 stores by the end of the financial year. About ten larger stores offer cosmetics and sports foods as well. Customers can also reserve items in the Newpharma webshop and have them delivered to their Colruyt store.

The lowest price for each product at every moment. That is and remains the promise of Colruyt Lowest Prices in Belgium and Luxembourg, to which the brand remains true even in difficult circumstances.

• Due to rising costs of raw materials, energy, packaging and transport, many suppliers increased their prices from mid-2021 onwards. That led to tougher annual negotiations for 2022 and even a temporary pause in the sale of a limited number of products. We took the time to hold constructive discussions with suppliers and form clearer agreements, including on future price increases and decreases, in order to arrive at acceptable solutions for everyone.
• As a price follower, Colruyt continued to match its prices to those of its competitors. Despite higher purchase prices, sales prices still decreased at Colruyt throughout 2021.
• Colruyt continues to present itself as the defender of consumers' purchasing power. Besides offering the lowest prices all year round, Colruyt helps customers manage their budgets in other ways. For instance, at the beginning of 2022, there was a campaign packed with money-saving tips, such as making shopping lists in advance, cooking with seasonal products or checking expiry dates.
• In its annual price survey, consumer organisation Test Aankoop confirmed that Colruyt is still the cheapest supermarket in Belgium.

Enhanced Colruyt Professional leaflet

At the beginning of 2022, Colruyt gave the successful sale to professional customers such as resellers, hospitality businesses and associations an extra boost with a totally revamped leaflet. This is a single, identical leaflet, instead of separate versions for each target group as before. Increasing the frequency from monthly to fortnightly facilitates a more flexible promotion policy and more intensive communication. This makes Colruyt Professional stand out even more for its customers.

Second Professionals store in the Brussels region

In September 2021, a second Colruyt Professionals store opened in Drogenbos, exclusively for registered customers with a Professional card. Over an area of 1.100 m², the store offers around 3.250 products tailored to professional customers and is ideally located for the many small local shops that stock up there. Together with the store in Schaerbeek, Drogenbos helps take the pressure off local Colruyt stores, benefiting both professional and private customers. As expectations have been exceeded, Colruyt is considering a further rollout in and around major cities.

Wider working windows in-store

From mid-2021, store employees were offered the opportunity to work within wider working windows on a voluntary basis: between 5 am and 11 pm on weekdays and between 5 am and 8.30 pm on Saturdays. They are entitled to an extra payment for early and late hours. Starting earlier and stopping later enables employees preparing Collect&Go orders in particular to work more efficiently. At the same time, stores are staffed more during the day, improving customers' shopping experience.

Working more ergonomically

After years of faithful service, the typical flat shopping cart for volume purchases was replaced by a new model with a higher loading board and a shallower but wider basket into which a folding crate fits. This means that store employees need to bend less deeply, significantly reducing the physical strain of working at the checkout. The new cart will be rolled out in all stores in mid-2022. We are offering the old versions to schools, associations and the self-employed for 25 euros, to do our bit for the circular economy.

Leading role in sustainability

Colruyt has always led the way in using energy and raw materials efficiently. Today, the supermarket chain continues to play a major role in many of the group's sustainability initiatives, relating to the environment, society, health and animal welfare.

• Further rollout of low-carbon cooling systems in-store
• Switch from shrink film to smaller bands for the packaging of several products
• Trial of fully electric 44-tonne truck for quiet deliveries to stores
• Commissioning of eco-friendly industrial plants: crate washing and water purification
• Commitment to improve welfare of broiler chickens, based on the criteria of the Better Chicken Commitment
• Shining the spotlight on sheltered workshops, as 2021 Ambassador for Belgian sheltered workshops

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Original co-creations

As a firm feature in the lives of so many customers, Colruyt Lowest Prices is pleased to assume its social role. The retailer takes part in a wide range of unifying initiatives, often in co-creation with suppliers, non-profit organisations and other (media) partners.

1. De Pottenlikkers steps out

The successful children's cookery programme by Colruyt Lowest Prices and Studio 100 branched out during Wonderweekend in Meise Botanic Garden. Assisted by Colruyt coaches, young chefs prepared fabulous dishes to enjoy with their families in the pop-up restaurant.

2. Shopcakes tackle food waste

Using ingredients that we often throw away such as stale bread, famous chocolatier Dominique Persoone created a nutritious cake. He distributed his 'Shopcakes' to customers of a Colruyt store in Bruges, ideal to stave off hunger before shopping. In this way, Colruyt and OVAM made customers aware that, by using leftovers, we can avoid food waste and make considerable savings.

3. Fun footballs shirts for the Euros

In the run-up to the European Championship, customers received a free 'F.C. Colruyt' football shirt when they spent 30 euros on ten A-brands. The shirts featured participating brand logos and fun player names such as Jules Piler, hinting at Belgian popular beer brand 'Jupiler'.

4. Own channel on TikTok

Since the end of 2021, Colruyt has its own channel on the TikTok social media app, including DIY videos, hacks, expert advice and food inspiration tailored to families with young children.

5. The best beer in the world

Liefmans Kriek-Brut Xtra, a limited edition and co-creation of the brewery of the same name and Colruyt, won first prize in two categories at the prestigious World Beer Awards in London.

6. The Biggest Sea of Flowers

Colruyt and Dreamland lent their support to a summer initiative of Ketnet and Theater Aan Zee. Children made more than 6.000 paper flowers and handed them in in-store, following which our supply chain transported them to Ostend. The spectacular unveiling on the beach attracted plenty of attention.

The Xtra app or card is the gateway to the many benefits and services of over 600 stores, online shops, collection points and filling stations. The app offers many extra services that make life easier and aims to grow into one of the best personal assistants in Belgium.

Personal service

At Colruyt Group, we collect many customer insights via Xtra. These help us match our assortments and services as closely as possible to the personal needs and interests of our customers. We treat all customer data as strictly confidential information and with the utmost respect for privacy. That means, for example, that we never sell customer data to third parties.

4.100.000 Xtra customers

In-app services

• All discounts applied automatically
• Easy payment in-store and at DATS 24, settlement by domiciliation
• Digital shopping lists
• Purchase and budget insights
• Product info based on dietary preferences
• Digital vouchers
• Management of personal data, preferences, newsletters and flyers
• Newsfeed about Xtra and partners

Shift from card to app

• Last financial year, the Digital Customer Services team worked hard to enthuse existing cardholders about the app, focusing on the extra services, user-friendliness and smaller footprint. And it paid off: some 250.000 new app users signed up, making almost one million active users by the end of the financial year. Although many customers still use both card and app, the majority of the 10.000 new customers who register with Xtra every month instantly opt for the app and no longer request a physical card.
• Since the end of 2021, the Xtra app has run on a brand-new cloud platform, onto which the MyColruyt and Collect&Go services will also be integrated from the autumn of 2022. In the spring of 2023, the Seamless payment function will follow, so that customers no longer need to enter their PIN in the payment terminal when paying.

Collect&Go has been the market leader in the Belgian online food market for over 20 years. Customers reserve items from the Colruyt and Bio-Planet ranges via the website or app. Staff in the stores and the Londerzeel and Erpe-Mere e-distribution centres carefully select the best products and prepare the order. Customers reserving before midnight can collect their groceries the next day from over more than 200 collection points at Colruyt, OKay, Bio-Planet or standalone, or have them delivered to their home. The online shopping service stands for quality, reliability, expertise and personal service.

2000
217 collection points in Belgium and Luxembourg
More than 550 employees in FTE
We do the shopping for you
collectandgo.be

Maintaining the momentum

Collect&Go saw its revenue increase further during the past financial year, with a strong first quarter and subsequent quarters growing in line with forecasts. Our shopping service built on the success of the previous financial year, in which revenue increased by more than half. Despite a slight decline in order frequency, shopping basket volumes remained at a high level.

The service gained more than 100.000 new customers and remains highly popular within a broader customer base, resulting in high customer satisfaction scores.

Since the greatly scaled-up capacity at the height of the coronavirus pandemic is now structurally embedded in the organisation, Collect&Go can easily prepare 100.000 orders a week. Due to the increased collection points, there are more than sufficient timeslots available for customers to collect their reservations.

Londerzeel distribution centre operational

In September 2021, the new 18.000 m² distribution centre in Londerzeel came into service. Its central location between Brussels and Antwerp makes Londerzeel the ideal operating base for deliveries in both growth regions. Londerzeel and the existing distribution centre in Erpe-Mere combined have sufficient capacity to allow for further growth in the coming years.

Even easier online shopping

The new website and app went online in mid-2021, with as a major focus: making online shopping even easier. Handy new functions simplify the ordering process. Customers can change their sent reservation up to 9 am on the day before collection. All discounts and promotions are prominently displayed and applied instantly to the shopping cart. And it is even easier to order all ingredients for a recipe in one click, create and change lists.

Home delivery gears up

Collect&Go consolidated its market-leading position in the online food market with a wider range of complementary services. For instance, customers can access an increasingly finely branched network of collection points or they can have their shopping delivered to their home. This flexibility allows them to organise their lives better and more conveniently.

• Following a positive tryout before the pandemic, in June 2022, Collect&Go launched home delivery by its own drivers, initially for customers in the Brussels and Antwerp areas. The orders are prepared and home delivered by staff from the distribution centre in Londerzeel. At launch, 20 delivery drivers were employed, with a capacity of 500 deliveries per week. By 2023, Collect&Go wants to more than double the business and expand it to other major cities.

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• The existing Collect&Go Drivers service has expanded to around twenty collection points. Interested drivers can see in the Drivers app which collection point they can collect shopping from and deliver to customers in their neighbourhood. They decide which tasks to accept and receive a gross payment of 7 euros per delivery. The unique Drivers platform is part of the sharing economy and connects people who would like help with their shopping with people who would like to play an active role in their neighbourhood and earn a little extra as well.

Deals! is a big hit

Our online promotions platform Deals! celebrated its first birthday in March 2022. Every week, it presents heavy discounts of 50 to more than 60% on nonfood items from well-known brands. Orders are home delivered for free. Deals! is living up to expectations and even attracting customers who are new to the group. The aim is to embed the service in the organisation in the long term.

New: collect on foot or by bike

Collect&Go is trialling a range of formulas tailored to city customers for whom saving time, convenience and sustainability are important. For instance, at the end of the financial year, the first Collect&Go walk-in, fully equipped for collecting shopping on foot or by bike, opened in Elsene. Orders are prepared in nearby stores and taken to the collection point by cargo bike. Customers can use a delivery bike for free to take their shopping home.

Innovative cool box

• Our technical department has developed an innovative cool box to transport chilled and frozen products from the Londerzeel distribution centre to the collection points. The boxes are connected by an IoT application so that we can track the temperature during transport and guarantee the customer perfectly cooled products.
• The new cool box allows us to limit the amount of handling and increase our efficiency. The folding crates containing refrigerated products remain in the cool box until the customer comes to collect them. Previously, the folding crates were transported in refrigerated containers, unloaded at the collection point and kept in refrigerators.

Goodies in high demand

Working closely with suppliers, Collect&Go regularly treats its customers to special gift packs that fly out the door. The promotions attract new customers and create peaks in the number of reservations and sales.

• 30.000 free Collect&Goooooal! boxes during the football World Cup, containing a Panini sticker book, drinks and snacks.
• 30.000 free Blind Tasting Beer boxes for Black Friday, containing eight specialist beers, information sheets and tasting equipment.
• 50.000 Back-to-school rucksacks containing stationery, toothpaste, drinks and snacks.

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For more than 20 years, OKay has been the handy neighbourhood discounter where customers can do their daily shopping quickly, inexpensively and conveniently. The easy-to-reach stores are conveniently laid out, with a balanced range in a compact area. OKay is strong in fresh products, including convenience foods, a range of ready-made dishes and bread baked on site. The store format stands for a warm welcome, guarantees the lowest prices in the neighbourhood and inspires customers with simplicity and convenience.

OKay Compact has been the metro store concept since 2012. Fast, inexpensive and convenient shopping in city centres.

OKay Direct is the 24/7 self-service store where city customers shop completely autonomously.

Turnover down

• After the exceptional 2020/21 financial year, OKay sales were down, falling to a level slightly above that of the pre-corona 2019/20 financial year. Towards the end of the corona pandemic, customers gradually resumed their familiar shopping habits, going to stores other than those in their immediate neighbourhood. In addition, sales were negatively impacted by continued promotional pressure and deflation over most of the financial year.
• However, the six new stores and strong year-end sales (including complete Christmas menus) made a positive contribution to sales. Several headquarters' staff members helped out in the stores in December.
• As a trusted neighbourhood discounter, OKay is putting even more effort into personal contacts with customers, an aspect somewhat disrupted during the pandemic due to the need to wear masks. OKay also launched a successful campaign to further strengthen customer loyalty after the corona pandemic.
• The planned expansion is set to continue, with OKay wanting to open some five new stores each year and seeing potential for some 200 stores in Belgium.
• OKay remains an attractive retail format, outperforming the average convenience store in terms of customer satisfaction (total score of 8,3 in the GfK Winter Report 2021 against an average of 8,24).

• 5 new OKay stores in Waasmunster, Drongen, Heers, Rijkevorsel and Hoegaarden, and 1 OKay Direct in Ghent

• 2 expansions and 7 refurbishments

First 24/7 self-service store

• 24-hour, 7-day shopping has been available in the first OKay Direct store since the end of 2021. This innovative 150 m² self-service store in the centre of Ghent offers customers 650 products around-the-clock – both A-brands and ownbrand products –, in addition to fruit and vegetables, meat, fish, bread, readymade meals and personal care products.

  • Through technology developed by our Smart Technics innovation division, customers can now shop autonomously. After scanning their Xtra QR code, they enter the store and take products from the shelves. All purchases are recorded via weight detection. At the checkout, customers re-scan their QR code to pay electronically.
  • This pilot project aims to appeal to a broader target group, responding to the needs of (urban) customers, such as students or people working late. OKay Direct offers them a simple, fast and easy shopping experience, greater autonomy and freedom.
  • Following its opening, the store received a lot of media attention. Initial sales figures are encouraging.

• 4340_CREATIE POS-Gevel-raam_rechts-650x1860.indd 1 18/10/2021 11:31

Assortment 2.0

All stores have optimised their assortments, with more space assigned to fresh and convenience foods, such as ready-to-eat and ready-to-heat meals. In the basic assortment, there is now a greater focus on regional products, responding to divergent preferences in Flanders and Wallonia. For the necessary redesign measures, only about half of the stores had to close for one to two days.

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Focus on inexpensive stores

• From mid-2022 onwards, OKay will profile itself even more clearly as an inexpensive neighbourhood discounter, moving the focus away from speed and convenience emphasised in recent years. For example, customers will be offered better promotions, such as 2 + 1 or 1 + 1 free.
• To achieve these ambitions, the pricing strategy has been fine-tuned, including a clearer delineation of the perimeters within which stores align their prices with competitors.

Infrastructure for the future

To accommodate further growth, we expanded our headquarters, adding office space and parking facilities. The necessary permits were also obtained for a future 10.000 m² expansion of the Laekebeek distribution centre, providing 30% more storage space.

For more than 20 years Bio-Planet is a fully sustainable supermarket, now offering more than 6.000 organic and eco-friendly products. Highlights include the fresh food market and the self-service counter offering a quality range of meat, cheese, vegetarian products and ready-made dishes.

Under the slogan 'Truly good', Bio-Planet inspires its customers to eat, enjoy and live consciously. Highly trained staff are there to advise and assist customers in stores. Bio-Planet plays a leading role in making products more sustainable, working closely with growers and producers. It makes maximum use of sustainable materials and technologies in its stores as well.

Lower revenue, more loyal customers

• Bio-Planet experienced a decrease in sales during the last financial year, due partly to deflation and partly to changing consumer behaviour. This decrease mainly affected physical stores, while online sales fared better. Nevertheless, sales remained slightly above the level before the exceptionally good financial year of 2020/21. This trend also manifested itself in the slightly smaller basket, which was still a fifth larger than in 2019.
• The customer base shrank very slightly, mainly in customer groups that visit Bio-Planet less frequently. This was partly offset by the sustainable growth in more loyal customers. In 2021, the organic supermarket successfully tested a specific promo campaign to boost the shopping frequency of occasional customers. These digital communications and campaigns are continuing in 2022.
• In a volatile organic market, characterised by consolidation and closures, Bio-Planet remains a structurally sound business that is open to partnerships with other actors.
• The renewed store concept launched in 2021 is being further refined at the new store in Sint-Denijs-Westrem. The final concept will be rolled out from 2023.

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• 31 stores
• Sint-Denijs-Westrem opens in September 2022, Doornik and Hannuit in spring 2023
• Then 1 to 3 new stores every year, with potential for 60 stores in Belgium
• 150 collection points for online orders via Collect&Go (31 in-store and 120 at Colruyt)

240 stakeholders come together for the first time

Our organic supermarket highlighted its leading role in conscious consuming with the inspirational new event 'The next decade of conscious consumption'. More than 240 Belgian professionals from science, research, education, civil society, government and industry came together online to consider how they can make sustainable production and consumption the norm. On the menu: speeches and panel discussions about sustainable agriculture, conscious consumption and the protein shift, attended by personalities including climate activist Jill Peeters and TV chef Michaël Sels.

Support for innovative startups

Which innovative foods can contribute to the protein shift or the circular food chain? This was the theme of the very first Food Challenge, a competition for startups organised with the Smart Retail Ventures department. 36 startups participated, 70% of which were Belgian.

All candidates were guaranteed personal feedback on their product's market fit, useful to facilitate further product development to be able to put it up for sale. The crackers with cricket flour from Belgian finalist Yuma have been on the shelves since May 2022.

Stepping out

• For the summer of 2021, Bio-Planet set out ten interesting walking routes on which walkers could call in at suppliers, from farmers to brewers or dairies. With the Tour Local initiative, Bio-Planet gave the people behind their products visibility and recognition. Around 2.000 participants enjoyed a pleasant day out.
• Via Colruyt Group Academy, since the spring of 2022, Bio-Planet also offers guided herb walks, led by herbalists. Participants pick herbs and then use them together.

Order online, collect in-store

The Bio-Planet range is available online via our Collect&Go shopping service. After a trial period in the first half of the year, as of May 2022, customers can collect their orders from all Bio-Planet stores, as well as 120 Colruyt stores as before.

A first: 100% Belgian organic bread

• Since the end of 2021, customers can find two kinds of 100% Belgian organic loaves and baguettes at Bio-Planet, a first for our country.
• Wheat is a financially risky crop for Belgian farmers, due to an uncertain yield and weather conditions. For this reason, our organic supermarket joined forces with five organic farmers, flour mill Molens van Oudenaarde and bakery Atelier du Pain to set up a new Belgian production chain for organic bread. By the end of April 2022, 55 tonnes of organic wheat had already been harvested and processed into around 36 tonnes of flour and 115.000 loaves.
• Bio-Planet guarantees the farmers to purchase their organic grain for a pre-agreed price. This commitment allows the growers some breathing space and gives the entire Belgian organic wheat sector a healthy boost. The partnership also enables stores to increase their share of Belgian bread.

In September 2021, Bio-Planet celebrated its 20th birthday. The first store opened in Kortrijk in 2001, followed by Ghent in 2002 and Dilbeek in 2004, the first store in the Brussels region. In 2014, the first store in Wallonia opened in Nivelles. Since 2016, Bio-Planet has had its own distribution centre in Lot. At the beginning of 2021, the new store concept was premiered at Braine-l'Alleud.

Eggs without one-day old male chicks

In September 2021, Bio-Planet was the first Belgian retailer to launch Belgian eggs from farms at which no one-day old male chicks are hatched. A big step forward for animal welfare, perfectly in keeping with Bio-Planet's leading role in this area. From January 2022, the whole assortment of fresh eggs has made the switch, a first for Belgium.

Accessibility is key

Making organic accessible to a wide audience, is part of Bio-Planet's mission as a business.

• Competitively priced basic assortment with 330 items from the Boni Bio own brand, and regular attractive promotions on A-brands.
• Partnership with Too Good to Go, so that customers can 'rescue' unsold but still perfectly edible food. In one year, stores sold around 23.000 packs, or more than 99% of their offer. The associated app scores highly for customer satisfaction and has also attracted new customers.
• Support for consumers with tips for reducing food waste, by making shopping lists, checking expiry dates or cooking with leftovers, for example.

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Cru is a multi-experience market, for people who are passionate about food. Cru brings together ten artisan specialities under one roof, and offers a unique selection of fruit and vegetables, meat and charcuterie, fish and poultry, as well as cheeses, drinks, chocolate, sourdough bread and flowers.

Cru follows the rhythm of the seasons and offers authentic, 'ordinary' pure-tasting products that are extraordinarily good. Expert staff present the products in their purest form, ready to cook or preprepared. Customers can taste the products at their leisure in the market, and enjoy breakfast, drinks, lunch and coffee in the adjacent Cuit eating facilities (Ghent and Overijse). Cru Groenplaats has an eating area for breakfast and snacks.

Webshop orders can be delivered to your home or collected from the market.

Cru for celebrations all year round

Cru is more and more top of mind when customers are shopping for celebrations, particularly during the end-of-year period. The number of orders in December 2021 rose by almost 3%, generating 10% extra revenue. On 24 December, Cru achieved its highest ever daily sales. These results were partly due to the online ordering system with home delivery option, and the preceding partner festival in the markets. With a wide range of gift boxes and a breakfast box, Cru makes the most of celebrations all year round.

Foundations for further growth

• As announced, Cru will open a fourth market with an eatery at the end of 2022, on the Eylenbosch site in Dilbeek.
• Cuit Ghent has been extended, Cuit Overijse serves breakfast on weekdays as well and both eateries offer fresh crepes in the afternoon. In Antwerp, there is space for a quick bite on the go or in the eating area.
• To support further growth, there were a wide range of training courses for market employees and student workers, plus an online information platform Crupedia.
• Cru continues to invest in more efficient processes, for example for staff, order or home delivery planning.

Innovative assortment

Cru continues to focus on innovative and sustainable products, working closely with the group's innovation department.

• A first: quality fresh ginger, grown in Belgium without pesticides or fertilisers (only available in the autumn).
• Circular mushrooms
• More own recipes for meat preparations, speculoos, gingerbread, etc.

Revenue remains stable

Cru's revenue decreased slightly compared with the exceptional financial year of 2020/21, when customers spent considerably more on better food, as an alternative to dining out in a restaurant. Nevertheless, revenue remained above the pre-Covid level two years ago. Cru is satisfied with these results, particularly since its own eating facilities remained closed for several periods and barely any tastings were possible.

Gross profit remained stable and costs stayed under control, partly because the markets were able to maintain the same workforce for the third year in a row. Other costs also remained under control, although extra expenditure was incurred due to higher energy prices in the second half of the financial year.

Customer base and loyalty continue to grow

Cru appeals to a specific customer group, looking for products of exceptionally good quality. For just under half of customers, the multiexperience market is the only Colruyt Group format they visit.

Cru continues to attract new customers, increasing by 20% year on year at the end of 2021. In the month of December alone, at the height of the festive season, 2.000 new customers were recorded.

The number of loyal customers continues to grow, partly due to further investments in loyalty campaigns with free products to try at home. This introduces customers to new products, important since for a long time there were no tastings. Cru also keeps close track of its customers, for instance via surveys and personal answers to questions or reactions.

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Colruyt Prix Qualité is a clearly laid out and affordable neighbourhood supermarket where customers can find everything they need for their daily and weekly shopping. The stores offer the best value in the neighbourhood for a similar shopping cart, and are strong on fresh produce, meat, charcuterie and bread. Other strengths include the wine section and the growing range of organic, regional and local products.

The stores are mainly located along approach roads in (semi-)rural areas and almost all of them have a Collect&Go collection point. Around half of them have a DATS 24 filling station as well. The contribution of the filling stations is included in Colruyt Prix Qualité's revenue.

1996
EUR 592 million revenue (+ 4,5%, including fuels)
92 stores, 90 Collect&Go collection points
750 to 1.000 m² average store areae
9.000 food, 2.500 non-food items
More than 2.000 employees in FTE
42 DATS 24 filling stations
Tout simplement l'essentiel
colruyt.fr

Good performance in a slightly declining market

• Colruyt Prix Qualité's revenue increased, mainly due to the effect of higher fuel prices, while store revenue decreased slightly compared to the previous - exceptional - financial year. In mid-2021 the three Paris stores closed, while four new stores did not open until the spring of 2022.
• In a slightly declining market, the Colruyt stores still performed substantially better than before the start of the pandemic. Due to severely restricted mobility during the pandemic, customers found it easier to visit stores in their neighbourhood, which they continued to frequent afterwards. This resulted in a larger influx of customers and shopping basket. In regions in which Colruyt is well represented, it has seen its market share grow substantially.
• The online shopping service Collect&Go managed to more than double its volumes. The service intends to take a big leap forwards in 2022 with a new website, optimised processes and systems.
• The coronavirus pandemic created extra expense but caused no major disruption in deliveries to stores or actual sales. In general, our French retail activity managed to keep costs constantly under control and improve profitability.
• After several periods of deflation and strong promotional pressure in France, slight inflation began to emerge from the fourth quarter of the financial year. This trend, which is expected to be sustained, looks set to have a positive impact on future sales figures.
• Colruyt has the lowest price in the area for comparable products of national brands. Colruyt also offers the best value for money for the total shopping basket of own brands, fresh produce and meat.
• Every week, Colruyt compares one million prices at competitors in the immediate vicinity of its stores. Prices are matched to the cheapest retailer in the perimeter, including hard discounters and hypermarkets. This makes Colruyt unique in the market, with prices that are substantially lower than French consumers expect from a neighbourhood supermarket.
  • New stores in Saint-Vallier and in Alsace: Wiwersheim, Niederentzen, Hagenthal-le-bas
  • 3 renovations and 1 relocation

• In the coming years, the focus will remain on expansion in North-East France, up to the border with Luxembourg.
• New stores are given a 'point chaud' to bake off bread as standard. When larger stores are refurbished, a hot bakery is generally added.
• Besides normal services, the butcher's departments also offer a wide range of pre-packed products prepared on site.

Focus on regional and local

Colruyt focuses increasingly on connections, with a growing offer of regional and local products geared to the requirements of customers from the surrounding area. One fifth of shelf space is now reserved for this on average.

• The stores are divided into various regions, with appropriate regional ranges.
• The new stores in Alsace offer three hundred local products for the first time. The good sales results confirm the potential for more local focus throughout the store network.

Working to improve sustainability

• More organic items and products with improved nutritional values in the Belle France own brand.
• Anticipation of stricter environmental legislation, for instance with reusable bags for fruit and vegetables instead of plastic ones. Development of digital alternatives to paper media such as leaflets and receipts.
• More efficient transport of dry goods through gradual switch from transport carts to stackable pallet boxes, so that trucks can carry greater volumes and cover fewer kilometres.

Logistics facilitate further expansion

In May 2021, the new 12.000 m² distribution centre at Gondreville (near Nancy) became fully operational. The site mainly handles fresh produce and fast-moving dry goods, for delivery to one third of all French Colruyt stores. Gondreville ensures shorter transport, more efficient supply of stores and better quality fresh produce in-store.

Near Dole, work has begun on a new 25.000 m² distribution centre, to go into operation in mid-2023. In a later phase, new headquarters will also open there. All this extra logistical capacity will enable 7 to 8 new stores to open every year.

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Colex (Colruyt Export) supplies retail and foodservice products to distributors, wholesalers and supermarkets all over the world, with a focus on the African continent and French Overseas Territories. The export department does especially well in Central and Western Africa, especially in the Democratic Republic of Congo and Senegal.

Colex offers a wide range of groceries, fresh produce and frozen food under Colruyt Group's private labels (such as Everyday and Boni Selection), supplemented by a peripheral range of A-brands. Colex also stands out due to its unique all-in export service and support for clients in marketing the products.

1985
Around 200 active clients
5.000 items
More than 40 employees in FTE
Bringing quality products to the world
colex-export.com

Favourite in the Democratic Republic of Congo, challenger in Senegal

• The Everyday private label is the European market leader in the cities of Kinshasa & Lubumbashi, as well as the favourite brand of four out of five Congolese consumers. To further enhance the status of 'marque préférée des congolais', Colex organised wide-ranging communication campaigns and local promotions at the points of sale. In the new financial year, Colex will also highlight the currently less well-known brand Boni Selection more.
• In Senegal, Everyday is a challenger for the private labels of the major French distributors operating there. For this reason, Colex mainly promotes the brand among convenience stores and the wholesalers supplying them. National media campaigns, local campaigns and sponsorship will increase awareness of Everyday among retailers and consumers. This financial year, Colex is focusing on expanding the sales network and giving stores a facelift.

Sea containers by barge

At the start of 2022, Colex moved into a new logistics site in Willebroek, with an area of 8.500 m², twice as large as the previous warehouse in Bornem. Thanks to the canalside location, almost all containers travel by barge to the Port of Antwerp, requiring minimal transport by road. This is cost-effective and saves around 40.000 truck kilometres per year.

Local ties

Colex is recruiting more local staff for sales and marketing: one in the Democratic Republic of Congo and three in Senegal, where it works closely with a local partner to distribute the goods. The company is also investing in local production and, from mid-2022 onwards, will offer half a dozen locally packaged Everyday products in the Democratic Republic of Congo and Senegal.

Online ordering

The redesigned website looks more attractive, is more intuitive to use and offers several new features. Clients can now import their orders onto the online ordering platform directly from PowerPoint or Excel if they wish. Free webinars are available for clients not familiar with online ordering.

Since February 2022 Stake: 41,36% in Smartmat nv

The Belgian meal box

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Foodbag sets itself apart as a thoroughly Belgian meal box, with high-quality products from local suppliers and original recipes from our own chefs. Great attention is paid to seasonal products, sustainable packaging and avoiding food loss.

Every week customers have a choice of 23 dishes in five cooking styles, for one, two or three people. Flexibility is paramount: customers take out a weekly or biweekly subscription or simply order individual boxes and pay immediately.

As the number two on the Belgian

meal box market, Foodbag already serves about 10.000 families every week. Foodbag is confident that the demand for convenient meal solutions will grow strongly in the coming years, now that more and more people are familiar with the convenience of the boxes and home delivery.

Strategic fit

Foodbag is a brand of Smartmat nv, of which Colruyt Group became the main shareholder at the beginning of 2022, together with the Colruyt family holding company Korys. Smartmat's activities fit perfectly with our e-commerce strategy and the ambition to offer more convenient solutions. This new partnership allows us to strengthen our leadership in the Belgian online food market and take further steps in the development of sustainable home delivery. Finally, there is an attractive match of corporate cultures, with a common focus on sustainability, local anchoring and simplicity in retail.

Colruyt Group has been working with Smartmat since 2019, which, among other things, composes the 'One Meal Box' for OKay, and the 'Lekker Koken' box for Colruyt Lowest Prices. The Foodbag meal box itself is also available through our online channel Collect&Go. In the coming months and years, we will be looking at further cooperation and synergies.

Smartmat

Smartmat is an important player in Belgian food e-commerce. The company, run by founders Anders Asarby and Stéphane Ronse, is located in Antwerp and Ghent, employs around thirty people and has its own pool of 120 couriers.

Foodbag and 15gram: production and home delivery of meal boxes with or without subscription.

Rayon: online supermarket for people who like good food and who consciously opt for convenience and home delivery.

Canteen: delivery of pre-prepared meals, drinks, snacks and fruit to company canteens and elsewhere.

Since July 2021 Stake at 31 March 2022: 46,23%

The most sustainable drinking water

Robinetto's mission is to provide as many people as possible with high-quality drinking water that does not require packaging or transport and is much more ecological than bottled water. The Ghent start-up installs professional tap installations that supply filtered, cooled, still and sparkling water and also relieve users of masses of plastic waste. In 2021, customers tapped in this way more than 1,3 million litres, at a savings of two million packaging items. In the course of 2022, Robinetto will be installing more than 500 water taps in the group's central buildings and in Colruyt, Bio-Planet and OKay stores.

Robinetto was founded in April 2018 as a social impact company, consciously focused on events and catering, in order to spread its mission rapidly to a large and diverse audience.

Colruyt Group became a co-shareholder in mid-2021, with a substantial capital increase that creates room for further sustainable growth, in addition to substantive collaboration and knowledge exchange.

In the meantime, a dozen employees serve more than 500 customers, including festivals and cultural centres, and also schools, healthcare institutions and companies.

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Family and seasonal store Dreamland has an extensive range of toys, outdoor toys, garden furniture, school supplies, multimedia and gaming, children's bedrooms, books, comic books, etc. Dreamland wants to inspire children and their parents to have fun connecting. The format consists of physical stores and an online shop.

Customers can collect their online reservations from a Dreamland, Colruyt or OKay store or from a Collect&Go collection point. Home delivery is also an option. Dreamland is the market leader in toy sales in Belgium, both in-store and online.

Dreamland's online revenue is included in the store format from where the goods are collected.

1994 acquisition of Droomland, renamed Dreamland in 2002
EUR 466 million combined revenue for retail non-food (Dreamland, Dreambaby, Bike Republic, The Fashion Society and JIMS) (+ 33,8%) (1)
47 stores
1.600 m2 average store area
60.000 items offline and online
More than 800 employees in FTE
Unpack your dreams
dreamland.be
(1) Includes The Fashion Society since August 2020 and JIMS since May 2021.

Difficult financial year

• Dreamland had a difficult financial year, with a drop in revenue for online sales in particular, while physical sales fared better. The drop was mainly due to the global transport and raw materials crisis in the aftermath of the coronavirus pandemic, exacerbated by the blocking of the Suez canal in March 2021. During the crucial months of November and December 2021 in particular, various items were not in stock or came into stock late, causing an irrevocable loss of sales. In the final quarter of the financial year, larger expenditures in particular were delayed, probably as a result of rising inflation and the increasing cost of living.
• Compared with the wider toy market, which had a difficult time, Dreamland performed respectably and managed to consolidate its position as market leader.
• Dreamland informed its customers about the stock problems with full transparency, which only enhanced its image..

• 3 total renovations: Veurne, Wilrijk and Lede
• 1 or 2 openings each year

Accessible via clicks & bricks

Dreamland's physical stores and webshop have worked together perfectly for years and the synergy has only grown stronger. After several periods of closure during the coronavirus pandemic, customers soon found their way back to the stores. At the same time, they continued to use the website intensively to prepare for their instore purchases. As a result, in 2021, the site still received 30% more visitors than in 2019 and online sales continued to grow across the board.

Besides the stores and the largest toy webshop in Belgium, the omnichannel model also included more than 400 collection points for online orders, plus the possibility of home delivery. Finally, via the Click &Collect service, customers can reserve items from stock and collect them in-store three hours later.

To make the Dreamland universe even more accessible, a chat function was integrated into the website, so that customers could receive an answer to their questions more quickly. This translates into a satisfaction score of 9,3 out of 10.

More sustainable school collection

Dreamland wants to become a benchmark for sustainability with its own brand, Kangourou. The range of satchels for primary school is now made from 100% recycled material (PET). By the start of the 2023 school year, the ranges for pre-schoolers and teenagers will make the switch as well.

Dreamland also collects old satchels to give them a new lease of life, for example by donating them to social organisations or recycling.

New store concept on the way

• In the build-up to a totally new store concept, many innovations have been tested in new or renovated stores such as Sambreville and Hasselt over the last few years. The best elements of these have been incorporated into several existing stores, following which the new complete store concept will be premiered at the start of 2023.
• Under the slogan 'Pak je dromen uit' (Unpack your dreams), Dreamland wants to help children realise their dreams. This translates into a wide assortment and inspiring stores that invite them to discover and try out products on the spot. Technologies such as virtual and augmented reality help guarantee the ultimate experience.

175.000 euros for underprivileged children

With its campaign to give every child a magical St Nicholas' day, our toy specialist raised more than 100.000 euros. Customers could donate 1 euro at the checkout or contribute freely online. Dreamland added a further 75.000 euros, making a total of more than 175.000 euros in toy vouchers. Organisations such as Het Kinderarmoedefonds and Arc-en-Ciel distributed the vouchers among 4.378 underprivileged children. With this initiative to make St Nicholas' Day accessible to as many children as possible, Dreamland assumes its social role, as with a previous campaign around gender neutrality. Besides this, in 2021, more than 17.500 children were able to videocall St Nicholas and 2.000 took part in a Facebook livestream.

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Working more efficiently

Dreamland and Dreambaby launched a new ERP software system for their offline activities in the autumn of 2021. This system replaced several old software programs and brings greater efficiency and speed to virtually all business processes in areas such as purchasing, sales, marketing and logistics.

Popular on TikTok

For communication on social media and all kinds of events, Dreamland often works with well-known influencers such as Celine and Michiel. Some videos on TikTok are viewed more than 500.000 times. TikTok is one of the most important channels for Dreamland to reach its primary target group, with topics that reflect what really matters to the children.

Ready-made birthday box

Dreamland developed a ready-made box for customers to organise their own birthday parties at home for children aged from six to ten. 'MyDreamParty' is available in a variety of themes and guarantees ten children an afternoon of celebration and fun. The box contains invitations, a party planner, tableware, decorations, twelve activities and associated items and more besides.

Dreambaby is the largest national player in the Belgian baby market, with a quality, wide offer for babies and toddlers up to 30 months and the lowest price guarantee. The physical stores and the online shop offer a choice of most major brands and the own brand Dreambee. Baby gift lists, which customers can put together and manage online and in-store, are very popular. Online reservations can be collected from more than 400 collection points at Colruyt and OKay, or delivered to the customer's home. Dreambaby stands out through its personal guidance and advice from experienced staff.

Dreambaby's online revenue is included in the store format from where the goods are collected.

Satisfactory financial year

• Our baby specialist had a satisfactory financial year, due partly to a slightly higher birth rate for 2021.
• As the coronavirus pandemic tailed off, sales shifted back from the webshop to the stores. All in all, Dreambaby experienced little impact from the pandemic, least of all on baby gift lists.
• In a highly competitive landscape, Dreambaby managed to consolidate its position, with the biggest market penetration after second-hand providers.
• Five weeks after opening, the new store in Zaventem was damaged by a fire in an adjacent property. In this short period, the store showed great potential, with visitors from all over the Brussels region. The reopening is scheduled for the autumn of 2022.
• In anticipation of a structural decline in the birth rate, Dreambaby is focusing increasingly on strengthening customer loyalty and acquiring customers via partnerships with other group formats.

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• 1 new store in Zaventem

• New store planned in La Louvière, plus reopenings in Lede, Wilrijk and Vilvoorde

Future-proof systems and processes

Together with Dreamland, Dreambaby commissioned a new ERP software system for offline activities in the autumn of 2021. This system replaced several old software programs and has an impact on virtually all processes for purchasing, sales, marketing and logistics. It will also allow Dreambaby to acquire many new insights and gain strength and autonomy.

First for second-hand

As of April 2022, Dreambaby is the first baby retailer to offer second-hand items as well, to reserve online and collect from six participating stores. The tweedehands.dreambaby.be platform puts buyers and sellers in touch with one another, while Dreambaby facilitates the process and takes care of quality control. In this way, the baby specialist helps meet the growing demand for second-hand and takes a big step towards a more circular and sustainable baby sector at the same time. This service builds on the years of experience of the previous second-hand platform NewStory.

Largest store ever in Zaventem

With two floors and an area of 800 m², the new store in Zaventem is special. Zaventem is strategically well located in the Brussels periphery, where Dreambaby's target group is well represented.

• The store is one third larger than average. Customers can find a full assortment there, covering more than 8.000 items, in all categories.
• The ground floor with reception and tills has a restful look and draws attention to the fully set-up children's bedrooms. Important, since young parents often buy just one children's bedroom.
• Plenty of daylight, low shelves, a large test strip for buggies and a coffee area help create a pleasant shopping environment.

Co-creation with Levis

The specially developed Dreambee by Levis paint collection comprises ten trendy colours that are a perfect match for the new Dreambee Essentials collection. Under that private label, parents can find a complete basic range for babies, including clothes, toys, bed and bath linen. They can combine the baby essentials with the ten soft Levis shades, to create a harmonious nursery. Customers can see some examples of decorated nurseries in-store. All parents placing their baby gift list with Dreambaby receive three free testers.

Farm-themed collection

The new Jules & Odette themed collection of the Dreambee own brand is totally inspired by life on the farm, with fun prints of vegetables and tractors. Besides clothes, the assortment also includes everything for care, sleep, play, travel, eating and drinking and much more besides. The collection scores highly for sustainability, thanks to certified materials such as cotton with a BCI label and wooden toys with an FSC label. Dreambaby has also invested in more sustainable packaging with less plastic and more cardboard, for example.

Partner for customers

Dreambaby assumes its social role and is a reliable and solution-oriented partner for its customers. Customers can count on reliable advice, service and initiatives in partnership with other specialists.

• Together with Colruyt Group Academy, Dreambaby launched a private Facebook group for the first time. In the 'Dream baby, dream' community, parents share experiences and tips about their child's sleeping habits, with the professional support of a moderator, sleep coach and a midwife, among others. The lively community has 850 members on average. Following a successful tryout, two new Facebook groups were started in May 2022 for future parents.
• The online help platform 'Van roze naar broze wolk' (From pink to fragile cloud) works on perinatal mental wellbeing of parents. Dreambaby teamed up with initiator Kinderwens vzw and Colruyt Group Academy to organise a unique webinar on mental wellbeing and the help available.

Non-food brands join forces

Our non-food activities Dreamland, Dreambaby, Bike Republic, The Fashion Society and MyComfort24 are all strong Belgian retailers offering consumerrelevant products and services. Together they want to do even more to meet rapidly changing and diverse consumer needs. For this, these companies are developing an organisational exercise to optimise or combine the processes, systems and knowledge specific to the non-food business. The five activities are therefore joining forces in order to remain effective and to ensure that they can continue to offer customers relevant solutions. They are also looking at combinations with services from other fields such as nutrition and health.

The joining of forces already translates concretely into, for example, the creation of new consultation platforms, the introduction of common work methods and, where possible, the implementation of a shared software system. At legal level, all five operating units have been accommodated in a new holding structure since April 2022.

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The Fashion Society groups together four retail chains for women's, men's and children's fashion, mainly operating in Belgium but also in Luxembourg and France. These are out-of-town destination stores, with a focus on customer satisfaction.

The four store concepts target broad but distinct groups, covering a large proportion of the fashion market. ZEB is designed for confident, fashion-conscious customers seeking inspiration. Family stores PointCarré and The Fashion Store target multi-generational trend followers and focus on personal advice.

2020: Colruyt Group increases stake to more than 96%
EUR 466 million joint turnover - Dreamland, Dreambaby, Bike Republic, The Fashion Society and JIMS (+ 33,8%) (1)
124 stores under the labels ZEB, ZEB for Stars, PointCarré, The Fashion Store
1.000 m2 average store surface area
Average of 7.500 items on an annual basis
More than 750 employees in FTE
zeb.be pointcarre.be zebforstars.be thefashionstore.be

(1) Includes The Fashion Society since August 2020 and JIMS since May 2021.

A firm footing in a difficult fashion market

The fashion group experienced its second consecutive financial year in which the stores had to cope with corona restrictions. By the summer of 2021, customers were finding their way back into the stores. However, the ensuing corona wave from autumn to February 2022 put a damper on year-end business and the winter sales.

Even so, looking at the whole financial year, turnover was virtually up to pre-pandemic levels. In a very difficult fashion market, the group was even able to continue its expansion programme as planned.

Although online sales continued at a high level, the focus remained on physical stores. Launched in 2020, the concepts of private shopping (outside opening hours) and personal shopping (personal styling advice, within opening hours) met with success and were rolled out further.

The new 1.500 m² ZEB store in Schoten is the largest in the country, offering over 70 brands, a lounge area, kids' corner with arcade games and a pop-up vintage concept in collaboration with specialist Foxhole.

• 74 stores (+3) and 2 outlet stores
• New stores in Veurne, Bree and Couvin and a doubling of the surface area in Schoten
• Potential for more than 100 stores in Belgium

An award for 'ZEB For Everyone'

Starting in early 2021, ZEB has been making all its stores more accessible to people with disabilities, investing in infrastructure (additional parking spaces, wider aisles, etc.) and in employees (training, attitude, etc.). In 2021, the innovative action plan 'ZEB for Everyone' was nominated for the prestigious Mercury Prize by trade federation Comeos.

Successful combination

ZEB remains relevant thanks to a combination of the right brands and ranges, communications tailored to the target group and in-depth knowledge of it.

• Trendy ranges, with exclusive collections such as Le Fabuleux Marcel de Bruxelles and co-creations with well-known names such as Olga Leyers or Aurélie Van Daelen.
• Plenty of experience with fashion shows, parties and other events. Targeted marketing communications, including through some 20 influencers. Flemish media phenomenon James Cooke and his Walloon counterpart Maria Del Rio fulfill their roles as ZEB ambassadors with verve.

ZEB For Stars

Due in part to the lack of communion and spring celebrations in 2020 and 2021, ZEB For Stars experienced two difficult years, leading to the decision to discontinue this still young formula.

The closing-down sale is due to start in May 2022. The Zoersel and Hasselt locations will reopen under The Fashion Store label in September 2022, while the remaining three will be rented out.

A suitable solution has been found within the fashion group for all employees concerned.

• 15 own stores and 15 franchise stores, mainly in Wallonia and 2 in France
• New stores in Beauraing, Soignies and Hornu

PointCarré posted satisfactory results in the past financial year. The formula is catching on well in France, where further expansion is planned through franchising and the opening of new flagstores.

• 15 stores (+2) • New stores in Grimbergen and Eeklo

Thanks in part to a good offering for all generations, The Fashion Store experienced a strong financial year. Two new stores were opened and two more are to be added by September 2022. The brandnew webshop went live in April 2022.

The MyComfort24.be webshop stocks all textiles for personal comfort: from underwear and hosiery to nightwear and swimwear and bed and bath linen. The shop offers the largest online selection in Belgium, with top brands such as Calvin Klein, Triumph and Schiesser for underwear or De Witte Lietaer, Clarysse and Beddinghouse for bed and bathroom textiles. All items are in stock and shipped via Bpost the same day for orders placed by 2 pm. MyComfort24 mainly ships to the Benelux region, but also to other European countries, for free from an amount of 30 euros.

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Bike Republic is a leading player in the sale of branded bikes, cycling clothing and accessories and makes around three quarters of its sales from e-bikes. The wide range covers twenty top brands, including own brand Hiron. As a constant 'compagnon de route', Bike Republic wants to bring pure biking fun to as many people as possible, from commuters to leisure cyclists and sportspeople. The cycling specialist excels in accessibility, through its attractive stores, user-friendly website and easy contactability via live chat, phone and social media. Bike Republic also stands out through first-class service: experts offer both individuals and companies sound advice, an excellent after-sales service, maintenance in its own workshops, bicycle insurance and so on.

2019: acquisition of Fiets! by Colruyt Group, renamed Bike Republic in 2021 EUR 466 million combined revenue for Dreamland, Dreambaby, Bike Republic, The Fashion Society and JIMS (+ 33,8%) (1) 21 stores with showroom and workshop 800 to 1.200 m² average store area More than 10.000 bikes in stock, including 7.000 e-bikes. More than 100 employees in FTE Cycling along with you bikerepublic.be (1) Includes The Fashion Society since August 2020 and JIMS since May 2021.

Slight growth in a cooled-down market

• In a stabilising bicycle market, Bike Republic recorded a slight increase in revenue, mainly due to the opening of new stores and consistent performance of existing stores. Viewed over two financial years, revenue grew by almost half.
• In the summer of 2021, the hype around bikes, which arose during the coronavirus pandemic, gradually abated. In the final quarter of the financial year, demand started to pick up again, partly due to rising energy prices and the approach of good weather. Bike Republic noticed strong demand for sports bikes, e-bikes and speed pedelecs (for commuting) in particular.
• In the course of the financial year, shortages of batteries and parts manifested themselves in the market, leading to longer waiting periods. Armed with a strategic stock, Bike Republic managed to continue to serve its customers well.
• In a highly fragmented landscape with the beginnings of consolidation, Bike Republic is steadily increasing its market share and is the largest multi-brand chain in Belgium.
• Bike Republic remains strong in its omnichannel approach: the website mainly provides inspiration when looking for the right bike and accessories, while customers prefer to come into store for final advice, to try out products and make an actual purchase.

• Three new stores: Grimbergen, Oudenaarde and Veurne
• Three acquisitions: Oudsbergen, Laakdal and Diest
• Shortly after the end of the financial year, openings in Retie, Turnhout and Sint-Denijs-Westrem

On course for expansion

Bike Republic intends to significantly expand its store estate in the coming years, not just in Flanders, but also in Brussels and Wallonia. The aim is to set the standard for e-bikes and smart mobility in a rapidly changing cycling sector.

• In the case of expansion, the focus is on smart geographical distribution so that existing and (potential) customers always have a store nearby. For acquisitions, Bike Republic seeks out larger, profitable stores with strong brand portfolios, supplier relations and specialisations.
• The store in Oudsbergen was acquired from the well-established X-treme Bike.
• The store in Laakdal and the indoor testing centre in Diest were acquired from Wieleke, experts in cycling solutions for people with disabilities and in B2B cargo solutions.
• The managers and staff involved have remained onboard and continue in their specialisations. The acquired stores underwent a swift rebranding and could count on the support of a commercial coach.

Partner for businesses

Bike Republic is enjoying increasing success in the business market. It offers businesses and organisations a total service, ranging from leasing and purchasing packages to cycling proficiency training, maintenance and repair on the customer site, roadside assistance and tax advice. 2022 will see the launch of a new platform to further simplify the purchasing or leasing process and expand the service for B2B customers.

• Company bicycles for employees, often developed into a total solution with leasing companies.
• Cargo bikes for professionals in an urban context, such as courier firms, retailers or healthcare workers.

Colleagues welcome

To realise this rapid expansion, Bike Republic is constantly on the lookout for experienced, passionate colleagues for new and existing stores. The Bike Academy based in Grimbergen trains technical and sales profiles in house and is perfectly equipped to organise supplier trainings and continuous development programmes.

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Teaming up with Touring

Bike Republic has launched a pilot project with breakdown service Touring under which customers can count on breakdown assistance by the roadside and bicycle maintenance or repair at home. This enables the bike chain to offer its customers an even better service and support them anytime, anywhere. The partnership is a win-win-win: assistance is a definite plus for customers. For its part, Touring has considerable expertise in roadside assistance and on-site repair, not to mention many members that Bike Republic wants to reach.

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JIMS operates 27 fitness clubs in larger cities in Belgium and Luxembourg, and is also active online. As the second largest fitness chain in the country, its mission is to encourage consumers to adopt a fit, healthier lifestyle. Customers can go there for conditioning or strength exercises and group classes at attractive prices. Online, JIMS offers live group classes and digital coaching by enthusiastic, well-trained staff. Club members can also call on personal coaches. JIMS has been an integral part of Colruyt Group since the end of April 2021.

Picking up after the pandemic

• Prior to its acquisition by Colruyt Group, the fitness chain had been hit hard by the coronavirus pandemic. Over a twoyear period, the clubs were closed almost half of the time or open only with severe restrictions.
• By the time the fitness sector was allowed to reopen in June 2021, JIMS had invested heavily in a safe infrastructure, including CO2 meters, high-tech ventilation systems, air quality monitoring and disinfection procedures. Activity picked up, but from November many unvaccinated customers had to be turned away, following the introduction of the Covid Safe Ticket. In the crucial months of January and February 2022, JIMS conducted a successful campaign to attract new members. Activity could resume fully only when the corona pass was no longer required at the start of March 2022.
• By the end of the financial year, the membership had already grown considerably and was approaching pre-Covid levels, leading to a steady increase in revenue. The new approach and style are very popular with new and existing members, as demonstrated by the increased activity and frequency of visiting the clubs.

Taking steps towards JIMS 2.0

From mid-2022, JIMS is opening a new fitness club and upgrading another. It is testing a new concept there, with a centrally located reception, premium zones and a totally new look. The best elements of the pilot club will be incorporated in the subsequent concept 2.0. 2.O Focus on quality

The healthiest vending machine

JIMS also wants to offer its customers a balanced diet and help them adopt a healthier lifestyle. For this reason, shortly after the end of the financial year, all old vending machines were replaced by the 'healthiest vending machines' in the market with an assortment of 45 carefully selected, highend products. The introduction of the vending machines is an example of synergy within the group: our innovation hub Smart Technics provided the smart technology with weight detection, while foodservice specialist Solucious takes care of the stocking.

JIMS wants to be there for everyone who cares about their condition and general health. A relevant offer, since, in the last few years, many people have become more aware of the importance of exercise, diet, weight, sleep, etc. The acquisition of JIMS is a perfect fit for Colruyt Group's ambition to develop an ecosystem with holistic solutions for a healthier lifestyle, along with our investments in SmartWithFood and Newpharma.

JIMS wants to win customers with quality services rather than the promotions that are common in the sector.

The coaches are trained to advise members on exercise and the link with healthy sports drinks and food. The fitness chain is also considering other initiatives around balanced nutrition, such as webinars or in-person events in the clubs.

The highly simplified and standardised subscription offer smooths over regional differences and means that people are welcome to all clubs. In turn, this helps JIMS present itself as a national brand with uniform services at all branches.

Since December 2017 Stake: 61%

Newpharma is the largest Belgian online pharmacy, with more than 1.700 brands and 40.000 OTC products at reasonable prices. A team of ten pharmacists screens orders and gives customers advice about products ordered and combinations with previous purchases. Newpharma has a network of 2.000 collection points and also offers home delivery.

Good growth

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Newpharma achieved good growth during the last financial year, mainly due to an influx of new customers. Sales experienced several peaks, such as Black Friday and when quality Covid self-tests went on sale at the end of 2021. The pharmacy also advised Colruyt Lowest Prices on marketing self-tests, the first retailer in Belgium to do so.

For further growth, Newpharma is focusing on Belgium, France and Switzerland, and is also following the Dutch market closely, where prescription drugs can be sold online. The pharmacy continues to adapt its assortments, price and promotion policy to specific market contexts.

In mid-2021, Colruyt Group increased its stake in Newpharma from 26% to 61%. The group and its principal shareholder, investment company Korys, now together own 100% of the shares and are committed to continue to support Newpharma in its development as a leading e-commerce actor.

New high-tech distribution centre

• With a slight delay caused by flooding, the new distribution centre in Liège came into service in October 2021. The site contains 12.700 m² of storage space and will be expanded by a further 9.000 m² by the end of the financial year, exclusively for the storage of pharmaceutical products.
• The site is partially automated: approximately thirty robots will eventually carry out around a quarter of the order picking, virtually reducing the error margin to zero. French robotics specialist Scallog provided the technology and our innovation hub Smart Technics took care of its integration.
• Newpharma has sufficient space to continue to grow in the coming years. Centralising the previously dispersed activities on one site substantially increases logistical efficiency and productivity.

Focus on synergy

Newpharma is becoming an increasingly prominent presence in our store formats.

• More than 200 Colruyt stores have a separate parapharmacy section, with a hundred products for first aid, colds, skincare, etc.
• Ten larger Colruyt stores have a genuine shopin-shop with 500 parapharmacy, cosmetics, sport food, etc. items, including famous brands which are usually sold via pharmacies or specialist stores.
• Dreambaby also offers a limited Newpharma assortment, while OKay is trialling a separate section for parapharmacy.
• Customers can also have online orders delivered to more than 400 of the group's stores.

Since August 2019 Stake: 23,7%

Scallog is a robotics system for order-picking in logistics centres, whereby robots fetch mobile racks or crates from the warehouse and bring them to the operators ('goods-toperson').

Within the group, Scallog technology is currently deployed in Newpharma's logistics centres, and is under consideration for Collect&Go and Dreamland.

Scallog serves the local market from France, while working with distributors for international sales. To cover the Canadian and US market, a contract has been signed with Bastian Solutions, which has already led to a nice first project.

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Retail Partners Colruyt Group is the licensee of the Spar formula in Belgium and works closely with the independent Spar storekeepers. Besides supply and assortment management, the organisation also takes care of commercial policy, from pricing and promotion policy to marketing and sales support. RPCG has a unique consultation model, in partnership with the elected delegation of entrepreneurs. Together they shape the look of the stores, range, commercial focus and the future of Spar Colruyt Group.

RPCG also supplies fresh products and groceries to independent Alvo storekeepers and unaffiliated clients.

2003 Spar Retail, renamed Retail Partners Colruyt Group in 2014 214 Spar stores 56 Alvo stores 87 independent retailers, of which 23 are Mini Markets More than 800 employees in FTE Doing business together is growing retailpartnerscolruytgroup.be

Good financial year, broader customer base

Retail Partners Colruyt Group can look back on a good financial year, on the one hand thanks to the opening of new stores, the expansion and remodelling of existing stores and the sustainable results from the remodelled stores. On the other hand, the stores continued to be able to rely on a broader customer base established during the corona pandemic when a lot of consumers started shopping more frequently in their neighbourhoods.

As customers gradually reverted to other retailers for larger volumes from the second half of the financial year onwards, a slight decrease in volumes was seen. Sales were further negatively impacted by deflation, the departure of eight stores from the Alvo formula and the cessation of operations by some unaffiliated clients.

Spar stores continue to be among the most inexpensive neighbourhood stores, with their fresh produce departments as their main asset.

RPCG invested in additional permanent and temporary staff and was able to discontinue the night shift introduced earlier. Partly as a result of that, RPCG managed to keep costs generally under control, despite rising expenditure on such things as the use of interim staff due to illness or quarantine, and rising energy costs toward the end of the financial year.

With a view to efficiency gains, RPCG has further aligned its organisational structure with that of the group's other operating units, for example similarly structured purchasing and supply chain divisions.

Entrepreneurs welcome!

• RPCG continues to be on the lookout for new independent entrepreneurs wanting to set up shop under the Spar label. Candidates can subscribe to a profitable franchise model offering plenty of room for personal entrepreneurship and a wide range of support services and advice.
• For example, they can count on business consultants to help them keep their cost structure under control. If desired, the cost analysis also includes audits of stock, waste and/or energy management. The entrepreneurs subsequently have the opportunity to attend information sessions on, for example, green energy production or energy saving.
• Generally speaking, the profitability achieved by the Spar storekeepers continues to be among the best in the market.

High-level service

The wholesale arm was able to maintain its delivery reliability at an exceptionally high level throughout the financial year, apart from a few disruptions due to raw material shortages. The excellent service level made available to independent entrepreneurs is due in part to the now completed optimisation of the entire supply chain. In the wake of groceries, the logistics for fresh produce are now handled by the common Colruyt Group IT platform, driving further growth.

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Spar Colruyt Group is the friendly neighbourhood supermarket for daily grocery shopping, offering a good range of fresh products, personal service and competitive prices. The independent retailers add their own touches through their specific skills and product ranges. Spar provides inspiration through its free KOOK magazine and is renowned for its weekly Top Deals with 50% off. Most stores are also open on Sundays (in the morning).

Spar was founded in the Netherlands in 1932 as the first cooperative of independent retailers. Present in 48 countries and with over 13.500 affiliated stores serving 14 million customers, Spar International is the food distributor with the most stores in the world.

New stores performing well

• In the past financial year, 13 Spar stores were totally remodelled and expanded, typically adding a professional kitchen, delicatessen department and bakery. These stores also provide ample space for the range of fruits and vegetables, expanded and broadened through cooperating with new suppliers.
• Though remodelling requires considerable investment, retailers can count on technical advice, sales and marketing support and a partial loan. Stores meeting such criteria as automated stock management also receive the Colruyt Group signature on the storefront.
• As a remodelled Spar Colruyt Group store clearly outperforms the market, both RPCG and the independent retailers are continuing to invest to accelerate renovation. By the end of the financial year, 57 stores were already sporting the new look.

• 5 new stores

• 13 remodelled stores
• 2 closures
• 5 new stores and 10 remodelling projects planned for 2022/23

Committed to strong entrepreneurs and customer-focused employees

Making customers feel at home in their Spar store requires customer-focused and satisfied employees, led by a strong people manager. That's why RPCG has invested heavily over the past two years in training and coaching more than a hundred independent Spar entrepreneurs, with the Service Centre People increasingly focusing on their 'soft skills' and their development as leaders. The entrepreneurs are very enthusiastic about this low-threshold approach, the concrete tips and quickly visible results in the store. The service centre also offers modules on recruitment, team organisation and change management, for example following a takeover.

From a hopeless mess to a brand-new store

In mid-July, the Spar stores in La Roche and Rochefort were completely destroyed by floods. As the buildings themselves still appeared to be sufficiently stable, the independent entrepreneurs immediately began to clean up the mess. RPCG put its store planning on hold to support the two most affected stores with equipment, technical coordination and restocking. Not that obvious due to corona, holidays and the many other cases of damage, and thanks to financial support and the intensive cooperation with Colruyt Group Technics, among others, the completely renovated stores reopened after one and one and a half months respectively.

New

e-commerce platform

In the run-up to the holiday season, customers were able to place orders online for the first time on a centrally developed platform. There they were able to find three Christmas menus from Spar Colruyt Group and specific assortments per store. The e-commerce platform is to be further developed as a thematic website which independent retailers can also use at other key times, for example during the BBQ season.

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Codifrance supplies more than 300 mini-markets affiliated to the Coccinelle, Coccimarket and Panier Sympa brands with dry goods, fresh produce and frozen food. The affiliated retailers also receive assistance with marketing, communication, deciding on their range, pricing, refurbishment and design of their point of sale. In addition, Codifrance supplies around 1.200 independent shops and wholesalers in more than 70 departments.

The mini-markets can be found in the city and the country and are primarily aimed at customers who shop daily. Codifrance offers the independent operators a wide assortment of products from national brands, private labels (Belle France) and discount brands. Codifrance is a major player in the mini-market niche, which is an integral part of French consumers' daily lives.

2004: acquisition of Panier Sympa and licence holder for Coccinelle and Coccimarket 303 affiliated stores: 24 Coccinelle, 97 Coccimarket and 182 Panier Sympa Deliveries to more than 1.200 other independent storekeepers 100 - 400 m² average store area More than 8.000 items Represented on three quarters of French territory More than 200 employees in FTE More than 50 years of experience in convenience stores codifrance.fr

Record sales consolidated

Last financial year, Codifrance managed to stabilise its sales at the record level of the previous financial year (2020/21). During the pandemic, small convenience stores came to the fore, as an essential element of daily life.

After the pandemic, the large influx of customers translated into significantly increased loyalty to the affiliated convenience stores. Codifrance has strengthened its position, partly thanks to quality service in those stores and the organisation's in-house expertise and commercial clout.

The French wholesale arm intends to continue to expand its store estate in the coming years, with high-end shops run by passionate and enterprising operators.

Thanks partly to transport optimisation and targeted prospecting for new entrepreneurs, Codifrance managed to keep its costs well under control and maintain profitability at a high level.

Rollout of new ERP system

Codifrance is gradually rolling out a new, ultrahigh-performance ERP system. This will allow the organisation to improve its operational excellence, productivity and profitability even further. The new system will be fully delivered in the first quarter of 2023.

Panier Sympa, firmly rooted in rural France

The Panier Sympa network comprises more than 180 small stores with an average area of 80 m². They can be found mainly in villages or smaller communities and actively contribute to the revitalisation of rural France. The assortment is geared mainly to daily requirements and primarily consists of food, with just under half private labels. The retailers also stand out through additional services such as bread, newspapers, local products, specific opening times or home delivery.

ACTIVITIES | Retail • Wholesale • Foodservice • Other activities • Group support activities ACTIVITIES | Retail • Wholesale • Foodservice • Other activities • Group support activities 85

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Food service company Solucious supplies food products to professional customers throughout Belgium, primarily in the hospitality industry, social catering (schools, hospitals, care homes, etc.) and corporate catering. The range covers dry, fresh and frozen products, in small and large packs. Food professionals choose from national brands, the company's own food service brands for professional chefs (Culino and Econom), and its own retail brands (Boni Selection and Everyday).

Solucious stands out for its ease-of-use, fair and consistent pricing with bulk discounts and constant reliability, about which it communicates transparently.

Strong growth in a shrinking market

Solucious experienced an extremely successful financial year in a shrinking food service market, thanks to the step-by-step reopening of key sectors and its continued focus on customer convenience and reliability, even during the corona crisis. Sales saw structural growth, significantly exceeding those of the financial year prior to the corona pandemic (2019/20). In so doing, Solucious performed noticeably better than other food service companies.

Growth was mainly driven by the resumption of sales to existing customers. Sales peaked especially in the reopened horeca sector, while new customers included larger horeca chains and care institutions.

Thanks to good stock availability and a capacity of 1.200 deliveries per day, Solucious was able to maintain its delivery reliability at a high level, an aspect particularly appreciated by food service customers.

Through keeping its costs under control, Solucious features among the most profitable players in the food service market. To cope with the pick-up in activity from autumn 2021 onwards, 30 new employees were recruited, also with an eye to the future.

In April 2021, Colruyt Group acquired the food service company Culinoa, the trusted partner of more than 100 large kitchens in care institutions, mainly in Wallonia. Averaging 1 to 2 new customers a month, Culinoa is now setting its sights on Flanders and Brussels.

Flexible and sustainable deliveries

• City centre deliveries are increasingly made by cargo bike, from a small hub close to the centre. Using Solucious' delivery app, cycling partner Foodsprint ensures an identical service and customer experience. Bike deliveries started in Ghent in 2021, expanded to Brussels in early 2022, and to Antwerp and Liege in mid-2022.
• Solucious delivers to restaurants and large kitchens throughout Belgium between 5:00 and 13:00 on Saturdays.

Synergy with Culinoa

• Based in Gembloux, Culinoa supports care institutions in the operation of their kitchens, allowing chefs to focus on their core tasks. Acting as a back-up for other customers, its own kitchen in Floreffe delivers meals to smaller care facilities.
• Customers can count on quality, competitively priced products and support in drawing up menu and nutrition plans, setting up an efficient organisation and training kitchen staff. The personalised support and user-friendly management software (with automated ordering based on the menus) boost operational efficiency.
• Culinoa's activities perfectly complement those of Solucious and its established logistics services. The collaboration will allow both partners to develop further, meeting the needs of care institutions even better.

Strong logistics network

Solucious has a strong logistics network, with three distribution centres (Bornem, Lot and Wommelgem) and six regional hubs in Antwerp, Brussels, Ghent, Namur, Gembloux and Liege (as of May 2022). The hub model cuts distances to end customers and therefore the number of transport kilometres. The Liege hub for example allows delivery drivers to save 900 km a day, while their knowledge of the region increases delivery punctuality.

Following the departure of Colex from the Bornem distribution centre, the space freed up will be used to expand the fresh produce department, which is experiencing the greatest growth. Refurbishment will be completed by the end of 2022, allowing further growth.

Innovative services

Solucious now offers 'water subscriptions' in collaboration with its partner Robinetto. It installs taps for chilled still and sparkling water, saving customers a lot of packaging and waste, while at the same time itself saving valuable warehouse and truck space. More on Robinetto on p. 63.

Commissioned by our fitness specialist JIMS, Solucious has developed 'smart fridges' for fitness centres. These healthy vending machines offer athletes an affordable range of balanced snacks and beverages. They also offer companies and organisations an answer to more flexible work organisation and employee demand for more balanced meals throughout the day. More on JIMS on p. 76.

Extensive digitalisation and integration

• Investment in integration technology with a view to evolving into THE connector in the sector. Customers linking their inventory management to the Solucious platform can now automate their orders. In this way, new types of customers, such as horeca chains and large care institutions, are finding their way to Solucious more easily.
• Further development of the e-commerce platform, with enhanced self-service enabling customers to follow up and alter their orders whenever it suits them, as well as to query digital purchase statistics. If an ordered item is not in stock, the customer automatically receives an e-mail with an alternative proposal, allowing kitchen managers to easily maintain their menu planning.
• Fully digitalised and more visible promo offerings, making it easier for customers to find relevant products. The personalised selection of free products is an efficient way to introduce customers to new products.
• Full rollout of the delivery app and digitalisation of the delivery process, including administration and reporting. Unique in the industry, this asset guarantees greater convenience, efficiency and reliability for customers and delivery drivers alike. The track & trace system puts customer minds at rest and reduces phone calls to customer service.

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Symeta Hybrid is Belgium's leading specialist in personalised marketing communications and administrative document flows such as invoices and payroll. Featuring state-of-the-art printing and mailing technology and a high-performance information management platform, the company guarantees the highest possible level of security for confidential data such as personal data. Flexible all-in-one solutions result in efficiency for companies, as well as user-friendliness and freedom of choice for end customers. Symeta Hybrid serves both internal and external clients (1) in such diverse sectors as HR, finance, healthcare, utilities, telecoms, government and industry.

The company has all relevant ISO certifications: 14001 (environment), 9001 (production) and 27001 (information security).

(1) External sales are listed under 'Other activities'.

2020: merger of Symeta and Joos Hybrid

More than 220 employees in FTE

symeta-hybrid.com

External sales continue to grow

In a highly competitive market, Symeta Hybrid was able to achieve good sales growth, thanks in part to gaining new customers. With rising prices for energy, paper and other raw materials, 2022-2023 is set to be a challenging period.

Symeta Hybrid combines the best in printing and mailing technology, data management and privacy protection into relevant solutions for organisations wanting to communicate smartly. As a result, the proportion of external customers continues to grow steadily and already accounts for 40% of sales.

The merger of the former Symeta with Joos Hybrid has gone well, from both an HR and technological perspective. Their production sites continue to serve as mutual backup as well as backup for organisations that still have their own print shops.

Top in personalised printing

Following a thorough upgrade of its two Hewlett-Packard digital printers, Symeta Hybrid remains the Belgian leader in personalised, digital printing.

• The three-million euro investment in software and components will keep the facilities state-of-the art for the next seven years.
• Perfect printing in numerous formats, from price labels to 2,5-metre posters and paper wraps, fully exploitable for marketing communications.
• The 30% gain in speed ensures shorter turnaround times, a useful aspect as customers are often late in submitting their data for personalised printing.

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DATS 24 offers all common and alternative energy sources in Belgium: petrol, diesel and AdBlue and also natural gas (CNG), electricity and hydrogen. Colruyt Group's fuel specialist and energy supplier is working towards greener mobility. It continues to invest in the expansion of its network, with a focus on electric charging infrastructure and public hydrogen stations.

DATS 24 informs and inspires individuals and companies about how to achieve more sustainable mobility via workshops, talks and webinars. It holds ISO 14001 certification for the ecological management of its stations.

Strong fluctuations in a difficult financial year

• DATS 24 saw its turnover increase by almost half, owing largely to strong price inflation, partly also by a volume increase of about a fifth, linked to the increased mobility after the trafficcalmed 2020/21 financial year.
• In the autumn of 2021, sales of CNG in particular fell sharply, as a result of the continued price increases on the international energy market, on top of a structural decline in the number of new CNG car registrations. Rapidly rising inflation in February and March 2022 further held back CNG sales.
• In spring 2022, petrol and diesel prices followed the sharp price swings at the pump, resulting in multiple sales records. Even on the busiest days, DATS 24 always managed to supply the filling stations sufficiently and on time.
• The profitability of petrol and diesel sales continued relatively stable, while that of CNG came under increasing pressure. This was due in part to a delay in the corrective interventions by the government, while DATS 24 itself did not immediately or fully pass on every price increase in its sales prices to the customer.
• DATS 24 has a finely branched CNG network, into which biogas could be perfectly injected. The more sustainable mixture obtained in this way does not require any adjustments to the natural gas vehicles. However, we are waiting for a regulatory framework from Europe to make this possible.
• The aim is to consolidate the sale of fossil fuels in the coming years and, in parallel, to accompany the switch to electrification via battery-electric and fuel cell electric hydrogen cars.
• DATS 24 invested further in pumps with AdBlue, an additive that significantly reduces NOx emissions from diesel engines. At the end of the financial year, the product was available at 81 service stations and its turnover had more than doubled.
• After positively evaluated tests at a number of stations and also user feedback, DATS 24 will roll out new payment terminals during the coming financial year, which are easy to use and maintain and can be remote-monitored.
• A test is under way at about thirty stations with large digital screens used for media selling, in collaboration with partner Clear Channel.

• 4 new filling stations
• 4 additional CNG fuelling points
• 165 additional charging points

Belgium's largest semi-public charging station

At the Halle head office, the largest semi-public charging station in Belgium was brought into service at the beginning of 2022. Here, 109 electric or plug-in hybrid cars can charge simultaneously. The charging station is accessible to employees, visitors and local residents, during and after office hours. Payment is via a DATS 24 or another charge card. This investment meets the needs of many drivers and accelerates the transition to sustainable mobility.

Expanding charging network

DATS 24 continues to steadily expand its charging station network at retail and office sites, as well as at B2B customers. At the end of the financial year, it had around 230 charging stations and twice as many charging points. More than half of these are located on retail sites, so that customers can easily combine shopping and loading. The aim is for all retail sites to have at least 1 charging station in due course.

The DATS 24 charge card is increasingly successful. For a subscription price of less than 2 euros per month, customers have access to more than 11.500 Belgian and 144.000 international charging points.

8 years ISO 14001 certified

As is customary every year, DATS 24 had its environmental policy thoroughly evaluated by an independent inspection organisation. For the eighth year in a row, the environmental audit resulted in an ISO 14001 certificate, the international benchmark for environmental management. The company scores well on, among other things, its sustainability vision, transparent communication about environmental initiatives and cleanliness of the filling stations. These are cleaned with rainwater and biodegradable products. Other advantages are the dimmable LED lighting and the CO2 -neutrally produced paper towels.

New hydrogen stations

DATS 24 continues to believe in the potential of hydrogen for greening passenger and freight transport. In May 2022, it opened its second hydrogen filling station in Wilrijk, with openings planned in Haasrode, Erpe-Mere, Ollignies and Herve in the second half of 2022.

Appreciated by customers

Market researcher GfK presented DATS 24 with a Best Brands Award in the Fuel category, based on its market share and the brand perception of 5.000 Belgian consumers. Our fuel specialist scored highly with its value for money and innovative character. Appreciation was also expressed for the disinfectant hand gel at the fuel stations and for their hygiene and cleanliness.

Energy for home and work

• In April 2021, DATS 24 started supplying energy to private customers and families in Flanders and Wallonia, with three products: 100% green electricity, natural gas or both. Customers can choose their preferred power source: onshore and offshore wind farms in which the group participates or a biogas plant that processes food waste from the stores. DATS 24 is aiming at organically growing its customer base, its initial targets being customers with Xtra profiles and Colruyt Group employees.
• The recognised energy price comparative studies usually rank DATS 24 among the top 5 of cheapest suppliers, both for electricity and natural gas, on the basis of the same monthly price index.
• Since the beginning of 2021, DATS 24 has also supplied gas to Colruyt Group, internal partners, companies and private individuals. It had already been supplying 100% green electricity for some time.

Support for duped energy customers

DATS 24 organised online information sessions at the end of 2021 to help former customers of the bankrupt Vlaamse Energieleverancier in choosing a new supplier. Our energy supplier received many requests for information and decided to help the affected customers. During the 12 live information sessions, energy experts guided around 5.000 participants through the numerous formulas and options on the energy market.

Saving energy at home and on the go

• In the book 'Een huis boordevol energie' (A house full of energy), experts give practical tips for reducing energy consumption and CO2 emissions in the home. For this book, DATS 24 drew on its many years' experience of keeping a close watch on energy consumption at our offices, logistics sites and stores.
• DATS 24 also developed a workshop in which individuals learn how to save energy at home. The workshop is offered via Colruyt Group Academy, in addition to its ever-popular 'Groener de baan op' (Greener on the road).

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Energy holding company Virya Energy is active in the development, financing, construction, operation and maintenance of renewable energy production facilities, with a particular focus on offshore and onshore wind energy.

Virya Energy was established at the end of 2019 by Colruyt Group and its majority shareholder Korys. The holding company invests in companies focusing on the production of green electricity from wind and hydroelectric sources and on the development of plants for the production and storage of green hydrogen. The umbrella holding company facilitates the sharing of knowledge and technology between the companies and invests heavily in support services, research & development.

2019: established by Colruyt Group and Korys

Stake: 59,78%

Belgian company Parkwind is active in the production of offshore wind energy, in various countries. It develops activities throughout the entire value chain and collaborates with universities and government bodies on various research programmes, including on the use of hydrogen as an energy buffer or a mobility application.

Wind farms in Belgium	Parkwind stake	Capacity	Production 2021
Belwind (2010)	78,5%	171 MW	463 GWh
Northwind (2014)	30%	216 MW	649 GWh
Nobelwind (2017)	41%	165 MW	542 GWh
Northwester 2 (2020)	70%	219 MW	623 GWh
TOTAL		771 MW	2.277 GWh

Wind farms in Belgium

Parkwind has stakes in four operational wind farms located off the Belgian coast, in the North Sea. In 2021, these wind farms produced a total of 2.277 GWh of green electricity, or the equivalent of the annual consumption of 650.000 households. That makes Parkwind one of the largest electricity producers in Belgium.

2021 was not a very good year for wind overall, although this was partially offset by a rise in the stormy month of November. On the other hand, from the end of the year, Parkwind managed to partially make up for the lower wind yield due to higher international energy prices, although, generally speaking, it can only start to pass these on with a delay.

Availability of the facilities remained high (averaging more than 95%) and operational continuity was assured throughout the year.

Wind farms abroad

In spring 2022, the foundation works began for the Arcadis Ost I wind farm, located in the German section of the Baltic Sea. The first production is scheduled for the autumn of 2023. With a capacity of 247 MW, the wind farm will be able to supply up to 300.000 households.

Parkwind and Irish electricity company ESB are preparing to participate in the call for tenders for the future Oriel wind farm, in the Irish Sea, at the end of 2022. Both partners are also the joint shareholders of the company Clogherhead.

Parkwind has formed a consortium with Norwegian company NORSEA, which is preparing to participate in a tendering process for two offshore windfarms in Norwegian waters.

In Greece, Virya Energy teamed up with a local partner to apply for a licence for the development of a 300 MW onshore wind farm.

1.588 GWh of green electricity

In 2021, Virya Energy produced more than 1,588 GWh of green electricity. Approximately 949 GWh was allocated to Colruyt Group.

Eurowatt is active in the production of onshore wind energy and small-scale hydroelectric energy, with 33 operational wind farms in France, Portugal and Poland and three small hydroelectric plants in Spain and Portugal.

The new management of Eurowatt is focused on expansion with the development and construction of 10 new plants in France and Poland, where there is plenty of potential for the development of renewable energy.

Eurowatt operates thirty sites with a total installed capacity of approximately 400 MW. In 2021, these produced a total of 712 GWh of electricity, the equivalent of the annual consumption of 203.000 households.

In France, the focus is on developing new infrastructure for the production of solar energy.

In Poland, Eurowatt increased its stake in the company Orla to 100% of the shares. Orla operates a wind farm with 15 turbines (37,5 MW). Eurowatt has other projects in the pipeline in Poland.

Sanchore

The Indian Sanchore wind farm has 20 turbines with a total capacity of 40 MW and has been operational since 2018. In 2021, the wind farm produced 95 GWh of green electricity, slightly less than expected. The management has adjusted the too high initial production forecasts and adapted the business model accordingly.

Eoly Energy is active in the Belgian energy market and manages 17 onshore wind turbines, two of which are owned by Eoly Cooperative. The company is also working on the development of a further 11 new onshore turbines in Belgium. During 2021, several research programmes were also launched for the production and application of green hydrogen.

For instance, Eoly Energy will supply Brussels transport company STIB-MIVB with a mobile hydrogen station, the necessary hydrogen and its expertise to allow the first hydrogen bus to run.

In 2021, Eoly Energy produced 81 GWh of green electricity, the equivalent of the annual consumption of 23.000 households.

Virya Services

With Virya Services, the holding company launched a new division in 2021 which will provide a wide range of support services to its renewable energy producing companies.

In November 2021, the holding company took a 60% stake in the internationally renowned Belgian company GeoXYZ, specialising in hydrographic, geophysical, geotechnical and topographical surveys and soil investigations. With its underwater data, it supports energy companies in developing and maintaining offshore windfarms.

GeoXYZ has its own fleet of vessels, which are used for research and to transport employees offshore and along the coast. The company is focusing increasingly on automated research and data mining to increase the efficiency of its operations.

As of the end of 2021, Virya Energy has a 35% stake in Fluves, which develops detection systems for

monitoring critical infrastructure such as pipelines, industrial installations and offshore power cables. These systems can carry out measurements and data collection remotely and provide advanced interpretation tools which support infrastructure managers in their decisions.

As of January 2022, Virya Energy has an 86% stake in the company DotOcean, which develops control systems for autonomous navigation of vessels and vehicles, as well as advanced location software for the marine and security industries, for example. This includes software for controlling and coordinating drones which perform soil surveys.

Producing green hydrogen

• Virya Energy is joining forces with the Belgian gas network operator Fluxys to develop an industrial plant in Zeebrugge to produce hydrogen via electrolysis of water with renewable energy. The plant with a capacity of 25 MW will produce up to 4.000 tonnes of green hydrogen per year. This can be scaled up to 100 MW later.
• Virya Energy will market the hydrogen, initially as a sustainable fuel for heavy duty transport and buses. Subsequently, the plant can also be used as a means of balancing the electricity grid and the hydrogen can also be injected and mixed into Fluxys' natural gas grid as a green gas.
• The project will enable cost-efficiency and sustainable production of hydrogen on a larger scale and play a leading part in the rollout of a hydrogen economy and in the energy transition. For these reasons, it receives strategic energy support and boost support from the Flemish government.

Hydrogen in practice

• Virya Energy is involved in many (pilot) projects for applications of green hydrogen, for instance to drive buses, riverboats and ships.
• Virya Energy is also involved in industrial projects in the Netherlands and Germany aimed at combining the production of green electricity with that of green hydrogen.

Public participation on and offshore

Eoly Coöperatie allows individuals to invest in onshore wind turbines built by Eoly Energy. Local residents and Colruyt Group employees are given preference in subscribing to new capital rounds. The cooperative has two wind turbines and launched a new round in May 2022 to raise 2,75 million euros for a new turbine in Ollignies.

The general meeting held in June 2021 approved a pleasing gross dividend of EUR 13,75 per share for the 2020 financial year.

The North Sea Wind cooperative was established in 2018 by Parkwind, Colruyt Group and Korys Investments. It offers the general public the opportunity to invest in offshore wind energy and so be part of the energy transition. With the funds raised, the cooperative grants loans to Parkwind, which invests them in the maintenance of existing wind farms and the construction of new ones.

The general meeting held in May 2021 approved the first full dividend of EUR 0,45 per share for the 2020 financial year. This was slightly below expectations, partly due to the lower than expected wind yield.

The leading role played by North Sea Wind can only benefit Virya Energy's future offshore projects. However, the expectation is that organising public participations will be a key criterion for being allowed to participate in tendering processes for the construction of new wind farms.

Group support activities

From IT to communication to technology: Colruyt Group has significant in-house expertise that we put at the service of employees, partners and customers. To carry out our activities and organise them as efficiently as possible, we can rely on a wide range of support services.

People & Organisation is the department responsible for coordinating and supporting the group's HR policies. Staffed by more than 320 permanent employees plus external colleagues, the department ensures that Colruyt and its employees make the most of their abilities. The HR partner offers several services: from payroll processing and recruitment via prevention and medical services to legal advice and relations with social partners. The HR knowledge centre works on topics such as personal and team development, remuneration, personal growth, leadership, well-being and skills.

Tool for high-quality meetings

A new application helps employees and managers prepare and document their performance appraisals in better quality. And to engage in a structured discussion on such topics as job satisfaction, development goals and career planning. The archiving function is useful when, for example, a new executive joins the company. At group level, the tool allows us to gain insights into developments in our workforce and to respond to them in a timely manner.

Successful job event at Londerzeel

At the end of 2021, we organised two job fairs for the vacancies in the new Collect&Go distribution centre in Londerzeel. Of the more than 300 candidates registered, 83 were invited to the on-site selection process, with about half of these now hired as logistics workers. These excellent results were due in part to a local campaign highlighting the security of a permanent contract.

Employees as co-recruiters

Our employees are the best ambassadors to get friends and acquaintances to think about working for the group. To further encourage them, we have revisited the well-known system of the referral bonus in order to support our recruitment process even more efficiently. Over the past financial year, the bonus was awarded for more than 150 hirings in Belgium. Wat houdt de 'aanbrengpremie' in? Hoera! Je aangebrachte kandidaat werd aangeworven binnen Colruyt Group. Indien je voldeed aan bovenstaande spelregels en het eerdergenoemde proces hebt gevolgd, ontvang je een aanbrengpremie van € 1.000. Je hebt volgende keuzemogelijkheden: • Cash: er wordt € 1.000 bruto op je bankrekening gestort. • Verlof: er wordt voor de tegenwaarde van € 1.000 verlof opgeladen in je recupteller of je prestatiemeter.

• The referral bonus now applies to just about all vacancies except those with sufficient candidates. Collibri Foundation en laat de rest uitbetalen. • Je staat 20% af aan het solidariteitsfonds en laat de rest uitbetalen.

• Je staat 20% van je premie af aan

• More employees are eligible for the bonus. Vragen? Bekijk zeker onze FAQ (doc1.068.245).Staat jouw vraag er niet tussen? Contacteer
• They are able to choose between a cash pay-out, conversion into time-off or a partial donation to one of our social initiatives. het selectiesecretariaat via 02 636 53 43.Hartelijk dank voor je hulp in het zoeken naar nieuwe collega's!

Flexible and output-oriented working

Some 4.400 office workers in Belgium have switched to 'flexible and outputoriented working', with time clocks replaced by a flat rate of pay and the ability to telework up to two days a week (at home or in a regional office). In the process, employees also retain the unique ability to accumulate time accounts. In this way, we aim to become more agile, future-proof and sustainable as an organisation. The approximately 85% of our employees with time- and/or place-dependent jobs retain time clocks and the principle of 'time worked is time paid'.

Attractive employer

According to Randstad's annual image survey (among 14.000 respondents aged between 18 and 65), Colruyt Group remained an attractive employer in 2021. Among those who know our group, some 40% were interested in working there, a score that keeps us well up front in the food retail sector. And even when looking at all respondents, we still achieved 35%, good for fifth place in the ranking of large Belgian companies.

More shared desks

With increased teleworking, empty desks are becoming a common feature of our offices. We therefore initiated a study project to provide more flexible, shared desks for employees not needing a fixed workplace, all with a view to making the best possible use of our existing infrastructure and preparing for future growth in our activities. In doing so, we ensure that colleagues without a fixed workplace still find a place to work in a focused manner within their familiar surroundings.

Our Young Grads Community actively links up our youngest employees and helps them integrate. The group has 190 members, its own communication channel and regularly organises events.

• Quiz with some fifty participants. The winning team was treated to lunch with CEO Jef Colruyt.
• Two editions of the digital Student Afterwork, in which some 70 student workers and trainees participated.

Working together smarter

The pursuit of simplicity and efficiency in our day-to-day work has contributed greatly to our group's growth, with our 50-strong Operate & Improve organisation providing structural support in this field. The goal is for employees to learn to work together smarter and to boost their commitment, entrepreneurship and job satisfaction. Here are some of our activities:

• Structuring, clarifying, standardising or stabilising processes and work methods, as a basis for further improvements.
• Setting relevant indicators and measurement points, capturing data and providing measurement-based advice.
• Improving and simplifying work items, methods, processes and organisation. Testing, fine-tuning and implementing proposals for improvement.
• Supporting the long-term integration of changes resulting from projects and programmes, with a view to changes producing results faster.
• Encouraging a culture of continuous improvement among all employees, with a view to achieving long-term contextual and behavioural change.
• Boosting skills development around Operate & Improve, through developing and providing methodologies, tools, training, etc.

Focused on professional and personal growth, Learning & Development is the training and education department for employees. In the past financial year, the group invested approximately EUR 39,1 million in training and education, accounting for 2,82% of payroll.

The department is steadily broadening its offering, evolving from a provider of (classroom) courses to a supporter of all possible kinds of learning. A key issue here is the question of which are the best ways to unlock knowledge or put across values and skills. To this end, the department is increasingly developing 'blended learning', from mentorship via workplace learning to online webinars.

Boosted offering

Spurred in part by the corona pandemic, training offerings have evolved greatly, in terms of both learning forms and topics.

Digital Learning. One fifth of former face-to-face courses have been replaced by digital versions, including individual e-learning courses and videos. In addition, new initiatives emerged, such as low-threshold E-lympics to promote digital literacy or info sessions and workshops for 4.000 employees on output-oriented working.

New partnerships were developed with external specialists, such as a unique postgraduate degree in marketing in collaboration with the VIVES University of Applied Sciences.

New content responding to the evolving needs of employees. For instance, courses on stress and resilience, overcoming speaking fears or dealing with undesirable behaviour.

Post-corona recovery

• After a sharp decline during the first corona year, the past financial year was marked by recovery, with the number of training courses and participants back to the same level as before the pandemic.
• On the one hand, this was due to our longstanding focus on education and training and to our efforts to safeguard it. On the other hand, we noticed a lot of enthusiasm among employees to take up courses again as soon as possible. In addition to the regular training courses, we held a large number of tailor-made sessions, often centred on teamworking.
• Digital alternatives, in both individual and classroom forms, were available for a large proportion of face-to-face courses. A number of business-critical training processes continued to be held (in part) face-to-face.

Colruyt Group Academy provides a wide range of courses for individuals and businesses, with face-to-face and online workshops full of inspiration and experience. It has 10 learning centres spread across Belgium and offers affordable prices thanks to longterm partnerships.

Focus on innovation and recruitment

Due to successive periods of corona restrictions, the number of workshops fell during the past financial year. After a long pause, face-to-face workshops resumed in summer 2021. For the sake of safety, the number of participants per session was limited, leading to the activity being scaled back.

However, the Academy made every effort to overhaul its offering in the meantime, both in terms of content and form. And the learning centres were used on an ongoing basis for recording digital workshops and as a venue for team moments.

New offering

Colruyt Group Academy has invested a lot in overhauling its offering. As of spring 2022, it has introduced new topics, formats and working methods, with its courses now able to be taken individually or in groups, face-toface or digitally, standard or on-demand ...

• New 'learning communities'. In conjunction with Dreambaby, the Academy created a closed Facebook group for young parents, around babies' sleeping behaviour. The platform soon had more than 800 members. The Academy also collaborated on a webinar on mental well-being for young parents.
• Digital (cooking) workshops are catching on and attracting new audiences, including quite a few young parents with children.
• More and more workshops are focusing on sustainability themes to which Colruyt Group is strongly committed, such as the environment (saving energy at home and on the road, etc.) and health (sleeping, exercising, mental well-being, etc.).

Colruyt Group IT supports the group in the area of IT and process optimisation, tracks technological developments and innovations and applies them to the specific needs of the various departments and businesses. The organisation does not just supply tools, but offers all-in services: ranging from building and implementing bespoke IT solutions to managing, supporting, maintaining and updating them. Colruyt Group IT proactively scans the market, tries out new things and builds prototypes to inspire its partners. The organisation has over a thousand permanent employees in Belgium and 500 in India, plus external

Partnership with sheltered workshops

For years, we have relied on sheltered workshops to deliver large volumes of new and refurbished IT equipment.

• Unpacking, labelling and registering 22.500 new IT devices per year
• Sorting and testing 25.000 recovered cables per year
• Maintenance of 5.500 electronic price labels per month
• Preparation of 11.000 electronic price labels per new Colruyt store

contractors. Attracting and nurturing talent

In a competitive job market, we take many initiatives to attract new talent and keep employees on board.

• Team manager Bélise Songa was voted Young ICT Lady of the Year 2022 by ICT journal Datanews. Another colleague was a finalist for 'ICT Digital Coach of the Year'.
• Our renewed advertising campaign and participation in networking events such as Sound of Science and job fairs enhance our image as an attractive IT employer.
• We maintain close contacts with higher and university education, via guest lectures, frequent thesis coaching and sustainable partnerships for internships and workplace learning.
• In just four years, 92 talented IT staff have completed an analysis or software engineer traineeship, and 90 % of them are still working for the company. The new IT Management traineeship is a two-year programme for ambitious starters looking for a job with impact and responsibility.

Optimisation of supply chains

• Just like our integrated food stores, our wholesale business RPCG now uses the common IT platform for its grocery and fresh food logistics. The processes were standardised throughout the chain, from reception and storage to dispatch. For this, we applied many parameters depending on the requirements of independent storekeepers, such as smaller volumes or lower delivery frequencies.
• We developed a stable and reliable forecasting model allowing our food stores to predict their daily sales volumes more accurately, essential for efficient restocking. Based on 3,5 to 5 years of sales data and variables such as weather, impact of holidays or major events, the tool predicts sales volumes up to 14 weeks or even one year in the future. The process runs overnight and takes about four hours.

Complete facelift of the Collect&Go website and app, new functionalities and redesign of the entire application.

• In one hour at most, around 10.000 daily orders sent at a fixed time in the morning, instead of little by little throughout the day.
• Automatic notification of any 'missed favourites' in the shopping basket.
• More accurate calculation of the shopping basket, including all promotions applying on the day of collection.
• Possibility for marketeers to modify their site themselves, for instance with personalised banners.

Innovation galore

• Development of own Internet of Things platform on which the first application is running for the Collect&Go online shopping service. Fresh products travel to collection points in special cool boxes equipped with temperature sensors. These are connected to the IoT application and transmit the temperature every five minutes. This allows Collect&Go to monitor the cold chain constantly and guarantee the customer perfectly chilled products.
• Upgrade of the Xtra app to a single personal shopping assistant for Colruyt Group customers, combining all digital customer services: profile management, shopping lists, recipes, coaching, etc.
• IT advice for the first OKay Direct self-service store in Ghent, where customers can shop autonomously 24/7. If the concept is rolled out further, we will integrate all OKay Direct IT solutions sustainably.
• New telephony application on 13.000 smartphones of Colruyt store employees, connected to the mobile network and the in-store wifi network. Employees can now make and receive calls with colleagues, head office and customers directly. Quieter and more efficient than before, when they heard an announcement and had to walk to a free landline phone.

Featuring some 1.600 employees, the technical department is active in Belgium and Luxembourg and offers a complete service, from study and design via purchasing, construction and installation to maintenance and prevention. Not just for stores, offices, data centres, distribution centres and production buildings, but also for vehicles and machines. Opting for innovative solutions and sustainable techniques, Technics meticulously monitors environmental management and often goes beyond the prescribed legal standards.

Quick reopening

Following the flood in mid-2021, some ten affected stores were closed. Our technical services immediately went to work on clearing out the mess, cleaning and refitting them. After just a few days, most stores were able to reopen, the last one on 23 August.

• Thanks to our size, we were able to quickly deploy sufficient inhouse technicians, even during the vacation period.
• The preventive design of our stores limited damage. Built at least 20 cm above street level, the stores feature technical installations all safely located on platforms.

Giant crate-washing facility now operational

We are the only Belgian retailer to wash all the fruit and vegetable crates returned from stores ourselves. As planned, the new crate-washing facility at our Dassenveld return centre became fully operational in autumn 2021. This is the first time we have built a facility of this size. At the same time, the previous one was dismantled, with both processes running simultaneously, without interfering with logistics.

• Surface area: 4.000 m², over 40% less than the previous installation
• Capacity: 12.000 crates per hour
• Lower energy and water consumption, less stressful manual work

Committed to e-mobility

We are accelerating the shift to e-mobility, for both employees and customers.

• Greener company cars. Employees can choose from a wide range of fully electric or hybrid cars. Read more on p. 177
• Expanded charging infrastructure. Our network of charging stations at stores and offices continues to grow steadily. Our headquarters feature the largest charging bay in Belgium, where more than 100 cars can be charged at the same time. Read more on p. 93.
• Our garage staff are receiving the necessary training to work on electric cars.

Purified water in our headquarters

At our headquarters in Halle, we now treat wasteand rainwater from ten buildings ourselves, including offices and the distribution centre with its cheese-processing and crate-washing facilities. The treatment plant can produce 11 m³ of drinking water per hour, reducing the connected sites' consumption of mains water by up to 90%. In addition to commissioning the plant itself, Technics laid several kms underground and overhead pipes.

Working on the future

• Efficiency gains in the machine park through data capture, allowing us to intervene more preventively and even remotely in some cases, and to prevent malfunctioning.
• We continue to pioneer hydrogen propulsion, including for heavy goods vehicles.
• Ongoing recruitment and training of (young) talent through our own technical school, traineeships and close cooperation with secondary and higher polytechnics.

Smart Technics

This innovative start-up offers a wide range of services: design, engineering, project management and implementation of technological solutions. The team focuses on automation and digitalisation throughout the supply chain.

• Logistics: introduction of robotics in the Newpharma and Collect&Go distribution centres, …
• Retail: integration of technology in the OKay Direct self-service store, ….

Smart Farming

We have moved our indoor fresh herbs growing facility into the new Smart Farming department, a unit also running projects for, inter alia, CO2 capture through tree-planting and co-developing our sea farm in the North Sea.

This department is responsible for meeting the group's real estate needs, i.e. for stores, offices, production and distribution centres in Belgium, Luxembourg and France. The team searches for building land, takes care of all environmental permits, writes the specifications and manages the development of the buildings. Striving for the optimal social and urban integration of the properties, Real Estate has in recent years been implementing more mixed projects, combining stores with residential units.

• It has gradually increased its external profile, inter alia through its new website realestate.colruytgroup.com.
• Growing portfolio of residential units and offices for rent under our own management.
• In April 2022 commissioning of the renovated Zwijnaarde office: 9.600 m² for non-shared and shared workspaces, as well as rental workspaces for third parties.

Colruyt Group is the only Belgian food retailer with its own industrial-scale production departments, grouped under Colruyt Group Fine Food. Thanks to in-house production and our years of expertise, we can operate in a cost-effective manner, guarantee constant quality and create added value both for our private labels and for customers.

Fine Food processes meat and makes salad spreads, cuts and packages cheese, bottles wine, roasts coffee and bakes bread. The ready-to-sell products are marketed under our own brands such as Colruyt Beenhouwerij, Boni Selection, Everyday and Spar. Fine Food has more than 1.200 permanent employees on nine production sites.

7.000 tonnes of coffee roasted

22 million loaves baked

Volumes stabilising

• After the spectacular, Covid-related volume increases during the 2020-2021 financial year, most product categories are following pre-Covid trends once again. Meat volumes continued to fall slightly, bread production stabilised at the lower level of the previous financial year. Coffee and cheese remained roughly stable, as did wine, for which the party boxes performed particularly well.
• In our meat production, we continue to focus on diversification, while gradually increasing the number of organic and vegetarian products. The salad department is also following these trends, including for products such as hummus.

Integration of Roelandt Group industrial bakery

At the end of January 2022, Colruyt Group acquired 100% of the shares of Roelandt Group, one of the largest industrial bakeries in Belgium, with production sites in Zele and Lokeren. This represents an extension of the partnership with Roecol, which has produced bread for our group since 2012.

The company has 300 employees and is involved in the production and sale of bread, rolls, cakes and pastries. The fresh products are mainly destined for the Belgian market, and prebaked and frozen products for the whole of Western Europe.

• This acquisition continues the vertical integration of our range of fresh products. Management of the entire supply chain enables efficiency gains and further optimisation. This also allows us to continue to focus on quality and product innovation.
• A wider and higher quality assortment of bread and cakes enriches our in-store offer and is a plus for our customers.
• By the acquisition, we support local production and strengthen our business's Belgian roots.

Production of salad spreads and sauces well on track

Our new Fine Food Salads production site has been fully operational since April 2021. With an area of 4.200 m², it offers sufficient space for future growth.

• Every week, the site produces approximately 55 tonnes of salad spreads and sauces for our own brands, or 220.000 x 200 g containers.
• Integration of volumes previously produced externally, for instance a variety of salads for OKay and mayonnaise as an ingredient for the salads.
• With the new, more sustainable containers for salad spreads, we save 45 tonnes of plastic each year. The 100% recyclable containers have thinner sides and a lid with a click system, without a seal. This allows maximum scooping, reducing the risk of wastage and making the recycling process smoother. The smaller labels also aid recycling.

Corporate Marketing

Corporate Marketing defines the brand and communications strategy for Colruyt Group and corporate subbrands such as Collibri Foundation. This includes brand and communication management for private labels such as Boni, Everyday and Kangourou, including design and production of packaging. In addition, the department provides services in the areas of press and PR, market research and trend watching, digital communication and customer data. Most services not only operate at group level but also support individual operating units in their strategic and tactical planning.

Focus on sustainable entrepreneurship and consumption

As a group, we aim to be a reference for sustainable entrepreneurship and a source of inspiration for conscious consumption. For this reason, we communicate broadly about our sustainable initiatives and highlight our new website.

We inspire consumers and help them make more conscious choices via our 'Step by Step' communication programme covering four themes: health, society, animal welfare and environment.

Eco-score marketed widely

• Since mid-2021, Colruyt Group has strongly marketed the Eco-score, a first for Belgium. The label visualises the environmental impact of products simply, making it easier to consume more consciously.
• The scores can be looked up in the Xtra app and are appearing on more and more privatelabel packaging. By mid-2022, more than 200 Boni own-brand products showed the score on-package. We also aim to make the Eco-scores for as many A-brand products as possible available in the Xtra app. In this way, we continue to focus on raising awareness around more environmentally conscious consumption.
• Thanks partly to intensive campaigns, familiarity with the Eco-score is constantly growing, the Eco-score has a highly differentiating effect and adds to Colruyt Group's reputation as a sustainable entrepreneur. The initiative has also been taken up by other retailers and producers of national brands and was awarded the highly coveted Mercurius prize by the Comeos retail federation.

Marketing Communication Services (formerly CCX) translates the marketing objectives of the group and all the various brands into targeted offline and online marketing communication. The department has around 250 permanent employees, from designers, copywriters, photographers and video specialists to marketing communication experts. For production and sending of communications, we rely on our print and document specialist Symeta Hybrid.

A young rapper set out in typical style how our Collibri Foundation focuses on training young people. The radio commercial instantly delivered 180% more visits to our website; more than 50 organisations applied to work with the foundation.

Eye-catching campaigns

Our communication agency created a wide range of campaigns which scored highly for effectiveness, or the extent to which we reached the target group, appealed to and activated the target group. A selection:

03/11/2021 12:10

Our unique 24/24 self-service store OKay Direct in Ghent presented itself to the world with a unique, contemporary story, told partly with a characterful local accent. This first for Belgium received broad media attention and attracted many customers from its opening.

4340_CREATIE POS-FLYER_STUDENTEN.indd 1

More time for what really matters, like relaxing with family and friends. Our Collect&Go shopping service added an emotional layer to its familiar functional advantages. The long-running campaign with a great TV commercial resulted in increased brand awareness and (re)activation of customers.

Retail Services Center

Retail Services brings together a number of key departments to support our store formats, in areas such as product quality and safety, packaging, product information and pricing.

This support allows our stores to focus on their core business, continuing to differentiate themselves in a competitive market. Retail Services also helps ensure that the group is able to put its sustainability goals into practice. Continuing to gain in maturity, the various services bring together years of accumulated retail experience.

10 million

Average number of price calculations per day

500.000 Prices physically recorded in competing stores

Even faster and more efficient price adjustments

Staffed by some 135 employees, the Service Centre Price supports our various retail formats in implementing their specific pricing strategies (Colruyt in Belgium, Luxembourg and France, OKay and OKay Compact, Spar, Bio-Planet, Cru, Dreamland and Dreambaby). Every day, the team records prices in physical stores, from leaflets and on the websites of dozens of competing retailers. The service centre also collaborates with independent data specialist Daltix, enabling it to respond even quicker and in a more targeted manner.

• In the past financial year, a new pricing platform was implemented, replacing the five existing systems. The platform was developed in-house over a period of seven years, as standard software packages were not sufficiently efficient to support the different pricing strategies of our stores.
• Advanced automation is allowing us to capture and process competitor prices even faster and more efficiently. Prices

are reported immediately after leaving the competitor store, meaning they are processed in our store prices within 24 hours. Our people only intervene manually in the case of significantly deviating prices. The central system also avoids prices being recorded twice.

• Our new reporting environment delivers many more insights into market price trends and into our own operational efficiency.

Customer Services

Customer Services handles all enquiries and comments from customers, employees, suppliers and other stakeholders. Specialist contact centres serve all store formats as well as internal departments such as HR, store support and IT. The 250 or so staff can be reached by phone, email, online platforms and social media. Together, they handle around three million contacts a year. The department combines smart technology and standardised processes and systems with competent, customer-focused employees. Customer Services gives our store formats structured feedback on their customers' views and concerns, so that they can adapt quickly where necessary.

Via which channel do customers make contact?

The quick way to the right answer

• The FAQ sections of the store formats' websites have been enriched and represent the quick way to the right information. The frequently asked questions were consulted more than 365.000 times last year, saving at least 70.000 calls.
• Customer Services has invested heavily in the integration of social media channels in its contact platform. Now that all customer enquiries are on a single platform and the tools are more user-friendly, employees can serve customers even better.
• A higher degree of self-service and further digitalisation lead to more efficient contact processing and increased customer satisfaction. For instance, customer refunds can now be processed quickly and simply via the Xtra app.

Better collaboration and communication

The Communication & Collaboration department contributes to the total redesign of the collaboration and communication landscape within the group. Since the coronavirus pandemic, working has been much more flexible, the digital transformation has been accelerated considerably and contacts want to find the right information, answers and solutions more and more quickly.

For this reason, in the coming years, we will invest in new software tools and the expertise to communicate, collaborate and share information. For instance, we are creating digital workspaces in which employees are better connected with one another and with the outside world.

Our public benefit purpose foundation Collibri Foundation aims to offer socially vulnerable young people in Belgium and abroad more opportunities for a successful future. To this end, we support training projects that offer the young people a good education (educate), help them grow as a person (develop) and foster a sense of initiative, cooperation and entrepreneurship (empower). Collibri Foundation fosters connection and exchange between the young people, develops a learning network and involves employees and customers as much as possible.

Colruyt Group funds all operating costs and a large part of project expenses. The group doubles the money raised in in-store fundraising campaigns and individual donations (capped at a certain amount). Tax statements for donors are issued by the King Baudouin Foundation.

www.collibrifoundation.org

Donations to projects, 17% of which from fundraising campaigns and private donations

18training projects in 11 countries (up to the end of March 2022)

De duurzame Collibri-producten, dat zijn oo^k eerlijke prijzen voor de boeren. Zo dragen we samen bij aan een beteresamenleving,

stap voor stap.

Scaling up for greater impact

In 2021, the foundation refocused its vision and strategy, and defined its activities, goals and forms of collaboration more clearly. This will allow us to scale up our operations in the coming years and support thirty projects by 2026. An outline:

• We prefer to systematically link a training project to each of the group's existing or future sustainable supply chain projects, creating a sustainable mutually enriching exchange. Nine current supply chain projects already interact with our training projects.
• We follow a new methodology for monitoring projects, their desired results and impact (based on the familiar Theory of Change). We agree on exact KPIs with the partner organisations for the output and the impact of new projects in advance. Data capture will eventually enable us to acquire greater insight and optimise operation.
• We will focus more on strengthening our non-financial support for organisations and projects, and making our partners aware of these opportunities. For example, access to the Collibri Foundation and Colruyt Group networks, internships for young people or sharing of expertise between employees and partners and among partners.

"We believe in a world in which all young people have the opportunity to become entrepreneurs of their lives."

10.480 young people reached directly, 39.000 indirectly

4 new projects

During 2021, Collibri Foundation launched new partnerships with four Belgian organisations, to run for three to five years. Odyssée and Talent Youth Network were carefully selected following a call for projects for which some 68 projects were submitted.

• Odyssée helps early school leavers from Brussels and Wallonia to take back control of their lives, via mediation at school or in the family, support with reorientation and with personal, administrative, social or legal problems. This helps young people reconnect with education, the world of work and society.
• Capital is a one-stop-source that offers young people from Brussels and the surrounding area a whole range of opportunities to develop and become financially independent, under one roof. The not-for-profit organisation puts the young people in touch with local projects, social organisations, employment agencies, schools, companies, etc.
• Talented Youth Network is an academy that organises extracurricular training activities for enterprising young people in Brussels and Wallonia, on a range of topics including enterprise, personal development or diversity.
• Rikolto and ICT4DEV run a project in the Ivory Coast to train 2.000 unemployed young people and women to become (independent) cocoa farmers. Together, the organisations offer online and in-person training on good agricultural practices, talent development, access to the market, etc.

Corporate governance This chapter contains information about the governance,

operation and internal controls of Colruyt Group and about all aspects of corporate governance. We divide 'Corporate Governance' into three main sections. One about governance, supervision and management, another about sustainable corporate governance and a third about share ownership.

Governance, supervision and management

1. Board of Directors

1.1. Composition of the Board of Directors - 2021/22 financial year

Capacity	Name	Member of the Audit Committee	Member of the Rem. Committee	Appointment expires at GM in
Representative of the principal shareholders, executive director	• Jef Colruyt (Chairman)			2022
	• Korys NV, permanently represented by: Dries Colpaert	X		2024
Representatives of the	• Korys Business Services I NV, permanently represented by: Hilde Cerstelotte		X	2025
principal shareholders, non-executive directors	• Korys Business Services II NV, permanently represented by: Frans Colruyt			2025
	• Korys Business Services III NV, permanently represented by: Wim Colruyt	X		2022
	• ADL CV, permanently represented by: Astrid De Lathauwer		X	2021
	• 7 Capital SRL, permanently represented by: Chantal De Vrieze		X	2023
Independent directors	• Fast Forward Services BV, permanently represented by: Rika Coppens	X		2025
	• Dirk JS Van den Berghe BV, permanently represented by: Dirk Van den Berghe		X	2023
Secretary	• Kris Castelein

The following change occurred during the 2021/22 financial year: the director's mandate of Ms Astrid De Lathauwer, permanent representative of ADL CV, expired at the General Meeting of 29/09/2021 and could no longer be extended, following three successive mandates. She is succeeded as an independent director by Mr Dirk Van den Berghe, permanent representative of Dirk JS Van den Berghe BV, with a two-year mandate. Independent director Chantal De Vrieze, permanent representative of 7 Capital SRL, has taken over the chair of the Remuneration Committee since the end of September 2021.

The board wishes to thank Ms Astrid De Lathauwer, in her role as independent director and chair of the Remuneration Committee, for her much appreciated contribution to the implementation of the longterm strategy and to the shaping of the group's remuneration policy.

In addition to their appointments as directors of Colruyt Group companies, Messrs Jef Colruyt, Frans Colruyt, Wim Colruyt, Dries Colpaert and Dirk Van den Berghe as well as Ms Chantal De Vrieze and Ms Rika Coppens, also hold other external directorships. However, in accordance with the recommendations of the Belgian Corporate Governance Code 2020, the above-mentioned directors do not exceed the maximum number of five directorships in listed companies.

1.2. Auditor

NST&YOUNG BEDRIJFSREVISOREN BV (B00160), indirectly represented by Daniël Wuyts [A01979]. The appointment of the auditor expires after the General Meeting of 2022. The Board of Directors proposes to reappoint the auditor ERNST&YOUNG BEDRIJFSREVISOREN BV (B00160), with Eef Naessens (A02481) as its new representative, for a three-year term, i.e. until the General Meeting of 2025.

1.3. Reappointment and appointment of directors at the General Meeting of 28 September 2022

The following directors' mandates will expire after the General Meeting of 28 September 2022: that of Jef Colruyt, who is also Chairman of the Board, as well as that of Korys Business Services III NV, with Wim Colruyt as permanent representative. Both are eligible for re-election and therefore present themselves as candidates. The Board of Directors therefore proposes to reappoint them for four years, until the end of the General Meeting in 2026.

Korys NV has announced that, in the exercise of its mandate as director on the Board of Directors of Colruyt Group, after the General Meeting of 28 September 2022, it will replace its permanent representative Dries Colpaert with Griet Aerts, who will continue the mandate until the General Meeting in 2024.

The board will propose to the General Meeting of 28 September 2022 to appoint Korys Management NV, with Lisa Colruyt as its permanent representative, as a new director with a four-year mandate until the General Meeting of 2026.

Subject to their approval by the General Meeting of 28 September 2022, the composition of the Board of Directors will then be as follows:

Capacity	Name		Member of the Rem. Committee	Appointment expires at GM in
Representative of the principal shareholders, executive director	• Jef Colruyt (Chairman)			2026
	• Korys NV, permanently represented by: Griet Aerts	X		2024
	• Korys Business Services I NV, permanently represented by: Hilde Cerstelotte		X	2025
Representatives of the principal shareholders, non-executive directors	• Korys Business Services II NV, permanently represented by: Frans Colruyt			2025
	• Korys Business Services III NV, permanently represented by: Wim Colruyt	X		2026
	• Korys Management NV, permanently represented by: Lisa Colruyt			2026
	• 7 Capital SRL, permanently represented by: Chantal De Vrieze		X	2023
Independent directors	• Fast Forward Services BV, permanently represented by: Rika Coppens	X		2025
	• Dirk JS Van den Berghe BV, permanently represented by: Dirk Van den Berghe		X	2023
Secretary	• Kris Castelein

In addition to their appointments as directors of Colruyt Group companies, Messrs Jef Colruyt, Frans Colruyt, Wim Colruyt and Dirk Van den Berghe, as well as Ms Griet Aerts, Ms Chantal De Vrieze and Ms Rika Coppens, also hold other external directorships. However, in accordance with the recommendations of the new Belgian Corporate Governance Code 2020, the abovementioned directors do not exceed the maximum number of five directorships in listed companies.

1.4. Honorary directors

• Independent director Delvaux Transfer BV with Willy Delvaux as permanent representative (for a period of five years from the end of the appointment in 2017).
• Director François Gillet (for a period of five years from the end of the appointment in 2020).

2. Colruyt Group Management

2.1. Changes to the Management during the reporting period

The following manager or deputy manager appointments and changes were made in the past financial year:

• Koen DE VOS Supply Chain Manager Colruyt Lowest Prices from 01/12/2021
• Christophe DEHANDSCHUTTER General Manager OKay and OKay Compact from 01/01/2022
• Fabrice GOBBATO Sales Manager Colruyt Lowest Prices from 01/01/2022

Members of management who have ended their positions as managers in the group and whom we would like to thank for their many years of dedicated service and valued contribution to the sustainable growth of Colruyt Group:

• Martine PAUWELS Logistics and Transport Manager (retired from 30/11/2021)

After the reporting period, a number of important organisational changes took place. Marc Hofman passed on the torch as COO Retail at Colruyt Group (the position he had held since 2018 following Frans Colruyt) on 1 April 2022. In 2013 he started at Colruyt Group as CFO, a position taken over by Stefaan Vandamme in 2019. He worked on completing a number of projects until the end of June 2022. As of 1 April 2022, two directors from the Management Committee, in addition to Jef Colruyt himself, will succeed him. Jef Colruyt will remain CEO of Colruyt Group and in his position will directly manage Colruyt Group's non-food business, as well as the group's Real Estate, Energy and Health activities. Jo Willemyns, General Manager Marketing Colruyt Group until 31 March 2022, will, as COO Food Retail and Marketing Services, be the new person with final responsibility for the group's food retail formulas. The group's HR and IT departments and technical services report to director Stefan Goethaert in his capacity as COO Business and Group Services. In addition, he will continue to manage the production activities at Fine Food Colruyt Group as well as the Retail Services (Quality, Price, Private Label). The group strives for maximum continuity of business operations, in terms of both organisation and long-term strategy.

The Board takes this opportunity to sincerely thank Marc Hofman for leading the operations of all retail formulas through challenging market conditions and for his much appreciated contribution to shaping the future strategy of the Group's retail activities.

2.2. Management Committee – as at 01/04/2022

• Jef COLRUYT Managing Director and CEO
• Jo WILLEMYNS COO Food Retail and Marketing Services
• Stefan GOETHAERT COO Fine Food, Business and Group Services
• Stefaan VANDAMME CFO
• Chris VAN WETTERE General Manager Colruyt Lowest Prices
• Bart DE SCHUTTER General Manager Colruyt France (integrated and affiliated stores)
• Christophe DEHANDSCHUTTER General Manager OKay
• Johan VERMEIRE General Manager Retail Partners Colruyt Group (RPCG) and Foodservice
• Dieter STRUYE General Manager Non-food Retail
• Liesbeth SABBE Manager People & Organisation, Operate & Improve and Learning & Development
• Peter VANBELLINGEN IT Manager
• Koen BAETENS Manager Technics, Real Estate and DATS 24

2.3. Future Board – as at 01/04/2022

In addition to the above-mentioned Management Committee members, the following (deputy) managers also participate in the Colruyt Group Future Board:

• Geert ROELS Purchasing Manager Colruyt Lowest Prices
• Guy ELEWAUT Marketing Manager Colruyt Lowest Prices
• Koen DE VOS Supply Chain Manager Colruyt Lowest Prices
• Fabrice GOBBATO Sales Manager Colruyt Lowest Prices
• Rudi DEWULF Deputy Sales Manager Colruyt West Colruyt Lowest Prices
• Jean-Christophe BURLET Deputy Sales Manager Colruyt Centre-West Colruyt Lowest Prices
• André GIGLIO Deputy Sales Manager Colruyt South-East Colruyt Lowest Prices
• Geert GILLIS Deputy Sales Manager Colruyt Centre-North Colruyt Lowest Prices
• Guido SORET Sales Manager RPCG
• André CERON Deputy Manager Logistics RPCG
• Gunther UYTTENHOVE Manager Colruyt Group Fine Food
• Wim MERTENS Deputy Manager Social Relations People & Organisation
• Antonio LOPEZ GUTIERREZ Deputy Sales Manager Colruyt Prix Qualité (integrated stores)
• Anthony MEILLER Deputy Manager Codifrance (affiliated stores)

Sustainable corporate governance

1. Sustainable corporate governance statement

1.1. Reference code

Pursuant to the Royal Decree of 12 May 2019, designating the corporate governance code to be complied with by listed companies, all Belgian listed companies must follow the Belgian Code on Corporate Governance 2020 (1) as a reference code within the meaning of Article 3:6, § 2,4 of the Code on Companies and Associations. The Company follows this Belgian Code on Corporate Governance 2020 as its mandatory frame of reference for sound/sustainable management governance in Colruyt Group.

The updated Code on Companies and Associations has been in force since 1 May 2019 and applies to all Belgian companies. In October 2020, the Extraordinary General Meeting of Etn. Fr. Colruyt NV approved the aligning of the Company's articles of association with the updated Code. The articles of association of all other group companies will be adjusted to the new Code on Companies and Associations no later than 1 January 2024.

The transposition into Belgian law of Directive 2017/828/EU of the European Parliament and of the Council of 17 May 2017 amending Directive 2007/36/EC on the promotion of long-term involvement of shareholders and containing various provisions regarding companies and associations was adopted on 28 April 2020 and came into force on 6 May 2020. The new provisions regarding the remuneration report and remuneration policy will apply to the Company as from the 2020/21 financial year. The remuneration policy was approved for the first time at the

General Meeting of 29 September 2021 and is valid for four years.

The corporate governance statement contains the information in line with the Code on Companies and Associations and the provisions of the 2020 Code. For positions during the 2021/22 financial year that are not in line with the 2020 Code, the reasons for deviating from the 2020 Code have been stated by the Board. We give below the following disclosures and deviations from the principles and provisions of the Belgian Code on Corporate Governance 2020 as applicable to listed companies. Most of the deviations are due to the fact that the Colruyt family is the main reference shareholder of Colruyt Group. The Colruyt family wants to concentrate fully on guiding all companies of the group and wants to propagate in them the values of sustainability and sustainable entrepreneurship. In addition, the reference shareholder places stability and longterm vision above short-term profit.

• Principle 1 For managing the Company, the Board has opted to continue the existing one-tier board model, consisting of a Board of Directors that can perform all actions with the exception of those reserved for the General Meeting. The Board of Directors has delegated part of its decisionmaking powers to a managing director for operational implementation. Every five years, the Board will conduct a thorough reflection on the governance structure.
• Principle 2 The powers of the members of the Management Committee, other than the CEO, are determined by the

CEO and not by the Board of Directors. This deviation from provision 2.19 of the 2020 Code is explained by the fact that the members of the Management Committee exercise their duties under the leadership of the CEO, to whom day-today management and additional specific powers have been delegated by the Board of Directors.

• Principle 3 In line with the long-standing tradition of Colruyt Group, Jef Colruyt is simultaneously Managing Director, Chairman of the Board of Directors and Chairman of the Colruyt Group Management Committee and the Future Board. This departure from provision 3:1 of the 2020 Code is justified in the light of the history of Colruyt Group and the desire of the reference shareholders to entrust the leadership of the Management Committee to one of their own. Where appropriate, strict application of the conflict of interest rules protects all shareholders from any abuse. In addition, within the Board of Directors the Chairman applies the rule of a unanimous vote for every decision or investment with material consequences for the future of the group.
• Principle 3 At the end of financial year 2021/2022, the Board of Directors is composed of one executive director and seven non-executive directors, three of whom are independent directors. The three independent directors meet the independence criteria as set out in the 2020 Code and the Code on Companies and Associations. The Board of Directors believes that any increase in the number of members should be accompanied by an enrichment in experience and skills, without jeopardising its efficient operation.

(1) https://www.corporategovernancecommittee.be/en/about-2020-code

Since the Board functions and takes its decisions as a collegial body, only the general attendance rate of the Board and its committees is given, with no information about the attendance rate of each director individually.

The Board does not consider it opportune for the nonexecutive directors to meet annually without the CEO, because Jef Colruyt, in his capacity as executive director, is both Chairman of the Board of Directors and Chairman of the Colruyt Group Management Committee, and therefore has contacts with directors and senior management as well as access to the documentation and records of all bodies.

• Principle 4 The Board of Directors has appointed an Audit Committee composed of one independent and two nonexecutive directors. Based on the current composition of the board, as well as the various skills present, this composition is optimal for the efficient operation of this committee.
• Principle 4/5 Notwithstanding provision 4.19 of the 2020 Code, the Board of Directors has not established an Appointments Committee. Appointments therefore remain the responsibility of the entire Board of Directors. Prospective directors are proposed to the General Meeting by the entire Board of Directors. Managers are appointed at the proposal of the Chairman of the Management Committee, with the approval of the entire Board of Directors. The limited number of directors means that this procedure works perfectly well.
• Principle 7 The Board of Directors has opted not to grant share-related payments to directors or executive management. Non-executive directors do not receive remuneration in the form of shares of the company and members of the executive management are not required to hold a minimum threshold of shares in the company. The group wishes in this way to avoid any form of speculative behaviour.

This deviation from provisions 7.6 and 7.9 of the 2020 Code is justified, since the Board of Directors has a dual role in our one-tier board model, which is to support entrepreneurship on the one hand and to ensure effective supervision and control on the other. To avoid the granting of shares to nonexecutive directors increasing the likelihood of a conflict of interest, these persons do not receive performance-related remuneration or share-related compensation. The Board of Directors is of the opinion that the directors and executive management are sufficiently focused on sustainable longterm value creation.

With regard to provision 7.12 of the 2020 Code, the Board of Directors has decided for the time being not to avail of the option to reclaim variable compensation paid or to withhold payment of the same, as considerable uncertainty remains as to the legal validity and enforceability under Belgian law of a right of recovery of variable remuneration in favour of the company.

The Board of Directors will reassess the outlines of the remuneration policy, including the share-based compensation, on an annual basis.

• Principle 9 With a view to the efficient and effective functioning of its governing bodies, the Board evaluates its own performance as well as that of the committees on a continuous basis. To ensure their commitment and constructive involvement in decision-making, the performance of the directors is also evaluated on an ongoing basis.
• Pursuant to the new Code on Companies and Associations, the articles of association may provide for double voting rights for registered shares that have been held by the shareholder for a minimum of 2 years. In view of their administrative complexity, the Board of Directors has decided not to propose double voting rights at this stage.

1.2. Corporate Governance Charter

1.2.1. General Shareholders' Meeting

The annual General Meeting of Shareholders takes place on the last Wednesday of the month of September at 16h00 at the registered office. If this day is a public holiday, the meeting will be held on the next working day.

The Board of Directors and the auditor may convene the General Meeting and set the agenda.

The General Meeting must also be convened within three weeks of the request, written or otherwise, of shareholders who together represent at least one tenth of the capital.

All General Meetings are convened in accordance with the law.

One or more shareholders who together hold at least 3% of the capital, and who satisfy the statutory formalities to participate in the meeting, may have items placed on the agenda of the meeting and submit motions.

The formalities for having agenda items and proposals registered must take place in accordance with the statutory requirement and must be made known to the company no later than the 22nd day before the meeting.

Each share entitles its owner to one vote. In order to be admitted to the meeting, before the opening of the meeting, each owner of shares must provide proof of his capacity as shareholder by having his shares registered in the books, at the latest on the registration date, and he must also inform the company in writing of his intention to participate in the meeting, at the latest on the sixth day before the date of the meeting.

The shares are either registered or dematerialised. The registered shares are entered in the company's register of shareholders. In accordance with Article 7:35 of the Code on Companies and Associations, dematerialised shares must be registered in an account of a recognised account holder or settlement institution.

Shareholders vote in person or by proxy. The proxy must be appointed in accordance with article 28 of the articles of association. Each proxy must have satisfied the conditions for being admitted to the meeting. Except in the cases provided for by law, a shareholder may only appoint one person per meeting as proxy.

Shareholders who satisfy the legal and statutory formalities for admission to the meeting, as stipulated in article 27 of the articles of association, may put their questions in writing at the company's registered office or electronically, as soon as the notice of the meeting is published and no later than the sixth day before the start of the meeting. This right to put questions is regulated by article 32 of the articles of association.

The Board of Directors may decide to organise the General Meeting in a digital format. If necessary, the Board will explicitly state this in the notice convening the meeting. The Company will then make available to the shareholders an electronic means of communication through which the remote shareholders can participate directly, simultaneously and without interruption in the discussions and deliberations of the General Meeting, and through which they can also exercise their rights to vote and to put questions. The Board of Directors may impose additional conditions on the electronic means of communication used, with the sole objective of guaranteeing the security of the means of communication.

The General Meeting may not deliberate on items that are not on the agenda.

1.2.2. Board of Directors

COMPOSITION

The composition of the Board of Directors is the result of the structure of the share ownership of the company, in which family shareholders are reference shareholders. As evidenced by the past, the family shareholders ensure the stability and continuity of the company, and thus protect the interests of

all shareholders. They choose to propose a limited number of representatives with diverse backgrounds, extensive experience and sound knowledge of the company as directors. The directors form a small team with the necessary flexibility and efficiency to be able to adapt constantly to market events and opportunities.

There are no rules in the articles of association regarding the appointment of the directors and the renewal of their appointments. However, the Board of Directors has decided to nominate candidates for terms of no more than four years, which may or may not be renewed.

The General Meeting has the exclusive right to appoint the directors.

Directors can be dismissed ad nutum, but the General Meeting can, on dismissing them, grant a severance payment or notice period.

Since March 2019, three independent directors have been active on the Board. The Board of Directors believes that an increase in the number of members should be accompanied by an enrichment in skills and experience supporting the development of Colruyt Group. At the end of financial year 2021/22, the Board of Directors is composed of one executive director and seven non-executive directors, three of whom are independent directors.

In line with the long-standing tradition of Colruyt Group, Jef Colruyt is both Chairman of the Board of Directors and Chairman of the Colruyt Group Management Committee and the Future Board. This departure from the recommendations of the Belgian Corporate Governance Code 2020 is justified in the light of the history of Colruyt Group and the desire of the reference shareholders to entrust the leadership of the Management Committee to one of their own.

FUNCTIONING OF THE BOARD OF DIRECTORS

The Board of Directors meets every quarter according to a predetermined schedule. Meetings are always held in September, December, March and June. When necessary, interim meetings are held to discuss specific subjects or to make decisions within specific time frames.

The Board of Directors may only take valid decisions if at least half of the members of the board are present or represented. All decisions of the Board of Directors are taken by an absolute majority of votes. In the event of a tie, the vote of the Chairman is decisive.

During the quarterly meetings of the Board of Directors, opinions are exchanged and decisions are taken on general strategic, cultural, economic, commercial, financial and accounting matters concerning the companies that belong to the group. This is done on the basis of a dossier, which, in addition to the consolidated information on Colruyt Group, also contains extensive information on each of the activities of the group and its various companies, as well as on the application of the sustainability policy. Fixed items on the agenda include the discussion and approval of the annual and half-yearly results and their publication, the financial outlook, investment prospects, investment dossiers and the discussion of the activity reports per sector of Colruyt Group. All directors are invited, on a regular basis, to report on their activities or management and, if necessary, to report on the progress of

the sustainability projects. The board discusses the findings as discussed in the Audit and Remuneration Committees and decides on their recommendations. The directors receive their dossiers at least five days prior to the meeting.

COMMITTEES WITHIN THE BOARD OF DIRECTORS

The Board of Directors has had an Audit Committee since September 2006. This committee liaises with the group's Management Committee and the auditor. Since the 2019/20 financial year, the Audit Committee has included, as independent director within the meaning of Article 7:87 of the Belgian Code on Companies and Associations, Fast Forward Services BV (with Ms Rika Coppens as its permanent representative). Ms Coppens has many years' experience in general and financial management and holds independent directorships in other companies.

All members of the Audit Committee possess the necessary experience and financial knowledge to be able to properly fulfil their role. In general, the role of the Audit Committee is to supervise the correctness of the quantitative (accounting and financial) information of Colruyt Group for the Board of Directors, the shareholders and third parties from the financial world and to report its findings in this respect to the Board of Directors. The operation of the Audit Committee is also discussed in point 2 of this Corporate Governance chapter. The members of the Audit Committee receive no special remuneration as members of this committee.

The Board of Directors has also had a Remuneration Committee since September 2011. The Remuneration Committee fulfils the roles described in Article 7:100 § 5 of the Code on Companies and Associations regarding remuneration policy (in the broadest sense) for directors and members of the Management Committee. The Remuneration Committee also prepares the remuneration report for the Board of Directors each year. After approval by the entire board, this remuneration report is added to the corporate governance statement. The explanation of the remuneration report for the General Meeting of Shareholders, as well as its communication to the Works Council, also come under the responsibility of the Remuneration Committee.

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The members of the Remuneration Committee receive no special remuneration as members of this committee.

Both the Audit Committee and the Remuneration Committee have fulfilled their tasks on the basis of the internal regulations, which can be consulted on our website colruytgroup.com/ en/invest/stakeholder-information. At the quarterly meetings of the Board of Directors, both committees report on their findings and present their recommendations to the Board of Directors for approval. Every two years, both committees review their internal operations on the basis of an informal evaluation, and report on this to the Board of Directors.

In view of the small number of members of the Board of Directors, there is currently no Appointments Committee.

REMUNERATION

There is no protocol regarding the performance of the role of director. It is not customary to grant loans or advances to directors. Directors do not receive bonuses or share-related incentive programmes, or benefits in kind or benefits attached to a pension plan. In his capacity as CEO the managing director receives the same remuneration elements and benefits as the remaining executive management of Colruyt Group. The remuneration of the directors and CEO (individually) and members of the Management Committee (collectively) are published in the remuneration report under point 2.5.

1.2.3. Day-to-day management

The day-to-day management of the company is in the hands of managing director Jef Colruyt, who in turn delegates a number of powers internally.

Under the chairmanship of Jef Colruyt, the Colruyt Group Management Committee consists of the general managers of the various commercial and production activities of the group and the managers of the support services. The Colruyt Group Management Committee determines general strategy and policy options at group level and coordinates the group's various activities and corporate services. The General Future Board consists of all managers of Colruyt

Group. As a consultation and contact platform, it focuses primarily on the group's long-term development and consults on Colruyt Group's common vision and objectives. Management Committee and Future Board meetings are scheduled at fixed intervals, every four and eight weeks respectively, and are chaired by Jef Colruyt, Chairman of the Management Committee.

In 2022, we adjusted the organisational structure and the resulting internal consultative bodies in order to meet even better changing customer needs in our rapidly evolving society. In order to help shape the group's strategy, regular consultation bodies on business development, architecture, roadmap & portfolio and rewards & succession as well as on the capabilities of the group have been introduced. A plateau meeting is also held monthly to work out the overall tactical coordination of all retail activities. Furthermore, within the organisation we have defined a number of concrete disciplines in which we wish to continue to grow in the coming years, build up expertise and offer a group-wide sustainable product range. These disciplines are Food, Non-Food, Energy and Health, with the retail network and Xtra's digital services as common channels. Strategic Future Boards are held periodically for each vertical field and its group-wide internal support services. All consultative bodies are always chaired by a Management Committee manager.

Finally, there are also fortnightly/monthly management meetings, chaired by the general managers, with the managers of the various activities and corporate services. It is here that the practical implementation of the chosen policy options takes place.

Each manager listed as a member of the Future Board, is required, separately within his/her department, to ensure compliance with all statutory, regulatory, organisational and contractual provisions and bears responsibility in the event of a breach.

With the exception of Jef Colruyt, the members of the Colruyt Group Management Committee are bound to their employer by contracts of employment.

1.2.4. Diversity policy

Colruyt Group carefully applies Article 3:6 (§2.6° and §4) of the Code on Companies and Associations regarding information on the diversity policy pursued. In general terms, an equality principle is applied within Colruyt Group, whereby each employee is selected and coached in their career based on factors such as competencies, talents and skills. As a result, our diversity policy forms part of our DNA and emanates from our core value 'respect'. The group is convinced that diversity of employees (including in terms of age, gender, cultural and professional background) is an absolute asset for a fresh, agile and growing company. A company which also operates in a society characterised by diversity. We endeavour to display this throughout the organisation, including in the management teams. Aiming for teams that are as diverse as possible at all levels of management raises the quality of leadership and therefore inherently contributes to the realisation of the group's strategy.

The Board of Directors of the Company consists of representatives with sufficient diversity of backgrounds, competences and experience, who support the development of Colruyt Group. In this way, the board members representing the family shareholders can present a thorough knowledge of the company. Director Jef Colruyt has held several roles in the company since 1984, becoming Chairman of the Board of Directors at the end of 1994 and since then managing the entire operation as CEO. Director Wim Colruyt has an IT-technical background and is well versed in business architecture. Finally, director Hilde Cerstelotte is an expert in the field of work simplification. Directors Frans Colruyt and Dries Colpaert have played active roles within the group in the past. As COO Retail, Frans Colruyt has managed all retail activities in the group, while Dries Colpaert has headed up the retail and foodservice activities in France. The independent directors can also present solid credentials. As CEO, Chantal De Vrieze is at home in general management and the IT world. Rika Coppens also has CEO experience both in retail and in HR services, and also brings comprehensive financial expertise. And Dirk Van den Berghe has extensive knowledge of retail, having led the general management of retail chains both in Belgium and internationally.

The Council also scores well on gender diversity. Today the Board of Directors has three female directors: (i) Hilde Cerstelotte, permanent representative of Korys Business Services I NV, (ii) independent director Chantal De Vrieze, permanent representative of 7 Capital SPRL, and (iii) independent director Rika Coppens, permanent representative of Fast Forward Services BV. In this way, the board complies with article 7:86 of the Code on Companies and Associations which stipulates that, from 2017, at least one third of the members of the Boards of Directors of listed companies must be of a different gender than that of the other members. Since October 2015, the Management Committee has one female member.

More detailed information about diversity in Colruyt Group and the non-financial information which must be reported can be found under 'Who are we?' and 'Corporate Sustainability'.

1.2.5. Appropriation of profit - dividend policy

At the proposal of the Board of Directors, the General Meeting may decide to allocate the distributable profit entirely or partially to a free reserve or to carry it forward to the following financial year.

The Board of Directors aims to allow the dividend per share to evolve on an annual basis in proportion to the group profit. Although this is not a fixed rule, and subject to the company

posting a positive result, at least one third of the economic group profit is paid out annually.

According to the articles of association, at least 5% of the net profit for appropriation must be allocated to the statutory reserve fund. This deduction is no longer mandatory within the limits determined by law. At least 90% of the balance (excluding the employee profit sharing) is reserved for the shareholders and a maximum of 10% for the directors.

1.2.6. Shareholders / Shares

TRANSPARENCY NOTIFICATION

Every shareholder who holds at least 5% of the voting rights must comply with the Act of 2 May 2007 on the disclosure of significant holdings, the Royal Decree of 14 February 2008 and the Code on Companies and Associations.

The statutory thresholds per 5% bracket apply. To this end, those concerned must send a notification to the Financial Services and Markets Authority (FSMA) and to the Company.

The most recent transparency notification received is always published in the Company's annual report and on the website at colruytgroup.com/en/invest/stakeholder-information.

The most recent transparency notification shows that a reference shareholder group exists within the share ownership structure. The Korys companies and the Colruyt family and relatives (and together with Colruyt Group) are shareholders acting in consultation. These shareholders have also reported that they hold more than 30% of the issued securities with voting rights, on the basis of the Act of 1 April 2007 on public takeover bids. The mutual consultation agreement between Korys, the Colruyt family and relatives and Colruyt Group on the one hand and Sofina NV on the other expired at the end of September 2021. This does not affect the mutual consultation agreement between Korys, the Colruyt family and relatives and Colruyt Group.

INSIDE INFORMATION - MEASURES TO PREVENT MARKET ABUSE AND THE USE OF INSIDE INFORMATION

Etn. Fr. Colruyt NV has drawn up trading regulations containing measures to prevent market abuse and the use of inside information. These regulations were adapted further to the Market Abuse Regulation (MAR), which came into force on 3 July 2016.

With regard to transactions for their own account in shares of the Company or in derivatives or other related financial instruments by directors and other persons with executive responsibilities, the Board of Directors of Etn. Fr. Colruyt NV has drawn up a series of rules regarding the execution of such transactions and their disclosure (referred to below as the 'trading regulations').

The trading regulations apply to the members of the Board of Directors, the members of the Management Committee and all key employees of Etn. Fr. Colruyt NV and its subsidiaries (hereinafter referred to as "insiders"), who, owing to their position or employment at Colruyt Group, have regular or occasional access to prior information as a result of their participation in operations involving price-sensitive information. It is absolutely forbidden for insiders of Etn. Fr. Colruyt NV and its subsidiaries to engage in insider trading or to share this inside information with others.

Etn. Fr. Colruyt NV has appointed an internal supervisor responsible for monitoring compliance with these trading regulations. Unless otherwise announced, the supervisor is the Secretary of the Board of Directors. His tasks include drawing up and maintaining a list of insiders, co-watching over closed and restricted periods, checking transactions, granting clearances, etc. Etn. Fr. Colruyt NV has specified a number of periods during which transactions in financial instruments are prohibited. The periods in which no trading of shares may take place are determined by the CFO. In addition, the supervisor may insert additional restricted periods during all other periods which are regarded as sensitive, when people have knowledge of sensitive information which has not yet been published. Insiders are alerted regularly (in writing) to the existence of closed and restricted periods and the statutory and administrative obligations connected to them relating to the abuse or unlawful distribution of this confidential information.

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For members of the Board of Directors, the Management Committee and those closely associated with them, the trading regulations contain an additional requirement to inform the supervisor at all times before they intend to acquire or dispose of financial instruments, directly or indirectly. Once the transaction has been concluded, the directors and members of the Management Committee must also inform the supervisor of this in writing.

All persons with executive responsibility within Etn. Fr. Colruyt NV and its subsidiaries and, if applicable, those closely associated with these persons, must inform the Company and Financial Services and Markets Authority (FSMA) of transactions executed in their name (or on their behalf) in shares, derivatives or other related financial instruments of the Company. They can also request the supervisor of the Company to fulfil the notification obligation to the FSMA in their place.

Finally, in accordance with the Act of 2 August 2002, the Royal Decree of 5 March 2006 and the MAR of 3 July 2016, Etn. Fr. Colruyt NV maintains lists of employees or persons who work for it or its subsidiaries under an employment contract or similar arrangement, and who have regular or sporadic access to prior information in one way or another, due to their participation in an operation involving pricesensitive information. Each person whose name is on the list(s) is informed of this and is apprised of the Group's trading regulations. In this way they acknowledge that they are aware of their insider status and conscious of the related statutory and administrative obligations associated with this inside information.

1.2.7. Information for shareholders

All useful information for shareholders is published on our website at colruytgroup.com/en/invest/stakeholderinformation. Any interested persons may register with the Company to be informed automatically by e-mail alerts whenever the website is updated or when new financial information is published on the website.

2. Events during the financial year

2.1. Audit Committee

Since the end of September 2020, the Audit Committee has been chaired by Rika Coppens, permanent representative of Fast Forward Services BV. Non-executive directors Wim Colruyt, permanent representative of Korys Business Services III NV, and Dries Colpaert, permanent representative of Korys NV, are the other permanent members of the committee.

An update of the internal regulations of the Audit Committee was published during the past financial year on colruytgroup. com/en/invest/stakeholder-information.

Chaired by Rika Coppens, the Audit Committee met on 4 June 2021, 17 September 2021, 3 December 2021 and 18 March 2022. Owing to the COVID-19 epidemic, all meetings could also, where necessary, be followed via video conference. All members of the committee were present at every meeting with the exception of 1 absentee during the 18 March 2022 meeting.

On each occasion, the figures in the working document for the meeting of the Board of Directors were examined in detail and explained by the finance department. The auditor is invited to attend all meetings and also presents his audit approach and his findings from the audit of the half-yearly and annual results. The Risk Management Cell (internal audit) of Colruyt Group also drafted a quarterly report for the Audit Committee on each occasion. Members of the Consolidation Department are also present to explain the accounting treatment of participations and new companies in the consolidation scope, as well as the application of new IFRS standards. The findings and

recommendations of the Audit Committee are a fixed item on the agenda of Board meetings.

2.2. Remuneration Committee

The Remuneration Committee was formed in September 2011. Independent director Chantal De Vrieze, permanent representative of 7 Capital SRL, has taken over the chairperson role since the end of September 2021 from Astrid De Lathauwer. Non-executive director Hilde Cerstelotte, permanent representative of Korys Business Services I NV, and independent director Dirk Van den Berghe, permanent representative of Dirk Van den Berghe BV, join her as permanent members of the Remuneration Committee.

The Remuneration Committee published during the past financial year an update of its internal rules on our website at colruytgroup.com/en/invest/stakeholder-information. The Remuneration Committee held its regular meetings on 4 June 2021 and 17 September 2021 with Astrid De Lathauwer in the chair. On 3 December 2021 and 18 March 2022, the Committee met with Chantal De Vrieze in the chair. The attendance rate at each meeting was 100%. Owing to the COVID-19 epidemic, all meetings could also, where necessary, be followed via video conference.

The main objective of the meetings was to define, formalise and evaluate the general group remuneration policy at the proposal of the Chairman of the Management Committee of Colruyt Group. The fixed and variable remuneration components for the CEO (Jef Colruyt) and the entire Management Committee were also discussed by the Committee.

The Committee also formulated proposals concerning the remuneration of the members of the Board of Directors. The proposed resolutions of the committee are submitted for approval to the Board of Directors. The result of all this work is also recorded in a Remuneration Report that is published in full under item 2.5. The final version of this report was finalised during the Remuneration Committee meeting of 3 June 2022. The general principles of the remuneration policy, as provided for by law, were first approved at the General Meeting of 29 September 2021.

The Compensation & Benefits unit of the People & Organisation department assisted the Committee at each meeting.

2.3. Meetings of the Board of Directors

The Board of Directors held its four ordinary quarterly meetings during this financial year, on 10 and 11 June 2021, 23 and 24 September 2021, 9 and 10 December 2021 and 24 and 25 March 2022. The main discussion points at the meetings were the evolution of the performance of the group's various store formats and trading activities. Owing to the COVID-19 pandemic, board meetings were held partly at headquarters and partly via video conference.

The March 2022 board meeting was able to take place in the normal way at the new distribution centre at Gondreville (Nancy, France). The June and December meetings were preceded by half a day of information on the half-yearly and annual results presented by the finance department. The average attendance rate of directors at the aforementioned ordinary quarterly meetings can be summarised as follows: 100% in June and September 2021, 94% in December 2021 and 97% in March 2022.

Furthermore, the board held additional meetings on 28 May 2021 and 5 July 2021 to discuss the project to acquire shares in Newpharma Group (Newpharma Project - cf. item 2.3.1.). During the 5 July 2021 meeting, the intra-group conflict of interest procedure of Article 7:97 of the Code on Companies and Associations was applied.

Finally, the board also held an additional board meeting on 2 February 2022, applying the intra-group conflict of interest procedure of Article 7:97 of the Code on Companies and Associations, to approve the Smartmat transaction (Smartmat Project – cf. item 2.3.1.). All non-conflicted directors were present during these meetings.

Other than the remuneration and variable pay of Jef Colruyt and the Newpharma and Smartmat projects (cf. item 2.3.1. below), no other situations of possible conflicts of interest were reported by the directors. The fixed and variable remuneration of Jef Colruyt as a member of the Management Committee was discussed and finalised by the Remuneration Committee and approved by the Board of Directors, each time in the absence of the person concerned, who did not participate in the deliberations or the decision. The result of these decisions is described in the Remuneration Report.

Finally, in the light of the mission and values of the group, at all meetings, the board evaluated the internal cooperation but also the interactions with the Audit and Remuneration Committees on a permanent basis.

2.3.1. Transactions with application of the conflict of interest rules

2.3.1.1. Newpharma Project – Extract from the minutes of the Board of Directors meeting of 5 July 2021, with the decision of the committee of three independent directors – application of Art 7:97 of the Code on Companies and Associations

1 COMPOSITION OF THE MEETING

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The following directors are present at the meeting: ADL CV (permanently represented by Astrid De Lathauwer); Fast Forward Services BV (permanently represented by Rika Coppens); and 7 Capital BV (permanently represented by

Chantal De Vrieze). The directors present establish that the following directors are not present at the meeting: Jef Colruyt, chairman; Korys NV (permanently represented by Dries Colpaert); Korys Business Services I NV (permanently represented by Hilde Cerstelotte); Korys Business Services II NV (permanently represented by Frans Colruyt); and Korys Business Services III NV (permanently represented by Wim Colruyt). Mr Kris Castelein is present in his capacity as secretary of the Board of Directors. Mr. Charles-Antoine Leunen (Linklaters LLP) is present in his capacity as legal adviser.

2 AGENDA

• (i) Hearing the advice (the "Advice") of the committee of independent directors established in accordance with Article 7:97 of the Code on Companies and Associations (the "CCA" and the "Committee") regarding the possible conclusion of (i) an agreement to acquire shares in Newpharma Group NV ("Newpharma") and of a shareholder loan from the sellers of the aforementioned shares (the "Acquisition Agreement") and (ii) a shareholders' agreement with Korys Investments NV ("Korys Investments" and the "Shareholders' Agreement").
• (ii) Discussion and vote on the approval of the Acquisition Agreement.
• (iii) Discussion and vote on the approval of the Shareholders' Agreement.
• (iv) Hearing the assessment of the supervisory director pursuant to Article 7:97 CCA.
• (v) Approval of disclosure pursuant to Article 7:97, §4/1 CCA.
• (vi) Power of attorney to sign the Acquisition Agreement and the Shareholders' Agreement.

3 BACKGROUND

.

The Company owns 26% of the shares in Newpharma. Korys Investments, a subsidiary of the parent company of the Company within the meaning of Article 1:15 CCA and thus a related party of the Company within the meaning of IFRS, owns 39% of the shares in Newpharma. The remaining 35% of the shares in Newpharma are owned by a group of minority shareholders (together the "Remaining Shareholders").

The Company and Korys Investments now intend to acquire the Remaining Shareholders' stake in Newpharma for an aggregate amount of EUR 72.087.572,75, which may rise to a total amount of up to EUR 82.223.384,07, by concluding the Acquisition Agreement. Furthermore, under the Acquisition Agreement, the Company will take over claims held by the Remaining Shareholders against Newpharma in an aggregate amount of EUR 2.751.375,00, of which EUR 2.750.000,00 in principal and EUR 1.375,00 in interest (the "Receivables") (together with the acquisition of the shares, the "Acquisition").

Upon completion of the Acquisition, the Company will hold 61% of the shares in Newpharma and Korys Investments 39%. It is furthermore the intention of the Company and Korys Investments to regulate their mutual relationship as shareholders in Newpharma after closing of the Acquisition in the Shareholders' Agreement.

On 28 May 2021, the Board of Directors established the Committee to review and advise the Board of Directors on the terms and conditions of the Acquisition Agreement and of the Shareholders' Agreement, pursuant to Article 7:97 CCA. The Board of Directors thus establishes that the procedure prescribed by article 7:97 CCA has been fully complied with.

4 CONFLICT OF INTEREST

The directors present take note of the fact that (i) Korys NV (with Dries Colpaert as permanent representative), (ii) Jef Colruyt, (iii) Hilde Cerstelotte, (iv) Frans Colruyt and (v) Wim Colruyt are each (indirectly) shareholders in Korys Investments. Consequently, (a) Korys NV and Jef Colruyt have, in their capacity as directors, and (b) Hilde Cerstelotte, Frans Colruyt and Wim Colruyt have, in their capacity as permanent representatives of directors Korys Business Services I NV, Korys Business Services II NV and Korys Business Services III NV, an interest of a patrimonial nature that conflicts with the interest of the Company within the meaning of Article 7:96 CCA. Korys NV, Jef Colruyt, Hilde Cerstelotte, Frans Colruyt and Wim Colruyt have thus each declared that they will not participate in the deliberation or voting on the items on the agenda.

The directors present establish that they can validly deliberate and resolve on all items on the agenda, as stipulated in article 18 of the Company's articles of association. .

5 DELIBERATION AND DECISIONS

After having taken note of the background and the conflicts of interest of Korys NV, Jef Colruyt, Hilde Cerstelotte, Frans Colruyt and Wim Colruyt, the directors present take note of the Advice and of the decision formulated by the Committee as follows:

"Given the above considerations, the Committee is of the opinion that the Transaction is not obviously unlawful in nature and that it is unlikely that the Transaction would lead to disadvantages for the Company that are not offset by benefits gained by the Company from the Transaction. The Committee therefore advises favourably on the proposed Transaction."

After deliberation on the terms and conditions of the Acquisition Agreement, the directors present unanimously resolved to approve the conclusion of the Acquisition Agreement by the Company. After deliberating on the terms and conditions of the Shareholders' Agreement, the directors present unanimously resolved to approve the conclusion of the Shareholders' Agreement by the Company.

Furthermore, the directors present have taken note of the assessment presented by the auditor pursuant to Article 7:97 CCA, which reads as follows: "Based on our assessment, conducted in accordance with the International Standard on Review Engagements 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the entity", nothing has come to our attention that causes us to believe that the accounting and financial data included in the minutes of the Board of Directors of 5 July 2021 and in the advice of the independent directors of 5 July 2021, both prepared in accordance with the requirements of Article 7:97 of the Code on Companies and Associations, might contain material inconsistencies compared to the information available to us in the course of our engagement. We do not express an opinion on the suitability or expediency of the transaction, nor on whether the transaction is lawful and fair ("no fairness opinion")."

Furthermore, the directors present have taken note of the draft disclosure that the Company must publish pursuant to Article 7:97, §4/1 CCA, in the form as submitted to the Board of Directors. The directors present unanimously resolved to approve this publication.

The directors present have also unanimously resolved to grant power of attorney to Stefaan Vandamme, Pieter-Jan Vandevelde and Ruben Brandt to sign the Takeover Agreement and the Shareholders' Agreement, and to take any further action and sign any documents that are necessary or useful in this connection.

In accordance with Article 7:97, §4 of the Code on Companies and Associations, we also refer to the press release published on 8 July 2021, which can be consulted on our website colruytgroup.com/en/invest/financial-press-releases.

2.3.1.2. Smartmat Project – Extract from the minutes of the Board of Directors meeting of 2 February 2022, with the decision of the committee of three independent directors – application of Art 7:97 of the Code on Companies and Associations

1 COMPOSITION OF THE MEETING

The following directors are present at the meeting: Dirk JS Van den Berghe VOF (permanently represented by Dirk Van den Berghe); Fast Forward Services BV (permanently represented by Rika Coppens); and 7 Capital BV (permanently represented by Chantal De Vrieze). The directors present establish that the following directors are not present at the meeting: Jef Colruyt, chairman; Korys NV (permanently represented by Dries Colpaert); Korys Business Services I NV (permanently represented by Hilde Cerstelotte); Korys Business Services II NV (permanently represented by Frans Colruyt); and Korys Business Services III NV (permanently represented by Wim Colruyt). Mr Kris Castelein is present in his capacity as secretary of the Board of Directors. Mr. Charles-Antoine Leunen (Linklaters LLP) is present in his capacity as legal adviser.

2 AGENDA

• (i) Hearing the advice (the "Advice") of the committee of independent directors established in accordance with Article 7:97 of the Code on Companies and Associations (the "CCA" and the "Committee") regarding the possible conclusion of (i) an agreement to acquire shares in Smartmat NV ("Smartmat NV and the "Acquisition Agreement") and (ii) a shareholders' agreement with Korys Investments NV ("Korys Investments") and the other shareholders in Smartmat (the "Shareholders' Agreement").
• (ii) Discussion and vote on the approval of the Acquisition Agreement.
• (iii) Discussion and vote on the approval of the Shareholders' Agreement.
• (iv) Hearing the assessment of the supervisory director in accordance with article 7:97 CCA.
• (v) Approval of disclosure pursuant to Article 7:97, §4/1 CCA.
• (vi) Power of attorney to sign the Acquisition Agreement and the Shareholders' Agreement.

3 BACKGROUND

HThe existing shareholding in Smartmat is as follows: Korys Investments holds 52,59% of the shares, Smartmat's founders (the "Founders") jointly hold 40,62% of the shares and the remaining shareholders (the "Minority Shareholders") jointly hold 6,79% of the shares. The Company is currently not a shareholder of Smartmat.

The Company intends to acquire a total of 1.396 shares in Smartmat, together representing a 41,36% interest, from Korys Investments, the Founders and the Minority Shareholders. The total acquisition price that the Company would pay for these shares amounts to EUR 27.248.328 which Smartmat values at EUR 64.000.000. This preliminary purchase price is to be adjusted based on the net financial debt as at 31 December 2021, once the audited figures for it become available. In addition, the Company, Korys Investments and the Founders intend to regulate their mutual relationship in the Shareholders' Agreement.

On 18 January 2022, the Board of Directors established the Committee to review and advise the Board of Directors on the terms and conditions of the Acquisition Agreement and of the Shareholders' Agreement, pursuant to Article 7:97 CCA. The Board of Directors thus establishes that the procedure prescribed by article 7:97 CCA has been fully complied with..

4 CONFLICT OF INTEREST

The directors present take note of the fact that (i) Korys NV (with Dries Colpaert as permanent representative), (ii) Jef Colruyt, (iii) Hilde Cerstelotte, (iv) Frans Colruyt and (v) Wim Colruyt are each (indirectly) shareholders in Korys Investments. Consequently, (a) Korys NV and Jef Colruyt have, in their capacity as directors, and (b) Hilde Cerstelotte, Frans Colruyt and Wim Colruyt have, in their capacity as permanent representatives of directors Korys Business Services I NV, Korys Business Services II NV and Korys Business Services III NV, an interest of a patrimonial nature that conflicts with the interest of the Company within the meaning of Article 7:96 CCA. Korys NV, Jef Colruyt, Hilde Cerstelotte, Frans Colruyt and Wim Colruyt have thus each declared that they will not participate in the deliberation or voting on the items on the agenda.

The directors present establish that they can validly deliberate and resolve on all items on the agenda, as stipulated in article 18 of the Company's articles of association.

5 DELIBERATION AND DECISIONS

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After having taken note of the background and the conflicts of interest of Korys NV, Jef Colruyt, Hilde Cerstelotte, Frans Colruyt and Wim Colruyt, the directors present take note of the Advice and of the decision formulated by the Committee as follows:

"Given the above considerations, the Committee is of the opinion that the Transaction is not obviously unlawful in nature and that it is unlikely that the Transaction would lead to disadvantages for the Company that are not offset by benefits gained by the Company from the Transaction. The Committee therefore advises favourably on the proposed Transaction."

After deliberation on the terms and conditions of the Acquisition Agreement, the directors present unanimously resolved to approve the conclusion of the Acquisition Agreement by the Company. After deliberating on the terms and conditions of the Shareholders' Agreement, the directors present have unanimously resolved to approve the conclusion of the Shareholders' Agreement by the Company.

Furthermore, the directors present have taken note of the assessment presented by the auditor pursuant to Article 7:97 CCA, which reads as follows: "Based on our assessment, conducted in accordance with the International Standard on Review Engagements 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the entity", nothing has come to our attention that causes us to believe that the accounting and financial data, included in the minutes of the Board of Directors of 2 February 2022 and in the advice of the independent directors of 2 February 2022, both prepared in accordance with the requirements of Article 7:97 of the Code on Companies and Associations, might contain material inconsistencies compared to the information available to us in the course of our engagement. We do not express an opinion on the suitability or expediency of the transaction, nor on whether the transaction is lawful and fair ("no fairness opinion")."

Furthermore, the directors present have taken note of the draft disclosure that the Company must publish pursuant to Article 7:97, §4/ 1 CCA, in the form as submitted to the board of directors. The directors present unanimously resolved to approve this publication.

The directors present have also unanimously resolved to grant power of attorney to Stefaan Vandamme, Pieter-Jan Vandevelde and Ruben Brandt to sign the Takeover Agreement and the Shareholders' Agreement, and to take any further action and sign any documents that are necessary or useful in this connection.

In accordance with Article 7:97, §4 of the Code on Companies and Associations, we also refer to the press release published on 4 February 2022, which can be consulted on our website colruytgroup.com/en/invest/financial-press-releases.

2.4. Remuneration policy

INTRODUCTION

The Remuneration Committee is responsible for assessing and drawing up Colruyt Group's remuneration policy. The Board of Directors decides on the proposals elaborated by the Remuneration Committee. In the event of a material change and at least every 4 years, the remuneration policy is submitted for approval to the General Meeting of Shareholders of Colruyt Group.

The Remuneration Committee makes recommendations regarding the level of the remuneration of directors, including the Chairman of the Board of Directors, as reported in the remuneration report. These recommendations are subject to approval by the entire Board of Directors and subsequently by the General Meeting. The policy as described here was submitted for approval for the first time to the General Meeting of 29 September 2021 and was approved. Given the approval, the policy is valid for the next 4 years, i.e. up to and including the 2024-2025 financial year.

The Remuneration Committee has also submitted recommendations to the Board of Directors for approval regarding the remuneration of the CEO and the COO and, on the recommendation of the Chairman of the Management Committee, with regard to the other members of the Management Committee.

INFORMATION ON THE GENERAL PRINCIPLES OF THE REMUNERATION POLICY

GENERAL PRINCIPLES OF THE COLRUYT GROUP REMUNERATION POLICY

Colruyt Group is a family business with various food and nonfood formulas as well as energy activities, active at home and abroad. At the same time, these different business formulas share a single common identity and culture, which is translated into our mission statement and nine core values. With the Colruyt Group remuneration policy, we are therefore committed to maximally stimulating the group's interests and achieving our strategic objectives. For this reason, the Colruyt Group

remuneration policy starts from the following principles:

• A single group-wide remuneration policy that applies to all employees. In this way, all business formulas are guided by the same guidelines and we strive to stimulate internal job mobility as much as possible across the entire group.
• Everyone shares in the collective result of Colruyt Group. We are committed to a collective variable wage for all employees.
• Fair remuneration for every employee. At Colruyt Group, we strive for a fair salary for every employee linked to his or her responsibilities and work context. We compare each salary package with both the internal and external market to arrive at a fair remuneration.
• We want to honour visible individual performance and growth potential. That is why we focus on various remuneration elements (both financial and nonfinancial).
• Remuneration is more than just salary. At Colruyt Group, opportunities for growth and development, a sustainable context, and a work-life balance, in addition to salary, are an essential part of the total remuneration package.

With its remuneration policy, Colruyt Group strives to contribute to its business strategy, to the realisation of both short and long-term objectives, to promoting sustainable value creation for the company and to safeguarding the group's ability to recruit and retain employees and motivate them on a daily basis.

COMPOSITION OF THE REMUNERATION PACKAGE MANAGEMENT COMMITTEE

The remuneration package consists of two main elements: a basic salary and a variable salary. In order to guarantee fair remuneration to the members of the Management Committee, the remuneration package is compared with that of a relevant basket of companies. The companies whose remuneration practices are consulted include large Belgian companies and foreign companies with significant operations in Belgium, which are sufficiently comparable

to Colruyt Group in terms of size and complexity. The market comparison is intended to aim the gross annual salary, consisting of the basic salary and the variable salary if targets are met, at the median of the market so as to achieve a remuneration package that is sustainable in the long term.

The remuneration package is supplemented by a competitive group insurance policy, and disability and hospitalisation insurance. Added to this is a company car and a fixed expense allowance.

The diagram below shows the relative portions of the fixed salary, the variable salary and the group insurance in the target remuneration package (assuming 100% achievement of the target performance criteria) for the CEO and the members of the Management Committee (excluding CEO). The ratio of fixed salary/variable salary/ group insurance may vary between the members of the Management Committee.

VARIABLE SALARY

In order to establish a direct link between remuneration and performance of both employee and organisation, a significant part of the remuneration package consists of a variable remuneration.

• TARGET LEVEL

The CEO acts as Chairman of the Management Committee. The variable salary, if targets are met, is 85% of the base salary for the CEO, 75% for the COO Retail, 62,5% for the General Manager Colruyt Lowest Prices and the CFO, and 50% for the other Management Committee members.

The responsibilities of the COO Retail were redistributed from 1 April 2022. Starting in the 2022-2023 financial year, the COO Retail will be replaced by the COO Food Retail and Marketing Services on the one hand and the COO Fine Food, Business & Group Services on the other. The target variable salary for these roles is 62,5%. The COO responsibility for Non-food Retail is taken over by the CEO.

• PERFORMANCE CRITERIA

70% of the annual variable remuneration of the CEO and the other Management Committee members is determined according to collective criteria based on the operating profit targets of Colruyt Group. The Board of Directors determines every four years what level of operating profit we set as the target level. In setting this target level, performance relative to other retail companies is also taken into account.

Operating profit as the financial performance criterion reflects Colruyt Group's ambition to create added value in a sustainable way. Any good company needs to generate a profit to continue to grow in a sustainable way. By focusing on profitability, we generate sufficient cash to continue investing in the long term and thus realise our strategy. In order to give priority to the group interest, these performance criteria apply to the entire Management Committee and also form the basis for determining the level of profit sharing for all employees of Colruyt Group Belgium.

The remaining 30% is determined by individual criteria including, in particular:

• − Assisting in defining Colruyt Group's mission & strategy
• − Translation of the group's mission and making the vision, mission, ambition, strategy explicit in the executive's own management area
• − Creating connections centred on mission, ambition and strategy
• − Attention to own development
• − Continuous attention to the creation and development of human potential, including own succession
• − Mentoring and coaching employees
• − Creating involvement and promoting Colruyt Group's values and culture
• − Qualitative business KPIs

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The individual performance criteria are determined annually for each individual and embody the various levers identified from the strategic objectives. For the CEO and COO, these performance criteria are drawn up and evaluated by the Board of Directors. For the other Management Committee members, these are proposed and evaluated by the Remuneration Committee and validated by the Board of Directors on the basis of recommendations from the CEO/COO.

• EVALUATION

The CEO and Management Committee members are evaluated annually, during the first few months following the end of the financial year.

The variable salary is a maximum of 1,75 times the target variable remuneration. If the performance falls below a predetermined minimum level, no variable remuneration is awarded.

The amount of the variable remuneration of each Management Committee member is determined as follows, depending on their individual evaluation:

− If the Management Committee member has achieved less than half of the individual performance criteria:

• o up to half the collective variable remuneration can be awarded
• o but no individual variable remuneration will be awarded
• − If the Management Committee member has achieved half of the individual performance criteria:
• o up to half the collective variable remuneration can be awarded
• o half of the variable remuneration resulting from the achievement of the individual performance criteria can be awarded
• − If the Management Committee member has achieved more than half of the individual performance criteria: o the collective variable remuneration can be awarded in full
• o the variable remuneration resulting from the achievement of the individual performance criteria can be granted only pro rata to the criteria achieved.

In the event of exceptional circumstances or performance by one or more members of the Management Committee, the Chairman of the Management Committee may draw from an extra budget over and above the aforementioned variable remuneration. This budget can amount to a maximum of 10% of the fixed basic compensation.

If the group's EBIT falls for the relevant financial year below a certain threshold, then, on the recommendation of the Board of Directors, no variable remuneration at all is paid.

In case of an overscore (+100%) on the individual target, the CEO can grant an additional premium from the discretionary envelope.

	Relative	Lower limit		Upper limit		Payout 2021/22
	weight	Criterion	Impact variable remuneration	Criterion	Impact variable remuneration	(based on results FY 2020-21)
Collective	70%	EBIT lower limit	Collective target collective * 0	EBIT upper limit	Target * 1,75	Target * 1,0297
Individual	30%	<50% individual target achieved	Individual target individual * 0 AND collective payout*0,5	50% - 100% individual target achieved	Pro rata in accordance with individual target score	Average score: target * 1

OTHER PROVISIONS

The Extraordinary General Meeting of 13 October 2011 decided to make use of the authorisation provided by article 7:91 of the Code on Companies and Associations (formerly article 520ter of the Companies Code) and expressly decided not to apply the provision regarding the permanent acquisition of shares and share options or the provision regarding the staged payment of the variable remuneration to all persons covered by these provisions. Article 13 of the articles of association was amended accordingly. The company will therefore not be bound by the restrictions stipulated by article 7:91 of the Code on Companies and Associations regarding the staged payment of the variable remuneration to the executive management. In Belgian law, there is still considerable uncertainty as to the legal validity and enforceability of a right of recovery, in favour of the company, of variable remuneration. For this reason, Colruyt Group has opted to refrain for the time being from regulating on a right of recovery of the variable remuneration.

The variable remuneration of the members of the Management Committee does not include any share-related remuneration. In this way, the Board of Directors aims to avoid any motivation for speculative behaviour.

For the next two financial years, no radical changes are expected in the remuneration policy compared to the reported financial year.

Colruyt Group has decided, for approximately 4.400 of its executives in Belgium, to switch post-COVID to a fixed monthly salary in place of a salary based on time registration. For this group of employees, this means that they are moving away from time registration for work both at the office and at home.

DIRECTORS

The directors are remunerated with a fixed remuneration (emolument), regardless of the number of meetings of the Board of Directors or one of its committees. We assume that a director works between 20 and 25 days a year in his or her director's role. We believe that structuring the board and its committees with a single clear and transparent remuneration for the efforts of the directors is more desirable for corporate governance in a listed company. The Board of Directors has a collective responsibility and we also want to approach the remuneration of the directors from this perspective.

In line with previous years, non-executive directors at Colruyt Group did not receive any share-based remuneration. This deviation from the recommendations of the Belgian Corporate Governance Code 2020 is in our view justified, since the Board of Directors has a dual role in our one-tier board model, which is to support entrepreneurship on the one hand and to ensure effective supervision and control on the other. To avoid the granting of shares to non-executive directors increasing the likelihood of a conflict of interest, these persons do not receive performance-related remuneration or share-related compensation.

2.5. REMUNERATION REPORT FOR 2021/2022 FINANCIAL YEAR

INTRODUCTION

A general overview of the company's performance and the main environmental factors, relevant events, developments and decisions that have influenced this can be found in the management report (page 21-27).

REMUNERATION OF THE CEO (CHAIRMAN OF THE MANAGEMENT COMMITTEE)

The remuneration paid directly or indirectly to the CEO in financial year 2021/2022 comprised:

Total	EUR 1.515.436
Other components (2)	EUR 7.920
Contributions paid for group insurance (1)	EUR 130.532
Variable remuneration in cash	EUR 651.809
Basic salary	EUR 725.176

(1) The CEO benefits from a supplementary pension plan. This supplementary pension plan is of a defined contribution type, with Colruyt Group paying an annual contribution of 18% of the basic compensation.

⁽²⁾ Other components consist solely of a fixed expense allowance. This is not included in the above table.

The basic salary was increased by 4,55% starting from the 2021/22 financial year. The increase is due to indexation (0,95%) and an individual supplement. The variable remuneration in cash for services in financial year 2020/21 and paid out to the CEO in financial year 2021/2022 rose by 3,14% in comparison to the variable remuneration in cash paid in financial year 2020/21. The higher variable compensation is mainly due to the increase in the base salary and the payout is in line with the margin by which the collective target, i.e. EBIT ratio for the financial year 2020/2021, was exceeded. The individual performance criteria in terms of strategy, sustainable value creation and succession planning were, as in the previous financial year, positively assessed given the achievement of predefined objectives.

The pay ratio within Colruyt Group is 1,79%. This is the ratio of the lowest Belgian salary in the group to the CEO's salary. When using the average salary for the comparison, this pay ratio is 3,19%. It should be noted that, as in previous years, the CEO's remuneration (under his service contract) is taken here as the cost of the package, while for employees this is the gross pay excluding employer's social security contributions. In this calculation, we have included only employees in Belgium who worked continuously for a full year during the 2021/2022 financial year.

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REMUNERATION OF OTHER MEMBERS OF THE MANAGEMENT COMMITTEE

The remuneration paid directly or indirectly to the other members of the Management Committee in financial year 2021/2022 comprised overall:

Total	EUR 6.191.988
Other components (2)	EUR 41.189
Contributions paid for group insurance (1)	EUR 613.005
Variable remuneration in cash	EUR 2.132.309
Basic salary	EUR 3.405.485

(1) The members of the Management Committee benefit from a supplementary pension plan. This supplementary pension plan is of the defined contribution type, with Colruyt Group paying an annual contribution of 18% of the monthly salary x 13,92. As of this year, this amount also includes additional individual pension commitments.

(2) Other components consist solely of a fixed expense allowance. The members of the Management Committee are also entitled to other benefits, such as disability insurance, hospitalisation insurance and a company car. This is not included in the above table.

These figures show the remuneration in gross amounts for a complete financial year. Compared to the previous financial year, the number of management committee members has remained stable. As mentioned last year, Johan Vermeire joined the Managing Committee as General Director Retail Partners Colruyt Group from 1 April 2021. He replaced Dirk Depoorter,

who became CEO of AgeCore, the international purchasing alliance of which Colruyt Group is a part.

In addition, Christophe Dehandschutter joined the Management Committee as of 1 January 2022 as General Manager OKay & OKay Compact. He replaces Fabrice Gobatto, who was until 31 December 2021 a member of the Management Committee as General Manager OKay, OKay Compact & Bio-Planet.

Marc Hofman, who still fulfilled the role of COO Retail in financial year 2021/2022, will retire in financial year 2022/2023. Following his retirement, no new members will join the Management Committee, but his responsibilities will be divided from 1 April 2022 between Jo Willemyns as COO Food Retail and Marketing Services, Stefan Goethaert as COO Fine Food, Business & Group Services and Jef Colruyt, who, in addition to his current role also takes on COO responsibility for Non-Food Retail.

From the start of the 2021/2022 financial year, a switch was made to a fixed basic salary instead of a basic salary based on time registration. This makes it difficult to compare the total basic salary with that of the previous financial year. A like-forlike comparison results in an average increase of +4,9%. This increase is largely due to indexation (+3,37%).

Despite the very slight decrease in the collective performance criteria for operating profit for the 2020/2021 financial year, there is an increase in the variable salary. This can be attributed to the increase in the basic salary.

The variable remuneration comprises payment for services for the group during financial year 2020/21. All Management Committee members included in the overview above are salaried persons. Social Security contributions are paid by Colruyt Group on their gross salaries.

INFORMATION ON EXIT PAYMENTS

Managers who are members of the Management Committee and bound to their employer by employment contracts have no individual contractual claims with respect to Colruyt Group regarding their exit payment.

EVOLUTION OF THE REMUNERATION OF CEO AND MANAGEMENT COMMITTEE MEMBERS AND OF THE PERFORMANCE OF COLRUYT

	FY 2019/20 vs. FY 2018/19	FY 2020/21 vs. FY 2019/20
Total Remuneration (1)
CEO	4,38%	4,34%
Management Committee	10,87%	14,94%
Variable pay (1)
CEO	7,31%	3,14%
Management Committee	10,30%	2,60%
Performance Colruyt Group
EBIT margin	0,16%	-0,07%
Social added value
Employment FTE	2,53%	7,34%
CO2 per million EUR turnover (tonnes)	-7,34%	-14,82%
Food donated to social organisations (tonnes)	26,27%	5,68%
Average pay FTE Colruyt Group (2)
Wage mass / FTE	1%	0,05%

(1) For the calculation of total remuneration and variable remuneration, we operate here with the accumulated salary. This means that we always take into account the variable remuneration paid in year X+1, which was accumulated in year X.

(2) This is based on the total remuneration as stated in the consolidated annual report divided by the total number of FTEs.

As mentioned in footnote (1), we work with the accumulated salary in the above table.

The basis for this is that the variable salary paid in financial year 2021/22 is determined on the basis of performance in financial year 2020/21. This approach simplifies comparison between the group's results and the remuneration paid. In this way the total remuneration stated above for financial year 2020/21 consists of the fixed salary, contributions to group insurance and other components received in financial year 2020/21, supplemented by the variable salary received in financial year 2021/22.

The variable remuneration in cash for services in financial year 2020/21, paid out in financial year 2021/2022, rose in comparison with the variable remuneration in cash paid in financial year 2020/21. The higher variable compensation is mainly due to the increase in the base salary and the payout is in line with the margin by which the collective target, i.e. EBIT ratio for the financial year 2020/2021, was exceeded. The individual performance criteria were assessed positively in view of the achievement of predetermined objectives.

In addition to the financial results, Colruyt Group focuses strongly on social aspects and ecology. In recent years, the group has made great strides here in achieving its objectives in this respect.

REMUNERATION OF MEMBERS OF THE BOARD OF DIRECTORS

EMOLUMENTS

All directors of the group receive emoluments as payment for their appointments. On the advice of the Remuneration Committee, the Board of Directors decided to keep the directors' individual emoluments for financial year 2021/22 at the same level as the previous financial year. Thus, in financial year 2021/22, the members of the Board of Directors received the following emoluments:

EMOLUMENTS RECEIVED IN 2021/22 (1)

TOTAL	EUR 940.000
Dirk Van den Berghe, independent director) (4)	EUR 47.000
Dirk Van den Berghe BV (with permanent representative
Fast Forward Services BV (with permanent representative Rika Coppens, independent director)	EUR 94.000
7 Capital SRL (with permanent representative Chantal De Vrieze, independent director)	EUR 94.000
ADL SRL (with permanent representative Astrid De Lathauwer, independent director) (3)	EUR 47.000
Jef Colruyt (Chairman) (2)	EUR 282.000
Korys Business Services III NV (with permanent representative Wim Colruyt)	EUR 94.000
Korys Business Services II NV (with permanent representative Frans Colruyt)	EUR 94.000
Korys Business Services I NV (with permanent representative Hilde Cerstelotte) EUR 94.000
Korys NV (with permanent representative Dries Colpaert)	EUR 94.000

(1) Gross amounts on an annual basis.

(2) Since 1 January 2020, Jef Colruyt, as a natural person, has assumed the chairmanship of the Board of Directors.

(3) Directorship expired at the General Meeting of 29 September 2021.

(4) Directorship commenced after the General Meeting of 29 September 2021.

OPINION FROM SHAREHOLDERS

In accordance with article 7:149 of the Belgian Code on Companies and Associations, we inform you that the previous remuneration report as part of the annual report for the 2020/21 financial year was presented at the General Meeting of Shareholders of 29 September 2021, and was approved by 80,5% of those present and shareholders represented by proxies. The Remuneration Policy was approved with 91,7% of the votes and is now valid for four years.

3. Risk management and internal controls

3.1. General

Colruyt Group aims to pursue a policy of sustainable entrepreneurship. In practice, this policy is converted into the strategic and operational objectives of the group and of each division within the group. However, the group is exposed to a number of operating risks in the context of its normal business operations, which could mean that it is possible to achieve the aforementioned objectives only in part. Controlling these risks is a core task of each member of the Management Committee, within his/her domain of responsibility. To assist management, the group has set up a series of risk management systems with the aim of providing reasonable certainty in the following domains:

• realisation of strategic objectives
• protecting the health and safety of consumers and staff
• safeguarding the reputation of Colruyt Group and its brands
• effectiveness and efficiency of business processes
• reliability of financial reporting

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• compliance with applicable laws and regulations

The main characteristics of these systems as well as the most relevant risks for the group are discussed in this section of the annual report. The principles of the COSO and ISO reference framework have served as a source of inspiration for the group in setting up these risk management systems.

3.2. Components of risk management and internal control systems

3.2.1. Management environment

The group's management environment forms the basis for all other components of the risk management systems and is mainly represented by the company culture. The uniqueness of this is based on a number of pillars such as our group mission, values, employees and organisational structure, which are attuned to one another (the group's 'organisation model'). These pillars help increase risk awareness in the context of 'craftsmanship' and 'entrepreneurship' when weighing up opportunities and making decisions.

In concrete terms, the group's management environment includes the following elements:

• propagating and living out the group values ('value immersion'), policy frameworks and codes of conduct
• leadership style and exemplary role of management
• a culture of cost efficiency
• establishing delegation and responsibilities ('decision matrix' and 'responsibilities table')
• ensuring the expertise of our employees (role descriptions, selection process, competence management through development interviews and training plans)

3.2.2. Risk management process

A. BACKGROUND AND OBJECTIVE

Colruyt Group has developed a group-wide risk management system based on the principles of Enterprise Risk Management (ERM) under the name of 'CORIS' (Colruyt Group Opportunity & Risk Management). The main objectives are to increase the risk awareness of all employees and to draw up an inventory of the risks to which the group is exposed in order to then control them.

We wish to encourage our employees to take controlled risks, as entrepreneurship is based on taking risks. To this end, all supervisors and employees concerned participate in CORIS training sessions. All operating units of the group have gone through the C process as described below, and update this on a regular basis.

B. PROCESS AND METHODOLOGY

The entire group is divided into Business and Service Operating Units. Each operating unit must go through the following process steps in a structured manner:

The risk identification is carried out, among other things, each time a strategic plan is developed. This is followed by an annual consideration of any new risks arising internally or as a result of changes in the outside world. Every major incident is also analysed with a focus on the possibility of recurrence and then included or not as a risk in the risk log.

After each risk identification, the risks are assessed. This assessment involves mapping out the causes and consequences of a risk. Taking into account the effectiveness of the control measures introduced, the risks are scaled according to likelihood and impact. The impact scale is based on the risk appetite determined in consultation with the Board of Directors for the group, together with the respective operating unit. In order to scale the impact, four impact axes are used: economic impact, reputational impact, and the impact on the health and safety of both consumers and employees. Reputation is interpreted here very broadly as the response of all possible stakeholders. Stakeholders include consumers, employees, shareholders and suppliers, as well as local resident or interest groups.

Consequently a risk matrix is drawn up for each operating unit based on the risk scores, with risks classified as critical, high, moderate, low or insignificant. Critical risks must be avoided as much as possible; where this is not possible, mitigation plans are to be introduced immediately. High risks must be accompanied by a risk response. Moderate risks should be monitored periodically and action plans implemented if necessary. Low risks may be accepted; though quick wins may be implemented. Insignificant risks must be accepted. All risks are recorded in the risk log of the operating unit concerned, specifying any relevant KRIs (Key Risk Indicators). Furthermore, each risk is assigned to a risk owner who is responsible for designing and implementing the action plans and for the monitoring and follow-up of his/her risks. A risk coordinator is appointed for each operating unit who offers support to the risk owners, sets up a cross-Colruyt Group network for knowledge sharing and ensures that risk management is kept alive within the organisation. The entire process is coordinated and facilitated by the Risk and Compliance department, in consultation with the Management Committee. Reporting takes place on a quarterly basis to the Management Committee and, via the Audit Committee, to the Board of Directors. The members of the Management Committee are instructed to include risk management as an explicit chapter in their periodic activity reports.

3.2.3. Measures regarding risk management and internal controls

A. MAIN RISKS AND MANAGEMENT MEASURES OF COLRUYT GROUP

The main risks relating to Colruyt Group's operations are reflected in a risk universe divided into five categories:

• strategic risks: such as market dynamics, governance, planning and the allocation of resources, major initiatives, acquisitions and communication
• financial risks: these comprise risks associated with the financial markets (interest rates, currencies, commodities), liquidity and loans, capital structure, accounting and financial reporting
• operational risks: these comprise marketing and sales, purchasing, stocks and production, people and organisation, information technology, fixed assets and theft
• legal risks: codes of conduct (ethics, fraud), legal risks and legislation
• risks of force majeure: natural disasters, fire, acts of terrorism and power failures

STRATEGIC RISKS

Risks related to market dynamics

More specifically: a major strategic risk of the group relates to trends in consumer spending and cost inflation. As Colruyt is keen to guarantee the lowest prices on the market for the consumer, the actions of competitors and the economic impact of the geopolitical situation can affect the group's profitability.

Mitigation-based approach: therefore, where possible, the group continually endeavours to introduce efficiency improvements and reviews its cost structure where necessary.

Risks relating to expansion

More specifically: the group is committed to a growth strategy that includes both organic growth and growth through acquisitions. Any acquisitions need to be successfully integrated into the existing activities. In the event of crossborder acquisitions, the group is exposed to the economic, social and political risks associated with operating in these countries.

Mitigation-based approach: the group is committed to a formalised acquisition process, including conducting robust due diligence activities and, where necessary, optimising its cost structure.

FINANCIAL RISKS

Financial reporting

The risk management systems and internal control systems relating to the financial reporting process are described in detail in paragraph 3.3. below.

Currency, interest rate, credit and liquidity risks

Given the nature and structure of its activities, the group is exposed only to a limited extent, with the exception of credit risk, to these financial risks, which are described in more detail in the 'Notes to the consolidated financial statements' under the chapter 'Risks associated with financial instruments'.

OPERATIONAL RISKS

Supply risks

More specifically: the continuous supply of goods to the group's distribution centres and stores is of vital importance for achieving our performance objectives. In addition, the unavailability or inaccessibility of the distribution centres can also have a significant impact on the continuity of our activities. The consequences of the geo-political situation are monitored daily for possible supply chain risks.

Mitigation-based approach: the group strives for transparent, long-term relationships with all its suppliers. Moreover, no single supplier has a dominant position that could jeopardise

the supply process. Finally, certain commodities are monitored on a daily basis and we seek to spread the risk by approaching a wide number of suppliers.

In addition, the group has implemented the requisite continuity programmes and contingency measures.

HR-related risks

More specifically: trade union representation exists in most of the group's operations in Belgium and France. A positive and constructive social climate contributes to the company's growth and development. Industrial action within or outside our organisation may have a negative impact on the continuity of our activities in that deliveries, sales, production or corporate services may be temporarily disrupted.

Mitigation-based approach: the group endeavours to address this by pursuing a strategy of open and transparent communication with all employees and social partners.

IT risks

More specifically: the group is heavily reliant on its IT systems: infrastructure, networks, operating systems, applications and databases. Although these systems are maintained by a team of experienced specialists, their failure, even for just one day, could result in an immediate loss of revenue.

Mitigation-based approach: the group focuses on mirror and backup systems, continuity planning and contingency scenarios. In addition, the group invests in transformation programmes and projects to renew and strengthen its current infrastructure, including disaster recovery and business.

LEGAL RISKS

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Risks associated with product liability

More specifically: the production, packaging and selling of goods for resale may entail risks of product liability, and obligations to take back and/or replace goods. Products may be soiled, contaminated or defective and still be distributed by the group unintentionally. As a result, the group may be exposed to

claims relating to product liability. Even if the product liability claims are not successful, the group could still suffer as a result, due to the impact that such a claim could have on its reputation.

Mitigation-based approach: the group insures itself against the risks of product liability and recalls. The group itself is also active in the area of food safety, including quality audits on products intended for sale. Together with suppliers, programmes are developed to permanently monitor quality. As far as non-food articles are concerned, the group requires its suppliers to adhere to the pre-agreed return and/or replacement obligations.

Regulatory risks

More specifically: the group is subject to the laws and regulations applying in every country in which it operates, as well as to the laws and regulations imposed by the European Union. As a result of its listing on Euronext Brussels, the group is subject to Belgian and European corporate governance laws applying to listed companies. The group strives to respect its statutory obligations. Due to changing laws or regulations, the group may have to invest further in its administrative or other processes. Changes in the regulations in a country or region where the group operates may have an impact on Colruyt Group's results.

Mitigation-based approach: the group endeavours to accommodate changes in a proactive manner by adopting an innovative and progressive approach. The best example of this approach is environmental legislation, where possible stricter emission controls have already been accommodated by proactive investments in solar and wind energy. Furthermore, changes in tax laws may affect the profit made by the group, both positively and negatively. In order to keep the regulatory risks under control, the group has set up the necessary competence centres and compliance activities.

Health and safety risks

More specifically: by the very nature of their activities, employees are exposed to all kinds of situations that can result in occupational accidents or damage their health.

Mitigation-based approach: the risks associated with occupational accidents and obligations towards personnel are covered by insurance policies with external insurers. The group strives to prevent health and safety incidents as far as possible through extensive safety and prevention programmes.

Risks relating to environmental liability

More specifically: the group may be held liable for remedying accidental damage to the environment, regardless of whether this environmental damage was caused by the group or by a previous owner or tenant.

Mitigation-based approach: the group has taken out insurance policies for accidental environmental damage. For its filling station operations, the group complies with the statutory inspection obligations. It also carries out additional inspections to detect pollution in good time. A decontamination plan is immediately drawn up for any pollution found.

Competition

More specifically and mitigation-based approach: since 2007, a number of new and specific control measures have been developed and implemented to monitor the group's compliance with the competition regulations.

GDPR-related risks

More specifically and mitigation-based approach: since 2018, a number of new and specific control measures have been developed and implemented in the group to monitor its compliance with the regulations concerning the protection of data.

Risks of corruption and bribery

More specifically and mitigation-based approach: the group monitors the corruption risk in its Enterprise Risk Management (ERM) in the form of a fraud dashboard. This dashboard has been developed on the basis of 13 different fraud risks. For each risk the causes and consequences are analysed and the necessary control measures provided, with periodical monitoring. The group disseminates the group values, policy

frameworks and codes of conduct across the organisation. All employees follow training on values perception and ethics. New buyers sign an ethics charter, with explicit guidelines for gifts, hospitality benefits and screening of suppliers in high-risk countries. Buyers switch jobs, product area or business unit regularly and there is a strict segregation of functions within the different steps of the purchase process. Purchasing takes place centrally, with systematic application of the four-eyes principle. Finally, buyers undergo continuing education and training, including mandatory compliance training and an annual test.

RISKS OF FORCE MAJEURE

Fire, natural disasters, terrorism and malicious acts

More specifically and mitigation-based approach: the group manages these risks partly by insuring them on the external insurance market, combined with own risk coverage via its internal reinsurance company Locré. The group bases its decisions on the cost of external cover on the one hand and the level of its safety and prevention programmes on the other. External insurance is also used whenever this is compulsory by law. The objective of this reinsurance programme is to provide permanent flexibility in its risk programme and to optimise the cost of this according to the risks. The group seeks to prevent damage to buildings and business interruption due to fire, explosion or other perils as far as possible through fire safety and prevention programmes.

Blackouts and power failures

More specifically: the group is largely dependent on its IT systems, production machinery, cooling installations, etc. In the event of blackouts and power cuts, their non-availability, even for short periods of time, can mean an immediate loss of revenue.

Mitigation-based approach: the detrimental consequences of these risks are covered by insurance policies. In addition, the group has a number of continuity programmes and contingency plans and resources at its disposal in the event of an incident.

Pandemic

More specifically: following the outbreak of the COVID-19 virus, pandemic risk is now included in Colruyt Group's global risk log.

Mitigation-based approach: to ensure the continuity of the group's activities, a number of business continuity plans have been drawn up to manage this risk. These plans serve to guarantee the continuity of purchase, logistics and sales as well as all necessary corporate services.

B. RISKS AND CONTROL MEASURES ASSOCIATED WITH THE NON-FINANCIAL REPORTING OF COLRUYT GROUP

Risks related to environmental matters (SDG 2, 6, 7, 12 and 13)

More specifically and mitigation-based approach: as a

retailer, we have a major impact on the environment through the product chains. To keep this impact to a minimum, we dedicate a lot of effort to measuring and mapping. Increasing transparency appears to be a challenge for the entire food and non-food sector. A possibility exists that the actors in the chain will be unwilling or unable to share their data, or will pass on incorrect data. From our strategic position in the chain, we want to exert leverage by pointing to the importance of measuring, collecting and analysing the impact of each actor in the chain on the environment and on animal welfare. In addition, we are taking steps to make the product chains and activities more sustainable in a systematic way. Our involvement in product chains can vary. First of all, we opt for the local delivery of products. In this way, we have greater impact on improving production and distribution conditions. Despite our own willingness to invest in sustainability, there is a risk of receiving insufficient support from other actors in the value chain. In addition, we are very much committed to new and long-term collaboration models in existing and new production chains. We prefer products that are certified with a focus on good management and restoration of existing ecosystems. There is a risk of our being unable to source sustainably in an optimal way owing to excessive dependence on one or a limited number of suppliers. With a lack of control on environmental and animal welfare matters, there is a risk of accidental environmental damage being caused by the group.

As a result, we can suffer reputational damage and be perceived as an organisation that fails to realise its sustainability goals. Natural disasters can damage both supply chains and our own infrastructure. We provide the necessary monitoring for this and have drawn up risk management and business continuity plans.

Natural disasters caused by climate change can damage both supply chains and our own infrastructure. In order to limit our impact on climate change and pollution, we are focusing, among other things, on greening the vehicle fleet and at the same time avoiding and reducing our energy consumption, and on renewable energy.

Sustainability risks related to social affairs (SDG 2, 3 and 8)

More specifically and mitigation-based approach: Colruyt Group is strongly anchored in the social fabric. Both through its own production and retail sites as well as through local and international supply chains. Local anchoring points to the importance of close contact with consumers, producers and site neighbours. Social unrest can arise from the activities we carry out. It is important to capture this in time and enter into dialogue. Supply chains involving foreign players are more difficult to control. For example, social unrest can arise due to political and economic instability in countries from which products are supplied. There is a risk that goods can no longer be sourced or distributed locally. We have the necessary monitoring for this and have drawn up business continuity plans.

Sustainability risks related to corruption and bribery

More specifically and mitigation-based approach: in the field of corruption and bribery, Colruyt Group may run the risk of becoming involved in unwanted influence, conflicts of interest, non-objective pricing and subjective awarding of contracts. We monitor this risk within our Enterprise Risk Management. More information can be found in the section Risks of corruption and bribery on page 141.

Sustainability risks related to personnel matters (SDG 3 and 8)

More specifically and mitigation-based approach: we seek to

organise the work of all our employees in a safe and physically and mentally healthy way. Even so, risks of (occupational) diseases, occupational accidents and psychosocial risks are inherent in the company's activities. The group therefore pays the necessary attention to ensure that the current jobs can be performed optimally with a view to physical and mental wellbeing. Important factors are the nature and meaningfulness of the work, as well as the degree of work pressure. We provide our employees with a wide range of training courses to broaden their professional competences or for further personal growth. The pandemic has shown just how important a safe workplace is for our employees. To safeguard the risk of contamination, we have taken increased control measures and we continue to monitor everything more closely. In addition, different types of social unrest among own employees may influence the objectives of the group. We are committed to maintaining a constructive social dialogue to manage this risk. Finally, with regard to personnel policy, we may experience difficulties in recruiting suitable employees.

Insufficient influx of properly trained and experienced staff, especially in shortage professions, can result in a lack of new insights and potentially jeopardise business continuity. We are therefore committed to offering a stimulating career policy and a supportive remuneration package.

Sustainability risks related to human rights (SDG 8 and 12)

More specifically and mitigation-based approach: in a

people-oriented organisation, respect for human rights is always paramount. And that applies as much to our own employees as right along the value chain. The biggest challenge in terms of risk management lies here in monitoring compliance with human rights. Initially with regard to our own brands, but also in the product chains of the brands that we distribute as a retailer. When human rights violations by chain actors come to light, we run the risk of being held liable and suffering reputational damage. The group manages this risk, among other things, by working with suppliers of private-label products with the amfori BSCI Code of Conduct that subscribes to universal human rights principles.

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3.2.4. Information and communication

In order to enable employees at different hierarchical levels of the group to perform their jobs properly and to assume their responsibilities, the group has extensive and intensive information and communication flows. This ranges from transactional data, which is used to support the completion of individual transactions, to operational and financial information with regard to the performance of processes and activities, from department to group level. The general principle that applies here is that employees receive the information they need to perform their work, while supervisors receive information regarding the elements on which they have an impact. The main control information concerns cockpit reporting on achievement versus expectation for the main financial and operational KPIs:

• financial scorecards: revenue, gross profit, wage costs, other direct and indirect costs and depreciation, EBIT and EBITDA
• operational reporting: detailed reporting on revenue, gross profit, wage costs, store contribution, store productivity
• project reporting for the purpose of project monitoring

3.2.5. Monitoring

The Board of Directors supervises the proper functioning of the risk management systems through the Audit Committee. For this, the Audit Committee uses the information provided by the external auditors as well as the interaction with the Risk & Compliance (Internal Audit) department. The latter reports on a quarterly basis on the activities performed and results.

Both external audit and the Risk & Compliance department assess the organisation and functioning of the internal controls contained in processes and systems, from their respective perspectives: for external audit this concerns the certification of the group financial statements, for risk management the emphasis lies more on controlling process risks and possible negative consequences of these risks.

Day-to-day monitoring is done by management itself based on supervision, analysis and monitoring of the information mentioned in the previous paragraph, monitoring of exception reports and monitoring in the context of the CORIS programme (Key Risk Indicators). If necessary, corrective measures are initiated. It is generally the process manager who performs these monitoring activities. In this regard, the financial controllers fulfil a reporting and advisory role with respect to the operational managers.

3.3. Risk management and internal controls regarding the financial reporting process

Late or incorrect reporting of financial figures can have a considerable impact on Colruyt Group's reputation. In order to ensure the quality and timeliness of financial figures produced and reported, the group has introduced the following management measures and internal controls:

3.3.1. Closing process

While the accounts are closed on a monthly basis, mainly for management reporting, the group financial figures are consolidated four times per year based on a formalised closing process. This process specifies the various process steps and the timeline for each step, the figures and other information to be supplied, as well as the roles and responsibilities of and the interaction between the different parties in the process. The process is monitored by a closing coordinator, who has no further involvement in the process himself. At the end of each closure, the process is evaluated and adjusted if necessary. During the half-yearly and annual closure, the process also provides for coordination with external auditors at regular points in time.

To support the closing process, a reporting manual has been prepared and introduced and an IFRS competence cell set up.

3.3.2. Monitoring of the quality of the figures supplied

The closing process passes through different departments such as Accounting, Financial Controlling, Consolidation and Investor Relations, the purpose of the last two being to provide information to the Board of Directors. Each department carries out quality controls in functional separation, both with regard to the figures obtained from the previous process step and with regard to the figures that they produce themselves. These quality controls mainly concern links (for example with the various ledgers), reconciliations (for example of accounts), alignment of financial reporting with management and operational reporting, variance analyses and validation rules (for example of consolidation flows and consolidated figures). At the end of the closing process, the consolidated figures are analysed with respect to previous periods and fluctuations must be substantiated. The financial results achieved are also checked against the expectations in this respect. In the case of figures for publication, the printer's proofs are aligned with the system figures provided. Lastly, there is a final check for validation by the financial management.

3.3.3. Communication of financial reporting

In order to communicate and publish information as transparently as possible, Colruyt Group publishes financial press releases on pre-agreed dates. The communication efforts of management also find expression via financial roadshows and regular telephone contacts, as well as actual visits by and with investors and analysts. Finally, around twenty analysts publish reports containing financial information about Colruyt Group at regular points in time.

Share ownership - Colruyt shares

1. Calendar for shareholders

14/09/2022	Record date for depositing of shares for participation in the annual General Meeting of Shareholders
28/09/2022 (16h00)	General Meeting of Shareholders for financial year 2021/22
30/09/2022 03/10/2022 04/10/2022 14/10/2022	Dividend for financial year 2021/22 (coupon no. 12) Ex-date (detachment of coupons) Record date (centralisation of coupons) Payability Certificates relating to exemption from or reduction of withholding tax on dividends must be in our possession
06/10/2022	Extraordinary General Meeting Capital increase of Etn. Fr. Colruyt NV reserved for employees of Colruyt Group (art. 7:204 of the Belgian Code on Companies and Associations)
13/12/2022	Publication of consolidated information on the first half of financial year 2022/23
14/12/2022	Information meeting for financial analysts
13/06/2023	Publication of consolidated information on financial year 2022/23
14/06/2023	Information meeting for financial analysts
31/07/2023	Publication of annual report for financial year 2022/23
27/09/2023	General Meeting of Shareholders for financial year 2022/23

2. Dividend for financial year 2021/22 (1)

The Board of Directors endeavours to have the annual dividend per share evolve in proportion to the changes in group profit. The Board of Directors consequently proposes to grant a gross dividend of EUR 1,10 for the shares of Etn. Fr. Colruyt NV participating in the profit for financial year 2021/22. Of the gross dividend of EUR 1,10, shareholders will receive a net amount of EUR 0,770, after deduction of 30% withholding tax.

On income from movable property such as dividends, under current tax regulations, 30% withholding tax is due. Originally, the rate of withholding tax on dividends was 15%, which was subsequently increased several times, first to 21% and then to 25%. Within the framework of the '2016 tax shift', the Belgian government decided to increase the withholding tax on dividends from 25% to 27% as of 1 January 2016. As part of the federal policy declaration, at the end of 2016 it was decided to again increase the standard rate of withholding tax from 27% to 30% for dividends and interest allocated or payable as of 1 January 2017. Since 1 January 2018, Belgian taxpayers-natural persons can annually recover the withholding tax withheld on certain dividends from their Belgian and foreign shares up to a limited amount via the personal income tax return (for the 2021 income year, a maximum of 240 euros in withholding tax on dividends can be recovered).

The amount of the net dividend for foreign shareholders may vary, depending on the double taxation treaties applying between Belgium and the various countries. The necessary certificates must be in our possession by 14 October 2022 at the latest.

The dividend for financial year 2021/22 will be made payable as of 4 October 2022, against (electronic) submission of coupon no. 12 at the counters of the financial institutions.

BNP Paribas Fortis Bank will act as the Principal Paying Agent for the dividends.

Since the stock market flotation in 1976, the Colruyt share has been split a number of times. The most recent split dates from 15 October 2010 when the share was divided by five. Since 15 October 2010 only shares with ISIN code BE0974256852 have been listed on Euronext Brussels. Referring to the Act of 14 December 2005 abolishing bearer securities, as amended by the Act of 21 December 2013, Colruyt sold its remaining bearer shares (in total 28.395 shares) on the regulated market of Euronext Brussels on 24 March 2015. As of 1 January 2016, persons who are still in possession of old paper Colruyt shares and who can demonstrate their capacity as shareholders of these documents, can obtain the exchange value in cash within the legal limits from the Deposit and Consignment Office. They can seek assistance from the issuer for the collection of dividends on these (sold) paper shares (with attached coupons), again within the legal limits.

(1) Subject to the approval of the General Meeting of Shareholders of 28 September 2022.

Colruyt share information

COLR
LISTED
EURONEXT

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Market listing:
Euronext Brussels (since 1976)
Member of Bel20 index
Share ticker	COLR
ISIN code	BE0974256852

Change in Colruyt share price over the previous financial year

Change in Colruyt share price compared to Bel20 over the last five financial years

source: www.euronext.com

3. Overview of Etn. Fr. Colruyt NV shares

Overview of changes	2021/22
Total number of shares at 01/04/2021	136.154.960
Cancellation of own shares on 07/10/2021	- 2.500.000
Creation of new shares following the capital increase reserved for employees on 15/12/2021	+ 184.228
Total number of shares at 31/03/2022	133.839.188
Number of shares (1)	2021/22	2020/21
Ordinary shares	133.839.188	136.154.960
Shares participating in profit	133.839.188	136.154.960
Treasury shares	- 4.845.853	- 1.821.153
Shares held by subsidiaries	0	0
Balance of profit-participating shares in June	128.993.335	134.333.807

Data per share (in EUR) on closing date of the reporting period (31 March)

Gross dividend	1,10	1,47
Net dividend	0,770	1,029
Profit	2,16	3,06
Calculation base (weighted average) (2)	132.677.085 shares	135.503.424 shares

Market price in Brussels (in EUR)

Market price on 31 March	37,50	50,86
Highest price of the financial year (closing price)	52,02	60,00
Lowest price of the financial year (closing price)	34,16	47,92
Market value on 31 March (in million EUR)	5.018,97	6.924,84

(1) Situation on 10/06/2022 and 11/06/2021 respectively.

(2) Calculated on the basis of the number of shares participating in the profit, after deduction of the shares participating in profit owned by the company and subsidiaries.

4. Purchase of treasury shares

For several years, the Extraordinary General Meeting of Shareholders has granted authorisation to the Board of Directors of Etn. Fr. Colruyt NV to acquire treasury shares. These acquisitions of shares take place in accordance with article 7:215 of the Code on Companies and Associations and in accordance with articles 8:3 and 8:4 of the Royal Decree of 29 April 2019. Purchases of treasury shares are aimed at reducing both the Company's available cash and its capital, by cancelling the repurchased shares. Purchases of treasury shares are carried out by an independent intermediary under a discretionary mandate, making it possible to purchase shares during both open and closed periods.

The Extraordinary General Meeting of Shareholders of 10 October 2019 decided to renew the aforementioned authorisation of the Board of Directors for a period of five years. The Board of Directors has already made use of the authorisation granted to it several times by acquiring treasury shares on the stock exchange via financial institutions. The Board of Directors authorises the Chairman and CFO of the company to determine the execution terms within which treasury shares can be purchased. In accordance with article 8:4 of the Royal Decree of 29 April 2019, information on purchasing transactions executed is reported to the Financial Services and Markets Authority (FSMA), at the latest on the seventh trading day following the date of the transaction, and is published by the company simultaneously through a press release on our website colruytgroup.com.

Within the mandate granted by the Extraordinary General Meeting of 10 October 2019, Colruyt Group has repurchased a total of 4.650.566 treasury shares over the period from 1 April 2021 to 31 March 2022. During financial year 2021/22, Colruyt Group cancelled a total of 2.500.000 treasury shares by notarial deed dated 7 October 2021.

On 31 March 2022, Etn. Fr. Colruyt NV held 3.518.954 treasury shares. These represent 2,63% of the total number of issued shares (133.839.188) at the end of the reporting period.

In accordance with article 7:217, § 1 of the Code on Companies and Associations, the Board of Directors decided that the dividend rights attached to the shares or certificates held by Etn. Fr. Colruyt NV are continuously suspended and lapse for the period that they are held. Consequently, no dividends are paid and the voting rights attached to these shares are also suspended.

148

Overview of treasury share purchases

During the reporting period	2021/22
Total treasury shares held at the start of the reporting period (01/04/2021)	1.368.388
Cancellation of treasury shares by notarial deed dated 07/10/2021 07/10/2021	- 2.500.000
Purchase of treasury shares in 2021/22	+ 4.650.566
Total treasury shares held at the end of the reporting period (31/03/2022)	3.518.954

After the reporting period	2022/23
Total treasury shares held at the start of the reporting period (01/04/2022)	3.518.954
Purchase of treasury shares in the period from 01/04/2022 to 10/06/2022	1.326.899
Total treasury shares in our possession on 10/06/2022	4.845.853

5. Structure of share ownership

In the 2021/22 financial year, the following communications and transparency notifications were made, reflecting the evolution of the company's shareholding structure.

5.1. Notice of an agreement to act in concert dd. 26/08/2021 (art. 74 Act of 1 April 2007 on public takeover bids)

On 26 August 2021, Korys NV, on behalf of the parties acting in concert (Korys NV, the Colruyt family and relatives, Sofina NV and Colruyt Group), updated the holdings in the company and communicated the results to the Financial Services and Markets Authority (FSMA) The above parties also had at that date an agreement to act in concert in accordance with art. 74 §7, paragraph 3 of the law of 1 April 2007 on public takeover bids.

Under the same law, an update of the holdings concerned must be communicated once per year at the end of August. The full letter can be found on our website colruytgroup.com/en/invest.

Shareholding structure based on the latest update following the notification of acting in concert dated 26/08/2021

Parties involved	Situation at 27/08/2020	Situation at 26/08/2021
Korys NV	68.811.959	68.812.959
Korys Investments NV	1.435.520	1.435.520
Sofina NV	3.765.115	2.332.064
Etn. Fr. Colruyt NV	2.799.868	2.828.421
Korys Business Services I NV	1.000	1.000
Korys Business Services II NV	1.000	1.000
Korys Business Services III NV	1.000	1.000
Stiftung Pro Creatura, foundation under Swiss law	146.755	146.755
Impact Capital NV	60.000	60.000
Natural persons (who directly or indirectly own less than 3% of the voting securities of the Company)	8.709.175	8.527.097
TOTAAL	85.731.392	84.145.816

On 26 August 2021, the number of shares acting in concert amounted to 84.145.816 or 61,80% of the total number of Colruyt shares outstanding on that date (136.154.960).

5.2. Transparency notifications (Act of 2 May 2007)

5.2.1. Transparency notification of 01/10/2021 (Act of 2 May 2007)

In the context of the Act of 2 May 2007 and the Royal Decree of 14 February 2008 (disclosure of significant participations in listed companies), on 1 October 2021 Korys NV, the Colruyt family and relatives, acting in mutual consultation, together with Colruyt Group, published a notification of holdings. This transparency notification showed that, based on the existing agreements, the mutual consultation agreement between Korys NV, the Colruyt family and relatives and Colruyt Group on the one hand and Sofina NV expired at the end of September 2021. This does not affect the mutual consultation agreement between Korys NV and the Colruyt family and relatives. On 1 October 2021, the shareholders acting in concert (Korys NV, Colruyt family members and relatives and Colruyt Group) held a total of 82.365.421 Colruyt shares, together representing 60,49% of the total number of shares issued by the company (136.154.960).

Full transparency notification dated 01/10/2021

Holders of voting rights	Previous notification	After the transaction
	# voting rights	# voting rights attached to securities	% voting rights attached to securities
Stichting Administratiekantoor Cozin	0	0	0,00%
Korys NV	68.773.546	68.835.959	50,56%
Korys Business Services I NV	1.000	1.000	0,0007%
Korys Business Services II NV	1.000	1.000	0,0007%
Korys Business Services III NV	1.000	1.000	0,0007%
Korys Investments NV	1.435.520	1.435.520	1,05%
Stiftung Pro Creatura	148.255	146.755	0,11%
Impact Capital NV	90.000	60.000	0,04%
Colruyt family shareholders	8.965.169	8.564.097	6,29%
Etn. Fr. Colruyt NV	5.695.660	3.320.090	2,44%
Sofina NV	5.844.480	0	0,00%
TOTAL	90.955.630	82.365.421	60,49%

Denominator: 136.154.960

150

Complete chain of controlled companies through which the holding is actually held:

• Korys NV is controlled by Stichting Administratiekantoor Cozin.
• Etn. Fr. Colruyt NV is controlled by Korys NV.
• Korys Investments NV is controlled by Korys NV.
• Korys Business Services I NV, Korys Business Services II NV and Korys Business Services III NV are controlled by Korys NV.
• Stiftung Pro Creatura, a foundation under Swiss law, and Impact Capital NV are controlled by natural persons (who directly or indirectly hold less than 3% of the securities with voting rights of the Company).

5.2.2. Transparency notification of 03/01/2022 (Act of 2 May 2007)

With reference to Article 14 of the Act of 2 May 2007 on the disclosure of significant shareholdings, Colruyt Group and its controlling shareholder Korys (excluding Colruyt family members and relatives acting in concert) submitted a notification to the FSMA on 3 January 2022. This showed that Korys and Colruyt Group, as a result of the acquisition of Colruyt treasury shares by Colruyt Group until 31 December 2021 and of the changed denominator following a capital increase for personnel in December 2021, exceeded a participation threshold of a multiple of 5%. Together they owned 73.664.024 shares or 55,04% of the voting rights of the company.

The new denominator of 133.839.188 shares takes into account the cancellation of 2.500.000 treasury shares on 7 October 2021 and the capital increase reserved for the personnel of Colruyt Group, for which 184.228 new shares were issued on 15 December 2021. This limited notification does not affect the existing joint consultation between the Colruyt family and relatives, Korys and Colruyt Group.

The company has no knowledge of other agreements between shareholders. The statutory thresholds per 5% bracket apply. No new notifications or changes were received during financial year 2021/22. All transparency notifications are available on the website colruytgroup.com/en/invest/ stakeholder-information.

Limited transparency notification dated 03/01/2022

Holders of voting rights	Previous notification		After the transaction
	# voting rights	# voting rights attached to securities	# voting rights attached to securities
Korys NV	68.835.959	69.925.317	52,25%
Korys Investments NV	1.435.520	1.435.520	1,07%
Korys Business Services I NV	1.000	1.000	0,0007%
Korys Business Services II NV	1.000	1.000	0,0007%
Korys Business Services III NV	1.000	1.000	0,0007%
Etn. Fr. Colruyt NV	3.320.090	2.300.187	1,72%
TOTAL	73.594.569	73.664.024	55,04%

Denominator: 133.839.188

Complete chain of controlled companies through which the holding is actually held:

• Etablissementen Fr. Colruyt NV is controlled by Korys NV, which in turn is controlled by Stichting Administratiekantoor Cozin.
• Korys Investments NV is controlled by Korys NV.
• Korys Business Services I NV, Korys Business Services II NV and Korys Business Services III NV are controlled by Korys NV.

5.3. Updating of share ownership at end of financial year 2021/22

At the start of the financial year on 1 April 2021, the total share capital was represented by 136.154.960 shares. Following the cancellation of 2.500.000 treasury shares on 7 October 2021 and the creation of 184.228 new shares on the occasion of the capital increase reserved for staff, notarised on 15 December 2021, there are at the end of the financial year as at 31 March 2022 a total of 133.839.188 voting shares.

Based on the shareholding structure following the above-mentioned transparency notification by the reference shareholders of 1 October 2021 and 3 January 2022 and the treasury shares held by the company as of 31 March 2022, the distribution of the total number of shares at the end of the 2021/22 financial year as known to us is:

Shareholders acting in concert	83.653.643
Colruyt family and Korys companies (1)	80.134.689
Colruyt Group (2)	3.518.954
Free float	53.238.099
TOTAL	133.839.188

(1) Source: Notification of most recently published agreements to act in concert dated 01/10/2021 and 03/01/2022

(2) Source: Status of treasury shares held by Colruyt Group, dated 31/03/2022

152

As of 31 March 2022, the shareholders acting in concert held 63% (rounded figure) of the company's shares. The remaining shares (free float of 37%) are held by institutional or individual shareholders who, individually or in concert, do not exceed the statutory threshold of 5% for making a transparency notification.

Corporate sustainability

this chapter. Discover some of our sustainability projects

Thanks to our unique position in the supply chain, we are able to create a positive spiral driven by our economic, social and ecological impetus, yielding long-term results. We believe that our entrepreneurship is the engine for a sustainable evolution and a source of inspiration for everyone associated with us.

For the second year in a row, our sustainability reporting is aligned with the Sustainable Development Goals of the United Nations. We selected seven objectives and elaborate on our vision, approach and concrete results in

We strive to make balanced and healthy nutrition more accessible to everyone all year round, especially for people in (financial) difficulties. We do this not only through our store offerings, but also via a project for vulnerable families with children and via food donations to social organisations.

We also want to work with the Belgian agricultural sector to create added value socially, economically and ecologically. We establish long-term partnerships in which we operate in a structural, efficient and respectful manner.

SDG 2 Balanced nutrition for all

Food donations to social organisations

While having sold 96,98% of our fresh food in 2021, we are constantly on the lookout for ways of distributing the remaining food. For example, in 2021 we donated 5.622 tonnes of surplus food to social organisations such as the Food Banks, Foodsavers, les Restos du Coeur, the Red Cross and other local organisations.

These receive the goods directly from our stores (Bio-Planet, Colruyt or OKay) or pick them up at our distribution centres and/or Collect&Go centres.

Dinner is served at 1-2-3 euros

Making delicious and balanced food more accessible to families in financial difficulties. That is the purpose of our 'Dinner is served at 1-2-3 euros' project, a collaboration between Colruyt Lowest Prices, social agencies and local authorities. Vulnerable families with children can register without obligation, allowing them to receive a biweekly Colruyt recipe booklet, each containing six easy recipes and the accompanying shopping lists. Each recipe is good for 3 generous portions and costs at most 1, 2 or 3 euros per portion. Since 2016, 7.500 families in 200 municipalities have already taken part in this project.

Collaboration projects with Belgian farmers

We see the agricultural sector as an important partner with the common interest of stimulating the availability and consumption of Belgian products. With products from more than 6.000 Belgian farmers on our shelves, we work directly with no less than 600 Belgian farms, combining our expertise and together striving to boost the range of Belgian products and make it more sustainable. Over the past year, we focused on strengthening these partnerships in which each partner offers specific added value.

Strengthening existing partnerships

• Several years ago, we joined forces with the non-profit organisation De Lochting, a sheltered workshop and organic farm in Roeselare, for our organic vegetables. In 2021, we set ourselves some clear targets, ranging from sustainable land use and growing policy to sustainable water and emission management.
• Apple varieties Magic Star and Coryphée on sale exclusively at Colruyt, OKay and Spar – were developed specifically for Colruyt Group in cooperation with three Belgian fruit growers. We offer the growers guaranteed sales, pay a fair price and support them in developing a profitable crop. In addition, we reduce food waste by processing unsaleable crops into by-products such as apple juice, cake or sorbet.
• At the beginning of 2021, some 35 % of Colruyt beef came from the 3 producer organisations with which we work directly (Vlaams Hoeverund, En Direct De Mon Elevage, Les Saveurs d'Ardenne).
• At Colruyt, OKay and Spar, customers will find 13 milk products coming from our partnership with the Belgian dairy company Inex and 330 dairy farmers. They receive a stable price for their milk production for five years.
• We work directly with 16 Belgian potato growers. Growers receive a fixed price and are thus less dependent on price fluctuations.

Successful first organic bread wheat harvest

Eight Belgian partners – 5 organic farmers, the Molens van Oudenaarde flour mill, the Atelier du Pain bakery and our organic supermarket Bio-Planet – joined forces in 2021 to grow high-quality organic bread wheat for processing into organic A to Z Belgian bread. This new supply chain will provide a guaranteed outlet for each of the partners involved, and is expected to also give a boost to Belgian organic wheat growing.

After a first successful harvest, the bread has been on Bio-Planet shelves since December 2021. The success of this first harvest is also an incentive for other organic farmers to opt for quality bread wheat varieties and join the supply chain project: two further farmers have signed up, doubling the number of hectares to 24.

We are strongly committed to health and well-being, whether physical, mental or social. We want to play a leading role here, helping strengthen the social support base around health.

As a retailer, we also have a social role to play in promoting a healthy lifestyle among our customers and employees. That's why we help them make more conscious choices easily.

SDG 3 Balanced nutrition tailored to your needs

We offer our customers an appropriate and balanced range of products, tailored as far as possible to everyone's needs and requirements. We also raise awareness to the importance of balanced nutrition through services such as digital tools and training.

Healthier assortment

• Over the past calendar year, we once again improved the nutritional composition of our assortment across all product categories, resulting in 240 improved products and accounting for:

• 228 tonnes less sugar
• 34 tonnes less salt
• 251 tonnes less fat
• 117 tonnes less saturated fats
• 39 tonnes of added fibres
• 50 Boni products got a better Nutri-Score
• We offer recipes with an extra focus on a balanced diet both online and through flyers and cookbooks.

251 tonnes

Wider assortment

By the end of the financial year, over 200 Colruyt Lowest Prices stores had a parapharmacy department where customers can buy vitamins or food supplements, for example. A dozen or so larger stores run shops-in-shops that also sell sports nutrition. In addition, customers can also have their Newpharma webshop orders delivered to their Colruyt store.

In 2017, Colruyt Group became a member of Belgian Pledge, an initiative through which we are committed to limiting marketing to children under 12 and subjecting it to strict criteria.

SUSTAINABILITY | SDG 2 • SDG 3 • SDG 6 • SDG 7 • SDG 8 • SDG 12 • SDG 13 • EU Taxonomy • Our indicators SUSTAINABILITY | SDG 2 • SDG 3 • SDG 6 • SDG 7 • SDG 8 • SDG 12 • SDG 13 • EU Taxonomy • Our indicators 157

Supporting consumers and employees

We support our customers and employees in achieving a healthier lifestyle through providing correct information, inspiration and insights. In an accessible and transparent manner based on scientific research, thereby providing them with the tools to make their own conscious choices and adopt sustainable, healthy habits.

• 100% of Boni and Spar products show the Nutri-Score.
• Through the Xtra app, customers can access product info taking their dietary preferences into account.
• Colruyt Group was the main partner of the VeggieChallenge (an initiative of the non-profit association EVA) in March 2022, inspiring participants with tips and dishes to start eating more plant-based foods.
• At Colruyt Group Academy, consumers can attend various face-to-face or online workshops on health.
• At Solucious Academy, b2b clients (such as schools or care institutions) can access online videos on healthy eating.

We offer online health programmes

In partnership with SmartWithFood, we have developed online health programmes for our employees and customers

• With the Lifestyle Check, a scientifically based questionnaire, employees are provided with information on their personal lifestyles. 700 employees have already participated.
• The Medical Lifestyle Programme is a medical check-up via an online questionnaire and blood test, after which participants have an online consultation with a doctor and health coach. 500 employees have already participated.
• The digital coaching programme Hello Health for people with metabolic syndrome was launched in 2021 with the support of the European EIT Food and EIT Health. Following a personal check, a coach, an app and an online community support participants in adopting a healthier lifestyle. The results of the short-term study are positive: participants are and feel healthier after taking the programme.

A safe and healthy working environment

We maximise our focus on prevention and coaching. We want to create a safe and healthy working and living environment. An environment free of unhealthy or hazardous substances and negative environmental factors. And an environment that pays attention to mental and social well-being, allowing our employees to feel good.

• 69% of our employees have voluntarily joined the Solidarity Fund, our social fund that provides support in situations such as long-term sickness.
• We continue to strive for zero workplace accidents. We do this by investing maximum effort in prevention and in risk analyses of work-related accidents. Last year, 969 work-related accidents occurred.
• The Connection provides counselling to employees on questions related to their social, physical or mental health.
• All Colruyt Lowest Prices stores have replaced their existing ladders with a safer and more ergonomic alternative: the UP.
• As part of the Restart to work scheme, The Connection contacted 2.935 long-term patients over the past financial year.
• We continue to expand our training and coaching offerings for employees, offering new courses on ergonomics, resilience, etc.
• Our team for handling shocking events is on permanent standby.

Water is irreplaceable, whether for people or nature. This makes it one of the most precious resources and it is crucial to use it sparingly.

For years, we have applied circular water management with a view to achieving an optimal balance between sustainability and costefficiency.

We are doing everything to minimise our impact on groundwater and surface water, focusing primarily on prevention and reduction, and on reusing water, as long as water quality can be guaranteed. A further focus is on treating rainwater and wastewater for use as rinse or drinking water. Its discharge is seen as a last resort.

SDG 6 Circular water management

With every new construction or renovation project, we look at how we can minimise our water footprint as early as the design phase. In doing so, circular water management plays a key role, with the ultimate goal being to close the water loop.

In concrete terms, this means that we use water even more sparingly on our sites. We do this in several ways:

• by optimising existing installations
• by using the right type of water for the right purpose, for instance not using drinking water when this is not necessary
• by treating and reusing wastewater
• by collecting and using as much rainwater as possible, treated or not
• by buffering surplus rainwater or letting it soak into the groundwater

In 2021, 33,37% of our consumed water came from rainwater and treated wastewater.

33,37%

Objective 2025: 50%

Wastewater and rainwater treatment

• In 2021, we produced 101.943 m³ of drinking water from wastewater from our meat division Fine Food Meat. This represents a recovery rate of 56%.
• At Fine Food Meat, some of the rainwater collected is used in sanitary facilities, while some is treated to make it drinkable. Using the PURA (PUrification of RAinwater) process, we treated 7.732 m³ of rainwater in 2021.
• Over the past year, we expanded the buffers for capturing rainwater at our Dassenveld distribution centre by 400 m³ to a capacity of 8.600 m³. We reuse rainwater for cooling systems and sanitary facilities.
• In 2021, we constructed a water treatment plant at our Dassenveld site. This plant treats the wastewater from the crate-washing facility, subsequently returning it to the circuit.

560.578 m³ of water

used in 2021 (Belgium)

500 water taps for drinking water

In March 2022, in collaboration with Robinetto, we started installing 500 water taps in the canteens of all Colruyt Lowest Prices, OKay and Bio-Planet stores, as well as at some of the group's production sites and headquarters buildings. In doing so, we are providing healthy drinking water to thousands of (store) employees in the most sustainable way. Read more about this on page 63.

Reduction of sanitary water use

We are reducing our consumption of sanitary water in our headquarters buildings and renovated stores through the systematic installation of minimum flush flow devices.

Reducing the water footprint of our product range

While agriculture is one of the biggest consumers of water, other sectors should not be ignored. We want to systematically reduce the water footprint of our range of products and services, while at the same time addressing eco-toxicity and eutrophication in fresh and salt water. To do this, we are working together with producers and partners.

Partnerships

Through our partnership with SIFAV, a sustainability initiative for fruit and vegetables, we aim to reduce water consumption to best-practice levels in three selected river basins (in Peru, South Africa and Spain). In addition, we intend to set up independent audits or water standards for 70% of volumes coming from countries with a high water risk.

Preserving and protecting water resources

To keep as much water as possible in the natural water cycle and out of the sewer system: that's our goal. At our sites, we strive for a minimal impact on surface water and groundwater. We opt for permeable paving and provide above- and below-ground systems such as wadis, infiltration ditches and pits to allow rainwater to soak into the ground. Only if the subsoil is unsuitable for letting it soak away, do we buffer the water on our own sites during downpours before discharging it later.

We also carefully handle groundwater in water catchment areas. And, of course, we also always meet wastewater discharge standards.

In our energy policy, we are fully committed to avoiding and reducing energy consumption. In addition, we consciously choose sustainable alternatives such as renewable electricity (from wind turbines and solar panels) or green hydrogen as fuel.

In selecting such alternatives, we look at two things: how we can produce sustainable energy as a company, and how we can give consumers access to sustainable and affordable energy.

SDG 7 Lower energy consumption

Through our energy reduction plan, we intend to reduce the energy consumption of our activities in Belgium and Luxembourg by 20% by 2030 compared to base year 2009, in proportion to our – continuously growing – revenue. Our reduction plan provides for a structural approach to the largest energy consumers: heating, cooling, passenger and freight transport, and lighting.

In 2021, we already consumed 13,5% less energy.

- 13,5%

Objective 2030: 20%

Low-energy stores

Since 2007, all new-built stores are low-energy stores. At present, 133 of our stores are low-energy ones. At the same time, we have already refurbished 88 stores in an energy-saving manner. By 2030, 90% of our 600 stores in Belgium will be lowenergy stores.

Mobility

We save a lot of fuel and truck movements by optimising the truck load factor (94% for deliveries to Colruyt stores) and using such alternatives as barges (4.836 truck trips saved in 2021). In addition, office workers can now work from home or in a regional office several days a week.

Awareness and behavioural change

Through campaigns focusing on energy-saving, we make our employees aware that they too can contribute to reducing energy consumption through their behaviour. We focus on simple actions that make a difference, such as keeping doors closed, de-icing freezers or turning off lights. In addition, Colruyt Group Academy organises several workshops for individuals.

By 2030, at least 90% of electricity production and consumption at our central sites in Halle, Lot, Ollignies and Ghislenghien will occur synchronously, reducing the load on the public grid. We believe that in addition to energy production facilities, consumers can also play a crucial role in balancing the grid. We thus try to make the best use of renewable energy whenever it is available, among other things by flexibly controlling our production facilities and consumption.

By 2030, at least 90% of electricity production and consumption at our central sites are set to occur synchronously.

In 2021, we achieved a synchronicity rate of 78,5%.

Producing and using renewable energy

By 2030, 60% of our total energy consumption will come from non-fossil sources.

In 2021, this was 44,4%.

Objective 2030: 60%

• Solar electricity generation by Colruyt Group: 12.082 MWh.

44,4%

• Green electricity produced by Virya Energy and allocated to Colruyt Group: 949.336 MWh.
• We continue to increase the share of non-fossil energy, e.g. by greening our vehicle fleet and investing in energyefficient heating, such as heat recovery and heat pumps.

Using energy smartly Offering sustainable energy

Via DATS 24, we are helping make green electricity available to the residential and business market.

• We accelerated the rollout of our network of charging stations, for instance on store carparks: by the end of the financial year, there were 232 of them, each with 2 charging points.
• In January 2022, we opened the largest charging bay in Belgium on the carpark of our headquarters in Halle, with 54 charging stations and 1 fast charger.
• Since April 2021, DATS 24 has also been supplying green electricity to residential customers.
• DATS 24 is preparing to open 5 new hydrogen filling stations in 2022.
• Together with Belgian gas grid operator Fluxys, Virya Energy is developing an industrial plant in Zeebrugge to produce hydrogen. Read more about this on page 100.

Here at Colruyt Group, we do business in an inclusive and people-oriented manner, based on integrity and trust, and with respect for one another's rights. Key concepts are decent work, a stimulating work environment and a transparent supply chain.

As a consciously developmentoriented organisation, we offer our employees numerous opportunities to further develop their personal and professional skills, for instance through an extensive range of training courses. Besides the development of our staff, we also target other groups, such as consumers and young people, running specific programmes for them in the Colruyt Group Academy and Collibri Foundation.

We also attach great importance to the right working conditions, within both our company and our supply chain.

SDG 8 Working at Colruyt Group

Promoting sustainable job creation and decent work where every employee can make a positive contribution, we want to form a long-term relationship with every one of our employees. To this end, we create an optimal work context in which everyone can make the most of their skills.

A sustainable workforce

Through numerous tools and levers (training, personal development plans, teamwork, new learning solutions, consultation moments, etc.), we encourage our employees to invest in the long-term development of their careers. We also pay close attention to a healthy work-life balance.

• Fifth most attractive employer: in 2022, we were ranked the fifth most attractive Belgian employer in the leading Randstad Employer Brand Research. This is our highest position ever.
• Colruyt Group India is certified as a Great Place to Work by the Great Place to Work® Institute.
• Beginning in 2022, we have enshrined the possibility for office workers to telework several days a week.
• Many Colruyt and OKay store employees are already able to specify their available hours via a system of 'self-rostering', thus exercising greater control over their schedules.
• Our well-being survey shows that 82% of our employees are satisfied with their jobs.

employees.

Average length of service is 10,27 years.

In 2022, we were ranked the fifth most attractive employer.

(1) Sale of the French food service business Pro à Pro (-1.837 employees).

A diverse and inclusive workplace

We believe in the power of diversity. Colruyt Group stands for an inclusive corporate culture based on the added value of diversity. We have a clear-cut non-discrimination policy.

• In our training offerings, we focus on multicultural teams and intercultural communication.
• In 2021, we conducted several awareness-raising campaigns around transgressive workplace behaviour.
• Our selection process is open to all, regardless of age, cultural background, disability, ethnicity, gender, marital status, political beliefs, religion or sexual orientation. The best candidate is selected in an objective and professional manner.

Our group counted 89 nationalities in 2021

Engaging in constructive dialogue

• Colruyt Group has a longstanding tradition of communicating respectfully with employees and social partners.
• As the first point of contact for employees, line managers receive training on engaging in constructive dialogue.
• Our staff training programme includes courses on respectful communication and giving feedback.
• 94% of our employees are represented through a social consultative body or covered by a collective agreement.

More than just remuneration

Our employees can count on a competitive salary package. Moreover, we would like them to benefit financially from the growth of the company and have them participate in our business. We do this by distributing part of our profits in the form of profit sharing and by allowing our employees to subscribe to the annual capital increases on preferential terms.

• 20,42 million euros of profit sharing or 5,4% of company profits were distributed to 26.679 employees in Belgium
• 1.606 employees subscribed to 184.228 shares in 2021

Profit sharing

As a token of appreciation for everyone's contribution and dedication, Colruyt Group lets all employees in Belgium share in the profits. A separate system applies for employees in France, in accordance with French legislation. For the 2021/22 financial year, subject to approval by the General Assembly, total profit sharing will amount to EUR 20,42 million, distributed as follows: a distribution of EUR 1,27 million of profit sharing in cash as defined by the law of 22 May 2001 on employee participation in the capital of companies and establishing a profit-sharing bonus for employees, as well as a distribution of EUR 19,15 million under Collective Labour Agreements Nos. 90 and 90bis on non-recurring results-related benefits. From the 2001/02 financial year to date, Colruyt Group has allowed employees to share in the profits for a total of EUR 457,36 million.

In addition, we pay annual bonuses to middle and senior managers based on the group's profit. For financial year 2021/22, these profit-related bonuses amount to EUR 2,82 million gross.

2021/22 financial year

Profit sharing (in million EUR)	1,27
Results-related bonus (in million EUR)	19,15
Total amount of profit sharing (in million EUR)	20,42

The specified payments are gross amounts subject to the following deductions upon payment to the employees:

• Profit sharing: 13,07% as a solidarity contribution and 7% participation tax
• Results-related bonus (CLA 90): 13,07% employee social security contribution. Employer social security contributions are also due on the results-related bonus (CLA 90) (EUR 6,32 million in 2021/22 and EUR 7,47 million in 2020/21)

Year	Amount in million EUR	Number of shares
2019	15,9	380.498
2020	10,3	222.372
2021	7,3	184.228

Capital increases reserved for staff

To enable employees to participate in the growth of the company, we have been encouraging them to participate in the company's capital since 1987. Through an annual capital increase reserved for staff, they can subscribe to shares in the parent company Etn. Fr. Colruyt NV on attractive terms within a legal framework. Shares remain blocked for five years. These capital increases are proposed by the Board of Directors and approved by an Extraordinary General Meeting.

As part of the capital increase for financial year 2021/22 in December 2021, 1.606 employees subscribed to 184.228 shares, representing a capital contribution of EUR 7,34 million. Since 1987, group employees have subscribed to 22,98 million shares in their own company or the parent company, for a total amount of EUR 273,1 million.

Total payroll costs in Belgium: EUR 1.377,2 million (2021/22 financial year)

Learning and developing together

Lifelong learning and development are embedded in Colruyt Group's DNA. We structurally invest in learning and development opportunities, encouraging self-development at both a professional and personal level.

Three levers are used to support lifelong learning and development within our company:

• Providing a safe and challenging learning environment
• Cultivating a growth mindset, where learning something new is perceived as positive
• The realisation that you can (re)learn something and develop yourself anywhere and anytime

In 2021, we invested 39,1 million euros in employee education and training

Education and training for employees

• In 2021, 2,82% of the total payroll was invested in education and training.
• Growing e-learning share: one fifth of former face-toface training courses replaced by online versions.
• 1.548 employees took part in personal growth training in the last financial year.
• A revamped training offer responding to staff needs, with new courses on stress and resilience, overcoming fear of speaking or dealing with undesirable behaviour.

Inspiring consumers via Colruyt Group Academy

• Due to the corona restrictions, Colruyt Group Academy was again only able to hold face-to-face workshops to a limited extent in 2021. However, online workshops continued to take place, reaching a total of 23.501 participants.

• Colruyt Group Academy invested heavily in overhauling its offering, introducing new topics, formats and working methods (learning communities, on-demand, face-to-face or online) as of spring 2022.
• An increasing number of workshops target sustainability topics such as the environment and health.
• 10 Colruyt Group Academy centres across Belgium.

Empowering young people via the Collibri Foundation

• In 2021, support for 18 training projects in 11 countries.
• EUR 907.846 invested in 2021.
• 10.480 young people reached directly in 2021.

We continue to strive for 100% good working conditions

Working conditions in the supply chain

As a retailer, we take responsibility for proper working conditions at our producers. For example, we ask suppliers of private-label products to sign the amfori BSCI Code of conduct, committing them to respect universal human rights. Compliance with the code of conduct is monitored via certificates, social initiatives and/or social audits. If it appears that the trading partner needs support, we look together at how we can make improvements. What if there is no will to create good working conditions? Then we stop the cooperation.

Supplier commitments

• We use the amfori BSCI Code of conduct as a benchmark for all suppliers of our private-label products.
• Our code of conduct endorses universal principles of international human rights treaties. These must be respected, inter alia with regard to the minimum age for employees, the right to fair wages, exclusion of child and forced labour, guaranteed safe and healthy working conditions, and a ban on discrimination.

Auditing working conditions

• Working conditions at 81% of our producers were audited in 2021. Among other reasons, this lower percentage was due to Covid restrictions and a renewed process at amfori BSCI.
• 96% of producers in high-risk countries received a positive audit. In the remaining 4%, an improvement process was initiated.

SDG 12 Responsible sourcing

As a retailer with our own production units, we have an impact on all links in the supply chain: from sourcing, via production, to distribution and consumption.

Through certification, sector initiatives and international supply chain projects, we are making a sustainable difference in the regions where we source raw materials and products. Closer to home, we are making a positive difference through sustainable production initiatives, attention to animal welfare, and through reducing and avoiding waste and food losses.

In addition to responsible production and the resourcesaving use of raw materials, we also focus on responsible consumption, providing information, inspiration and handy tools such as the Ecoscore.

We want to use our economic power to initiate a positive social and environmental spiral in the regions where we source our raw materials and products. Both at home and abroad. We do this through innovation, certification, international supply chain projects and sector initiatives.

Certification of private-label products

With regard to private-label products and their raw materials with an acknowledged significant impact on sustainability, we systematically opt for sustainability certifications that take social and ecological aspects into account.

• Wild-caught fish, shellfish and crustaceans: 98,5% MSC (Marine Stewardship Council) label, a positive assessment by ILVO (Flanders Research Institute for Agriculture, Fisheries and Food) or a positive assessment by ISSF (International Seafood Sustainability Foundation) for canned tuna.
• Farmed fish, shellfish and crustaceans: 94,6% certification with ASC (Aquaculture Stewardship Council) or BIO.
• Coffee: 100% certified (Rainforest Alliance, Organic, Fairtrade).
• Products containing cocoa: 99,5% certified (Rainforest Alliance, Organic, Fairtrade).
• Palm oil and palm kernel oil: 100% RSPO-certified (Roundtable on Sustainable Palm Oil).
• Soy in animal feed: 100% offset by RTRS credits (Round Table on Responsible Soy), 67,8% of which were purchased from a cooperative we supported in its transition to more sustainable soy.
• Soy in food: if the soy in our own-brand products comes from an at-risk area or if they are soy derivatives, they are certified or offset by purchased RTRS credits.
• Wood, charcoal and paper: 100% certified with FSC (Forest Stewardship Council), PEFC (Programme for Endorsement of Forest Certification Schemes) or Blaue Engel (specifically paper).
• Cotton at Dreambaby: 100% BCI- (Better Cotton Initiative) or GOTS- (Global Organic Textile Standard) certified.

Sector initiatives and international supply chain projects

We also make a positive and sustainable difference in production regions through sector initiatives and international supply chain projects. Transparency and cooperation with all supply chain players play a key role here.

The added value of sector initiatives is that together (with other retailers and partners) we can greatly raise the bar on sustainability while still maintaining a level playing field

Looking at international supply chain projects, we always work closely with the local producers and all other supply chain players to bring the most sustainable product to market. In 2021, we were active in 8 international supply chain projects that resulted in 46 private-label products. We also systematically combine these supply chain projects with training projects for local young people under the banner of our Collibri Foundation.

Sector initiative: Sustainability Initiative Fruit & Vegetables

Colruyt Group is part of the Sustainability Initiative Fruit & Vegetables (SIFAV), representing Belgian retailers on its steering committee. We are working with SIFAV and other supply chain partners from the fruit and vegetable sector to develop a sustainability strategy for 2025.

A few SIFAV goals by 2025:

• Reducing the carbon footprint by 25% across three products.
• Reducing food loss and waste by 25% across three products.
• Reducing water use to best practice levels in three selected river basins in Peru, South Africa and Spain.
• Conducting independent audits or imposing water standards for 70% of volumes from high water risk countries.
• Having 90% of our fruit and vegetables from medium- to highrisk areas meet specific environmental and social standards verified by a third party.

Sector agreement: Beyond Chocolate

The 'Beyond Chocolate' sector agreement, which we co-signed in December 2018, aims to sustainably improve the living conditions of cocoa producers by 2030. Specifically, all Belgian chocolate must meet a certification standard by 2025. For our private-label products, this target was already achieved in 2021: 100% of our private-label products containing cocoa are certified.

The goal for 2030 is different: to guarantee cocoa farmers a living income. Here again, we are already making progress thanks to our cocoa supply chain project in the Ivory Coast. Starting in June 2020, we have been supporting 102 farmer families in two Ivorian villages for three years. They supply the cocoa for our Boni 72% pure chocolate bar. It has been in our stores since October 2021. The cocoa farmers are paid a living income reference price for this.

They also receive support to boost biodiversity and resilience to climate change. The intention is to later scale up this supply chain project to cover the whole Boni chocolate bar range, as part of Beyond Chocolate. In this way, we want to contribute to the goal of zero deforestation and a living income for cocoa farmers.

This project is running in collaboration with the IDH Sustainable Trade Initiative, the producer Puratos, development organisation Rikolto, certification organisation Fairtrade, the Ivorian cooperative ECSP and the training centres Agro-Insight and Access Agriculture.

More animal welfare

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We are continuously working to improve the living conditions of all animals intended for consumption (including by-products).

• All fresh meat and meat preparations of our own brands in our stores come from animals that were anaesthetised before slaughter. All Belgian slaughterhouses supplying meat to our Fine Food Meat processing company were subject to unannounced animal welfare inspections in 2021.
• In August 2021, Colruyt Lowest Prices and OKay committed as the first Belgian retailers – to higher animal welfare criteria for broiler chickens. The animals are now getting daylight and 40% more space, and a switch to a slower-growing breed is being made. The switch is being done incrementally and will be completed by 2026 at the latest.
• After successful pilot projects in 2020 and 2021, we also decided to include the new method of hatching eggs in the producer's house (Nestborn and the similar One2Born method) in the chicken meat specifications for Colruyt and OKay butchers by 2026. A first in Belgium!
• In 2021, 35% of Colruyt beef came from three Belgian producer organisations with whom we work directly. Together with the breeders we are committed to the welfare of the cows. We require that they be able to graze outside for at least half the year, and that the animals are born and spend the rest of their lives on the same farm.
• The fresh rabbit meat at Colruyt, OKay, Spar, Solucious and Cru is guaranteed to come from rabbits from animal-friendly park systems. The meat for Colruyt, OKay and Solucious is also 100% Belgian, meaning that the rabbits do not spend too much time in a truck.

Innovative sea farm

Also by developing new initiatives ourselves, we can steer the production and consumption of goods in a more sustainable direction. For example, we want to meet the rising demand for sustainable protein-rich food through an innovative sea farm, Westdiep, off the Belgian coast. With the necessary permits in our pocket, we started construction in early 2022 of the first phase of this first Belgian commercial sea farm, where we will cultivate mussels using hanging culture technology. After placing the buoys, we started placing the first 50 longline installations in spring 2022, in cooperation with the West Flemish company GEOxyz. If all goes well, the first mussels will be in our stores in summer 2023.

Resource-saving use of raw materials

We are continuously working to reduce residual waste and avoid food loss. We do this by making our range of products, packaging and services more circular and upgrading our residual streams, working to the principles of the circular economy and recycling and reusing the available raw materials again and again. In doing so, we use the R-ladder as a guide: refuse, rethink, reduce, reuse, recircle, recycle and recover.

By 2025, we want all household packaging for our private-label products to be reusable, recyclable, compostable or biodegradable.

By 2025, our PET beverage containers will consist of 50% recycled PET.

Smarter packaging

For our own brands, we choose the best packaging for the environment for each product. Whenever possible, we just do away with packaging. For those products that do get packaged, we try to replace or reduce (part of) the packaging. In addition, our packaging is made with a view to easy recycling after use. Finally, whenever possible, we choose packaging made with recycled or renewable materials.

• In March 2022, Colruyt Group signed the Flemish government's Green Deal Anders Verpakt, the goal of which is to avoid or reuse single-use packaging.
• In early 2022 at Fine Food Meat, we introduced new recyclable packaging for meat destined for the OKay stores.
• The packaging of frozen meals, fresh prepared meals and snacks and fresh fish, inter alia, has been changed from black to transparent or light packaging materials, making some 75 tonnes of packaging material available for recycling.

Working together to fight food loss

We are constantly looking for ways to reduce food waste, on the one hand by focusing on avoiding food surpluses (thanks to efficient stock management), and on the other by reusing food surpluses (animal feed, biochemistry, human consumption).

• In 2021, we sold 96,98% of our fresh produce. The sales in fresh produce decreased, while waste in fresh produce remained virtually unchanged. As a result, the percentage of sold fresh produce decreased and we did not reach our target of selling at least 97,4% of our fresh produce as of 2021. In 2022 we will do our utmost to achieve this ambition.
• In 2021, we saw a slight decrease in the total tonnage of food losses by 121 tonnes (-0,37%) to 32.951 tonnes.
• The proportion of surplus food going to human consumption rose to 15,9% in 2021. By contrast, the proportion without any useful application (incineration) fell to 7%.
• In collaboration with the Brussels city farm Eclo, we conducted a successful test to grow mushrooms on bread residues from Bio-Planet. The mushrooms were temporarily available for sale at Cru as of October 2021.

By 2025, at least 40% of our remaining consumable but unsold products will be destined for human or animal consumption.

Working together for less waste

• The total tonnage of waste dropped by 3.708 tonnes (-4,42%) to 80.217 tonnes.

As of 2021, we will have our tonnage of waste per million euros of sales decrease annually.

• Residual waste (waste not reused and thus incinerated) is already down for the seventh year in a row, to 12.878 tonnes (- 1,5%).

We continued to meet our goal of recycling at least 85% of our waste in 2021.

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Circular construction and renovation

Every year, we carry out a lot of construction and remodelling projects. We try to reuse or recycle as many materials as possible to reduce waste and consume fewer primary raw materials. We are also continuously researching and testing new structural materials and building systems for circular construction (click wall systems, flexible interior walls, dismountable roof panels, etc.).

• Built to reuse: when renovating stores, we use a checklist covering more than 1.300 shop-fitting materials and components that we are able to reuse (shelving, cabling, lighting, steps, shopping cart parks, etc.).
• In 2019, we signed the Green Deal on Circular Construction. As a 'Doer in Flanders' we are working on the 'high-quality recycling of aerated concrete'.
• Within the context of the European ICEBERG project, we are working with 34 partners from ten countries to research the reuse of building materials (urban mining) and the application of new circular building materials and techniques developed within the project. For example, in collaboration with the research centre VITO and a manufacturer of our earlier cast concrete floors, we are making new carbonation blocks that absorb rather than release CO2 during production.
• We are working closely with universities and research institutions. In 2021, we collaborated on three master's theses at UHasselt university on circular metal, insulation and selective demolition. We are also partnering a master's thesis at UGent university on decoupling concrete sandwich panels.
• We are mapping our impact digitally. In cooperation with VITO and OVAM, we are working on optimising the Belgian tool Totem for measuring the environmental impact of our building stock. We are working together with producers and recycling companies to develop material passports for our structural building materials and with the European Levels tool to map our circularity, enabling us to structurally address our reuse and recycling in a transparent and future-oriented way, together with all building partners.

Conscious consumption

Both through our range of products and services and through information and inspiration, we are helping our customers to consume consciously.

1 year Eco-score: guide to making more environmentally conscious choices

In March 2021, we were the first retailer to launch the Eco-score in Belgium. The Eco-score displays the environmental impact of food products through a simple colour and letter code, allowing customers to easily make more environmentally conscious choices.

• By the end of March 2022, almost half of all food products at Bio-Planet and Colruyt already received an Eco-score. Both private-label products and products from national brands receive a score.
• Customers can consult the Eco-score on various apps and on Colruyt Group's websites: MyColruyt, SmartWithFood, Xtra, Bio-Planet.be and Colruyt.be.
• By the end of March 2022, the Eco-score was already featured on the packaging of more than 100 privatelabel products (Boni Selection, Boni Selection Bio and Graindor). On some, we also visualise how the Ecoscore was calculated.
• Colruyt Group's own recent market research shows that more than 50% of Belgians have already seen or heard about the Eco-score. They are also good at linking the Eco-score to the environmental footprint: an important first step towards making a real impact on consumer behaviour.

Protein shift: attention to vegetable products

In April 2021, our store formats Colruyt Lowest Prices, OKay and Bio-Planet, our food service specialist Solucious and spin-off SmartWithFood signed the Flemish Green Deal 'Protein shift on our plate'. The target of this Green Deal is to achieve a ratio of 60% plant and 40% animal proteins on our plates. The signatories undertake to work together to achieve this protein transition through accessible communication and a wide range of plant-based products.

SDG 13

We work day-in, day-out to minimise our impact on the climate, always with an eye to long-term results. We monitor our greenhouse gas emissions (such as CO2 , methane or nitrous oxide) in accordance with the three scopes of the internationally recognised Greenhouse Gas (GHG) Protocol.

• Scope 1:

direct emissions caused by our own building-, transport- and production-related activities.

• Scope 2:

indirect emissions released when generating the energy we purchase.

• Scope 3:

indirect emissions that occur in the value chain. For example: emissions in external production, customers travelling to our stores, waste processing, etc.

Scope 1 and 2: avoiding and reducing greenhouse gas emissions

In 2008, we prepared a CO2 balance sheet for the first time. We drew up a CO2 reduction plan, launching our first projects between 2011- 2015. These focus on four hotspots: cooling, heating, energy and mobility. With the following results: our greenhouse gas emissions (in scope 1 and 2) decreased in recent years in both relative and absolute terms. A trend we would like to continue.

Faster than expected, we have also managed to meet our current reduction target: 40% reduction by 2030, versus base year 2008 and relative to revenue. Following changes in the calculation methods to become more in line with the Greenhouse Gas Protocol, we recalculated our emissions data back to the base year. The reasons for this included a significant shift of emissions from scopes 1 and 2 to scope 3 (well-to-tank emissions), more detailed data input and updated emission factors. In addition, we have also expanded

our organisational perimeter in line with the principle of financial control (more info on this can be found in the indicators on page 193).

This meant that we retroactively met our intensity target as early as 2020: a great reflection of our longstanding commitment to mitigating climate change. Today we are even more convinced of the need to tighten our reduction targets. Colruyt Group is thus committed to setting new emission reduction targets in accordance with the criteria and methodology of the Science-Based Targets Initiative (SBTI). In the coming months we will submit our targets, with a view to formal validation by the end of this year. In our next Annual Report, we will report for the first time on these new targets.

Tonnes CO2 eq per million EUR turnover

Climate-friendly cooling

In 2017, we started switching to natural refrigerants in our stores. Since then, 158 stores have already been equipped with installations running on propane or propene. These emit 90% less CO2 than installations running on synthetic refrigerants. The transformation is expected to be completed by 2030. We now also detect any cooling leaks much earlier thanks to a new artificial intelligence-based monitoring system that we developed ourselves in 2021. We are also opting for climate-friendly innovations in our logistics chain: we continue to roll out our selfdeveloped liquid ice containers for fresh produce (7.176 containers) and frozen foods (2.411 containers), while in 2021 we also introduced a new type of cool box for Collect&Go emitting far less CO2 than the earlier refrigerated carts.

Heating

Through extensive insulation and energy-saving techniques such as heat recovery and heat pumps, we are bringing down energy consumption in our stores and the recovered heat is enough to heat the stores. 88 stores have already been equipped with heat recovery. 45 stores are now operating completely free of fossil fuels.

We also avoid a lot of energy consumption by working with cold rooms and closed refrigeration units in our stores.

Greener vehicle fleet

We are continuing our efforts to make our passenger transport fleet greener. 46% of vehicles run on CNG, 16% have hybrid engines, 1,6% run on electricity and 0,3% on hydrogen. We are also conducting tests on running trucks on electricity and hydrogen.

Renewable energy

• As far as possible, the energy we use comes from renewable sources. Our electricity consumption is 100% green.
• We ourselves produce green electricity from solar energy and are investing in onshore and offshore wind energy via Virya Energy.
• We are trying to maximise consumption at times when green electricity production is high. In 2021, the synchronicity rate was 78,5%.

Read more about renewable energy on pages 162-163.

Scope 1 and 2: capturing greenhouse gas emissions through afforestation

While remaining committed to further emissions reductions, we are also committed to CO2 capture, capturing at least the equivalent of our remaining emissions through planting trees.

From 2030, net-zero emissions

within scope 1 and 2 of the Greenhouse Gas Protocol. The sum of the greenhouse gases we emit (+) and the CO2 we remove from the atmosphere (-) is then 0

New forest in the Democratic Republic of Congo

In concrete terms, in 2021 we started planting 10.000 hectares of forest – involving more than 12 million trees. We are doing this in the province of Kwango in the Democratic Republic of Congo, in close cooperation with the local population and local organisations.

With this new forest, we aim to both capture greenhouse gases and restore and promote biodiversity in this region plagued by overexploitation. Through various employment, training and infrastructure initiatives, we are also creating added value for the local population.

• Reforestation: as of the end of March 2022 1.678.341 trees had already been planted by local employees. The largest trees are already over a metre high.

• Participation of the local population: in collaboration with 2 community managers, committees have been set up in two surrounding villages, inter alia for education and agriculture.
• Agro-economy: promoting local agricultural production, we have launched the first projects with fruit trees and manioc on plots in and around the concession. These will be maintained and worked by the local communities.
• Infrastructure: following a detailed study, we are now in the process of preparing the construction of a bridge. We are also currently conducting demographic studies for the construction of local schools.

Scope 3: Avoiding and reducing greenhouse gas emissions

Our activities also involve indirect greenhouse gas emissions. For instance, the products on our shelves and the materials we use have an indirect impact on the climate. Using life cycle assessments, we look at the overall life cycle of these products and materials. Working closely with our suppliers, we are tackling the factors with the greatest impact on climate change first. In addition to products and materials, we are also working on making the mobility of our goods, customers and employees more sustainable.

Every two years we conduct an Organisational Environmental Footprint (OEF) audit, in accordance with the recognised methodology of the European Commission. This allows us to assess the environmental impact of our activities more broadly than when just looking at the impact category 'Climate Change'.

Purchased goods and services			69,53%
Capital goods	1,31%
Fuel- and energy-related activities	0,09%
Upstream transport and distribution	3,00%
Waste generated in company operations	0,48%
Business travel	0,02%
Employee commuting	0,16%
Downstream transport and distribution	0,09%
Use of sold products		22,56%
End-of-life treatment of sold products	2,71%
Franchises	0,06%
Investments	0,02%

Last year, we took stock of our scope-3 emissions based on 2020 data. In terms of size, scope 3 accounts for about 99% of our total emissions throughout the value chain, whereas scopes 1 and 2 account for just 1%. Qualitative capture of primary data is an ongoing challenge for any retail company. While intending to release more absolute data for scope 3 in the future, we first want to further increase data quality for the highest-impact categories, in cooperation with our business partners.

More sustainable products

• Promoting plant-based nutrition: in April 2021, Colruyt Lowest Prices, Bio-Planet, OKay, SmartWithFood and Solucious signed the Flemish government's 'Green Deal Protein Shift on Our Plates', undertaking to offer even more plant-based foods and advice (recipes, inspiration) and thereby introducing consumers to plant-based alternatives to animal protein.
• Choosing more environmentally consciously with the Eco-score: thanks to the Eco-score we launched in 2021, customers can now easily make more environmentally conscious choices.
• Curbing deforestation: for products and raw materials with known deforestation problems, we systematically opt for sustainability certifications guaranteeing sustainable forest management (cocoa, palm oil, soy, coffee) for our private-label brands such as Boni and Everyday.

Read more about sustainable products under SDG 12 on page 170 ff.

Mobility of goods, customers and employees

• Thanks to the use of barges in Belgium, 4.836 truck trips were saved.
• Excellent 94% load factor on outbound deliveries to Colruyt stores.
• Last-mile delivery: formulas such as Cru, Solucious and Collect&Go are experimenting with cargo bikes.
• DATS 24 is systematically expanding its network of charging stations for electric cars, especially on supermarket carparks. By the end of the financial year, we had installed 232 charging stations. We now also offer shared cars at 12 Colruyt Lowest Prices carparks.
• Making commuting more sustainable: 38 million car miles saved by cyclists, commuters and carpooling.
• Since the beginning of 2022, our office workers can now work two days a week away from their base office (at home or in a regional office).

EU Taxonomy

Classification system for sustainable activities

With the European Green Deal, the European Union has undertaken to reduce greenhouse gas emissions to net-zero by 2050, thereby becoming climate-neutral. To achieve this ambitious target, the European Commission has launched an action plan on financing sustainable growth, which includes the EU Taxonomy. The primary focus is on reorienting capital flows toward sustainable economic activities, integrating sustainability into risk management, and promoting transparency and long-term thinking.

On 22 June 2020, the EU Taxonomy Regulation (EU) 2020/852 ('EU Taxonomy') was published. The EU Taxonomy is an EU classification system for sustainable activities: a framework determining which economic activities can be considered ecologically sustainable. The regulation took effect on 12 July 2020. Colruyt Group is required to report for the first time in financial year 2021/22.

The EU Taxonomy Regulation defines six environmental objectives to which economic activities should contribute:

• 1. Climate change mitigation
• 2. Climate change adaptation
• 3. The sustainable use and protection of water and marine resources
• 4. The transition to a circular economy
• 5. Pollution prevention and control

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6. The protection and restoration of biodiversity and ecosystems

Reporting year 2021/22

For reporting year 2021/22, companies are called on to identify which of their economic activities could potentially be environmentally sustainable ('eligible'), taking into account the first two EU-defined environmental objectives: climate change mitigation and adaptation. Delegated Act (EU) 2021/2178 ('Delegated Act) requires only the share of turnover, capital expenditure (CapEx) and operating expenditure (OpEx) of these eligible economic activities to be reported.

Scope

The evaluation of these economic activities was done for all companies that are fully consolidated. Colruyt Group also invests indirectly in many sustainable economic activities whose disclosure is required by the Delegated Climate Act (EU) 2021/2139 ('Delegated Act'), but these investments are in associated companies outside the group of fully consolidated companies. For example, together with Korys, we are investing in the energy holding company Virya Energy whose main activity is the production of wind energy and green hydrogen.

In its voluntary EU Taxonomy reporting, Virya Energy reveals that its largest eligible activities are Production of electricity from wind power (4.3), Production of electricity from hydropower (4.5), and Infrastructure for low carbon transport (water transport) (6.10). For each of its eligible activities, Virya Energy reports figures exceeding 95% in each key performance indicator (revenue, CapEx and OpEx). For more detailed information on this voluntary reporting, please consult the Virya Energy website.

Eligible activities

Colruyt Group is mainly active in food and non-food retail and wholesale, as well as food service. However, these economic activities were not included in the Delegated Climate Act, meaning that our group's main activities are outside its scope.

Nevertheless, we have analysed all our economic activities in line with the definitions established by the Delegated Climate Act. The following Colruyt Group economic activities are eligible under the EU Taxonomy:

See next page for more detailed information.

Activity number	Activity Name	Application for Colruyt Group
1.1	Afforestation	Provide for forest creation through our afforestation project in the Democratic Republic of Congo
4.12	Storage of hydrogen	Operation of hydrogen installations at DATS 24 filling stations
5.5	Collection and transport of non-hazardous waste in source segregated fractions	Separate collection and transport activities of non-hazardous waste in separate or mixed fraction for the purpose of preparing it for reuse or recycling. This includes the collection of recyclable paper
6.4	Operation of personal mobility devices, cycle logistics	Sales activity of Bike Republic, as well as the provision of company bicycles to employees
6.5	Transport by motorbikes, passenger cars and light commercial vehicles	This activity includes Colruyt Group's fleet of Category M1 vehicles (passenger cars), N1 (commercial vehicles weighing less than 3.5 tonnes) and L (two- and three-wheeled vehicles and quads)
6.6	Freight transport services by road	This activity covers Colruyt Group's fleet of Category N1 vehicles (weighing less than 3.5 tonnes), N2 (weighing between 3.5 and 12 tonnes) or N3 (more than 12 tonnes). This covers all such vehicles operated by Colruyt Group
7.2	Renovation of existing buildings	Preparation of construction and renovation of Colruyt Group buildings
7.3	Installation, maintenance and repair of energy efficiency equipment	This activity includes renovation measures such as green roofs and LED lighting
7.4	Installation, maintenance and repair of charging stations for electric vehicles in buildings (and parking spaces attached to buildings)	This activity includes all installation work, maintenance and repairs performed by DATS 24 on the charging stations
7.5	Installation, maintenance and repair of instruments and devices for measuring, regulating and controlling energy performance of buildings	This includes Colruyt Group's energy monitoring system
7.6	Installation, maintenance and repair of renewable energy technologies	This activity includes the installation, maintenance and repair of electric heat pumps and solar panels
7.7	Acquisition and ownership of buildings	Purchasing real estate and exercising ownership of Colruyt Group's real estate
8.2	Computer programming, consultancy and related activities	This includes all large IT projects, in which programming, consultancy and other related activities are undertaken

Colruyt Group is also involved in several other economic activities defined under the EU Taxonomy. However, in financial year 21/22 these made little or no contribution to revenue, capital expenditure (CapEx) or operating expenditure (OpEx) as determined by the EU Taxonomy and are therefore classified as 'ineligible' economic activities. The following economic activities are involved:

• 3.10 Manufacture of hydrogen
• 4.25 Production of heat/cool using waste heat
• 6.13 Infrastructure for personal mobility, cycle logistics
• 8.1 Data processing, hosting and related activities
• 8.2 Data-driven solutions for GHG emissions reductions
• 11.1 Education

Key performance indicators (KPIs) from the EU Taxonomy

The Delegated Act only requires companies to report the share of turnover, capital expenditures (CapEx) and operating expenditures (OpEx) of eligible economic activities.

Since retail, our main activity, is not included as a sector in the current Delegated Climate Act, a large part of our economic activities does not qualify for the calculation of the KPIs. However, as a retailer, we remain committed to sustainable business practices and conscious consumption. For the eligible economic activities, we are disclosing for the first time their share of total net revenue, CapEx and OpEx.

Revenue

0,21% of Colruyt Group's revenue is eligible. This revenue comes mainly from the sale of cycles in our Bike Republic cycle chain and also includes limited revenue from the sales of electricity for electric charging stations.

Capital Expenditure (CapEx)

Colruyt Group has eligible capital expenditure (CapEx) of 64,11%. This mainly relates to investments in buildings (both their acquisition and renovation), installation, maintenance and repair costs related to buildings, transport and energy efficiency technologies. In addition, eligible CapEx also covers our investments in hydrogen and IT projects. With regard to the acquisition and ownership of buildings, the rights of use under IFRS 16 are also included.

Operating expenditure (OpEx)

Finally, 3,15% of operating expenditure (OpEx) is eligible. This mainly involves expenditure on maintenance and repairs in the context of building renovation and transport.

Eligible and non-eligible CapEx

We used the accounting principles defined by the EU Taxonomy to calculate the denominator in the above KPIs.

The turnover defined by the EU Taxonomy corresponds to the consolidated turnover that can be found in Note 3 of the Financial Report.

As for the CapEx calculation, the EU Taxonomy states that all acquisitions of property, plant and equipment and intangible assets for depreciation and amortisation are to be included, as well as acquisitions of property, plant and equipment and intangible assets from new business combinations and additions of IFRS 16 right-of-use assets. Of our acquisitions disclosed in Notes 10 and 11 of the Financial Report, we have therefore not taken into account asset acquisitions and right-of-use adjustments to arrive at the definition of CapEx required by the EU Taxonomy.

Finally, the EU Taxonomy requires that the denominator of the OpEx shall cover direct noncapitalised costs that relate to research and development, building renovation measures, shortterm lease, maintenance and repair, and any other direct expenditures relating to the day-to-day servicing of assets of property, plant and equipment by the undertaking or third party to whom activities are outsourced that are necessary to ensure the continued and effective functioning of such assets. At Colruyt Group, this corresponds to operating income, expenses, services and miscellaneous goods and employee benefits. These expenses are reflected in Notes 4, 5 and 6 of the Financial Report.

To avoid double counting in the above KPIs, intra-group transactions were eliminated at the consolidated level in each case.

Accounting principles Disclosures aligned with the EU Taxonomy

As of financial year 2022/23, we will report on the alignment of the first two aforementioned environmental objectives, as well as the other four environmental objectives. In doing so, eligible economic activities will be weighed according to the technical criteria associated with one or more of the six environmental objectives. In addition, they must not cause significant damage to the other five environmental objectives, while compliance with minimum safeguards in terms of human and labour rights and standards must be ensured.

We expect, on the one hand, that on the basis of this further harmonisation a number of economic activities that are currently identified as eligible will fall away. On the other hand, we suspect that certain of our economic activities will contribute to the other four environmental objectives.

We are setting up the necessary internal processes to be able to report on this alignment in the next reporting period.

Indicators SDG 2		2019	2020	2021
Balanced nutrition for all
Food donated to social organisations (in tonnes)	Calendar year	4.262	4504	5.622
% Fresh produce actually sold	Calendar year	97,21	97,33	96,98

With regard to food surpluses and donations, Colruyt, Bio-Planet and OKay food stores are in scope.

Indicators SDG 3		2019	2020	2021
Balanced nutrition tailored to your needs
# Products with improved nutritional composition	Calendar year	134	206	240
Reduction in fats (in tonnes)	Calendar year	135,6	151,1	251,1
Reduction in saturated fats (in tonnes)	Calendar year	72,7	109,5	116,8
Reduction in sugar (in tonnes)	Calendar year	195,8	88,4	228,1
Reduction in salt (in tonnes)	Calendar year	22,8	38,4	34,4
Added fibre (in tonnes)	Calendar year	60,5	38	39,1
# Boni Selection items with an improved Nutri-Score	Calendar year	29	87	50
Support for consumers and employees
% of Boni products featuring the Nutri-Score on the packaging	Calendar year	51,7	91	100
% of Spar products featuring the Nutri-Score on the packaging	Calendar year	-	29	100
Safe and healthy working environment
% Employees who have joined the Solidarity Fund	Financial year	67,2	65,0	69,0
Amount paid out by the Solidarity Fund (in EUR)	Financial year	1.129.072	1.128.950	1.400.162
# Work-related accidents	Financial year	874	860	969
Frequency rate of work-related accidents	Financial year	23,3	22,72	25,30
Severity rate of work-related accidents	Financial year	0,64	0,59	0,69
# Long-term sick employees contacted by The Connection	Financial year	3.228	1.814	2.935

The scope of the indicators on nutritional composition covers our private-label brands Boni Selection and Everyday and the meat products in the butcher's section and meat aisles of Colruyt and OKay.

Indicators SDG 6		2019	2020	2021	Objective
Circular water management
Total water consumption (in m³)	Calendar year	605.846	592.468 (1)	560.578
% Rainwater and wastewater	Calendar year	27,2	29 (1)	33,4	50% by 2025
Recycled wastewater at Fine Food Meat (in m³)	Calendar year	96.926	109.199	101.943
Drinking water produced in the PURA drinking water installation	Calendar year	972	4.242	7.732

(1) When calculating the figures for 2021, it was found that there was an error in the calculation method for 2020.

The scope of these indicators is water consumption in Belgium, excluding drinking water destined for sale.

Indicators SDG 7		2019	2020	2021	Objective
Lower energy consumption
% Reduction in energy consumption (relative to revenue)	Calendar year	8,7	11,8	13,5	20% by 2030
Energy consumption (MWh per million EUR revenue)	Calendar year	58,9	57,0	55,9	51,7% by 2030
Electricity consumption of Colruyt Group in Belgium and Luxembourg (MWh)	Calendar year	230.724	235.320	234.697
Producing and using renewable energy
% Average synchronisation rate for central sites	Calendar year	70	72	78,5	90% by 2030
% Energy consumption from non-fossil fuels	Calendar year	44	44,7	44,4	60% by 2030
% Electricity consumption from non-fossil sources	Calendar year	100	100	100	Aim for 100%
% Non-fossil energy from own or local production units	Calendar year	100	100	100	100% by 2030
Colruyt Group electricity production from solar (MWh)	Calendar year	7.550	10.319	12.082
Green electricity production by Virya Energy allocated to Colruyt Group (MWh)	Calendar year	-	1.135.562	949.336
Avoided CO2 emissions through our investments in green energy (in tonnes)	Calendar year	-	295.348	233.537
Offering renewable energy
# Electric charging stations	Financial year	122	147	232
# Sites with electric charging stations	Financial year	115	135	159
# DATS 24 filling stations with CNG pumps	Financial year	76	84	88
# Public DATS 24 hydrogen filling stations	Financial year	1	1	1

The scope of these indicators is Colruyt Group Belgium and Luxembourg, unless otherwise indicated.

Indicators SDG 8		2019	2020	2021
Working at Colruyt Group
# Employees at Colruyt Group as a whole	Financial year	30.631	32.945	32.996
# New employees (net growth)	Financial year	728	2.314	51
Average length of service (in years)	Financial year	9,79	9,84	10,27
# Student workers who have worked for Colruyt Group in the past year	Financial year	8.258	8.484	8.949
# Nationalities	Financial year	91	89	89
# Over-45s recruited	Financial year	465	506	410
% Women in leadership positions	Financial year	25,6	27	28
# Job switches	Financial year	812	791	727
# Employees subscribing to the capital increase	Financial year	2.166	2.205	1.606
Total profit-sharing amount (in million EUR)	Financial year	27,8	28,5	20,4
% Employees represented by a social consultative body	Financial year	97,3	94,4	94,0
% Employees covered by a collective bargaining agreement	Financial year	-	-	100

Indicators SDG 8		2019	2020	2021
Learning and developing together
Investment in education and training (in million EUR)	Financial year	38,8	32,1	39,1
% payroll invested in education and training	Financial year	3,04	2,41	2,82
# Individual participants in personal growth training courses	Financial year	1.759	1.562	1.548
# Different personal growth training courses	Financial year	58	73	55
# Employees in a dual learning programme	Financial year	206	185	211
# Trainees	Financial year	585	395	710
# Traineeship programmes	Financial year	8	10	14
# Colruyt Group Academy centres	Financial year	11	10	10
# Participants in Colruyt Group Academy workshops for consumers	Financial year	52.602	5.361	23.501
# Different courses for consumers	Financial year	190	192	152
Investment amount (in EUR) Collibri Foundation	Calendar year	808.593	798.860	907.846
# Training projects Collibri Foundation	Calendar year	14	14	18
# Young people directly involved in Collibri Foundation training projects	Calendar year	6715	9.350	10.480
Average number of training hours per employee	Financial year	-	-	27
Total number of training hours during the year (in millions)	Financial year	-	-	1,02
Working conditions in the supply chain
# Producers monitored in at-risk countries	Calendar year	430	487	485
% Producers in at-risk countries receiving at least one audit	Calendar year	100	97	81
% Producers in at-risk countries with an acceptable social audit result	Calendar year	90	95	96
# Producers moving up from poor to acceptable results compared with previous year	Calendar year	31	19	5
# Producers with whom cooperation was terminated due to a violation of the Code of Conduct	Calendar year	9	3	5

The scope of these indicators is Colruyt Group Belgium, unless indicated otherwise.

The figures on working conditions in the supply chain relate to producers of our private-label products.

Indicators SDG 12		2019	2020	2021	Objective
Responsible sourcing
Fish
Total # wild-caught fish, shellfish and crustacean products	Calendar year	186	197	199
Total % MSC-certified wild-caught fish, shellfish and crustacean products	Calendar year	83,3	84,3	85,4
Total % MSC-certified or ILVO/ISSF (specifically tuna) verified wild-caught fish, shellfish and crustacean products	Calendar year	87,1	96,4	98,5
# Farmed fish, shellfish and crustacean products	Calendar year	92	102	111
% Farmed fish, shellfish and crustacean products ASC- and BIO-certified	Calendar year	85,9	92,2	94,6
Coffee
# Coffee products	Calendar year	130	125	105
% Certified coffee beans purchased (UTZ, Rainforest Alliance, Organic, Fair Trade)	Calendar year	99,3	99,6	100
% Certified coffee products (UTZ, Rainforest Alliance, Organic, Fair Trade)	Calendar year	96,9	97	100
Cocoa
# Products containing cocoa	Calendar year	279	301	310
% Certified products containing cocoa (UTZ, Organic, Fair Trade)	Calendar year	90,3	98	99,5
% Certified chocolate bars	Calendar year	100	100	100

Indicators SDG 12		2019	2020	2021	Objective
Responsible sourcing
Soy food
# Tonnes of soy food products	Calendar year	-	1046,7	882,7
% GM-free (without the use of GM technologies)	Calendar year	-	100	100
# Tonnes soy in TIER 1 (on the basis of soy present in the product)	Calendar year	-	619	455
% TIER 1 soy with sustainability certification	Calendar year	-	49	65
% TIER 1 soy with sustainability certification and/or from Europe or North America	Calendar year	-	91	88,8
% TIER 1 soy offset by purchased RTRS credits	Calendar year	-	9	11
# Tonnes soy in TIER 5 (on the basis of soy derivatives present in the product)	Calendar year	-	428	428
% TIER 5 soy certified or offset by purchased RTRS credits	Calendar year	-	100	100
Soy feed
Volume of soy feed used in meat, dairy and egg production (in tonnes)	Calendar year	33.100	33.100	41.246
Volume of soy feed purchased in Brazil with RTRS credits (in tonnes)	Calendar year	33.100	33.100	41.246
% Soy feed offset by RTRS credits	Calendar year	100	100	100
% RTRS credits purchased from a cooperative that we have supported in its transition to more sustainable soy	Calendar year	-	-	68
Palm oil
Volume of palm oil marketed (in tonnes)	Calendar year	5.005,5	4.947,3	4.661
% Palm oil RSPO: Mass Balance	Calendar year	29	12,8	1,1
% Palm oil RSPO: Segregated	Calendar year	68,1	84,9	98,6
% Conventional palm oil offset by RSPO credits	Calendar year	2,9	2,3	0,3
% RSPO-certified palm oil	Calendar year	-	100	100
Volume of palm kernel oil marketed (in tonnes)	Calendar year	703,2	485,3	1.009,3
% Palm kernel oil RSPO: Mass Balance	Calendar year	14,7	23,4	41,9
% Palm kernel oil RSPO: Segregated	Calendar year	7,8	30,2	58,1
% Conventional palm kernel oil offset by RSPO credits	Calendar year	77,5	46,4	0
% RSPO-certified palm kernel oil	Calendar year	-	100	100

Indicators SDG 12		2019	2020	2021	Objective
Responsible sourcing
Wood
# Products containing at least 60% wood	Calendar year	310	235	246
% Certified wood products (FSC or PEFC)	Calendar year	97,7	100	100
Paper
# Paper products	Calendar year	211	233	295
% Certified paper products (FSC, PEFC or Der Blaue Engel)	Calendar year	100	99,6	100
Charcoal
% Certified charcoal products	Calendar year	100	100	100
Cotton
% Dreambee cotton products GOTS- or BCI-certified	Calendar year	87	91	100
# Cotton products (briefs, vests, socks) at Colruyt, GOTS-certified	Calendar year	12	12	64
Supply chain projects
# Active supply chain projects	Calendar year	7	7	8
# Products from supply chain projects in our stores	Calendar year	40	40	46
# Farmers involved in supply chain projects (indirectly via cooperatives)	Calendar year	33.140	43.864	49.864
# Farmers involved in supply chain products (directly in the chain)	Calendar year	-	2.174	2.320
Animal welfare
% Fresh eggs from cage-free or free-range hens	Calendar year	100	100	100
% Products containing eggs from cage-free or free-range hens	Calendar year	100	100	100
% Fresh rabbit meat from parks (excluding ready-made dishes) supplied via Fine Food Meat	Calendar year	100	100	100
% Fresh rabbit meat from parks (excluding preparations)	Calendar year	100	100	100

Indicators SDG 12		2019	2020	2021	Objective
Resource-saving use of raw materials
% Recycling rate	Calendar year	83,98	85,27	85,06	At least 85% by 2021
% Fresh producuce actually sold	Calendar year	97,21	97,33	96,98	At least 97,4% by 2021
% Food lost to incineration and fermentation	Calendar year	69,0	66,8	65,0	Maximum 60% by 2023
Working together to fight food loss
Indicator
% Unsold food for human consumption	Calendar year	-	-	15,9
% Unsold food used as animal feed	Calendar year	-	-	18,8
% Unsold food used in the biochemical industry	Calendar year	-	-	0,3
% Unsold food incinerated or fermented	Calendar year	-	-	65
Circularity in packaging
Volume of packaging material where a transition has occurred (sustainable materials now used) (in kg)	Calendar year	12.060,00	-	15.023,07
Volume of packaging material where a transition has occurred from non-recyclable to recyclable packaging (in kg)	Calendar year	-	-	82.860,54
Volume of packaging material removed from the market (in kg)	Calendar year	36.475,50	88.804,23	20.668,96
% RPET in private-label beverages	Calendar year	-	22	33	At least 50% by 2025

The scope of these indicators is Retail Belgium and Luxembourg and includes the waste streams from our

store formats in both countries, our distribution centres and the Fine Food production centres,

as well as the (limited) waste streams from our office buildings in Halle. Construction waste is not included.

As for (household) packaging, we only consider our own brands, on which we have a direct impact.

Indicators SDG 13		2019	2020	2021	Objective
Scope 1 and 2: Avoiding and reducing greenhouse gas emissions
% Reduction of greenhouse gas emissions relative to revenue compared to base year 2008 (1)	Calendar year	28,9	41,8	42,4	40% by 2030
Total greenhouse gas emissions (in tonnes of CO2 eq)	Calendar year	-	-	87.547
CG greenhouse gas emissions in Scope 1 (in tonnes of CO2 eq)	Calendar year	-	-	87.296
CG greenhouse gas emissions in Scope 2 (market-based) (in tonnes of CO2 eq)	Calendar year	-	-	251
(1) Due to adjustments in our calculation methodology and organisational scope, we recalculated the base year 2008. The values for 2019 and 2020 have been retroactively adjusted as a result.
Cooling, heating, energy and mobility % Food stores equipped with natural refrigerants	Financial year	-	-	35,7
% Food stores equipped with heat recovery	Financial year	-	-	19,9
% Food stores without fossil fuels	Financial year	-	-	10,2
% Low-energy stores in total retail stock	Calendar year	-	-	42,5
% Rotations with liquid ice containers	Financial year	73,9	85,8	93,9
Refrigerant leakage rate	Financial year	-	-	3,81
% Company cars running on alternative fuels	Financial year	50,7	59,0	64,5
% Own trucks and and vans running on alternative fuels	Financial year	-	-	31

Indicators SDG 13		2019	2020	2021	Objective
Scope 1 and 2: Capturing greenhouse gas emissions through afforestation
# Trees planted in DRC	Financial year	-	-	1.678.341
Scope 3: Avoiding and reducing greenhouse gas emissions
Employee mobility
# Regional offices	Financial year	11	11	11
% Employees who come to work by bicycle	Financial year	-	-	19,5
% Employees who come to work by public transport	Financial year	-	-	5,8
% Employees who carpool to work	Financial year	-	-	4,0
Freight Mobility
# Truck journeys saved by the use of barges in Belgium	Financial year	4.998	5.062	4.836
% Load factor inbound deliveries for Colruyt	Financial year	76,7	76,1	76,3
% Load factor outbound deliveries from Colruyt	Financial year	94,0	94,0	94,0

The indicators for Liquid Ice Containers refer to the food retail sector in Belgium and Luxembourg (Bio-Planet, Colruyt and OKay). The indicators for stores using natural refrigerants, heat recovery and not using fossil fuels refer to the food stores of Bio-Planet, Colruyt and OKay in Belgium and Luxembourg.

The indicators for low-energy stores refer to the stores of Bio-Planet, Colruyt (Belgium), Cru, OKay, Dreambaby and Dreamland.

Results of 2021

A significant part of emissions from natural gas consumption for 2021 (32%) is based on calculations. If necessary, this will be corrected in the coming year's sustainability reporting based on the actual factors.

Emission factors

The emission factors used in our calculation are applied in a hierarchical manner. This means that when we are looking for an emission factor we will first consult the ADEME database. For electricity, Colruyt Group has specified the local energy mix. Emission factors are used of the IEA, which defines factors

based on the location and how energy is generated. We use ECO Invent especially for numbers regarding production. For all emission factors that cannot be found in one of the above sources, we use DEFRA. The databases used in this exercise are updated on a regular basis.

Recalculation of emissions

The threshold for recalculation is 5%. If Colruyt Group modifies the calculation formula for a specific power (e.g. because more detailed information is available) it will be checked whether this significantly changes the emission values. If necessary, the historic data is recalculated according to the updated data and/ or methodology.

Organisational boundaries

To identify the entities and activities of Colruyt Group in scope, we applied the 'financial control' principle. This principle states that operations that are fully consolidated in financial accounts should be taken in scope. Additionally, emissions from joint ventures where partners have joint financial control are accounted for based on the "equity share" approach (%).

Financial report

• .....Consolidated income statement
• .....Consolidated statement of comprehensive income
• .....Consolidated statement of financial position
• .....Consolidated statement of cash flows
• .....Consolidated statement of changes in equity
• .....Management responsibility statement
• .....Independent auditor's report
• .....Notes to the consolidated financial statements
• .....Definitions

Consolidated income statement

(in million EUR)	Note	2021/22	2020/21
Revenue	3.	10.049,3	9.930,7
Cost of goods sold	3.	(7.297,6)	(7.138,8)
Gross profit	3.	2.751,7	2.791,9
Other operating income	4.	196,0	185,5
Services and miscellaneous goods	5.	(692,9)	(633,3)
Employee benefit expenses	6.	(1.478,5)	(1.462,3)
Depreciation, amortisation and impairment of non-current assets		(365,4)	(326,9)
Other operating expenses	4.	(35,7)	(31,4)
Operating profit (EBIT)		375,2	523,5
Finance income	7.	11,3	8,5
Finance costs	7.	(9,8)	(7,6)
Net financial result	7.	1,5	0,9
Share in the result of investments accounted for using the equity method	12., 13.	6,0	(3,5)
Profit before tax		382,7	520,9
Income tax expense	8.	(94,7)	(104,9)
Profit for the financial year		288,0	416,0
Attributable to:
Non-controlling interests		0,7	0,7
Owners of the parent company		287,3	415,3
Earnings per share (EPS) – basic and diluted (in EUR)	22.	2,16	3,06

Consolidated statement of comprehensive income

(in million EUR)	Note	2021/22	2020/21
PROFIT FOR THE FINANCIAL YEAR		288,0	416,0
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	8., 24.	20,8	(13,0)
Net change in fair value of financial assets at fair value through other comprehensive income, after taxes	14.	(1,1)	4,1
Total of the items that will not be reclassified to profit or loss		19,7	(8,9)
Items that may be reclassified subsequently to profit or loss
Profit/(loss) from currency translation of foreign subsidiaries, after taxes		0,3	(0,2)
Net change in fair value of derivative financial instruments, after taxes	8.	6,2	2,2
Total of the items that may be reclassified subsequently to profit or loss		6,5	2,0
ITEMS OF OTHER COMPREHENSIVE INCOME FROM INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD
Items that may be reclassified subsequently to profit or loss
Net change in fair value of derivative financial instruments, after taxes	12., 13.	16,4	(11,4)
Total of the items that may be reclassified subsequently to profit or loss		16,4	(11,4)
OTHER COMPREHENSIVE INCOME FOR THE FINANCIAL YEAR		42,6	(18,3)
TOTAL COMPREHENSIVE INCOME FOR THE FINANCIAL YEAR		330,6	397,7
Attributable to:
Non-controlling interests		0,7	0,7
Owners of the parent company		329,9	397,0

Consolidated statement of financial position

(in million EUR)	Note	31.03.2022	31.03.2021
Goodwill	9.	157,6	124,9
Intangible assets	10.	329,4	277,1
Property, plant and equipment	11.	2.745,0	2.576,6
Investments accounted for using the equity method	12., 13.	464,3	320,4
Financial assets	14.	14,7	111,6
Deferred tax assets	17.	17,5	12,3
Other receivables	19.	46,0	42,4
Total non-current assets		3.774,5	3.465,3
Inventories	18.	815,6	737,9
Trade receivables	19.	602,4	542,9
Current tax assets		35,2	50,1
Other receivables	19.	81,4	78,2
Financial assets	14.	128,3	36,4
Cash and cash equivalents	20.	176,2	284,5
Total current assets		1.839,1	1.730,0
TOTAL ASSETS		5.613,6	5.195,3
Share capital		364,7	357,4
Reserves and retained earnings		2.097,4	2.165,6
Total equity attributable to owners of the parent company		2.462,1	2.523,0
Non-controlling interests		-	4,2
Total equity	21.	2.462,1	2.527,2
Provisions	23.	15,4	26,0
Liabilities related to employee benefits	24.	107,2	134,4
Deferred tax liabilities	17.	91,6	66,0
Interest-bearing and other liabilities	25., 26.	650,7	249,8
Total non-current liabilities		864,9	476,2
Provisions	23.	0,7	1,0
Bank overdrafts	20.	0,2	1,2
Interest-bearing liabilities(1)	25.	349,8	230,5
Trade payables	26.	1.283,6	1.319,3
Current tax liabilities		24,9	26,2
Liabilities related to employee benefits and other liabilities	26.	627,4	613,7
Total current liabilities		2.286,6	2.191,9
Total liabilities		3.151,5	2.668,1
TOTAL EQUITY AND LIABILITIES		5.613,6	5.195,3

(1) At 31 March 2022, this includes, among other things, EUR 207 million of short-term financing (EUR 177 million at 31 March 2021).

Consolidated statement of cash flows

	(in million EUR)	Note	2021/22	2020/21
	Profit before tax		382,7	520,9
	Adjustments for: Depreciation, amortisation and impairment of non-current assets		365,4	326,9
	Finance income and finance costs	7.	(1,5)	(0,9)
OPERATING ACTIVITIES	Share in the result of investments accounted for using the equity method	12., 13.	(6,0)	3,5
	Other(1)		(16,5)	2,9
	Cash flow from operating activities before changes in working capital and provisions		724,1	853,3
	Decrease/(increase) in trade and other receivables		(47,7)	1,4
	Decrease/(increase) in inventories		(60,3)	(118,8)
	(Decrease)/increase in trade payables and other liabilities		(49,3)	53,4
	(Decrease)/increase in provisions and liabilities related to employee benefits		(6,4)	32,4
	Interest paid		(2,3)	(2,0)
	Interest received		5,3	0,3
	Dividends received		4,9	1,2
	Income tax paid		(69,5)	(112,9)
	Cash flow from operating activities		498,8	708,3
	Acquisition of property, plant and equipment and intangible assets		(484,5)	(466,2)
	Business combinations (net of cash and cash equivalents acquired) and business disposals (net of cash and cash equivalents disposed of)		(65,0)	(48,4)
INVESTING ACTIVITIES	(Increase in investment in)/proceeds from capital reimbursements of associates and joint ventures	12., 13.	(74,1)	0,3
	(Purchases)/sales of financial assets	14.	13,1	(98,7)
	(Payment of)/proceeds from repayment of loans granted		(13,7)	(9,3)
	Proceeds from sale of property, plant and equipment and intangible assets		17,2	27,6
	Cash flow from investing activities		(607,0)	(594,7)
	Proceeds from the issue of share capital	21.	7,3	10,3
	Acquisition of non-controlling interests		0,1	(2,9)
FINANCING	Purchase of treasury shares		(199,1)	(52,8)
	New/(repayment of) borrowings(2)		440,0	157,1
ACTIVITIES	Payment of lease liabilities		(51,2)	(38,4)
	Dividends paid	21.	(196,3)	(183,9)
	Cash flow from financing activities		0,8	(110,6)
	NET INCREASE/(DECREASE) OF CASH AND CASH EQUIVALENTS		(107,4)	3,0
	Cash and cash equivalents at 1 April		283,3	263,3
	Effect of changes in foreign currency rates		0,1	-
	Effect of changes in consolidation scope		-	17,0
	CASH AND CASH EQUIVALENTS AT 31 MARCH	20.	176,0	283,3

(1) The category 'Other' includes amongst others losses/(gains) on the sale of property, plant and equipment, intangible assets and financial non-current assets, impairments and reversals of impairments on inventories, trade receivables and other receivables, as well as capital increase reserved for employees. (2) Includes amongst others the

withdrawal/(repayment) of shortterm financing.

Consolidated statement of changes in equity

.

		Attributable to the owners of the parent company
		Other reserves
(in million EUR, except number of shares)	Note	mber of shares Nu	Share capital	mber of treasury shares Nu	Treasury shares	liabilities related to long Revaluation reserves of ment mploy m post-e benefits ter	ments translation adjust mulative Cu	w hedge reserves Cash flo	financial assets through Fair value reserves of OCI	Retained earnings	Total	Non-controlling interests	Total equity
AT 1 APRIL 2021		136.154.960	357,4	1.368.388	(65,3)	(42,1)	(2,0)	(31,1)	9,7	2.296,4	2.523,0	4,2	2.527,2
Total comprehensive income for the financial year		-	-	-	-	20,8	0,3	22,6	(1,1)	287,3	329,9	0,7	330,6
Profit for the financial year		-	-	-	-	-	-	-	-	287,3	287,3	0,7	288,0
Other comprehensive income for the financial year		-	-	-	-	20,8	0,3	22,6	(1,1)	-	42,6	-	42,6
Transactions with the owners		(2.315.772)	7,3	2.150.566	(78,5)	-	-	-	-	(319,6)	(390,8)	(4,9)	(395,7)
Capital increase	21.	184.228	7,3	-	-	-	-	-	-	1,3	8,6	-	8,6
Treasury shares purchased		-	-	4.650.566	(198,2)	-	-	-	-	(1,1)	(199,3)	-	(199,3)
Cancellation of treasury shares	21.	(2.500.000)	-	(2.500.000)	119,7	-	-	-	-	(119,7)	-	-	-
Change in ownership percentage		-	-	-	-	-	-	-	-	(7,5)	(7,5)	(4,0)	(11,5)
Dividends	21.	-	-	-	-	-	-	-	-	(195,4)	(195,4)	(0,9)	(196,3)
Other		-	-	-	-	-	-	-	-	2,8	2,8	-	2,8
AT 31 MARCH 2022		133.839.188	364,7	3.518.954	(143,8)	(21,3)	(1,7)	(8,5)	8,6	2.264,1	2.462,1	-	2.462,1

Consolidated statement of changes in equity (continued)

	Attributable to the owners of the parent company
					Other reserves
(in million EUR, except number of shares)	mber of shares Nu	Share capital	mber of treasury shares Nu	Treasury shares	liabilities related to long Revaluation reserves of ment mploy m post-e benefits ter	ments translation adjust mulative Cu	w hedge reserves Cash flo	financial assets through Fair value reserves of OCI	Retained earnings	Total	Non-controlling interests	Total equity
AT 1 APRIL 2020	138.432.588	347,1	2.799.868	(128,8)	(29,1)	(1,8)	(21,9)	5,6	2.184,7	2.355,8	3,6	2.359,4
Total comprehensive income for the financial year	-	-	-	-	(13,0)	(0,2)	(9,2)	4,1	415,3	397,0	0,7	397,7
Profit for the financial year	-	-	-	-	-	-	-	-	415,3	415,3	0,7	416,0
Other comprehensive income for the financial year	-	-	-	-	(13,0)	(0,2)	(9,2)	4,1	-	(18,3)	-	(18,3)
Transactions with the owners	(2.277.628)	10,3	(1.431.480)	63,5	-	-	-	-	(303,6)	(229,8)	(0,1)	(229,9)
Capital increase	222.372	10,3	-	-	-	-	-	-	1,8	12,1	-	12,1
Treasury shares purchased	-	-	1.068.520	(52,5)	-	-	-	-	(0,4)	(52,9)	-	(52,9)
Cancellation of treasury shares	(2.500.000)	-	(2.500.000)	116,0	-	-	-	-	(116,0)	-	-	-
Change in ownership percentage	-	-	-	-	-	-	-	-	(7,8)	(7,8)	(0,6)	(8,4)
Changes in consolidation method	-	-	-	-	-	-	-	-	-	-	1,3	1,3
Dividends	-	-	-	-	-	-	-	-	(183,1)	(183,1)	(0,8)	(183,9)
Other	-	-	-	-	-	-	-	-	1,9	1,9	-	1,9
AT 31 MARCH 2021	136.154.960	357,4	1.368.388	(65,3)	(42,1)	(2,0)	(31,1)	9,7	2.296,4	2.523,0	4,2	2.527,2

Management responsibility statement

Jef Colruyt, Chairman of the Board of Directors, and Stefaan Vandamme, Chief Financial Officer, declare in the name and on behalf of the company, that to the best of their knowledge:

• the consolidated financial statements for the financial years 2021/22 and 2020/21, prepared in accordance with 'International Financial Reporting Standards' (IFRS) as adopted by the European Union up until 31 March 2022, give a true and fair view of the net assets, the financial position and the results of Etn. Fr. Colruyt NV and the entities included in the consolidation scope.
• the annual report related to the consolidated financial statements gives a true and fair view of the development and the results of Colruyt Group's activities, as well as of the position of the company and the entities that are included in the consolidation scope, together with a description of the main risks and uncertainties that Colruyt Group faces.

Jef Colruyt Stefaan Vandamme Chairman of the Board of Directors Chief Financial Officer

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Report on the audit of the Consolidated Financial Statements

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Independent auditor's report to the general meeting of Etn. Fr. Colruyt NV for the year ended 31 March 2022 31 March 2022 Independent auditor's report to the general meeting of Etn. Fr. Colruyt NV for the year ended 31 March 2022

Independent auditor's report to the general meeting of Etn. Fr. Colruyt NV for the year ended

Tel: +32 (0) 2 774 91 11

Tel: +32 (0) 2 774 91 11

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As required by law and the Company's articles of association, we report to you as statutory auditor of Etn. Fr. Colruyt NV (the "Company") and its subsidiaries (together the "Group"). This report includes our opinion on Consolidated statement of the financial position as at 31 March 2022, the Consolidated income statement and the Consolidated statement of comprehensive income, the Consolidated statement of changes in equity and the Consolidated statement of cash flows for the year ended 31 March 2022 and the disclosures (all elements together the "Consolidated Financial Statements") as well as our report on other legal and regulatory requirements. These two reports are considered one report and are inseparable. and its subsidiaries (together the "Group"). This report includes our opinion on Consolidated statement of the financial position as at 31 March 2022, the Consolidated income statement and the Consolidated statement of comprehensive income, the Consolidated statement of changes in equity and the Consolidated statement of cash flows for the year ended 31 March 2022 and the disclosures (all elements together the "Consolidated Financial Statements") as well as our report on other legal and regulatory requirements. These two reports are considered one report and are inseparable. We have been appointed as statutory auditor by the shareholders' meeting of 25 September 2019, in accordance with the proposition by the As required by law and the Company's articles of association, we report to you as statutory auditor of Etn. Fr. Colruyt NV (the "Company") and its subsidiaries (together the "Group"). This report includes our opinion on Consolidated statement of the financial position as at 31 March 2022, the Consolidated income statement and the Consolidated statement of comprehensive income, the Consolidated statement of changes in equity and the Consolidated statement of cash flows for the year ended 31 March 2022 and the disclosures (all elements together the "Consolidated Financial Statements") as well as our report on other legal and regulatory requirements. These two reports are considered one report and are inseparable.

As required by law and the Company's articles of association, we report to you as statutory auditor of Etn. Fr. Colruyt NV (the "Company")

We have been appointed as statutory auditor by the shareholders' meeting of 25 September 2019, in accordance with the proposition by the Board of Directors following recommendation of the Audit Committee and following recommendation of the workers' council. Our mandate expires at the shareholders' meeting that will deliberate on the Consolidated Financial Statements for the year ending 31 March 2022. We performed the audit of the Consolidated Financial Statements of the Group during 6 consecutive years. Board of Directors following recommendation of the Audit Committee and following recommendation of the workers' council. Our mandate expires at the shareholders' meeting that will deliberate on the Consolidated Financial Statements for the year ending 31 March 2022. We performed the audit of the Consolidated Financial Statements of the Group during 6 consecutive years. Report on the audit of the Consolidated Financial Statements We have been appointed as statutory auditor by the shareholders' meeting of 25 September 2019, in accordance with the proposition by the Board of Directors following recommendation of the Audit Committee and following recommendation of the workers' council. Our mandate expires at the shareholders' meeting that will deliberate on the Consolidated Financial Statements for the year ending 31 March 2022. We performed the audit of the Consolidated Financial Statements of the Group during 6 consecutive years.

Report on the audit of the Consolidated Financial Statements Unqualified opinion In our opinion, the Consolidated Financial Statements give a true and

Unqualified opinion We have audited the Consolidated Financial Statements of Etn. Fr.

We have audited the Consolidated Financial Statements of Etn. Fr. Colruyt NV, that comprise of Consolidated statement of the financial position on 31 March 2022, the Consolidated income statement and the Consolidated statement of comprehensive income, the Consolidated statement of changes in equity and the Consolidated statement of cash flows of the year and the disclosures, which show a consolidated balance sheet total of € 5.613,60 million and of which the consolidated income statement shows a profit for the year of € 288 million. Colruyt NV, that comprise of Consolidated statement of the financial position on 31 March 2022, the Consolidated income statement and the Consolidated statement of comprehensive income, the Consolidated statement of changes in equity and the Consolidated statement of cash flows of the year and the disclosures, which show a consolidated balance sheet total of € 5.613,60 million and of which the consolidated income statement shows a profit for the year of € 288 million.

In our opinion, the Consolidated Financial Statements give a true and fair view of the consolidated net equity and financial position as of 31 March 2022, and of its consolidated results for the year then ended, prepared in accordance with the International Financial Reporting Standards as adopted by the European Union ("IFRS") and with applicable legal and regulatory requirements in Belgium. fair view of the consolidated net equity and financial position as of 31 March 2022, and of its consolidated results for the year then ended, prepared in accordance with the International Financial Reporting Standards as adopted by the European Union ("IFRS") and with applicable legal and regulatory requirements in Belgium. Basis for the unqualified opinion Unqualified opinion We have audited the Consolidated Financial Statements of Etn. Fr. Colruyt NV, that comprise of Consolidated statement of the financial position on 31 March 2022, the Consolidated income statement and the Consolidated statement of comprehensive income, the Consolidated statement of changes in equity and the Consolidated

Basis for the unqualified opinion We conducted our audit in accordance with International Standards statement of cash flows of the year and the disclosures, which show

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We conducted our audit in accordance with International Standards on Auditing ("ISAs") applicable in Belgium. In addition, we have applied the ISA's approved by the International Auditing and Assurance Standards Board ("IAASB") that apply at the current yearend date and have not yet been approved at national level. Our responsibilities under those standards are further described in the on Auditing ("ISAs") applicable in Belgium. In addition, we have applied the ISA's approved by the International Auditing and Assurance Standards Board ("IAASB") that apply at the current yearend date and have not yet been approved at national level. Our responsibilities under those standards are further described in the a consolidated balance sheet total of € 5.613,60 million and of which the consolidated income statement shows a profit for the year of € 288 million.

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Besloten vennootschap Société à responsabilité limitée Besloten vennootschap Société à responsabilité limitée RPR Brussel - RPM Bruxelles - BTW-TVA BE0446.334.711-IBAN N° BE71 2100 9059 0069 *handelend in naam van een vennootschap:/agissant au nom d'une société

RPR Brussel - RPM Bruxelles - BTW-TVA BE0446.334.711-IBAN N° BE71 2100 9059 0069 *handelend in naam van een vennootschap:/agissant au nom d'une société A member firm of Ernst & Young Global Limited A member firm of Ernst & Young Global Limited

In our opinion, the Consolidated Financial Statements give a true and fair view of the consolidated net equity and financial position as of 31 March 2022, and of its consolidated results for the year then ended, prepared in accordance with the International Financial Reporting Standards as adopted by the European Union ("IFRS") and

with applicable legal and regulatory requirements in Belgium.

We conducted our audit in accordance with International Standards on Auditing ("ISAs") applicable in Belgium. In addition, we have applied the ISA's approved by the International Auditing and

Assurance Standards Board ("IAASB") that apply at the current yearend date and have not yet been approved at national level. Our responsibilities under those standards are further described in the

Basis for the unqualified opinion

31 March 2022

Unqualified opinion

Besloten vennootschap Société à responsabilité limitée

€ 288 million.

A member firm of Ernst & Young Global Limited

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Independent auditor's report to the general meeting of Etn. Fr. Colruyt NV for the year ended

As required by law and the Company's articles of association, we report to you as statutory auditor of Etn. Fr. Colruyt NV (the "Company") and its subsidiaries (together the "Group"). This report includes our opinion on Consolidated statement of the financial position as at

31 March 2022, the Consolidated income statement and the Consolidated statement of comprehensive income, the Consolidated statement of changes in equity and the Consolidated statement of cash flows for the year ended 31 March 2022 and the disclosures (all elements together the "Consolidated Financial Statements") as well as our report on other legal and regulatory requirements. These two reports are

We have been appointed as statutory auditor by the shareholders' meeting of 25 September 2019, in accordance with the proposition by the Board of Directors following recommendation of the Audit Committee and following recommendation of the workers' council. Our mandate expires at the shareholders' meeting that will deliberate on the Consolidated Financial Statements for the year ending 31 March 2022. We

In our opinion, the Consolidated Financial Statements give a true and fair view of the consolidated net equity and financial position as of 31 March 2022, and of its consolidated results for the year then ended, prepared in accordance with the International Financial Reporting Standards as adopted by the European Union ("IFRS") and

with applicable legal and regulatory requirements in Belgium.

We conducted our audit in accordance with International Standards on Auditing ("ISAs") applicable in Belgium. In addition, we have applied the ISA's approved by the International Auditing and

Assurance Standards Board ("IAASB") that apply at the current yearend date and have not yet been approved at national level. Our responsibilities under those standards are further described in the

Basis for the unqualified opinion

ey.com

performed the audit of the Consolidated Financial Statements of the Group during 6 consecutive years.

Report on the audit of the Consolidated Financial Statements

We have audited the Consolidated Financial Statements of Etn. Fr. Colruyt NV, that comprise of Consolidated statement of the financial position on 31 March 2022, the Consolidated income statement and

Consolidated statement of changes in equity and the Consolidated statement of cash flows of the year and the disclosures, which show a consolidated balance sheet total of € 5.613,60 million and of which the consolidated income statement shows a profit for the year of

the Consolidated statement of comprehensive income, the

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considered one report and are inseparable.

Audit report dated 28 July 2022 on the Consolidated Financial Statements of Etn. Fr. Colruyt NV as of and for the year ended 31 March 2022 (continued)

"Our responsibilities for the audit of the Consolidated Financial Statements" section of our report.

We have complied with all ethical requirements that are relevant to our audit of the Consolidated Financial Statements in Belgium, including those with respect to independence.

We have obtained from the Board of Directors and the officials of the Company the explanations and information necessary for the performance of our audit and we believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key audit matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the Consolidated Financial Statements of the current reporting period.

These matters were addressed in the context of our audit of the Consolidated Financial Statements as a whole and in forming our opinion thereon, and consequently we do not provide a separate opinion on these matters.

Compensations received from suppliers

Description of the key audit matter

The Group receives significant amounts of discounts and compensations from its suppliers, mainly for promotions in the stores, joint publicity, introduction of new products, and volumebased incentives. The determination of such discounts from suppliers is largely based on the actual supplier purchases of the related period, which are also confirmed by the Group with the suppliers concerned. However, for new cooperation models or for periods that

have not yet been completely settled, estimates are required regarding specific purchase or sales volumes as well as the discount percentages to be applied. In order to be able to determine these accurately and completely, management needs to have a detailed insight into the contractual arrangements and to the extent to which any conditions of certain promotional programs are fulfilled. A change in these estimates could have a material impact on the Consolidated Financial Statements. For these reasons and also because of the size of the related amounts, the recognition of the compensations from suppliers is a key audit matter. We refer to note 1 of the Consolidated Financial Statements for the valuation rules in this respect.

Summary of the procedures performed

• Substantive procedures on settled compensations from suppliers; this work consisted of a reconciliation, for a sample, to supplier contracts and/or equivalent supporting documentation such as invoices, credit notes, receipts or supplier confirmations of the compensations from suppliers.

• Substantive procedures regarding the correctness and completeness of the outstanding compensations from suppliers; these tests include evaluating the appropriateness of management's estimates regarding specific purchase or sales volumes and discount percentages applied, as well as reconciling, for a sample, these data with the Group's underlying supplier agreements and accounting records.

• An assessment of management's historical estimation accuracy by testing the extent to which outstanding receivables in previous period regarding compensations from suppliers to be collected were paid after the end of the financial year.

Audit report dated 28 July 2022 on the Consolidated Financial Statements of Etn. Fr. Colruyt NV as of and for the year ended 31 March 2022 (continued)

• Evaluation of the presentation of the compensations from suppliers in accordance with the valuation rules included in note 1 of the Consolidated Financial Statements.

Impairment of goodwill and property, plant and equipment

Description of the key audit matter

The Group operates stores in Belgium, France and Luxembourg. The carrying amount of the property, plant and equipment mainly relates to the stores and related assets as detailed in note 11 of the Consolidated Financial Statements. The total net book value amounts to € 2.745 million as of 31 March 2022. In addition, as a result of various acquisitions in the past, the Group has booked goodwill. The book value of this goodwill amounts to € 157,6 million as at 31 March 2022. The valuation of goodwill is described in note 9 of the Consolidated Financial Statements; the valuation of property, plant and equipment in note 11. In accordance with IAS36 'Impairment of assets', these assets are reviewed by management at least once a year by cash-generating unit and examined for any indications of impairment. This review is strongly influenced by, the future expectations of the management regarding the expected growth, in particular the turnover and the operating result, and by other assumptions, such as the discount rate and long-term growth rate. A change in these assumptions or the use of inappropriate future expectations could have a material impact on the Consolidated Financial Statements. For these reasons, the impairment of goodwill and property, plant and equipment are a key audit matter.

Summary of the procedures performed

• Evaluation of the mathematical accuracy and conformity with IAS36 of the valuation model used by the Group with the support of a valuation expert from our firm.

• Evaluation of the most important assumptions used (long-term growth rate and discount rate) with the support of a valuation expert from our firm.

• Evaluation of the reasonableness of the projected cash flows as well as the estimated future revenue growth and growth of the operating result by comparing with, and an evaluation of, the budget approved by the Board of Directors, and an assessment of the Group's historical forecasting accuracy.

• Verification of the existence of any additional indications for impairment, by reading of minutes of the Board of Directors, by an independent evaluation of publicly available market data, and by having regular discussions with the management.

• Evaluation of the adequacy and completeness of notes 9 and 11 of the Consolidated Financial Statements.

Audit report dated 28 July 2022 on the Consolidated Financial Statements

• Evaluation of the mathematical accuracy and conformity with IAS36 of the valuation model used by the Group with the support of a

• Evaluation of the most important assumptions used (long-term growth rate and discount rate) with the support of a valuation expert

• Evaluation of the reasonableness of the projected cash flows as well as the estimated future revenue growth and growth of the operating result by comparing with, and an evaluation of, the budget approved by the Board of Directors, and an assessment of the

• Verification of the existence of any additional indications for impairment, by reading of minutes of the Board of Directors, by an independent evaluation of publicly available market data, and by

• Evaluation of the adequacy and completeness of notes 9 and 11

Summary of the procedures performed

Group's historical forecasting accuracy.

of the Consolidated Financial Statements.

having regular discussions with the management.

valuation expert from our firm.

from our firm.

• Evaluation of the presentation of the compensations from suppliers in accordance with the valuation rules included in note 1 of

Impairment of goodwill and property, plant and equipment

The Group operates stores in Belgium, France and Luxembourg. The carrying amount of the property, plant and equipment mainly relates

Consolidated Financial Statements. The total net book value amounts to € 2.745 million as of 31 March 2022. In addition, as a result of various acquisitions in the past, the Group has booked goodwill. The

'Impairment of assets', these assets are reviewed by management at least once a year by cash-generating unit and examined for any indications of impairment. This review is strongly influenced by, the future expectations of the management regarding the expected growth, in particular the turnover and the operating result, and by other assumptions, such as the discount rate and long-term growth rate. A change in these assumptions or the use of inappropriate future expectations could have a material impact on the Consolidated Financial Statements. For these reasons, the impairment of goodwill

to the stores and related assets as detailed in note 11 of the

book value of this goodwill amounts to € 157,6 million as at 31 March 2022. The valuation of goodwill is described in note 9 of the Consolidated Financial Statements; the valuation of property, plant and equipment in note 11. In accordance with IAS36

and property, plant and equipment are a key audit matter.

the Consolidated Financial Statements.

Description of the key audit matter

of Etn. Fr. Colruyt NV as of and

3

for the year ended 31 March 2022 (continued)

Audit report dated 28 July 2022 on the Consolidated Financial Statements of Etn. Fr. Colruyt NV as of and for the year ended 31 March 2022 (continued)

Valuation of transformation programs with a long-term character

Description of the key audit matter

The Group invests significant amounts in transformation programs with a long-term character, which are developed internally. The book value of the capitalized transformation programs with a long-term character amount to € 255,6 million as of 31 March 2022. The valuation is described in note 10 of the Consolidated Financial Statements. Development costs are only capitalized in accordance with IAS38 if several conditions are met, including the capacity of the transformation program to generate future economic benefits which exceed the costs incurred. Management's estimates with respect to these expected future economic benefits are inherently complex. Changes in these estimates or the use of inappropriate future expectations could have a material impact on the Consolidated Financial Statements. For these reasons, the valuation of change programs with a long-term character is a key audit matter.

Summary of the procedures performed

Our audit work included, among others, the following:

• Substantive testing, on a sample basis, for each of these programs regarding the determination and allocation of the relevant development expenditure to the asset.
• Evaluation of the model used by the Group to determine the future economic benefits of these programs, in accordance with the conditions of IAS38, and of the main underlying assumptions.
• Periodical discussion with management of the estimated future economic benefits as set out in the individual business cases of the relevant change programs, and comparison of earlier estimates with historical achievements afterwards.
• Verification of the existence of any indications for impairment, among others by reading minutes of the Board of Directors and by having regular discussions with management.
• Evaluation of the adequacy and completeness of note 10 of the Consolidated Financial Statements.

Responsibilities of the Board of Directors for the preparation of the Consolidated Financial Statements

The Board of Directors is responsible for the preparation of the Consolidated Financial Statements that give a true and fair view in accordance with IFRS and with applicable legal and regulatory requirements in Belgium and for such internal controls relevant to the preparation of the Consolidated Financial Statements that are free from material misstatement, whether due to fraud or error.

As part of the preparation of Consolidated Financial Statements, the Board of Directors is responsible for assessing the Company's ability to continue as a going concern, and provide, if applicable, information on matters impacting going concern, The Board of Directors should prepare the financial statements using the going concern basis of accounting, unless the Board of Directors either intends to liquidate the Company or to cease business operations, or has no realistic alternative but to do so.

Audit report dated 28 July 2022 on the Consolidated Financial Statements of Etn. Fr. Colruyt NV as of and for the year ended 31 March 2022 (continued)

Our responsibilities for the audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance whether the Consolidated Financial Statements are free from material misstatement, whether due to fraud or error, and to express an opinion on these Consolidated Financial Statements based on our audit. Reasonable assurance is a high level of assurance, but not a guarantee that an audit conducted in accordance with the ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken based on these Consolidated Financial Statements.

In performing our audit, we comply with the legal, regulatory and normative framework that applies to the audit of the Consolidated Financial Statements in Belgium.

However, a statutory audit does not provide assurance about the future viability of the Company and the Group, nor about the efficiency or effectiveness with which the board of directors has taken or will undertake the Company's and the Group's business operations. Our responsibilities with regards to the going concern assumption used by the board of directors are described below.

As part of an audit in accordance with ISAs, we exercise professional judgment and we maintain professional skepticism throughout the audit. We also perform the following tasks:

• identification and assessment of the risks of material misstatement of the Consolidated Financial Statements, whether due to fraud or error, the planning and execution of audit

procedures to respond to these risks and obtain audit evidence which is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting material misstatements resulting from fraud is higher than when such misstatements result from errors, since fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control;

• obtaining insight in the system of internal controls that are relevant for the audit and with the objective to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control;
• evaluating the selected and applied accounting policies, and evaluating the reasonability of the accounting estimates and related disclosures made by the Board of Directors as well as the underlying information given by the Board of Directors;
• conclude on the appropriateness of the Board of Directors' use of the going-concern basis of accounting, and based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's or Group's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the Consolidated Financial Statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on audit evidence obtained up to the date of the auditor's report. However, future events or conditions may cause the Company to cease to continue as a going-concern;

206

Audit report dated 28 July 2022 on the Consolidated Financial Statements

procedures to respond to these risks and obtain audit evidence which is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting material misstatements resulting from fraud is higher than when such misstatements result from errors, since fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of

• obtaining insight in the system of internal controls that are relevant for the audit and with the objective to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the

• evaluating the selected and applied accounting policies, and evaluating the reasonability of the accounting estimates and related disclosures made by the Board of Directors as well as the

underlying information given by the Board of Directors;

• conclude on the appropriateness of the Board of Directors' use of the going-concern basis of accounting, and based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's or Group's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the Consolidated Financial Statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on audit evidence obtained up to the date of the auditor's report. However, future events or conditions may cause the Company to

internal control;

Company's internal control;

cease to continue as a going-concern;

Our responsibilities for the audit of the Consolidated

Our objectives are to obtain reasonable assurance whether the Consolidated Financial Statements are free from material misstatement, whether due to fraud or error, and to express an opinion on these Consolidated Financial Statements based on our audit. Reasonable assurance is a high level of assurance, but not a guarantee that an audit conducted in accordance with the ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken based on these Consolidated

In performing our audit, we comply with the legal, regulatory and normative framework that applies to the audit of the Consolidated

However, a statutory audit does not provide assurance about the future viability of the Company and the Group, nor about the efficiency or effectiveness with which the board of directors has taken or will undertake the Company's and the Group's business operations. Our responsibilities with regards to the going concern assumption used by the board of directors are described below.

As part of an audit in accordance with ISAs, we exercise professional judgment and we maintain professional skepticism throughout the

misstatement of the Consolidated Financial Statements, whether

due to fraud or error, the planning and execution of audit

• identification and assessment of the risks of material

Financial Statements

Financial Statements.

Financial Statements in Belgium.

audit. We also perform the following tasks:

of Etn. Fr. Colruyt NV as of and

5

for the year ended 31 March 2022 (continued)

Audit report dated 28 July 2022 on the Consolidated Financial Statements of Etn. Fr. Colruyt NV as of and for the year ended 31 March 2022 (continued)

• evaluating the overall presentation, structure and content of the Consolidated Financial Statements, and evaluating whether the Consolidated Financial Statements reflect a true and fair view of the underlying transactions and events.

We communicate with the Audit Committee within the Board of Directors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Because we are ultimately responsible for the opinion, we are also responsible for directing, supervising and performing the audits of the subsidiaries. In this respect we have determined the nature and extent of the audit procedures to be carried out for group entities.

We provide the Audit Committee within the Board of Directors with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with the Audit Committee within the Board of Directors, we determine those matters that were of most significance in the audit of the Consolidated Financial Statements of the current period and are therefore the key audit matters. We describe these matters in our report, unless the law or regulations prohibit this.

Audit report dated 28 July 2022 on the Consolidated Financial Statements of Etn. Fr. Colruyt NV as of and for the year ended 31 March 2022 (continued)

Report on other legal and regulatory requirements

Responsibilities of the Board of Directors

The Board of Directors is responsible for the preparation and the content of the Board of Directors' report on the Consolidated Financial Statements, the non-financial information attached to the Board of Directors' report, and other information included in the annual report.

Responsibilities of the auditor

In the context of our mandate and in accordance with the additional standard to the ISAs applicable in Belgium, it is our responsibility to verify, in all material respects, the Board of Directors' report on the Consolidated Financial Statements, the non-financial information attached to the Board of Directors' report, and other information included in the annual report, as well as to report on these matters.

Aspects relating to Board of Directors' report and other information included in the annual report

In our opinion, after carrying out specific procedures on the Board of Directors' report, the Board of Directors' report is consistent with the Consolidated Financial Statements and has been prepared in accordance with article 3:32 of the Code of companies and associations.

In the context of our audit of the Consolidated Financial Statements, we are also responsible to consider whether, based on the information that we became aware of during the performance of our audit, the Board of Directors' report and other information included in the annual report, being:

• Management report
• Key figures
• Corporate governance

contain any material inconsistencies or contains information that is inaccurate or otherwise misleading. Considering the work performed, there are no material inconsistencies to be reported.

The non–financial information required by article 3:32, § 2, of the Code of companies and associations has been included in the Board of Directors' report on the Consolidated Financial Statements. The Company has prepared this non-financial information based on Sustainable Development Goals (hereafter "SDGs").

However, we do not comment on whether this non-financial information has been prepared, in all material respects, in accordance with the SDGs.

Independence matters

Our audit firm and our network have not performed any services that are not compatible with the audit of the Consolidated Financial Statements and have remained independent of the Company during our mandate.

The fees related to additional services which are compatible with the audit of the Consolidated Financial Statements as referred to in article 3:65 of the Code of companies and associations were duly itemized and valued in the notes to the Consolidated Financial Statements.

Audit report dated 28 July 2022 on the Consolidated Financial Statements

contain any material inconsistencies or contains information that is inaccurate or otherwise misleading. Considering the work performed,

The non–financial information required by article 3:32, § 2, of the Code of companies and associations has been included in the Board of Directors' report on the Consolidated Financial Statements. The Company has prepared this non-financial information based on

Our audit firm and our network have not performed any services that are not compatible with the audit of the Consolidated Financial Statements and have remained independent of the Company during

The fees related to additional services which are compatible with the audit of the Consolidated Financial Statements as referred to in article 3:65 of the Code of companies and associations were duly itemized and valued in the notes to the Consolidated Financial

there are no material inconsistencies to be reported.

Sustainable Development Goals (hereafter "SDGs").

However, we do not comment on whether this non-financial information has been prepared, in all material respects, in

• Management report

• Corporate governance

accordance with the SDGs. Independence matters

our mandate.

Statements.

• Key figures

Report on other legal and regulatory requirements

The Board of Directors is responsible for the preparation and the content of the Board of Directors' report on the Consolidated Financial Statements, the non-financial information attached to the Board of Directors' report, and other information included in the

In the context of our mandate and in accordance with the additional standard to the ISAs applicable in Belgium, it is our responsibility to verify, in all material respects, the Board of Directors' report on the Consolidated Financial Statements, the non-financial information attached to the Board of Directors' report, and other information included in the annual report, as well as to report on these matters. Aspects relating to Board of Directors' report and other

In our opinion, after carrying out specific procedures on the Board of Directors' report, the Board of Directors' report is consistent with the

In the context of our audit of the Consolidated Financial Statements,

information that we became aware of during the performance of our audit, the Board of Directors' report and other information included

Consolidated Financial Statements and has been prepared in accordance with article 3:32 of the Code of companies and

we are also responsible to consider whether, based on the

Responsibilities of the Board of Directors

information included in the annual report

Responsibilities of the auditor

annual report.

associations.

in the annual report, being:

of Etn. Fr. Colruyt NV as of and

7

for the year ended 31 March 2022 (continued)

Audit report dated 28 July 2022 on the Consolidated Financial Statements of Etn. Fr. Colruyt NV as of and for the year ended 31 March 2022 (continued)

8

European single electronic format ("ESEF")

N/A English is not an official language in Belgium.

Other communications.

• This report is consistent with our supplementary declaration to the Audit Committee as specified in article 11 of the regulation (EU) nr. 537/2014.

Diegem, 28 July 2022

EY Bedrijfsrevisoren BV Statutory auditor Represented by

Daniel Wuyts*

Partner *Acting on behalf of a BV/SRL

23DW0019

1. Significant accounting policies 211
1.1. Basis of presentation	211
1.2. Statement of compliance	211
1.3. Consolidation principles	212
1.4. Other significant accounting policies	215
2. Segment information223
2.1. Operating segments	223
2.2. Geographical information	226
3. Revenue and gross profit	227
3.1. Revenue by cash-generating unit	227
4. Other operating income and expenses228
5. Services and miscellaneous goods 228
6. Employee benefit expenses229
7. Net financial result230
8. Income tax expense 231
8.1. Income taxes recognised in profit or loss	231
8.2. Tax impacts recognised in other comprehensive income	231
9. Goodwill232
10. Intangible assets233
11. Property, plant and equipment235
12. Investments in associates 237
13. Investments in joint ventures240
14. Financial assets241
14.1. Non-current assets	241
14.2. Current assets	242
15. Business combinations243
16. Assets held for sale and disposal of subsidiaries243
16.1. Assets held for sale	243
16.2. Disposal of subsidiaries	243
17. Deferred tax assets and liabilities244
17.1. Net carrying amount	244
17.2. Change in net carrying amount	244
18. Inventories 245
19. Trade and other receivables 245
19.1. Other non-current receivables	245
19.2. Current trade and other current receivables	246
20. Cash and cash equivalents 247

21. Equity 248
21.1. Capital management	248
21.2. Share capital	248
21.3. Treasury shares	248
21.4. Dividends	249
21.5. Shareholder structure	249
22. Earnings per share249
23. Provisions250
24. Non-current liabilities related to employee benefits 251
24.1. Defined contribution plans with a legally guaranteed
minimum return	251
24.2. Benefits related to 'Unemployment regime
with company supplement'	254
24.3. Other post-employment benefits	254
25. Interest-bearing liabilities256
25.1. Terms and repayment schedule	256
25.2. Repayment schedule lease liabilities	256
25.3. Repayment schedule bank borrowings and others	256
26. Trade payables, liabilities related to employee benefits and other liabilities 257
27. Risk management258
27.1. Risks related to financial instruments	258
27.2. Other risks	261
28. Off-balance sheet rights and commitments 262
29. Contingent liabilities and contingent assets 264
30. Dividends paid and proposed264
31. Related parties 265
31.1. Related party transactions excluding key management personnel compensation	265
31.2. Key management personnel compensation	266
32. Events after the reporting date267
33. Independent auditor's remuneration267
34. List of consolidated entities 268
34.1. Company	268
34.2. Subsidiaries	268
34.3. Joint ventures	271
34.4. Associates	271
34.5. Changes in consolidation scope	272
35. Condensed (non-consolidated) financial statements of

Notes to the consolidated financial statements

The following notes to the consolidated financial statements are an integral part of the consolidated financial statements.

1. Significant accounting policies

21. Equity ......................................................................................................................................248 21.1. Capital management............................................................................................................ 248 21.2. Share capital............................................................................................................................ 248 21.3. Treasury shares....................................................................................................................... 248 21.4. Dividends................................................................................................................................... 249 21.5. Shareholder structure 249 22. Earnings per share.............................................................................................................249 23. Provisions..............................................................................................................................250 24. Non-current liabilities related to employee benefits .........................................251

minimum return.................................................................................................................... 251

with company supplement'.............................................................................................. 254 24.3. Other post-employment benefits .................................................................................. 254 25. Interest-bearing liabilities..............................................................................................256 25.1. Terms and repayment schedule ..................................................................................... 256 25.2. Repayment schedule lease liabilities........................................................................... 256 25.3. Repayment schedule bank borrowings and others............................................... 256

and other liabilities ...........................................................................................................257 27. Risk management...............................................................................................................258 27.1. Risks related to financial instruments ......................................................................... 258 27.2. Other risks ................................................................................................................................. 261 28. Off-balance sheet rights and commitments ...........................................................262 29. Contingent liabilities and contingent assets ..........................................................264 30. Dividends paid and proposed........................................................................................264 31. Related parties ....................................................................................................................265

personnel compensation................................................................................................... 265 31.2. Key management personnel compensation............................................................. 266 32. Events after the reporting date....................................................................................267 33. Independent auditor's remuneration........................................................................267 34. List of consolidated entities ..........................................................................................268 34.1. Company ................................................................................................................................... 268 34.2. Subsidiaries.............................................................................................................................. 268 34.3. Joint ventures.......................................................................................................................... 271 34.4. Associates ................................................................................................................................. 271 34.5. Changes in consolidation scope..................................................................................... 272

Etn. Fr. Colruyt NV, in accordance with Belgian accounting standards ........273

24.1. Defined contribution plans with a legally guaranteed

26. Trade payables, liabilities related to employee benefits

31.1. Related party transactions excluding key management

35. Condensed (non-consolidated) financial statements of

24.2. Benefits related to 'Unemployment regime

Etn. Fr. Colruyt NV (hereinafter referred to as the 'Company') is domiciled in 1500 Halle, Belgium and is publicly traded on NYSE Euronext Brussels under the code COLR. The consolidated financial statements for the 2021/22 financial year, which closed on 31 March 2022, cover the Company, its subsidiaries (hereinafter referred to collectively as 'Colruyt Group') and Colruyt Group's interests in associates and joint ventures.

The consolidated financial statements for the 2021/22 financial year were authorised for issue on 10 June 2022 by the Board of Directors, subject to the approval of the statutory non-consolidated financial statements by the shareholders during the Annual General Meeting of Shareholders, which will be held on 28 September 2022. In accordance with Belgian law, the consolidated financial statements will be presented for information purposes to the shareholders of Colruyt Group during that same meeting. The consolidated financial statements are not subject to changes, unless decisions of the shareholders regarding the statutory non-consolidated financial statements impact the consolidated financial statements.

1.1. Basis of presentation

The consolidated financial statements are expressed in millions of 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. The consolidated financial statements include comparative figures from the previous financial year, which are unchanged.

The consolidated financial statements describe the financial position as of 31 March and are prepared using the historical cost method, with the exception of certain line items, including derivative financial instruments, financial assets at fair value through other comprehensive income and financial assets at fair value through profit or loss, which are measured at fair value. Net liabilities related to Belgian defined contribution plans with a legally guaranteed minimum return, which are accounted for as defined benefit plans, are not measured at historical cost either but are measured using the projected unit credit method.

The consolidated financial statements are prepared before any distribution of profits of the parent company as proposed to the Annual General Meeting of Shareholders.

Preparing the consolidated financial statements in accordance with IFRS, as endorsed by the European Union, requires Colruyt Group's management to make judgements, estimates and assumptions. These affect the application of the accounting policies and thus the reported values of assets and liabilities and of income and expenses. This applies, among other things, to goodwill (note 9. Goodwill), leases (note 11. Property, plant & equipment, note 19. Trade and other receivables and note 25. Interest-bearing liabilities), financial assets (note 14. Financial assets), deferred taxes (note 17. Deferred tax assets and liabilities), inventories (note 18. Inventories), doubtful debtors (note 19. Trade and other receivables), provisions (note 23. Provisions) and employee benefits (note 24. Non-current liabilities related to employee benefits and note 26. Trade payables, liabilities related to employee benefits and other liabilities).

The estimates and related assumptions are based on historical experience and various other factors that are believed to be reasonable given the circumstances. Actual results may differ from these estimates.

The estimates and underlying assumptions are assessed and adjusted annually. Revisions to accounting estimates are

recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future period(s) where the revision affects both current and future period(s).

The significant accounting policies listed below have been applied consistently for all the periods presented in these consolidated financial statements.

1.2. Statement of compliance

Colruyt Group's consolidated financial statements are prepared in accordance with the 'International Financial Reporting Standards (IFRS)', as issued by the 'International Accounting Standards Board (IASB)' and adopted by the European Union up to 31 March 2022.

A. NEW STANDARDS AND INTERPRETATIONS EFFECTIVE AS OF 2021/22

The following (amended) standards and improvements are effective for Colruyt Group as of 1 April 2021, however none of these have a significant influence on Colruyt Group's consolidated financial statements:

• IFRS 16 (Amendment), 'Leases: : COVID-19-Related Rent Concessions beyond 30 June 2021'. This amendment provides relief to lessees from applying IFRS 16 guidance on lease modification accounting for rent concessions arising as a direct consequence of the COVID-19 pandemic. As a practical expedient, a lessee may elect not to assess whether a COVID-19 related rent concession from a lessor is a lease modification. A lessee that makes this election accounts for any change in lease payments resulting from the COVID-19 related rent concession the same way it would account for the change under IFRS 16, if the change were not a lease modification.

• IFRS 9 (Amendment), 'Financial Instruments: Interest Rate Benchmark Reform - Phase 2', IAS 39 (Amendment), 'Financial Instruments: Recognition and Measurement: Interest Rate Benchmark Reform - Phase 2', IFRS 7 (Amendment), 'Financial Instruments: Disclosures: Interest Rate Benchmark Reform - Phase 2', IFRS 4 (Amendment), 'Insurance Contracts: Interest Rate Benchmark Reform - Phase 2' and IFRS 16 (Amendment), 'Leases: Interest Rate Benchmark Reform - Phase 2' (effective date for Colruyt Group 1 April 2021). These amendments provide a number of reliefs, which apply to all hedging relationships that are directly affected by the interest rate benchmark reform. A relief is also provided for contractual modifications or changes to cash flows that are directly required by the reform.
• IFRS 4 (Amendment), 'Insurance Contracts; Deferral of IFRS 9', The amendment to IFRS 4 provides a temporary deferral that allows, but does not require, the qualified insurer to apply IAS 39, Financial Instruments: Recognition and Measurement, instead of IFRS 9.

B. STANDARDS AND INTERPRETATIONS PUBLISHED BUT NOT YET EFFECTIVE FOR 2021/22

Colruyt Group did not early adopt the following published (amended) standards, interpretations and improvements relevant to the group and effective only after 31 March 2022. Colruyt Group intends to apply these standards when they become effective; none of them has a significant influence on the consolidated financial statements of Colruyt Group.

• IAS 1 (Amendment), 'Presentation of Financial Statements: Classification of Liabilities' (effective date for Colruyt Group 1 April 2023). This amendment clarifies the criteria for determining whether to classify a liability as current or noncurrent. The amendments clarify what is meant by a right to defer settlement, that a right to defer must exist at the end of the reporting period, and that classification is unaffected by the likelihood that an entity will exercise its deferral right.
• IAS 1 (Amendment), 'Presentation of Financial Statements and IFRS Practice Statement 2: Disclosure of Accounting Policies'. (effective date for Colruyt Group 1 April 2023).

The amendments provide guidance on the application of materiality judgements to accounting policy disclosures. The amendments to IAS 1 replace the requirement to disclose "significant" accounting policies with a requirement to disclose "material" accounting policies. The Practice Statement includes guidance and illustrative examples that assist in applying the materiality concept when making judgements about accounting policies.

• IAS 16 (Amendment), 'Property, Plant and Equipment: Income obtained for the intended use' (effective date for Colruyt Group 1 April 2022). The amendment prohibits entities deducting from the cost of an item of property, plant and equipment, any proceeds from selling items produced while bringing that asset to the location and condition necessary for it to be capable of operating in the manner intended by management. An entity will recognise these proceeds and the cost of producing those items in profit or loss.
• IAS 37 (Amendment), 'Provisions, Contingent Liabilities and Contingent Assets: Onerous Contracts' (effective date for Colruyt Group 1 April 2022). The amendment specifies which costs an entity needs to include when assessing whether a contract is onerous or loss-making. A "directly related cost approach" is applied.
• IFRS 3 (Amendment), 'Business Combinations References to the Conceptual Framework' (effective date for Colruyt Group 1 April 2022). The amendments replace references to an old version of the IASB's Conceptual Framework with references to the current version issued in March 2018. An exception was also added to the recognition criteria in IFRS 3 with respect to liabilities and contingent liabilities that would be within the scope of IAS 37 or IFRIC 21. The amendment further added an explicit statement that an acquirer cannot recognise contingent assets acquired in a business combination.
• IFRS 17, 'Insurance Contracts' and IFRS 17 (Amendment), 'Insurance Contracts' (effective date for Colruyt Group 1 April 2023). This new standard will replace the existing standard IFRS 4, 'Insurance Contracts'. It will apply to all types of insurance contracts, regardless of the type of entities that issue them, as well as to certain guarantees and financial instruments with discretionary participation features.
• IAS 8 (Amendment), 'Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Estimates' and IAS 1 (Amendment), 'Presentation of Financial Statements' (effective date for Colruyt Group 1 April 2023). This amendment clarifies how a company should distinguish between changes in accounting estimates and changes in accounting policies. A company is also required to disclose information about "material" accounting policies rather than "significant" accounting policies.
• IAS 12 (Amendment), 'Income Taxes: Deferred tax related to Assets and Liabilities arising from a Single Transaction' (effective date for Colruyt Group 1 April 2023). This amendment clarifies that where payments that settle a liability are deductible for tax purposes, it is a matter of judgement (having considered the applicable tax law) whether such deductions are attributable for tax purposes to the liability recognised in the financial statements (and interest expense) or to the related asset component (and interest expense). This judgement is important in determining whether any temporary differences exist on initial recognition of the asset and liability.
• IFRS 17 (Amendment), 'Insurance Contracts: Initial Application of IFRS 17 and IFRS 9' and IFRS 9 (Amendment), 'Financial instruments' (effective date for Colruyt Group 1 April 2023). For some insurers, temporary accounting mismatches could arise, during the transition period, between financial assets and insurance contract liabilities in the comparative information they are required to present in their financial statements. This amendment will help avoid temporary accounting mismatches and in this way increase the usefulness of comparative information for investors.

1.3. Consolidation principles

Colruyt Group's consolidated financial statements include the financial statements of the Company, its subsidiaries after elimination of intragroup transactions and balances and Colruyt Group's interest in associated entities and joint ventures. Determining whether Colruyt Group has control, joint control or significant influence is based on the specific facts and circumstances. These conclusions can differ from judgements purely based on the ownership percentage held by Colruyt Group.

A. Subsidiaries

Subsidiaries are those entities over which Colruyt Group has control. Control exists if Colruyt Group is exposed or has rights to variable returns from its involvement with the investee and if Colruyt Group has the ability to use its power over the investee to affect the amount of these returns. In assessing whether control exists, all facts and circumstances are considered. The financial statements of subsidiaries are included in the consolidated financial statements from the date that control effectively commences until the date that control effectively ceases.

Non-controlling interests in subsidiaries are identified separately from Colruyt Group's equity. The interest of noncontrolling shareholders can initially be measured at fair value or at the non-controlling interests' proportionate share of the fair value of the acquiree's identifiable net assets. The choice of measurement basis is made on a case-by-case basis. Subsequent to the acquisition, the carrying amount of non-controlling interests is the amount of those interests at initial recognition plus the non-controlling interests' share of subsequent changes in equity. The total result is attributed to non-controlling interests even if this results in the noncontrolling interests having a deficit balance.

Changes in Colruyt Group's interest in a subsidiary that do not result in a loss of control are accounted for as transactions between owners. The carrying amounts of Colruyt Group's interests and the non-controlling interests are subsequently adjusted directly in equity to reflect the changes in their relative interests in the subsidiary.

When Colruyt Group loses control of a subsidiary, the profit or loss on disposal is calculated as the difference between:

• the aggregate of the fair value of the consideration received and the fair value of any retained interest; and
• the previously recognised carrying amount of the assets (including goodwill) and liabilities of the subsidiary and any non-controlling interests.

Amounts previously recognised in other comprehensive income in relation to the subsidiary are accounted for in the same manner (i.e. reclassified to profit or loss or transferred directly to retained earnings) as would be required if the relevant assets or liabilities were disposed of. The fair value of any investment retained in the former subsidiary at the date when control is lost, is regarded as the fair value on initial recognition for subsequent accounting under IFRS 9, 'Financial Instruments' or, if applicable, the cost on initial recognition of an investment in an associate or joint venture.

B. Associates

Associates are those entities in which Colruyt Group has significant influence on the financial and operational policies but which it does not control or jointly control.

The initial recognition of these investments is at cost including transaction costs. These investments are incorporated into the consolidated financial statements using the equity method from the date on which the significant influence begins until the date on which the significant influence ceases. In the event an indication of impairment arises after the application of the equity method, Colruyt Group calculates the amount of the impairment loss as the difference between the recoverable amount and the carrying amount of the investment in the associate. If Colruyt Group's share of the associate's losses exceeds the carrying amount of Colruyt Group's interests in the associate, the carrying amount is reduced to nil in Colruyt Group's statement of financial position and no further losses are taken into account, except to the extent that Colruyt Group incurred obligations in respect of that associate. When the associate becomes profitable again, the group's share in the associate's result will be accounted for using the equity method as soon as the equity of the associate is positive again.

C. Joint ventures

Joint ventures are those entities in which Colruyt Group has joint control and where such control is established by an agreement, conferring upon Colruyt Group rights to the net assets of the agreement, but no rights to the assets of the agreement and no liabilities arising from debts of the agreement. Joint control implies that the decisions about the relevant activities require the unanimous consent of all parties sharing control.

The initial recognition of these investments is at cost including transaction costs. Colruyt Group's interests in joint ventures

are accounted for using the equity method, from the date that joint control first exists until the date it ceases. In the event an indication of impairment arises after the application of the equity method, Colruyt Group calculates the amount of the impairment loss as the difference between the recoverable amount and the carrying amount of the investment in the joint venture. If Colruyt Group's share of the joint venture's loss exceeds the carrying amount of Colruyt Group's interest in the joint venture, the carrying amount is reduced to nil in Colruyt Group's statement of financial position and no further losses are taken into account, except to the extent that Colruyt Group incurred obligations on behalf of that joint venture. When the joint venture becomes profitable again, the group's share in the joint venture's result will be accounted for using the equity method as soon as the equity of the joint venture is positive again.

D. Transactions eliminated on consolidation

Intragroup balances and transactions, including unrealised results on intragroup transactions, are eliminated when preparing the consolidated financial statements.

Unrealised gains from transactions with associates or joint ventures are eliminated in proportion to Colruyt Group's interest in the associates or joint ventures. Unrealised losses are eliminated in the same way as unrealised gains, except that they are only eliminated to the extent that there is no evidence of impairment.

E. Business combinations

Acquisitions of businesses (as defined by IFRS 3, 'Business Combinations') are accounted for using the acquisition method. The consideration for each business combination is measured as the aggregate of the fair values at acquisition date of the assets transferred by the acquirer, the liabilities incurred to former owners of the acquiree, and equity instruments issued by the acquirer in exchange for control.

Acquisition-related costs are recognised in profit or loss as incurred, except when they relate to the issue of debt or equity instruments. In this case, these costs are deducted from the debt instruments and from equity respectively.

If applicable, the consideration for the business combination includes any asset or liability resulting from a contingent consideration arrangement, measured at its fair value at the acquisition date. Subsequent changes in such fair values are adjusted retroactively within the measurement period against the cost of acquisition when they qualify as adjustments due to additional facts and circumstances existing at acquisition date. All other subsequent changes in the fair value of contingent consideration classified as an asset or liability are accounted for in accordance with relevant IFRS. If an obligation to pay contingent consideration meets the definition of a financial instrument classified as equity, it is not remeasured and its subsequent settlement is accounted for within equity.

Where a business combination is achieved in stages, Colruyt Group's previously held interest in the acquired entity is remeasured to fair value at the acquisition date (i.e. the date the group obtains control) and the resulting gain or loss, if any, is recognised directly in profit or loss. Amounts arising from interests in the acquiree prior to the acquisition date that have previously been recognised in other comprehensive income are recognised on the same basis as would be required if that interest were disposed of.

The identifiable assets, liabilities and contingent liabilities that meet the conditions for recognition under IFRS 3, 'Business Combinations' are recognised at their fair value at the acquisition date, except that:

• deferred tax assets or liabilities and liabilities or assets related to employee benefit arrangements are recognised and measured in accordance with IAS 12, 'Income Taxes' and IAS 19, 'Employee Benefits' respectively;
• liabilities or equity instruments related to the replacement by Colruyt Group of an acquiree's share-based payment awards are measured in accordance with IFRS 2, 'Share-based Payment';
• assets (or disposal groups) that are classified as held for sale at acquisition date in accordance with IFRS 5, 'Non-current Assets Held for Sale and Discontinued Operations', are measured in accordance with that standard.

If the initial accounting for a business combination is incomplete by the end of the financial year in which the combination occurs, Colruyt Group reports provisional amounts for the items for which the accounting is incomplete. Those provisional amounts are adjusted during the measurement period (see paragraph below), and/or additional assets and/or liabilities are recognised to reflect new information obtained about facts and circumstances that existed as of the acquisition date that, if known, would have affected the amounts recognised as of that date.

The measurement period is the period from the acquisition date to the date Colruyt Group obtains complete information about facts and circumstances that existed as of the acquisition date. The measurement period shall not exceed one year from the acquisition date.

F. Financial statements of foreign companies in foreign currencies

To consolidate Colruyt Group and each of its subsidiaries, the financial statements of the individual subsidiaries are translated into euro, the functional currency of the Company and the presentation currency of the group. The translation is performed as follows:

• assets and liabilities, including goodwill and fair value adjustments arising from acquisitions, at the closing exchange rate of the European Central Bank at the reporting date;
• income, expenses and cash flows at the average exchange rate for the financial year (which approximates the exchange rate at the date of the transaction);
• components of shareholders' equity at the historical exchange rate.

Exchange rate differences arising from the translation of net investments in foreign subsidiaries, associates and joint ventures at the closing exchange rate at the reporting date are recorded as part of the consolidated other comprehensive income, under 'Cumulative translation adjustments' in 'Other reserves', except for the part attributed to non-controlling interests.

Upon the disposal of a foreign operation (i.e. a disposal of Colruyt Group's entire interest in a foreign operation, or a disposal involving loss of control over a subsidiary that includes a foreign operation, loss of joint control over a joint venture

that includes a foreign operation, or loss of significant influence over an associate that includes a foreign operation), all of the cumulative translation adjustments in equity in respect of that foreign operation attributable to Colruyt Group are reclassified to profit or loss as part of the consolidated financial results.

In the case of a partial disposal of a subsidiary (i.e. with no loss of control over the subsidiary by Colruyt Group), the proportionate share of cumulative translation adjustments is reattributed to non-controlling interests and is not recognised in profit or loss. For all other partial disposals (i.e. the partial disposal of associates or joint ventures not resulting in Colruyt Group losing significant influence or joint control), the proportionate share of the cumulative translation adjustments is reclassified to the consolidated financial results.

G. Foreign currency transactions

Transactions in foreign currencies are translated to the functional currency of the Company at the exchange rates prevailing at the date of the transaction.

All monetary assets and liabilities denominated in foreign currencies are translated at the closing rate at the reporting date.

Gains and losses resulting from transactions in foreign currency and from the translation of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss.

Non-monetary assets and liabilities denominated in foreign currencies and valued on a historical cost basis are translated at the exchange rate at the transaction date. Non-monetary assets and liabilities in foreign currencies at fair value are translated at the exchange rate applicable at the date on which the fair value was determined.

1.4. Other significant accounting policies

A. Goodwill

Goodwill resulting from business combinations is recognised as an asset as from the date control is obtained (the acquisition date). Colruyt Group measures goodwill as the difference between:

• the aggregate of the fair value of the consideration transferred, the amount of any non-controlling interest in the acquiree, and in a business combination achieved in stages, the fair value of the previously held equity interest in the acquiree; and
• the net amount of the identifiable assets acquired and the liabilities incurred at the acquisition date.

If, after consideration, this difference is negative, the resulting gain from a bargain purchase is recognised immediately in profit or loss.

For investments in associates and joint ventures, the goodwill is included within the carrying amount of the investment.

Goodwill is recognised at cost less any accumulated impairment losses. Goodwill is not amortised but is reviewed for impairment. Impairment is tested annually or earlier if indications of impairment exist.

B. Intangible assets

Research and development

Expenses from research activities are recognised in the consolidated income statement when incurred.

Expenditure related to development activities whereby the results are used for a plan or design intended for the production of new or substantially improved products or processes are capitalised if the following conditions are met:

• the technical and commercial feasibility of the product or process has been demonstrated and the product or process will be commercialised or will be used internally;

• the product or process will generate future economic benefits;
• Colruyt Group has the necessary technical, financial and other resources to complete and use or sell the development; and
• the product or process has been carefully described and the expenses can be separately identified and can be measured reliably.

The capitalised expenditure is valued at full cost and therefore includes the cost of materials, direct labour and an appropriate proportion of overheads.

Development costs that do not satisfy these conditions are recognised in the consolidated income statement when incurred.

Capitalised development expenditure is stated at cost less accumulated amortisation and impairment losses.

Other intangible assets

Other intangible assets are recognised at cost less accumulated amortisation and impairment losses.

Subsequent expenditure

Subsequent expenditure on intangible assets is capitalised only when it results in an increase of future economic benefits derived from the use of the specific asset to which the subsequent expenditure is related. All other expenditure is expensed as incurred.

Amortisation

Intangible assets with a finite useful life are subject to straightline amortisation over their estimated useful lives. Amortisation of intangible assets only begins when assets are available for intended use.

Intangible assets that are not yet ready for their intended use and intangible assets with an indefinite useful life are tested for impairment at least annually. For internally developed intangible assets, this evaluation is made at least twice a year.

For intangible assets, Colruyt Group makes a distinction between software, licences, permits, customer portfolios, internally

developed intangible assets and other intangible assets. This distinction is expressed in a different useful life per type of intangible asset:

• externally purchased software, licences and permits: contractually defined period;
• customer portfolios arising from the acquisition of points of sale: indefinite useful life;
• internally developed intangible assets: 3, 5, 7 or 10 years;
• other intangible assets: 3 to 5 years.

The amortisation method and useful life are reviewed annually and amended if necessary.

C. Property, plant and equipment

Property, plant and equipment are recorded at cost less accumulated depreciation and impairment losses. The cost of self-constructed assets includes direct labour costs in addition to the direct cost of material and a reasonable proportion of indirect manufacturing costs which are necessary to bring the asset into its location and state that are required for the asset to function in the intended way. The depreciation method, the residual value and the useful life are reviewed annually and amended if necessary.

Colruyt Group has opted to recognise capital grants as a deduction to the cost of property, plant and equipment. Grants are recognised when there is reasonable assurance that the grants will be received and that the group will comply with the conditions attached to them. These grants are taken into profit or loss over the useful life of the asset by reducing the depreciation charge.

In certain circumstances obligations exist to dismantle and restore items of property, plant and equipment in their original state. The costs relating to these obligations are recognised as part of the cost or acquisition value of property, plant and equipment. A provision is recognised in the statement of financial position.

Subsequent expenditure

Costs for the replacement of a component of property, plant and equipment are capitalised provided that the cost to be capitalised can be reliably determined and that the expenditure will result in a future economic benefit.

Costs which do not meet these conditions are immediately recognised in the consolidated income statement when incurred.

Depreciation

Property, plant and equipment are subject to straight-line depreciation in profit or loss based on the estimated useful life of each component.

Tangible assets with an indefinite useful life are not depreciated but tested for impairment annually.

The estimated useful lives are defined as follows:

• land: indefinite;
• buildings: 20 to 30 years;
• fixtures: 9 to 15 years;
• fittings, machinery, equipment, furnishings and vehicles: 3 to 20 years;
• IT equipment: 3 to 5 years;
• right-of-use assets: useful life of the asset or, if shorter, the lease term.

Retirements

An item of property, plant and equipment and any significant part initially recognised is derecognised on disposal (i.e. on the date when the recipient obtains control) or when no future economic benefits are expected from its use or disposal. Any gain or loss arising from the derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in profit or loss when the asset is derecognised.

D. Leases

For all leases with a lease term of more than 12 months, a right-of-use asset and a corresponding lease liability are recognised on the date on which the leased asset is made available for use. Right-of-use assets are recognised as part of property, plant and equipment and lease liabilities are reported as part of interest-bearing liabilities, recognised at cost less accumulated depreciation and impairment losses and adjusted for remeasurement of lease obligations.

The lease liability is measured at the present value of the remaining lease payments, discounted at a predetermined discount rate. Colruyt Group uses an incremental borrowing rate, which is revised annually for new contracts.

At initial recognition of the lease, the right of use of the assets is measured at an amount equal to the lease liability. Under certain conditions the initial direct costs for concluding the lease are included in the value of the right-of-use asset.

The lease term is determined as the non-cancellable period of the lease, taking into account the option to extend the lease if that option is reasonably certain to be exercised, or the option to terminate the lease early if that option is reasonably certain not to be exercised.

Lease payments are apportioned between reduction of the outstanding lease liability and finance expenses, whereby the finance expenses are recognised in profit or loss, so as to achieve a constant rate of interest on the remaining balance of the lease liability. The right-of-use asset is depreciated over the shorter of its useful life and the lease term.

Payments made for short-term leases or leases of low-value assets are recognised in profit or loss on a straight-line basis over the term of the lease.

A limited number of premises that Colruyt Group leases are subleased to third parties (the so-called 'sublease agreements'). When the right of use of these assets is not fully transferred to the sublessee (which is the case, amongst others, when the rental period of the sublease is significantly shorter than the one of the head lease), these 'sublease agreements' are classified as operating sublease agreements and the rental income is recognised in profit or loss under 'Other operating income', on a straight-line basis over the lease term.

Rental income under a finance sublease is treated in accordance with IFRS 16, whereby a lease receivable is recognised in the consolidated statement of financial position. This lease receivable is equal to the discounted value of the future lease payments plus any residual value accruing to the lessor, at the interest rate implicit in the lease. Lease receivables are presented in the consolidated statement of financial position under 'Other receivables'. Any differences between the right-ofuse asset and the lease receivable are accounted for in profit or loss at initial recognition.

E. Financial assets

Classification

Colruyt Group classifies its financial assets at initial recognition in different categories. The classification of financial assets depends on:

• The characteristics of the contractual cash flows of the financial assets (SPPI test). The SPPI test is designed to determine whether or not the contractual cash flows relate to payments of principal and interest on the principal amount outstanding.
• The business model used for managing the financial assets determines whether the cash flow results from:
• a contractual cash flow;
• a sale of financial assets; or
• a combination of both.

The classification of a financial asset determines the measurement of this financial asset and whether the income and expenses are recognised in profit or loss, or directly in equity. The financial assets are classified as follows:

• financial assets at amortised cost;
• financial assets at fair value through other comprehensive income ('FVOCI');
• financial assets at fair value through profit or loss ('FVTPL').

Financial assets at amortised cost

Financial assets are recognised at amortised cost when the business model's objective is to hold financial assets in order to collect contractual cash flows and the contractual cash flows represent (re)payments of principal and interest on the principal amount outstanding and on specified dates.

These financial assets are initially recognised at fair value, including any transaction costs that are directly attributable to these financial assets. After initial recognition these assets are measured at amortised cost using the effective interest method, net of impairment. If there is objective evidence that an impairment loss has been incurred on financial assets at amortised cost, the amount of the impairment loss is measured as the difference between the financial asset's carrying amount and the present value of estimated future cash flows discounted at the financial asset's original effective interest rate. Gains and losses are recognised in profit or loss when the asset is derecognised, modified or impaired.

Financial assets at fair value through other comprehensive income

Financial assets are recognised at fair value through other comprehensive income when the business model's objective is to hold financial assets in order to collect contractual cash flows as well as to sell financial assets. The contractual cash flows represent (re)payments of principal and interest on the principal amount outstanding and on specified dates. In addition, Colruyt Group may irrevocably choose to recognise at fair value through other comprehensive income equity instruments that would otherwise be measured at fair value through profit or loss. This choice is irrevocable and may only be used to eliminate or reduce inconsistencies in the measurement at initial recognition. Colruyt Group makes this choice for equity instruments which it has currently no intention to sell in the short term.

These financial assets are initially recognised at fair value, including any transaction costs that are directly attributable to these financial assets. After initial recognition these financial assets are measured at fair value through other comprehensive income. In the event of a disposal of these equity instruments within this category of financial assets, the cumulative

revaluations recognised through other comprehensive income are reclassified from other comprehensive income to retained earnings.

Financial assets at fair value through profit or loss

Financial assets are recognised at fair value through profit or loss when the conditions of the above categories are not met or when Colruyt Group has made the irrevocable choice to recognise through profit or loss debt instruments measured at fair value through other comprehensive income. This choice is irrevocable and may only be used to eliminate or reduce inconsistencies in the measurement at initial recognition.

These financial assets are initially recognised at fair value, including any transaction costs that are directly attributable to these financial assets. After initial recognition the assets are measured at fair value through profit or loss.

Expected credit losses

Financial assets are recognised according to the above accounting principles. At the end of every reporting period Colruyt Group assesses whether a provision for expected credit losses needs to be recognised for financial assets at amortised cost and for financial assets at fair value through other comprehensive income.

Colruyt Group has identified one category of financial assets to which the requirements for expected credit losses apply: trade and other receivables. To determine the expected credit losses Colruyt Group applies the simplified approach based on a provision matrix, and the general method, under which credit losses are determined at the level of the individual receivable. In the event an indication of impairment exists for an individual trade receivable, Colruyt Group will recognise an impairment charge at an amount equal to the lifetime expected credit losses on this specific trade receivable.

F. Assets held for sale and discontinued operations

An asset or a disposal group (groups of assets and related liabilities) that is being disposed of, is classified as held for sale if its carrying amount will be recovered principally through a sale transaction rather than through continuing use. This condition is regarded as met only when the sale is highly probable and the asset (or disposal group) is available for immediate sale in its present condition. For a sale to be highly probable, the Company should be committed to a plan to sell the asset (or disposal group), and an active programme to locate a buyer and to complete the sale should be initiated. The asset (or disposal group) should be actively marketed at a price which is reasonable in relation to its current fair value, and the sale should be expected to be completed within one year from the date of classification.

When classified as 'held for sale', assets or disposal groups are valued at the lower of their carrying amount and their fair value less costs to sell, including any impairment that might be required and which is recognised through profit or loss. Impairment on an asset or a disposal group is initially allocated to goodwill and then pro rata to the remaining assets and liabilities. Such an impairment loss is not allocated to inventories, financial assets or deferred tax assets which continue to be recognised in line with the other significant accounting policies of the group. As from the moment that property, plant and equipment and intangible assets are classified as held for sale, they are no longer depreciated or amortised. Comparative balance sheet information for prior periods is not restated to reflect the new classification in the consolidated statement of financial position.

A discontinued operation is a component of an entity that either has been disposed of or has been classified as held for sale, which represents a separate major line of business or geographical area of operations that can be distinguished operationally as well as for financial reporting purposes from the rest of the entity. The profit or loss after taxes which arises from discontinued operations is separately reported in the consolidated income statement. When operations are labelled as discontinued operations, the comparative figures in the consolidated income statement and in the consolidated statement of comprehensive income are restated to reflect a situation as if the operations had been discontinued as of the beginning of the comparative period.

G. Impairment

The carrying amount of all assets, with the exception of inventories and deferred tax assets, is reviewed at least once a year and examined for any indications of impairment. If such indications exist, the related asset's recoverable amount is estimated.

Goodwill, tangible and intangible assets with indefinite useful lives and intangible assets not available for use are tested for impairment at least annually (irrespective of whether indications of impairment exist or not). For internally developed intangible assets, this review is completed at least twice a year. The recoverable amount is the higher of the fair value less costs to sell and the value in use. The value in use is the present value of expected future cash flows. In assessing the value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money as well as the risks specific to the asset. For an asset for which no independent cash inflows are available, the recoverable amount is determined for the cash-generating unit to which the asset belongs. For impairment testing, goodwill is always allocated to (a group of) cash-generating units.

A cash-generating unit is the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. Colruyt Group defines a 'cash-generating unit' as the operating unit to which the asset can unequivocally be allocated. An operating unit can include a branch of the business or a business entity.

If the recoverable amount of an asset or of the cash-generating unit to which it belongs is lower than the carrying amount, an impairment loss is recognised in profit or loss for the amount of the difference. Impairment losses relating to cash-generating units are first deducted from the carrying amount of any goodwill attributed to the cash-generating (or groups of) units and then deducted pro rata from the carrying amount of the other assets of the (groups of) cash-generating units.

A recognised impairment may be reversed if it ceases to exist. An impairment loss is reversed only to the extent that the asset's carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortisation, if no impairment loss had been recognised. Goodwill impairment is not reversed.

H. Inventories

Inventories are measured at the lower of cost and net realisable value. The net realisable value is the estimated selling price in the normal course of business, less the estimated cost of completion and costs to sell.

The cost of inventories is based on the 'first in, first out' (FIFO) principle and includes all direct and indirect costs that are required to bring the goods to their state at the reporting date, less discounts and compensations received from suppliers.

Rebates and incentives that Colruyt Group receives from its suppliers, mainly for promotions in stores, joint publicity, introductions of new products and volume incentives, are included in the inventory cost and are recognised in profit or loss as and when the product is sold, except when it relates to a repayment of specific, additional and identifiable costs which Colruyt Group incurred in order to sell the supplier's product. In that case the rebates and incentives are immediately recognised as a decrease of the respective costs incurred. The estimation of such supplier rebates is predominantly based on real turnover figures of the related period, but in certain cases it requires the use of assumptions and estimations of specific purchasing or sales levels.

I. Contract assets

Contract assets relate to expenses made to satisfy performance obligations under a contract and are recognised at cost, less a provision for expected losses and less amounts of project progress billings.

The expenses are recognised when the following conditions are met:

• the expenses are directly or indirectly attributable to a specifically identifiable contract;

• resources are generated which Colruyt Group will use to satisfy a performance obligation; and
• the expenses can be earned back.

Expenses that can be attributed directly to a specifically identifiable project include direct labour costs and direct material costs. In addition, the cost also includes an allocation of fixed and variable indirect expenses made and this based on a normal production capacity.

J. Equity

Capital and retained earnings

Dividends proposed by the Board of Directors are only recognised as liabilities after approval by the Annual General Meeting of Shareholders. Until such formal approval, the proposed dividends are included in Colruyt Group's consolidated equity. Transaction costs of capital transactions, net of tax impact, are deducted from equity.

Treasury shares

Shares of Colruyt Group purchased by the Company or entities belonging to Colruyt Group, including directly attributable transaction costs, net of tax impact, are recognised as a deduction from equity. In case of a cancellation or sale of treasury shares, the result of the transaction is directly included in equity (retained earnings).

Revaluation reserves of liabilities related to long-term post-employment benefits

The revaluation reserves contain the cumulative actuarial profits and losses related to:

Belgian entities:

• unemployment regime with company supplement;
• long-service benefits;
• defined contribution plans with a legally guaranteed minimum return.

Other entities:

• legal compensations

The revaluation reserves comprise the experience adjustments and the effects of changes in actuarial assumptions.

Cumulative translation adjustments

The cumulative translation adjustments represent the cumulative currency translation differences that arise due to subsidiaries, associates and joint ventures that have a functional currency that is different from the euro.

Cash flow hedge reserves

This reserve contains the effective portion of the cumulative net change in the fair value of cash flow hedge instruments related to hedged transactions.

Reserves for financial assets at fair value through other comprehensive income

This reserve contains unrealised fair value changes of financial assets at fair value through other comprehensive income.

Non-controlling interests

Non-controlling interests in subsidiaries not fully owned by the group are presented separately from Colruyt Group's equity. The interest of non-controlling shareholders can initially be measured at fair value or at the non-controlling interests' proportionate share of the fair value of the acquiree's identifiable net assets. The choice of measurement basis is made on a case-by-case basis. Subsequent to the acquisition, the carrying amount of non-controlling interests is the amount of those interests at initial recognition plus the non-controlling interests' share of subsequent changes in equity. The total result is attributed to non-controlling interests even if this results in the non-controlling interests having a deficit balance.

K. Provisions

Provisions are only recognised in the consolidated statement of financial position when Colruyt Group has a present obligation (legal or constructive) as a result of a past event, when it is probable that a future outflow of resources will be required to settle the obligation, and when a reliable estimate can be made of the amount of the obligation. The amount recognised as a provision is the best estimate of the expenditure required to settle the present obligations at the reporting date.

If the effect of discounting the future cash outflows is material, the provisions are annually discounted using discount rates that reflect current market assessments of the time value of money.

Restructuring provisions are recognised when Colruyt Group approved a detailed, formalised restructuring plan and made a start on restructuring or made it publicly known before reporting date. These provisions only include direct expenditures that are necessarily entailed by the restructuring and that are not associated with the ongoing activities of the Company.

Environmental provisions are established in accordance with legal requirements on the one hand and the environmental policy established by Colruyt Group on the other.

For onerous contracts, a provision is recognised in the consolidated statement of financial position for the difference between the unavoidable cost of meeting the obligations under the contract and the expected benefits to be derived from the contract. Before a provision for an onerous contract is established, Colruyt Group recognises any impairment loss that has occurred on assets dedicated to that contract.

L. Employee benefits

Post-employment benefits

There are different types of post-employment benefits within Colruyt Group:

• Defined contribution plans with a legally guaranteed minimum return

In Belgium, employers are obliged to guarantee a minimum return on defined contribution plans for the duration of an employee's career. For this reason, these plans fit the definition of a defined benefit plan.

• Unemployment regime with company supplement The possibility for early retirement, as it exists within Colruyt Group for employees of Belgian entities, is based on the Belgian 'unemployment regime with company supplement'. The unemployment regime with company supplement and the conditions regarding the required age and performed service period are described in a collective labour agreement (Collectieve Arbeidsovereenkomst/Convention Collective de Travail or cao/CCT), more specifically in collective labour agreement No. 17, as established by the National Labour Council (Nationale Arbeidsraad/Conseil National du Travail) and in the Royal Decree of 3 May 2007 which regulates the unemployment regime with company supplement (Belgian Official Gazette 8 June 2007). Other collective labour agreements negotiated by the National Labour Council or within Colruyt Group for specific entities or industries may be applicable, but have benefits similar to those of collective labour agreement No. 17.

These benefits must be paid if a company decides to terminate an employee's employment before the normal retirement date. Given that a reasonable expectation is created towards the employees at the moment of their recruitment or during the period of service, that they are entitled to join the unemployment regime with company supplement before the legal retirement age, these benefits are treated as postemployment benefits (defined benefit plan).

• Other

Other post-employment benefits include departure benefits as a result of retirement or as a result of the application of the 'unemployment regime with company supplement' (Belgian entities) and legal compensations (French and Indian entities). These benefits are also treated as defined benefit plans.

The liabilities arising from these systems and the related costs are determined using the 'projected unit credit' method, based on actuarial calculations that are executed at the end of each financial year. A comprehensive actuarial measurement based on updated personnel information is performed at least every three years. In the years in which no comprehensive actuarial measurement is performed, actuaries use forecasts based on the previous year but including updated assumptions (discount rate, pay rise and staff turnover). These liabilities, recorded in the consolidated statement of financial position, are calculated as the present value of estimated future cash outflows, based on a discount rate at the reporting date which corresponds to the market yield of high quality corporate bonds with a remaining maturity that approaches the maturity of these liabilities, decreased with the fair value of the plan assets. The liabilities related to the unemployment regime with company supplement are recognised for the population of employees for which can be reliably assumed that it will join the unemployment regime with company supplement. The liabilities for the defined contribution plans with a legally guaranteed minimum return are recognised for all Colruyt Group employees entitled thereto.

The costs related to these systems consist of the following items:

• the current service cost, which is the increase in the present value of the obligation resulting from employee service in the current reporting period;
• the past service cost, which is the change in the present value of the benefit obligation for employee service in prior periods, resulting from an amendment or a curtailment of the existing benefit plan;
• gains or losses on settlement of the benefit obligation, if any;
• the net interest on the net liability arising from the passage of time;

• the actuarial gains and losses, which comprise the effect of differences between the previous actuarial assumptions and what has actually occurred and the effect of changes in actuarial assumptions.

The first three items are recognised in profit or loss as 'Employee benefit expenses'. The net interest on the net liability is included in profit or loss in the 'Net financial result'. Actuarial gains and losses are recognised in other comprehensive income.

Profit participation

In accordance with the Law of 22 May 2001 concerning employee participation in the capital of entities and the establishment of a profit bonus for employees, Colruyt Group offers its personnel based in Belgium a share in the profits in the form of a profit participation, paid in cash. The profit participation is recognised in the financial year in which the profit is realised.

Discounts on share capital increases

In accordance with article 7:204 of the Code on Companies and Associations, Colruyt Group offers a discount on its yearly share capital increase which is reserved for its employees. This discount is recognised as an employee benefit expense in the period of the share capital increase.

M. Financial liabilities

Financial liabilities are subdivided as follows:

• financial liabilities at amortised cost; and
• financial liabilities at fair value through profit or loss.

Financial liabilities at amortised cost

Financial liabilities of Colruyt Group measured at amortised cost comprise interest-bearing loans, trade payables and other liabilities. Financial liabilities are initially measured at fair value, net of transaction costs. After initial recognition, these financial liabilities are subsequently measured at amortised cost using the effective interest method, with interest expense recognised on an effective interest rate basis.

The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments through the expected life of the financial liability, or, where appropriate, a shorter period, to the net carrying amount on initial recognition.

Financial liabilities at fair value through profit or loss

Financial liabilities of Colruyt Group measured at fair value through profit or loss comprise derivative financial instruments that are concluded by Colruyt Group in order to hedge its exposure to currency risks resulting from its operational activities. Colruyt Group does not conduct speculative transactions.

These financial liabilities are initially recognised at fair value including any transaction costs that are directly attributable to these financial liabilities. After initial recognition these financial liabilities are measured at fair value through profit or loss.

N. Derivative financial instruments

Derivative financial instruments are initially recognised at fair value. After initial recognition these derivative financial instruments are remeasured at fair value at the end of every reporting period. Derivative financial instruments can be subdivided into cash flow hedges, fair value hedges and hedges of net investments. Colruyt Group designates the derivative financial instruments as cash flow hedges.

At the inception of the transaction, Colruyt Group documents the relationship between the hedging instrument and the hedged instrument, as well as the risk management objectives and strategy for undertaking the hedge. The derivative financial instruments are presented as current assets or as current liabilities.

The effective portion of the changes in fair value of derivative financial instruments designated as cash flow hedges is included as a separate component in equity, under 'Cash flow hedge reserves'. The gain or loss in respect of the ineffective portion is immediately recognised in profit or loss under 'Finance income' or 'Finance costs'.

The cumulative amounts included under 'Cash flow hedge reserves' are reclassified to profit or loss in the period during which the hedged instrument affects profit or loss. The cumulative amounts of the hedging instrument are included under the same line item as the hedged instrument.

A cash flow hedge accounting relationship is discontinued when: • the hedge accounting relationship fails the effectiveness test;

• the hedging instrument is sold, terminated or exercised;
• management decides to revoke the hedge accounting designation of the instrument; or
• the forecast transaction is no longer highly probable.

When the forecast transaction is no longer highly probable but still expected to occur, the hedge gains and losses that were previously recognised in other comprehensive income remain in equity until the transaction affects profit or loss. As soon as the forecast transaction is no longer expected to occur, any gain or loss is immediately recognised in profit or loss as a reclassification adjustment.

Certain derivative financial instruments do not qualify for hedge accounting. Changes to the fair value of derivative financial instruments that do not qualify for hedge accounting are immediately recognised in profit or loss under 'Finance income' or 'Finance costs'.

O. Revenue

Revenue is recognised based on a five-step model. Revenue from the supply of goods or services is recognised in an amount that reflects the consideration to which Colruyt Group expects to be entitled.

Colruyt Group supplies goods, either food or non-food, through different sales channels.

Revenue from the sale of goods – 'Retail'

The sale of goods in the 'Retail' segment, at the cash desk or online, is limited to one single transaction, i.e. the sale of goods at the cash desk or online. There is only one performance obligation within this context and revenue is recognised when control over the goods is transferred to the customer.

For certain products or services, such as phone cards and tickets for amusement parks, Colruyt Group acts as an agent. Therefore, only the commission is included in the revenue.

Revenue from the sale of gift cards and gift certificates is recognised when the gift card or gift certificate is redeemed by the customer.

The transaction price is affected by a number of rebate mechanisms, which are recognised as variable considerations and are included in profit or loss at the time of the sale of the goods.

Revenue from the sale of goods – 'Wholesale and Foodservice'

Revenue from the sale of goods in the 'Wholesale and Foodservice' segment is recognised upon delivery to, or pickup by, the 'Wholesale and Foodservice' customer. To determine the transaction price Colruyt Group uses collaboration arrangements. Any rebates granted to the 'Wholesale and Foodservice' customer are deducted from the sales price.

Revenue from the sale of goods – 'Other activities'

Revenue from the 'Other activities' segment mainly relates to revenue from the sale of fuel, the supply of printing and document management solutions and energy-related activities.

The sale of fuels is limited to one single transaction that is settled at the pump. Any rebates granted are immediately deducted from the transaction price.

Revenue from services rendered

Revenue from services rendered other than those included under 'Revenue from the sale of goods – 'Other activities', is assessed on a contractual basis to decide whether the performance obligations are performed over time or at a specific moment in time.

Rental income

Rental income generated by ordinary leases or by operating subleases are recognised in 'Other operating income' on a straight-line basis over the term of the lease.

Income from green certificates

For the production of electricity the regional authorities award Colruyt Group with green certificates. The income resulting from these certificates is recognised in the consolidated income statement at the moment of production as 'Other operating income'.

For the supplier activities, Colruyt Group is required to hand in certificates from time to time, so as to satisfy the quotas imposed by the regional authorities. For this purpose, certificates are used that are obtained through the production activities as well as certificates purchased on the market.

In the consolidated statement of financial position, certificates that have not been used at the reporting date are recognised in the line item 'Inventories'. Certificates that have been purchased are measured at the purchase price; certificates granted as a result of the production activity are measured at the minimum price guaranteed by the regional authorities. The inventory movement in respect of certificates is recognised in the consolidated income statement under the line item 'Services and miscellaneous goods'.

Dividend income from financial assets and finance income

Dividends received from financial assets are recognised in the consolidated income statement at the time of allocation. Interest income is recognised using the effective interest method. Fair value adjustments of derivative financial instruments that do not qualify for hedge accounting are immediately recognised in the consolidated income statement.

P. Expenses

Reimbursements by suppliers

Reimbursements by suppliers are recognised net of expenses.

If such reimbursements are specifically received for the reimbursement of specific publicity expenses incurred, the reimbursements are deducted from those specific expenses. In all other cases the reimbursements are recognised as a deduction from cost of goods sold.

Rental payments

Payments made for short-term leases or leases of low-value assets are recognised in profit or loss on a straight-line basis over the term of the lease.

Finance costs

Finance costs relate to interest on loans, interest on repayments of lease liabilities, fair value adjustments of financial assets at fair value through profit or loss and adjustments for the time value of liabilities. Interest expenses are recognised using the effective interest method.

Fair value adjustments of derivative financial instruments that do not qualify for hedge accounting are immediately recognised in the consolidated income statement.

All other finance costs are recognised when incurred.

Q. Income tax expense

Income tax for the financial year comprises current and deferred taxes and is presented in accordance with IAS 12 'Income Taxes'. Taxes are presented in profit or loss, except for taxes that relate to transactions not recognised in the consolidated income statement or that relate to a business combination.

Current tax is the expected tax payable on the taxable profit for the financial year, using tax rates and tax laws enacted or enacted substantively at the end of the reporting period, and any adjustment to tax payable (or receivable) in respect of previous years. These taxes are calculated in accordance with the respective tax laws applicable in all countries in which Colruyt Group operates.

Deferred taxes are calculated using 'the balance sheet liability method', providing for temporary differences between the tax base of the assets and liabilities and the carrying amount of assets and liabilities in the consolidated statement of financial position. The following differences are however not provided for: the initial recognition of goodwill, the initial recognition of differences on assets or liabilities that are not resulting from a business combination and that do not affect profit before tax or taxable profit and the differences relating to investments in subsidiaries, associates and joint ventures to the extent that the group is able to assess the timing of the expiration of the temporary differences and that it is probable that they will not be reversed in the near future.

Deferred taxes are calculated using tax rates and tax laws enacted or substantively enacted at the reporting date. A deferred tax asset is recognised in the consolidated statement of financial position only to the extent that it is probable that taxable profits will be available in the near future against which the deductible temporary differences, unused tax losses and credits can be utilised. Deferred tax assets are reduced to the extent that it is no longer probable that the related tax benefit will be realised. The carrying amount of deferred tax assets is reviewed at each balance sheet date.

Additional income taxes that arise from the distribution of dividends or gains on shares in subsidiaries are only recognised respectively at the moment of the decision to pay the related dividend and at the moment of the decision of the realisation of the gain.

R. Transfer pricing

The prices for transactions between subsidiaries, associates, joint ventures and therefore also between operating segments are conducted on an objective, at arm's length basis.

S. Events after the reporting date

Events after the reporting date, which provide additional information concerning the situation of Colruyt Group at the reporting date ('adjusting events') are recognised in the consolidated financial statements. Other events after the reporting date ('non-adjusting events') are only mentioned in the notes to the consolidated financial statements if they are considered to be important.

2. Segment information

Colruyt Group reports its operating segments based on the nature of its activities. In addition to the information on the operating segments, Colruyt Group also provides geographical information on the regions in which it operates.

2.1. Operating segments

Colruyt Group distinguishes three operating segments within its activities.

In determining the operating segments, Colruyt Group considered the operational characteristics of every activity. This led to the identification of two important business segments: 'Retail' on the one hand and 'Wholesale and Foodservice' on the other hand. The difference between both operating segments can be found in differences in markets and business models. The other identifiable segments do not meet the quantitative thresholds determined by IFRS 8, 'Operating segments', and were therefore reported together under the operating segment 'Other activities'. The group support activities combine various departments and supply services to the different brands within Colruyt Group. These activities include marketing and communication, IT, human resources and recruitment, finance and other central services. The costs of group support activities and the result of their internal cross-charging are, to the extent possible, allocated to the reported segments.

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, commercial customers and affiliated independent merchants.

Other activities

Filling stations in Belgium, printing and document management and sustainable energy. The filling stations in Belgium are presented in a separate segment, as opposed to the filling stations in France, the reason being that the former, which have their own commercial objectives and energy strategy, can be identified separately from the stores in Belgium.

The results of an operating segment contain elements which are directly attributable or which are reasonably attributable to the operating segments.

The revenues of each operating segment include revenues from sales to external customers and revenues from transactions with other operating segments. More information can be found under note 3.1. Revenue by cash-generating unit.

The results of the operating segments are evaluated based on operating profit (EBIT).

The financial result and income taxes are managed at Colruyt Group level and are not allocated to the operating segments.

Non-cash items in the income statement consist mainly of depreciation and amortisation, impairment of non-current assets, provisions and impairment of current assets. The line items 'Depreciation and amortisation' and 'Impairment of noncurrent assets' are the most significant ones and are therefore included in the segment information.

The operating segment information and Colruyt Group's consolidated figures can be reconciled by adding the information in the different operating segments with the nonallocated elements - including group support activities - and eliminating the transactions within Colruyt Group.

Given the nature of its activities, Colruyt Group does not rely on a limited number of major customers.

		Wholesale and		Operating
	Retail	Foodservice	Other activities	segments
(in million EUR)	2021/22(1)	2021/22(2)	2021/22	2021/22
Revenue - external	8.164,9	1.065,0	819,4	10.049,3
Revenue - internal	68,4	17,2	13,5	99,1
Operating profit (EBIT)	351,7	51,1	14,1	416,9
Share in the result of investments accounted for using the equity method	(0,7)	-	4,6	3,9
Acquisition of property, plant and equipment and intangible assets(3)	369,1	25,5	20,8	415,4
Depreciation and amortisation	274,1	20,7	12,2	307,0
Impairment of non-current assets	6,1	-	0,1	6,2

(in million EUR)	Operating segments 2021/22	Unallocated 2021/22	Eliminations between operating segments 2021/22	Consolidated 2021/22
Revenue - external	10.049,3	-	-	10.049,3
Revenue – internal	99,1	-	(99,1)	-
Operating profit (EBIT)	416,9	(41,7)	-	375,2
Share in the result of investments accounted for using the equity method	3,9	2,1	-	6,0
Net financial result				1,5
Income tax expense				(94,7)
Profit for the financial year				288,0
Acquisition of property, plant and equipment and intangible assets(3)	415,4	72,1	-	487,5
Depreciation and amortisation	307,0	51,8	-	358,8
Impairment of non-current assets	6,2	0,4	-	6,6

(1) Includes Roelandt Group as of January 2022 and JIMS as of May 2021..

(2) Includes Culinoa as of April 2021.

(3) Acquisition of property, plant and equipment and intangible assets does not include acquisitions through business combinations, IFRS 16 and changes in consolidation method.

		Wholesale and		Operating
	Retail	Foodservice	Other activities	segments
(in million EUR)	2020/21(1)	2020/21	2020/21(2)	2020/21
Revenue - external	8.308,4	1.075,1	547,2	9.930,7
Revenue – internal	65,2	13,0	9,3	87,5
Operating profit (EBIT)	445,0	56,8	50,9	552,7
Share in the result of investments accounted for using the equity method	(12,2)	-	8,5	(3,7)
Acquisition of property, plant and equipment and intangible assets(3)	313,0	15,2	20,0	348,2
Depreciation and amortisation	245,3	19,9	12,0	277,2
Impairment of non-current assets	3,8	(0,1)	-	3,7

(in million EUR)	Operating segments 2020/21	Unallocated 2020/21	Eliminations between operating segments 2020/21	Consolidated 2020/21
Revenue - external	9.930,7	-	-	9.930,7
Revenue – internal	87,5	-	(87,5)	-
Operating profit (EBIT)	552,7	(29,2)	-	523,5
Share in the result of investments accounted for using the equity method	(3,7)	0,2	-	(3,5)
Net financial result				0,9
Income tax expense				(104,9)
Profit for the financial year				416,0
Acquisition of property, plant and equipment and intangible assets(3)	348,2	120,7	-	468,9
Depreciation and amortisation	277,2	45,8	-	323,0
Impairment of non-current assets	3,7	0,2	-	3,9

(1) As of August 2020, The Fashion Society is fully consolidated and no longer accounted for as a joint venture using the equity method.

(2) Includes Joos Hybrid as of August 2020. The renewable wind energy activities of Eoly NV were contributed to the energy holding company Virya Energy NV in financial year 20/21.

(3) Acquisition of property, plant and equipment and intangible assets does not include acquisitions through business combinations, IFRS 16 and changes in consolidation method (The Fashion Society).

2.2. Geographical information

As customers are mostly serviced in their own geographical areas, the geographical information is based on the location of the Company and its subsidiaries. The geographical information represents the contribution in Colruyt Group of the countries in which the entities are domiciled and contains all of Colruyt Group's entities which are active in the operating segments, as well as in the corporate activities.

Belgium:

Location of the Company and of a large number of its subsidiaries. These entities are active in all operating segments as well as in the group support activities.

France:

Location of the French subsidiaries. These entities are active in the operating segments 'Retail' and 'Wholesale and Foodservice' as well as in the group support activities.

Other:

The other entities can be found in the Grand Duchy of Luxembourg, Hong Kong, India and Africa. The retail and fitness activity in the Grand Duchy of Luxembourg is the most important activity in this geographical information.

Geographical information

		Belgium France		Other		Total
(in million EUR)	2021/22	2020/21	2021/22	2020/21	2021/22	2020/21	2021/22	2020/21
Revenue	9.266,1	9.180,1	712,0	687,8	71,2	62,8	10.049,3	9.930,7
Acquisition of property, plant and equipment and intangible assets	438,1	431,2	44,5	37,3	4,9	0,4	487,5	468,9

3. Revenue and gross profit

(in million EUR)	2021/22	2020/21
Revenue	10.049,3	9.930,7
Cost of goods sold	(7.297,6)	(7.138,8)
Gross profit	2.751,7	2.791,9
As a % of revenue	27,4%	28,1%

3.1. Revenue by cash-generating unit

(in million EUR)	2021/22	2020/21
Retail Food(1)	7.699,1	7.960,3
Colruyt Belgium and Luxembourg(2)(3)	6.069,1	6.258,4
OKay, Bio-Planet and Cru(4)	1.038,4	1.135,9
Colruyt France and DATS 24 France	591,6	566,0
Retail Non-food(1)(5)	465,8	348,1
Transactions with other operating segments	68,4	65,2
Retail	8.233,3	8.373,6
Wholesale	911,0	965,6
Foodservice(6)	154,0	109,5
Transactions with other operating segments	17,2	13,0
Wholesale and foodservice	1.082,2	1.088,1
DATS 24 Belgium	798,2	531,7
Printing and document management solutions(7)	21,2	15,5
Transactions with other operating segments	13,5	9,3
Other activities	832,9	556,5
Total operating segments	10.148,4	10.018,2
Eliminations between operating segments	(99,1)	(87,5)
Consolidated	10.049,3	9.930,7

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

(2) Including the revenue from the webshops Collect&Go, Bio-Planet, Collishop (only in financial year 2020/21), Dreamland and Dreambaby realised by Colruyt stores.

(3) Including the revenue from Roelandt Group (as from January 2022).

(4) Including the revenue from the webshops Collishop (only in financial year 2020/21) Dreamland and Dreambaby realised by OKay and Bio-Planet stores.

(5) Including the store revenue from Dreamland and Dreambaby and the revenue from Bike Republic, The Fashion Society (as from August 2020) and JIMS (as from May 2021).

(6) Including the revenue from Culinoa (as from April 2021).

(7) Including the revenue from Joos Hybrid (as from August 2020).

4. Other operating income and expenses

(in million EUR)	2021/22	2020/21
Rental and rental-related income	13,2	11,8
Gains on disposal of non-current assets	6,9	10,6
Gains on changes in the consolidation scope	-	30,7
Remuneration received	147,4	108,3
Other	28,5	24,1
Total other operating income	196,0	185,5

In the previous financial year, Eoly Energy NV was contributed to Virya Energy NV, resulting in a gain of EUR 30,7 million.

Remuneration received includes, amongst others, income from sustainable energy, services rendered to third parties and revenue from waste recycling. The increase is mainly due to increased energy and waste prices (cardboard).

(in million EUR)	2021/22	2020/21
Operating taxes	13,7	12,8
Property withholding tax	15,0	14,7
Losses on disposal of non-current assets	2,4	1,1
Other	4,6	2,8
Total other operating expenses	35,7	31,4

5. Services and miscellaneous goods

(in million EUR)	2021/22	2020/21
Rental and rental-related charges	25,3	24,4
Maintenance and repairs	82,6	86,5
Utilities	146,6	90,7
Logistic expenses	138,9	131,9
Fees, IT and IT-related expenses	196,8	191,7
Administration, marketing and other expenses	102,9	106,4
Impairment of current assets	(0,2)	1,7
Total services and miscellaneous goods	692,9	633,3

The increase in utilities is due to increased energy prices.

6. Employee benefit expenses

(in million EUR)	2021/22	2020/21
Wages and salaries(1)	1.167,5	1.117,1
Social security contributions	251,6	238,9
Consultants and interim personnel	106,1	103,9
Profit-sharing schemes for employees(2)	27,6	35,6
Contributions to defined contribution plans with a legally guaranteed minimum return	17,9	16,9
Other post-employment benefits	1,6	1,5
Discount on capital increase reserved for personnel	1,3	1,8
Other personnel costs	43,7	48,7
Compensatory amounts	(138,8)	(102,1)
Total employee benefit expenses	1.478,5	1.462,3
Number of employees (FTE) at reporting date	31.210	31.189

(1) Of which the Belgian salary pool for the financial year 2021/22 amounts to EUR 1.082,0 million (EUR 1.034,2 million for the financial year 2020/21). (2) This line item consists of the full cost of the profit-sharing schemes, including the employer social security contributions.

Capital increase reserved for employees

Colruyt Group offers its employees the opportunity to subscribe to an annual capital increase of the parent company Etn. Fr. Colruyt NV. The discount granted on this capital increase complies with article 7:204 of the Code on Companies and Associations. During the most recent capital increase 1.606 employees subscribed to 184.228 shares, corresponding to a capital contribution of EUR 7,3 million. The discount granted on this transaction was EUR 1,3 million and is accounted for as an employee benefit.

	2021/22	2020/21
Number of shares subscribed	184.228	222.372
Discount per share (in EUR)	6,8	7,9
Total discount granted (in million EUR)	1,3	1,8

Compensatory amounts

Employee benefit expenses are presented free of compensatory amounts. Compensatory amounts relate mainly to employee costs capitalised in the context of non-current assets produced internally by Colruyt Group.

Number of employees

The number of employees in full-time equivalents (FTE) includes only employees on permanent employment contracts. As a result, the members of the Board of Directors, interim personnel, consultants and students working under specific student conditions are not included in these full-time equivalents.

7. Net financial result

(in million EUR)	2021/22	2020/21
Interest income on unimpaired customer loans and other loans	1,7	1,6
Dividends received	4,7	1,0
Interest income on short-term bank deposits	0,2	-
Interest income on fixed-income securities and compound instruments at fair value through profit or loss	1,7	1,4
Fair value adjustments to financial assets and liabilities at fair value through profit or loss	1,6	3,1
Gains on disposal of financial assets	0,8	0,4
Adjustments for the time value of assets	0,2	0,2
Exchange gains	0,3	0,5
Other	0,1	0,3
Finance income	11,3	8,5
Interest expense on current and non-current loans	1,4	1,1
Fair value adjustments to financial assets and liabilities at fair value through profit or loss	2,4	0,6
Losses on disposal of financial assets	0,7	0,6
Adjustment for the time value of liabilities	4,8	4,7
Exchange losses	0,3	0,5
Other	0,2	0,1
Finance costs	9,8	7,6
Net financial result	1,5	0,9

8. Income tax expense

8.1. Income taxes recognised in profit or loss

(in million EUR)	2021/22	2020/21
A) Effective tax rate
Profit before tax (excluding share in the result of investments accounted for using the equity method)	376,7	524,4
Income tax expense	94,7	104,9
Effective tax rate(1)	25,15%	20,01%
B) Reconciliation between the effective tax rate and the applicable tax rate(2)	24,68%	24,70%
Profit before tax (excluding share in the result of investments accounted for using the equity method)	376,7	524,4
Income tax expense (based on applicable tax rate)	93,0	129,5
Non-taxable income/non tax-deductible expenses	6,2	4,1
Permanent differences	0,6	1,9
Impact of tax deductions	(3,1)	(24,2)
Other	(2,0)	(6,4)
Income tax expense	94,7	104,9
Effective tax rate	25,15%	20,01%
C) Income tax expense recognised in profit or loss
Current year taxes	83,4	80,6
Deferred taxes	11,6	24,5
Adjustments relating to prior years	(0,3)	(0,2)
Total income tax expense	94,7	104,9

(1) The evolution of the effective tax rate reflects in part one-off effects, such as the exempted gain on the contribution of Eoly Energy NV to Virya Energy NV in the previous financial year.

(2) The applicable tax rate is the weighted average tax rate for the Company and all its consolidated subsidiaries in different jurisdictions (Belgium: 25,00%, France: 26,50%, Grand Duchy of Luxembourg: 24,94%, India: 25,17%, Hong Kong: 16,50%, Senegal: 30,00%, Democratic Republic of the Congo: 30,00%).

8.2. Tax impacts recognised in other comprehensive income

Certain tax effects have not been recognised in the income statement, but are included in the statement of comprehensive income for the financial year.

(in million EUR)	2021/22	2020/21
Tax impact on revaluation of liabilities related to long-term post-employment benefits	(6,0)	1,9
Tax impact on cash flow hedge reserves	(2,3)	(0,8)
Total tax impacts recognised in other comprehensive income	(8,3)	1,1

9. Goodwill

The recognised goodwill relates mainly to goodwill arising from the acquisition of complete business entities. For more information regarding the definition, recognition and valuation of goodwill we refer to note 1. Significant accounting policies within this current financial report.

As described in the principles, goodwill is not amortised but tested annually for impairment at the level of the cash-generating unit (CGU). Colruyt Group considers the business segments or the business entities as CGUs. The impairment test of goodwill consists of comparing the recoverable amount of each CGU with its carrying amount, including goodwill, and an impairment is recognised if the carrying amount is higher than the recoverable amount.

The recoverable amount of each business unit is the value in use or, if higher, the fair value less costs to sell. When preparing cash flow forecasts, Colruyt Group uses estimated growth rates and expected future margins derived from the actual figures of the most recent financial year and forecasts for a period of 5 to 10 years. The growth rates take into account expected inflation and do not include non-organic growth. Given the importance of these operational parameters for the calculation of the value in use, they are monitored closely at a central level through alignment and validation processes and, when determining them, external information sources are used.

To determine the discount rate, Colruyt Group uses the 'Capital Asset Pricing Model'. For the present reporting period, the following components were used in this model: a 'Risk-Free Interest Rate' of 0% to 1% (previous reporting period: 0% to 1%), a 'Market Risk Premium' of 6,5% to 7% (previous reporting period: 6% to 7%) and an unlevered Beta of 0,4 (previous reporting period: 0,4). In addition, the following 2 components were added to provide a realistic representation of the return to be provided to capital providers: a quantitative easing premium of 1,0% to 1,5% and a size premium of 1,3%. For Colruyt Group this resulted in a weighted average cost of capital (WACC) for its two main operating segments of between 5,0% and 6,3% (between 2,5% and 4,0% in the previous reporting period). The discount rates are reviewed at least annually.

Colruyt Group uses assumptions adapted to the characteristics of the different underlying cash-generating units. For the main cash-generating units Colruyt Group uses the following expected average revenue growth percentages for the next 5 to 10 years:

• operating business segment 'Retail': 1% on average (previous reporting period: 1% on average);
• operating business segment 'Wholesale and Foodservice': 3,5% on average (previous reporting period: 4% on average).

To determine the residual value using the discounted cash flow method, the 'Gordon growth model' was used. The share of discounted residual value is within a range of 55% and 85% of the calculated value in use. The impairment tests were performed in February 2022.

The management is of the opinion that the assumptions as described above, used for calculating the value in use, provide the best estimation of future developments. When performing the calculation using a terminal growth percentage of 0% (instead of 1%) in the calculation or a WACC of 8%, this does not have a substantial influence on the global outcome of the calculation. As a result the conclusions regarding the impairment test on all cash-generating units remain unchanged.

Goodwill by cash-generating unit can be presented as follows:

(in million EUR)	31.03.2022	31.03.2021
Retail Food	57,8	53,7
Retail Non-food	77,4	52,2
Retail	135,2	105,9
Foodservice	13,6	10,2
Wholesale and foodservice	13,6	10,2
Printing and document management solutions	8,8	8,8
Other activities	8,8	8,8
Consolidated	157,6	124,9

The changes in 'Goodwill' can be explained as follows:

(in million EUR)	Gross carrying amount 2021/22	Accumulated amortisation and impairment 2021/22	Net carrying amount 2021/22	Gross carrying amount 2020/21	Accumulated amortisation and impairment 2020/21	Net carrying amount 2020/21
At 1 April	149,1	(24,2)	124,9	84,5	(23,8)	60,7
Acquisitions	24,6	-	24,6	64,6	-	64,6
Other(1)	8,2	(0,1)	8,1	-	(0,4)	(0,4)
At 31 March	181,9	(24,3)	157,6	149,1	(24,2)	124,9

(1) Goodwill adjustment to reflect changes in estimates within the measurement period.

10. Intangible assets

(in million EUR)	Developed intangible assets	Concessions, software, licences and similar rights	Acquired customer lists	Intangible assets under development and other intangible assets	Total
Acquisition value
At 1 April 2021	21,7	277,0	5,9	149,5	454,1
Acquisitions through business combinations	-	0,6	-	-	0,6
Acquisitions	2,1	10,5	3,0	72,6	88,2
Sales and disposals	(2,9)	(11,9)	-	-	(14,8)
Reclassification	-	13,8	-	(13,8)	-
At 31 March 2022	20,9	290,0	8,9	208,3	528,1
Amortisation
At 1 April 2021	(10,7)	(147,3)	-	(0,1)	(158,1)
Amortisation	(3,0)	(29,8)	-	-	(32,8)
Sales and disposals	0,1	10,9	-	-	11,0
At 31 March 2022	(13,6)	(166,2)	-	(0,1)	(179,9)
Impairment
At 1 April 2021	-	(10,9)	(4,4)	(3,6)	(18,9)
Impairment	(2,9)	-	-	-	(2,9)
Sales and disposals	2,9	0,1	-	-	3,0
Reclassification	-	(1,4)	-	1,4	-
At 31 March 2022	-	(12,2)	(4,4)	(2,2)	(18,8)
Net carrying amount at 31 March 2022	7,3	111,6	4,5	206,0	329,4

	Developed	Concessions, software, licences	Acquired	Intangible assets under development and other
(in million EUR)	intangible assets	and similar rights	customer lists	intangible assets	Total
Acquisition value
At 1 April 2020	16,9	222,9	5,6	103,4	348,8
Acquisitions through business combinations	-	0,3	-	-	0,3
Acquisitions	4,7	18,4	-	67,9	91,0
Sales and disposals	-	(0,2)	-	-	(0,2)
Change in consolidation method	0,1	1,5	-	12,6	14,2
Reclassification	-	34,1	0,3	(34,4)	-
At 31 March 2021	21,7	277,0	5,9	149,5	454,1
Amortisation
At 1 April 2020	(8,1)	(120,7)	-	(0,1)	(128,9)
Amortisation	(2,6)	(26,9)	-	-	(29,5)
Sales and disposals	-	0,2	-	-	0,2
Change in consolidation method	-	0,1	-	-	0,1
At 31 March 2021	(10,7)	(147,3)	-	(0,1)	(158,1)
Impairment
At 1 April 2020	-	(10,1)	(4,4)	(2,1)	(16,6)
Impairment	-	(0,8)	-	(1,5)	(2,3)
At 31 March 2021	-	(10,9)	(4,4)	(3,6)	(18,9)
Net carrying amount at 31 March 2021	11,0	118,8	1,5	145,8	277,1

The concessions, software, licences and similar rights which amount to EUR 111,6 million (EUR 118,8 million for the previous reporting period) mainly consist of software that were predominantly generated internally and permits. The internally generated software which is still under development (mainly transformation programs) at the end of the current financial year amounts to EUR 193,5 million (compared to EUR 133,3 million for the previous financial year). During the current financial year the group acquired intangible assets for an amount of EUR 88,2 million (compared to EUR 91,0 million during the previous financial year), of which EUR 75,9 million were developed internally (compared to EUR 77,5 million during the previous financial year).

11. Property, plant and equipment

		Plant, machinery			Other property,
	Land and	and	Furniture	Right-of-use	plant and	Assets under
(in million EUR)	buildings	equipment	and vehicles	assets	equipment	construction	Total
Acquisition value
At 1 April 2021	2.957,3	847,2	548,2	284,7	202,9	83,1	4.923,4
Revaluation(1)	-	-	-	45,8	-	-	45,8
Acquisitions through business combinations	17,3	4,3	1,1	27,8	6,6	0,2	57,3
Acquisitions	185,9	60,4	58,7	3,9	21,9	68,6	399,4
Sales and disposals	(48,3)	(52,8)	(54,9)	(0,2)	(13,8)	(0,5)	(170,5)
Reclassification	27,5	20,8	3,1	(0,5)	5,8	(56,7)	-
Currency translation adjustments	0,1	0,1	0,1	-	-	-	0,3
At 31 March 2022	3.139,8	880,0	556,3	361,5	223,4	94,7	5.255,7
Depreciation
At 1 April 2021	(1.279,0)	(530,0)	(377,4)	(59,1)	(94,3)	-	(2.399,8)
Revaluation(1)	-	-	-	7,0	-	-	7,0
Depreciation	(129,2)	(63,1)	(71,0)	(45,5)	(17,3)	-	(326,1)
Sales and disposals	39,9	50,8	53,0	0,3	12,0	-	156,0
Reclassification	(0,8)	0,9	(0,5)	0,3	0,1	-	-
At 31 March 2022	(1.369,1)	(541,4)	(395,9)	(97,0)	(99,5)	-	(2.502,9)
Impairment
At 1 April 2021	(5,3)	(1,4)	-	-	(0,3)	-	(7,0)
Impairment	(2,0)	(0,3)	(0,3)	-	(0,9)	-	(3,5)
Sales and disposals	1,3	0,3	0,3	-	0,9	(0,1)	2,7
Reclassification	(0,1)	-	-	-	-	0,1	-
At 31 March 2022	(6,1)	(1,4)	-	-	(0,3)	-	(7,8)
Net carrying amount at 31 March 2022	1.764,6	337,2	160,4	264,5	123,6	94,7	2.745,0

(1) Includes the effect of the revaluation of right-of-use assets as a result of indexations (only for the acquisition values) on the one hand, and changes to the lease portfolio (extension/termination/new leases) on the other hand.

		Plant, machinery			Other property,
(in million EUR)	Land and buildings	and equipment	Furniture and vehicles	Right-of-use assets	plant and equipment	Assets under construction	Total
Acquisition value
At 1 April 2020	2.776,1	831,6	494,7	185,0	157,1	67,8	4.512,3
Revaluation(1)	-	-	-	40,8	-	-	40,8
Acquisitions through business combinations	7,9	0,7	0,1	6,6	1,6	-	16,9
Acquisitions	166,8	45,7	85,4	4,7	27,9	47,4	377,9
Sales and disposals	(24,8)	(15,7)	(28,2)	(1,2)	(2,9)	(1,3)	(74,1)
Change in consolidation method	7,4	(35,0)	1,8	56,8	19,0	(0,1)	49,9
Reclassification	24,1	20,0	(5,6)	(8,0)	0,2	(30,7)	-
Currency translation adjustments	(0,2)	(0,1)	-	-	-	-	(0,3)
At 31 March 2021	2.957,3	847,2	548,2	284,7	202,9	83,1	4.923,4
Depreciation
At 1 April 2020	(1.172,9)	(480,4)	(345,1)	(33,1)	(81,9)	-	(2.113,4)
Revaluation(1)	-	-	-	1,7	-	-	1,7
Depreciation	(126,4)	(58,7)	(61,2)	(33,3)	(13,9)	-	(293,5)
Sales and disposals	20,9	8,2	22,4	1,0	1,5	-	54,0
Change in consolidation method	-	11,2	-	0,1	-	-	11,3
Reclassification	(0,6)	(10,4)	6,5	4,5	-	-	-
Currency translation adjustments	-	0,1	-	-	-	-	0,1
At 31 March 2021	(1.279,0)	(530,0)	(377,4)	(59,1)	(94,3)	-	(2.339,8)
Impairment
At 1 April 2020	(5,3)	(1,7)	-	-	(0,3)	-	(7,3)
Impairment	(1,4)	(0,2)	-	-	(0,1)	-	(1,7)
Sales and disposals	1,4	0,5	-	-	0,1	-	2,0
At 31 March 2021	(5,3)	(1,4)	-	-	(0,3)	-	(7,0)
Net carrying amount at 31 March 2021	1.673,0	315,8	170,8	225,6	108,3	83,1	2.576,6

(1) Includes the effect of the revaluation of right-of-use assets as a result of indexations (only for the acquisition values), and changes to the lease portfolio (extension/termination/new leases).

Collateral has been provided for contracted liabilities, mainly at The Fashion Society (note 25. Interest-bearing liabilities).

The net carrying amount of the line item 'Right-of-use assets' for the current financial year amounts to EUR 264,5 million (compared to EUR 225,6 million for the previous reporting period) and consists of leases in respect of buildings (EUR 257,5 million), land (EUR 1,5 million) and machinery and vehicles (EUR 5,5 million).

On property, plant and equipment an impairment loss of EUR 3,5 million was recognised, which mainly relates to the expansion, relocation and renovation of existing stores. The impairment loss is included in the income statement of the current reporting period under 'Depreciation, amortisation and impairment of non-current assets' within the operating segments 'Retail', 'Wholesale and Foodservice' and 'Other activities'.

The grants received are included in the net carrying amount of the property, plant and equipment item concerned. These grants amount (net) to:

(in million EUR)	Land and buildings	Plant, machinery and equipment	Furniture and vehicles	Right-of-use assets	Other property, plant and equipment	Assets under construction	Total
At 31 March 2021	(6,7)	(5,0)	(0,2)	-	-	(0,3)	(12,2)
At 31 March 2022	(5,9)	(5,0)	(0,2)	-	-	(0,3)	(11,4)

The grants recognised in profit or loss amount to EUR 1,8 million (EUR 1,5 million in the previous financial reporting period).

The grants consist mainly of the grant awarded for the construction of the logistics site in Ath/Lessines.

12. Investments in associates

(in million EUR)	2021/22	2020/21
Carrying amount at 1 April	313,4	262,3
Acquisitions/capital increases	115,2	56,7
Capital decreases	(0,7)	(0,3)
Share in the result for the financial year	5,8	8,9
Share in other comprehensive income	16,4	(11,4)
Dividend	(0,2)	(0,2)
Other	2,4	(2,6)
Carrying amount at 31 March	452,3	313,4

The investments in associates for the financial year 2021/22 relate to the non-quoted entities AgeCore SA (25,00%), First Retail International 2 NV (4,73%), Vendis Capital NV (10,87%), Smartmat NV (41,36%), Scallog SAS (23,73%), The Seaweed Company BV (21,30%), Newpharma Group NV (60,99%), and Virya Energy NV (59,78%). These investments are considered as associates and are accounted for using the equity method given that Colruyt Group has a significant influence based on indicators as defined under paragraph 6 of IAS 28 'Investments in Associates and Joint Ventures'.

The contribution in kind of Korys Renewable Energy BV by Korys Investments NV to Virya Energy NV had the effect of reducing Colruyt Group's stake in Virya Energy NV from 60,87% to 59,78%.

On 28 June 2021, following the earlier withdrawal of two partners from the retail alliance, Colruyt Group increased its stake in AgeCore SA from 16,67% to 25,00% .

By acquiring the shares held by minority shareholders, Colruyt Group increased its stake in Newpharma Group NV from 26,00% to 60,99% on 8 July 2021.

During the financial year, interests were acquired in the company Smartmat NV (February 2022).

On 14 March 2022, Colruyt Group increased its stake in The Seaweed Company BV from 1,40% to 21,30%, following which this company is no longer included in non-current financial assets, but is also accounted for using the equity method.

For transactions decided by the Board of Directors after year-end relating to Virya Energy NV and Newpharma Group NV, we refer to note 32. Events after the reporting date.

The investments in Scallog SAS, Smartmat NV, The Seaweed Company BV and Newpharma Group NV are presented under the operating segment 'Retail', the investment in Virya Energy NV under the operating segment 'Other activities' and the investments in AgeCore SA, First Retail International 2 NV and Vendis Capital NV under the segment 'Unallocated'.

The consolidated figures of the material associates are as follows:

2021 (in million EUR)	Virya Energy NV(2)	Newpharma Group NV(2)(3)	Smartmat NV(2)
Non-current assets	2.102,4	89,1	3,0
Current assets	251,0	17,4	7,9
Non-current liabilities	1.068,9	17,0	2,3
Current liabilities	399,5	24,4	6,8
Net assets	885,0	65,1	1,8
of which non-controlling interests	72,7	-	-
of which equity attributable to owners of the parent company	812,3	65,1	1,8
Share of Colruyt Group in net assets	485,6	39,7	0,7
Adjustment for Colruyt Group(1)	(187,4)	57,9	26,5
Revenue	179,3	156,5	-
Profit from continuing operations	12,0	(1,1)	-
Other comprehensive income	34,2	-	-
Total comprehensive income	46,2	(1,1)	-
of which non-controlling interests	8,1	-	-
of which equity attributable to owners of the parent company	38,1	(1,1)	-
Share of Colruyt Group in total comprehensive income	22,8	(1,1)	-
Adjustment for Colruyt Group(1)	(1,8)	-	-

(1) The adjustments for Colruyt Group at Virya Energy NV are explained mainly by the fact that Colruyt Group recognises the Parkwind- and Eurowatt-entities in Virya Energy NV at historical value.

In addition, effects in the consolidated figures of Virya Energy NV of a change in consolidation method for the underlying entities are offset by Colruyt Group, where this change does not apply. The adjustment for Colruyt Group at Newpharma Group NV and at Smartmat NV relates to goodwill.

(2) Virya Energy NV, Newpharma Group NV and Smartmat NV are in turn sub-consolidations. Late statutory adjustments not recognised by Colruyt Group are not material and will be processed in the next financial year.

(3) The figures of Newpharma Group NV in the tables have been adjusted to IFRS.

2020 (in miljoen EUR)	Virya Energy NV(2)	Newpharma Group NV(2)(3)
Non-current assets	1.804,2	85,0
Current assets	234,8	22,3
Non-current liabilities	1.084,4	16,5
Current liabilities	140,6	24,6
Net assets	814,0	66,2
of which non-controlling interests	61,5	-
of which equity attributable to owners of the parent company	752,5	66,2
Share of Colruyt Group in net assets	458,0	17,2
Adjustment for Colruyt Group(1)	(183,2)	(1,4)
Revenue	78,7	145,5
Profit from continuing operations	(15,7)	(5,2)
Other comprehensive income	(5,6)	-
Total comprehensive income	(21,3)	(5,2)
of which non-controlling interests	(2,3)	-
of which equity attributable to owners of the parent company	(19,0)	(5,2)
Share of Colruyt Group in total comprehensive income	(11,6)	(1,4)
Adjustment for Colruyt Group(1)	8,7	-

(1) The adjustments for Colruyt Group at Virya Energy NV are explained mainly by the fact that Colruyt Group recognises the Parkwind- and Eurowatt-entities in Virya Energy NV at historical value.

In addition, effects in the consolidated figures of Virya Energy NV of a change in consolidation method for the underlying entities are offset by Colruyt Group, where this change does not apply. The adjustment for Colruyt Group at Newpharma Group NV relates to goodwill.

(2) Virya Energy NV Group and Newpharma Group NV are in turn sub-consolidations.

(3) The figures of Newpharma Group NV in the tables have been adjusted to IFRS.

13. Investments in joint ventures

(in million EUR)	2021/22	2020/21
Carrying amount at 1 April	6,9	36,1
Acquisitions/capital increases	5,0	6,7
Disposals	-	(23,5)
Share in the result for the financial year	0,1	(12,4)
Carrying amount at 31 March	12,0	6,9

The investments in joint ventures for the financial year 2021/22 consist of the non-quoted entities Achilles Design BV (24,70%), Kriket BV (43,82%), Daltix NV and Daltix Unipessoal LDA (77,55%), We Connect Data BV (16,03%), Ticom NV (90,00%), Hyve BV (16,67%), Digiteal SA (26,84%), Some BV (24,97%) and De Leiding BV (46,23%). As Colruyt Group shares the control over these entities with other parties, these joint ventures are included in the consolidated financial statements using the equity method.

During the financial year, interests were acquired in Hyve BV (April 2021), Digiteal SA and De Leiding BV (July 2021) and Some BV (November 2021).

With the exercise of a put option by two shareholders and the buying out of a third shareholder, Colruyt Group's investment in Daltix NV and Daltix Unipessoal LDA was increased to 77,55% in the current financial year.

On 29 December 2021, Colruyt Group made an additional cash contribution to Kriket BV, increasing the investment from 24,81% to 43,82%.

The investments in Kriket BV, Daltix NV and Daltix Unipessoal LDA, Ticom NV, Digiteal SA, and De Leiding BV are presented in the operating segment 'Retail', the investments in Hyve BV and Some BV in the operating segment 'Other activities' and the investments in Achilles Design BV and We Connect Data BV in the segment 'Unallocated'.

These companies have their main activities in Belgium.

Since 1 August 2020, the investment in The Fashion Society NV has been fully consolidated as a subsidiary, whereas for the first 4 months of the financial year 2020/21, it was accounted for as a joint venture using the equity method. In the course of the financial year 2021/22, another call option was exercised on the remaining shares held by third parties, thus bringing Colruyt Group's stake to 100%. The balance sheet of The Fashion Society NV is therefore no longer included in the notes to the material joint ventures. The result of The Fashion Society NV is still included for the period from 1 April to 31 July 2020.

There are no material joint ventures in the current 2021/22 financial year.

The consolidated figures of the material joint ventures in the financial year 2020/21 are as follows:

The Fashion Society NV (in million EUR)	2020/21(1)
Revenue	43,1
Depreciation, amortisation and impairment of non-current assets	(15,5)
Finance costs	(0,7)
Income tax expense	1,5
Profit from continuing operations	(17,0)
Total comprehensive income	(17,0)
of which equity attributable to owners of the parent company	(17,0)
Share of Colruyt Group in total comprehensive income	(11,6)

(1) Relates to the result for the period from 1 April to 31 July 2020. This result was exceptionally negatively impacted by the COVID-19 health crisis.

14. Financial assets

14.1. Non-current assets

(in million EUR)	31.03.2022	31.03.2021
Financial assets at fair value through other comprehensive income	14,7	16,5
Financial assets at fair value through profit or loss	-	95,1
Total	14,7	111,6

The non-current financial assets evolved as follows during the financial year:

(in million EUR)	2021/22	2020/21
At 1 April	111,6	14,5
Acquisitions	0,9	97,9
Capital increases	0,9	0,3
Capital decreases	(2,3)	(3,5)
Fair value adjustments through other comprehensive income	(1,1)	2,8
Reclassification	(95,0)	-
Other	(0,3)	(0,4)
At 31 March	14,7	111,6

The financial assets at fair value through other comprehensive income consist mainly of the investment in the holding company Sofindev IV NV (9,42%), the investment in North Sea Wind CV (7,19%) and the holdings in investment funds Good Harvest Belgium I SRL (1,13%) and Blue Horizon Ventures I SCSp RAIF (1,09%). The investments in the various companies are measured at fair value, calculated as the share of Colruyt Group in the equity of these companies, corrected, in the case of the investment funds, for the fair value of their own investment portfolios.

During the current reporting period, the non-current financial assets decreased by a net EUR 96,9 million. This is mainly explained by the reclassification of the convertible bonds of Virya Energy NV (EUR 95,0 million) from non-current to current assets, the capital decreases for Sofindev IV NV (EUR -2,3 million) and the fair value adjustment for Sofindev IV NV (EUR -1,1 million).

During the previous reporting period, the non-current financial assets increased by a net EUR 97,1 million. This is mainly explained by subscription to the convertible bonds of Virya Energy NV at a conversion value of EUR 95,0 million, the initial recognition of the holdings in investment funds Good Harvest Belgium I SRL and Blue Horizon Ventures I SCSp RAIF in a total amount of EUR 2,9 million, a fair value adjustment for Sofindev IV NV of EUR 2,8 million and a net capital movement for Sofindev IV NV of EUR -3,1 million.

14.2. Current assets

(in million EUR)	31.03.2022	31.03.2021
Equity instruments at fair value through profit or loss	9,3	10,9
Fixed-income securities at fair value through profit or loss	15,9	16,1
Compound instruments at fair value through profit or loss	95,0	-
Financial assets at amortised cost	7,8	6,1
Derivative financial instruments – cash flow hedging instruments	0,3	3,3
Total	128,3	36,4

The current financial assets evolved as follows during the financial year:

(in million EUR)	2021/22	2020/21
At 1 April	36,4	27,8
Acquisitions	6,4	7,1
Sales and disposals	(17,8)	(4,2)
Fair value adjustments through profit or loss	(0,9)	2,7
Fair value adjustments through other comprehensive income	9,0	3,1
Currency translation adjustments	0,2	(0,1)
Reclassification	95,0	-
At 31 March	128,3	36,4

The equity instruments and fixed-income securities at fair value through profit or loss relate mainly to financial assets held by the Luxembourg reinsurance company Locré SA (EUR 25,2 million for the current period). The equity instruments and fixed-income securities are measured at their closing rates on 31 March 2022. Fair value adjustments are recognised through profit or loss. The return on the fixed-income securities is 0,9% on average, with a maximum of 4,9%. The maturities of these investments vary between 4 and 30 years, with an average maturity of 10 years.

The compound instruments measured at fair value through profit and loss relate to the convertible bonds (EUR 95,0 million) issued by the associate Virya Energy NV. This compound instrument matures in June 2022. Colruyt Group subscribed to 792.023 bonds (1.301.213 bonds in all were issued by Virya Energy NV). If Virya Energy NV opts not to prematurely redeem the convertible bonds, Colruyt Group has the option to convert its bonds into shares of Virya Energy NV at a predetermined conversion price at maturity date. This financial instrument was recognised by Colruyt Group as a financial asset at the conversion price and reflects the fair value on 31 March 2022. The market conformity of the parameters of this financial instrument was determined by an independent external party. For the decision regarding the conversion of this instrument by Colruyt Group, we refer to note 32. Events after the reporting date.

The financial assets at amortised cost relate to a term deposit held by Colruyt IT Consultancy India Private Limited. The derivative financial instruments are related to the fair value of the outstanding currency hedges for cash flow hedging purposes.

The cash flow hedging instruments are measured at their fair value at 31 March 2022. Fair value adjustments are accounted for through other comprehensive income owing to the classification as hedge accounting.

More information on Colruyt Group's risk management approach to investments can be found in note 27. Risk management.

Fair value adjustments to the current assets at 31 March 2022 resulted in a net loss of EUR 0,9 million for the current financial year (compared to a net gain of EUR 2,7 million for the financial year 2020/21).

During the current reporting period the current financial assets increased by a net EUR 91,9 million. This is mainly explained by the reclassification of the convertible bonds of Virya Energy NV (EUR 95,0 million) from non-current to current assets and the sale of the inflation swap covering future inflation-related pay increases (EUR -3,3 million).

15. Business combinations

There were no material business combinations in financial year 2021/22.

16. Assets held for sale and disposal of subsidiaries

16.1. Assets held for sale

No assets were classified as 'Assets held for sale' during either financial year 2021/22 or financial year 2020/21.

16.2. Disposal of subsidiaries

No material disposals of subsidiaries occurred either during financial year 2021/22 or financial year 2020/21.

17. Deferred tax assets and liabilities

Deferred tax assets and liabilities can be detailed as follows:

17.1. Net carrying amount

	Assets		Liabilities		Balance
(in million EUR)	31.03.2022	31.03.2021	31.03.2022	31.03.2021	31.03.2022	31.03.2021
Intangible assets	7,5	7,1	-	(0,2)	7,5	6,9
Property, plant and equipment	2,1	0,6	(134,9)	(126,9)	(132,8)	(126,3)
Inventories	0,1	0,1	(3,2)	(1,1)	(3,1)	(1,0)
Receivables	1,9	1,2	(6,6)	(7,3)	(4,7)	(6,1)
Liabilities related to employee benefits	18,6	28,0	-	-	18,6	28,0
Other provisions	1,4	2,7	(11,6)	(10,9)	(10,2)	(8,2)
Other liabilities	64,3	59,5	(25,2)	(3,8)	39,1	55,7
Tax loss carry-forwards, deductible items and reclaimable tax paid	74,0	72,4	-	-	74,0	72,4
Gross deferred tax assets/(liabilities)	169,9	171,6	(181,5)	(150,2)	(11,6)	21,4
Unrecognised tax assets/liabilities	(75,6)	(95,8)	13,0	20,7	(62,6)	(75,1)
Offsetting tax assets/liabilities	(76,9)	(63,5)	76,9	63,5	-	-
Net deferred tax assets/(liabilities)	17,4	12,3	(91,6)	(66,0)	(74,2)	(53,7)

17.2. Change in net carrying amount

	Assets		Liabilities		Balance
(in million EUR)	2021/22	2020/21	2021/22	2020/21	2021/22	2020/21
Net carrying amount at 1 April	12,3	20,1	(66,0)	(54,4)	(53,7)	(34,3)
Changes recognised in profit or loss	5,1	(13,8)	(16,7)	(10,7)	(11,6)	(24,5)
Changes recognised in other comprehensive income	-	2,0	(8,3)	(0,9)	(8,3)	1,1
Acquisitions through business combinations	-	-	(0,5)	-	(0,5)	-
Changes in consolidation scope	-	4,0	(0,1)	-	(0,1)	4,0
Net carrying amount at 31 March	17,4	12,3	(91,6)	(66,0)	(74,2)	(53,7)

On 31 March 2022 Colruyt Group had unrecognised deferred tax assets and liabilities in an amount of EUR 62,6 million (EUR 75,1 million on 31 March 2021). This amount relates to temporary differences, as well as tax losses and unused tax assets carried forward totalling EUR 244,8 million (EUR 289,4 million for the 2020/21 financial year).

Colruyt Group only recognises deferred tax assets to the extent that it is probable that future taxable profit will be available against which the unused tax losses and unused tax credits can be utilised. Colruyt Group sets a time horizon of five years for these estimates.

18. Inventories

Inventories mainly represent trade goods. The inventory valuation has been updated and has a one-off effect of EUR +26,1 million. The accumulated impairment on inventories of trade goods amounted to EUR 47,4 million in the current financial year compared to EUR 58,2 million in the previous financial year.

The amount of inventories recognised as an expense in the 2021/22 income statement amounts to EUR 7.297,6 million and was reported under 'Cost of goods sold'. Last year this expense was EUR 7.138,8 million.

19. Trade and other receivables

19.1. Other non-current receivables

(in million EUR)	31.03.2022	31.03.2021
Loans to customers	4,7	4,6
Loans to associates	12,7	9,3
Loans to joint ventures	1,9	0,7
Guarantees granted	7,4	7,5
Lease receivables	17,1	15,0
Other receivables	2,2	5,3
Total other non-current receivables	46,0	42,4

Loans granted to customers mainly comprise loans to independent storekeepers of Retail Partners Colruyt Group NV. Loans granted to customers are presented net of any impairment losses. The loans are usually granted for a maximum period of 15 years.

The 'guarantees granted' have been provided in respect of purchase obligations.

The lease receivables (EUR 17,1 million) relate to subleases in respect of buildings.

19.2. Current trade and other current receivables

(in million EUR)	31.03.2022	31.03.2021
Trade receivables	602,5	542,9
Total trade receivables	602,5	542,9
VAT	12,7	7,8
Prepaid expenses	36,9	37,9
Loans granted to customers that expire within 1 year	1,2	1,2
Interest	3,4	4,6
Lease receivables	4,3	3,6
Other receivables	22,9	23,1
Total other current receivables	81,4	78,2

Trade receivables

Trade receivables are presented net of impairments. The impairments amount to EUR 15,6 million at 31 March 2022 (compared to EUR 17,6 million at 31 March 2021).

Other receivables

Other receivables are presented net of impairments. The impairments amount to EUR 0,8 million at 31 March 2022 (compared to EUR 0,7 million at 31 March 2021).

'Other receivables' consist mainly of claims for damages.

The ageing of trade receivables is as follows:

	31.03.2022		31.03.2021
(in million EUR)	Gross	Impairment	Gross	Impairment
Not past due	566,7	-	511,7	(0,2)
Past due between 1 and 6 months	30,7	(0,7)	21,9	(4,0)
Past due for more than 6 months	20,7	(14,9)	26,9	(13,4)
Total	618,1	(15,6)	560,5	(17,6)

	Impairment trade receivables		Impairment other receivables
(in million EUR)	2021/22	2020/21	2021/22	2020/21
At 1 April	(17,6)	(18,6)	(0,7)	(0,8)
Addition	(18,3)	(21,5)	(0,1)	-
Reversal	18,7	19,7	-	0,1
Use	1,6	2,8	-	-
At 31 March	(15,6)	(17,6)	(0,8)	(0,7)

More information on how trade and other receivables are monitored can be found under note 27.1.c. Credit risk.

20. Cash and cash equivalents

(in million EUR)	31.03.2022	31.03.2021
Term deposits with an original maturity of three months or less	10,1	50,1
Other cash and cash equivalents	166,1	234,4
Cash and cash equivalents	176,2	284,5
Bank overdrafts	0,2	1,2
Total liabilities	0,2	1,2
Net cash and cash equivalents	176,0	283,3

There are no material unavailable balances of cash and cash equivalents.

21. Equity

21.1. Capital management

Colruyt Group's aim in managing its equity is to maintain a healthy financial structure with a minimal dependency on external financing as well as to create shareholder's value. The Board of Directors aims to allow the dividend per share to evolve in proportion to the group profit on an annual basis. The pay-out ratio for this financial year is 50,8%(1). According to the bylaws, at least 90% of the distributable profits are reserved for shareholders and a maximum of 10% can be reserved for the directors. Furthermore, Colruyt Group seeks to increase shareholders' value by purchasing treasury shares. The Board of Directors was authorised by the Extraordinary General Meeting of 10 October 2019 to acquire up to 27.610.418 of the company's treasury shares. This authorisation is valid for a period of five years. As employee commitment to the group's growth is also one of Colruyt Group's priorities, an annual capital increase reserved for employees has been organised since 1987.

(1) More details can be found under note 21.4 Dividends.

21.2. Share capital

As a result of the resolution of the Extraordinary General Meeting of Shareholders on 7 October 2021, the capital was increased by 184.228 shares on 15 December 2021; the related capital increase amounted to EUR 7,3 million.

The Company's share capital on 31 March 2022 amounted to EUR 364,7 million divided into 133.839.188 fully paid up ordinary shares without par value. All shares, except treasury shares, participate in the profits.

The Board of Directors is authorised to increase the share capital in one or more instalments by a total amount of EUR 357,0 million, within the limits of the authorised capital.

Capital increases undertaken under this authorisation may be by contribution in cash or kind, conversion of any reserves or issue of convertible bonds, and can be organised in any way compliant with legal prescriptions. The conditions of the capital increases undertaken under this authorisation, and the rights and obligations attached to the new shares are determined by the Board of Directors, taking into account the legal prescriptions.

This authorisation is valid for a period of three years starting from the day of the publication of the authorisation granted by the Extraordinary General Meeting of Shareholders in the Annexes to the Belgian Official Gazette. This authorisation can be extended one or more times, each time for a maximum period of five years, by means of a decision of the Annual General Meeting of Shareholders, deliberating according to the guidelines that apply for changes in bylaws. The current authorisation will end in October 2024.

21.3. Treasury shares

Treasury shares are recognised at the cost of the treasury shares purchased. On 31 March 2022 Colruyt Group held 3.518.954 treasury shares, representing 2,63% of the shares issued at reporting date. During the financial year, 4.650.566 treasury shares were repurchased for an amount of EUR 198,2 million. We refer to the Corporate Governance section for more details on the purchase of treasury shares.

By notarial deed of 7 October 2021 the Board of Directors of Etn. Fr. Colruyt NV cancelled 2.500.000 of the purchased treasury shares.

21.4. Dividends

On 10 June 2022 a gross dividend of EUR 141,9 million or EUR 1,10 per share was proposed by the Board of Directors. In the previous financial year the gross dividend amounted to EUR 195,4 million or EUR 1,47 per share. The gross dividend takes into account the number of treasury shares held on 10 June 2022. The dividend was not incorporated in the consolidated financial statements for the financial year 2021/22.

21.5. Shareholder structure

Based on the most recent transparency notifications of 1 October 2021 and 3 January 2022 and taking into account the companies' treasury shares at 31 March 2022, the shareholder structure of Etn. Fr. Colruyt NV is as follows:

	Shares
Colruyt family and relatives	80.134.689
Etn. Fr. Colruyt NV (treasury shares)(1)	3.518.954
Total of parties acting in concert	83.653.643

(1) Situation at 31 March 2022.

The remainder of the total shares issued (133.839.188 shares at 31 March 2022), being 50.185.545 shares or 37,50%, are publicly held. We refer to the Corporate Governance section for more details.

22. Earnings per share

	2021/22	2020/21
Total operating activity
Profit for the financial year (group share) (in million EUR)	287,3	415,3
Weighted average number of outstanding shares	132.677.085	135.503.424
Earnings per share – basic and diluted (in EUR)	2,16	3,06

As there are no discontinued operations in either of the reporting periods, the table above is also valid for information in respect of continuing operations.

Weighted average number of outstanding shares

	2021/22	2020/21
Number of outstanding shares at 1 April	134.786.572	135.632.720
Effect of capital increase	53.733	64.241
Effect of shares purchased	(2.163.220)	(193.537)
Weighted average number of outstanding shares at 31 March	132.677.085	135.503.424

23. Provisions

(in million EUR)	Environmental risks	Other risks	Total
Non-current provisions	2,5	12,9	15,4
Current provisions	-	0,8	0,8
At 31 March 2022	2,5	13,7	16,2
At 1 April 2021	3,1	23,9	27,0
Addition	1,1	4,4	5,5
Use	(1,2)	(4,8)	(6,0)
Reversal	(0,5)	(9,8)	(10,3)
At 31 March 2022	2,5	13,7	16,2
Non-current provisions	3,1	22,9	26,0
Current provisions	-	1,0	1,0
At 31 March 2021	3,1	23,9	27,0
At 1 April 2020	4.2	35,2	39,4
Addition	0,7	3,5	4,2
Use	(1,6)	(1,2)	(2,8)
Reversal	(0,2)	(13,2)	(13,4)
Change in consolidation method	-	(0,4)	(0,4)
At 31 March 2021	3,1	23,9	27,0

The provision for environmental risks has mainly been set up for clean-up costs relating to the DATS 24 filling station activity as well as for land remediation in the context of acquisitions.

The other provisions consist among other things of provisions for pending disputes, vacant properties, reinsurance and warranty obligations.

24. Non-current liabilities related to employee benefits

(in million EUR)	31.03.2022	31.03.2021
Defined contribution plans with a legally guaranteed minimum return	90,6	115,7
Benefits related to the 'Unemployment regime with company supplement'	8,8	9,2
Other post-employment benefits	7,8	9,5
Total	107,2	134,4

Colruyt Group offers various types of post-employment benefits. These include retirement benefit plans and other arrangements in respect of post-employment benefits. In accordance with IAS 19 'Employee Benefits', the post-employment benefits are subdivided into either defined contribution plans or defined benefit plans.

24.1. Defined contribution plans with a legally guaranteed minimum return

In Belgium, the Law regarding supplementary pensions ('WAP') requires employers to guarantee a minimum return on defined contribution plans over the course of the career. For amounts until 31 December 2015, this minimum return was 3,25% on employer contributions and 3,75% on employee contributions. As a result of a law change in December 2015, the interest rate to be guaranteed is variable starting from 1 January 2016, based on a mechanism linked to the return of the Belgian OLO bond with a minimum of 1,75% and a maximum of 3,75%. Since 2016 the minimum return has been 1,75%.

Owing to these legal changes, and also to the fact that a clear position was taken by the regulatory instances during 2016, and given that reliable estimates can be made for these retirement benefit plans, the Belgian defined contribution plans have been considered as defined benefit plans since financial year 2016/17. They are measured in accordance with IAS 19 based on the 'projected unit credit' method.

The amount resulting from the group's liabilities related to its defined contribution plans with a legally guaranteed minimum return, as recorded in the consolidated statement of financial position, is as follows:

(in million EUR)	31.03.2022	31.03.2021
Present value of the gross obligation under the defined contribution plans with a legally guaranteed minimum return	283,2	294,4
Fair value of plan assets	192,6	178,7
Deficit/(surplus) of funded plans	90,6	115,7
Total liability for employee benefits, of which:
Portion recognised as non-current liabilities	90,6	115,7
Portion recognised as non-current assets	-	-

The evolution in the present value of the gross obligation under the defined contribution plans with a legally guaranteed minimum return can be summarised as follows:

(in million EUR)	2021/22	2020/21
At 1 April	294,4	264,3
Current service cost	17,9	16,9
Interest expense	2,8	4,6
Experience adjustments	2,5	(2,7)
Change of financial assumptions	(28,4)	26,6
Change of demographic assumptions	-	(10,2)
Benefit payments from plan assets	(7,2)	(6,2)
Participant contributions	3,9	3,7
Expenses and taxes paid	(2,7)	(2,6)
At 31 March	283,2	294,4

The plan assets (EUR 192,6 million) consist entirely of investments in insurance contracts.

The evolution of the fair value of the plan assets is as follows:

(in million EUR)	2021/22	2020/21
At 1 April	178,7	164,7
Employer contributions	19,6	18,1
Interest income	1,8	3,2
Return on plan assets	(1,6)	(2,2)
Benefit payments from plan assets	(7,2)	(6,2)
Participant contributions	3,9	3,7
Expenses and taxes paid	(2,6)	(2,6)
At 31 March	192,6	178,7

The amounts relative to these defined contribution plans with a legally guaranteed minimum return that are recognised in the consolidated income statement and in the consolidated statement of comprehensive income can be summarised as follows:

(in million EUR)	31.03.2022	31.03.2021
Total service cost(1)	17,9	16,9
Net interest cost(2)	1,0	1,4
Components recorded in the income statement	18,9	18,3
Experience adjustments	2,5	(2,7)
Change of financial assumptions	(28,4)	26,6
Change of demographic assumptions	-	(10,2)
Return on plan assets	1,6	2,2
Components recorded in other comprehensive income	(24,3)	15,9

(1) Included under 'Employee benefit expenses' in the consolidated income statement. (2) Included under 'Net financial result' in the consolidated income statement.

The main actuarial assumptions that were used in the calculation of the liabilities related to the defined contribution plans with a legally guaranteed minimum return can be summarised as follows:

• discount rate: 1,85% vs 0,95% in previous financial year;

• price inflation: 1,80% (same as for previous financial year);

• salary inflation: 2,30% (same as previous financial year).

Description of the main risks

Colruyt Group is exposed by its defined benefit plans to a number of risks, of which the most important ones are explained below:

Volatility of plan assets - investment risk

The retirement benefit liabilities are calculated using a discount rate determined by prime company returns. In the event the plan assets do not reach this level of return, the defined benefit liabilities on account of Colruyt Group may increase. Colruyt Group reduces the investment risk by investing in insurance contracts instead of equity instruments.

Interest risk

A decrease in returns will increase the retirement benefit liabilities, however this will be partly compensated by an increase in value of bonds held by the retirement benefit plans.

Life expectancy

The retirement benefit liabilities mainly concern benefits that are provided to the participant during his or her lifetime. An increase in life expectancy will therefore lead to an increase in retirement benefit liabilities.

Salary expectancy

The fair value of retirement benefit liabilities is calculated based on the current and estimated future salary of the participants in the retirement benefit plans. As a result, an increase in salary of the participants in the retirement benefit plan will lead to an increase in the retirement benefit liabilities.

24.2. Benefits related to 'Unemployment regime with company supplement'

(in million EUR)	2021/22	2020/21
At 1 April	9,2	10,6
Addition(1)	0,5	0,5
Use	(0,8)	(1,0)
Net interest expense(2)	0,1	0,1
Experience adjustments(3)	0,7	(0,7)
Change of financial assumptions(3)	(0,9)	0,7
Change of demographic assumptions(3)	-	(1,0)
At 31 March	8,8	9,2

(1) Included under 'Employee benefit expenses' in the consolidated income statement. (2) Included under 'Net financial result' in the consolidated income statement. (3) Included in the consolidated statement of comprehensive income.

The possibility to retire early, as it exists within Colruyt Group for employees of its Belgian entities, is based on the 'Unemployment regime with company supplement' applicable in Belgium. The accounting principles in respect of the liabilities and costs related to this system are included under note 1.4. Other significant accounting policies.

Colruyt Group regularly reviews the long-term assumptions in respect of these liabilities. For this financial year the following assumptions were used:

• discount rate: 1,80% vs 1,20% in previous financial year;

• salary inflation: 2,30% (same as previous financial year).

The weighted average duration of the liability for benefits under the 'Unemployment regime with company supplement' is 15,39 years, as compared to 15,78 years in the previous year.

24.3. Other post-employment benefits

(in million EUR)	2021/22	2020/21
At 1 April	9,5	8,8
Addition(1)	1,0	1,0
Use	(0,6)	(0,5)
Net interest expense(2)	0,2	0,2
Experience adjustments(3)	(0,3)	(0,4)
Change of financial assumptions(3)	(0,6)	0,8
Change of demographic assumptions(3)	(1,4)	(0,4)
At 31 March	7,8	9,5

(1) Included under 'Employee benefit expenses' in the consolidated income statement. (2) Included under 'Net financial result' in the consolidated income statement. (3) Included in the consolidated statement of comprehensive income.

Other post-employment benefits payable at retirement consist of long-service benefits (Belgian entities) and legal compensations (French and Indian entities).

For the long-service benefits (Belgian entities), Colruyt Group uses the following parameters:

• discount rate: 1,80% vs 1,10% in previous financial year;
• salary inflation: 2,30% (same as previous financial year).

For the legally established benefits, the following parameters are used:

French entities:

• discount rate: 1,90% vs 1,15% in previous financial year;
• salary inflation: 2,00% vs 1,75% in previous financial year

Indian entities:

• discount rate: 6,90% vs 6,80% in previous financial year;
• salary inflation: 10,00% (same as previous financial year).

Changes to the main assumptions impact the group's main employee benefits-related liabilities as follows:

	Defined contribution plans with a legally guaranteed minimum return		Benefits related to the 'Unemployment regime with company supplement'		Long-service benefits (Belgian entities)		Legally established benefits (French and Indian entities)
(in million EUR)	31.03.2022	31.03.2021	31.03.2022	31.03.2021	31.03.2022	31.03.2021	31.03.2022	31.03.2021
Base scenario	90,6	115,7	8,8	9,2	3,9	4,1	3,9	5,4
Discount rate + 0,5%	72,3	94,8	8,2	8,6	3,7	3,8	3,5	5,0
Discount rate - 0,5%	111,3	139,0	9,5	9,9	4,2	4,4	4,1	5,9
Salary inflation + 0,5%	98,9	124,3	9,6	9,9	4,2	4,1	4,1	5,9
Salary inflation - 0,5%	83,0	107,7	7,9	8,2	3,7	4,1	3,5	5,1

The above are purely hypothetical changes in individual assumptions, keeping all other assumptions unchanged: economic factors and their changes will often impact more than one assumption at a time and the impact of changes in assumptions is not linear. As a result, the information above does not necessarily provide a reasonable reflection of future results.

25. Interest-bearing liabilities

25.1. Terms and repayment schedule

(in million EUR)	< 1 year	1-5 years	> 5 years	Total
Lease and similar liabilities	50,9	151,1	82,0	284,0
Bank borrowings	298,3	378,8	1,0	678,1
Other	0,6	6,0	-	6,6
Total at 31 March 2022	349,8	535,9	83,0	968,7
Lease and similar liabilities	41,2	126,7	74,9	242,8
Bank borrowings	189,3	31,9	-	221,2
Total at 31 March 2021	230,5	158,6	74,9	464,0

The interest-bearing liabilities consist mainly of lease liabilities and bank borrowings. The increase compared to the previous reporting period is due to withdrawals under short-term and long-term financing arrangements and new liabilities deriving from business combinations.

25.2. Repayment schedule lease liabilities

(in million EUR)	31.03.2022	31.03.2021
< 1 year	53,4	43,5
1-5 years	158,0	132,9
> 5 years	85,8	77,5
Total non-discounted lease payments	297,2	253,9

25.3. Repayment schedule bank borrowings and others

	Total	Interest	Principal	Total	Interest	Principal
(in million EUR)	31.03.2022	31.03.2022	31.03.2022	31.03.2021	31.03.2021	31.03.2021
< 1 year	301,1	2,2	298,9	189,5	0,2	189,3
1-5 years	389,0	4,2	384,8	32,4	0,5	31,9
> 5 years	1,0	-	1,0	-	-	-
Total	691,1	6,4	684,7	221,9	0,7	221,2

Part of the outstanding balance of non-current and current interest-bearing liabilities is covered by collateral provided, mainly at The Fashion Society. The net carrying amount of the encumbered assets (excluding rights of use) exceeds the collateral provided.

26. Trade payables, liabilities related to employee benefits and other liabilities

(in million EUR)	31.03.2022	31.03.2021
Trade payables (non-current)	1,7	1,6
Total trade payables (non-current)	1,7	1,6
Other liabilities (non-current)	30,0	14,8
Total other liabilities (non-current)	30,0	14,8
Trade payables	1.252,7	1.286,5
Guarantees received and advances on work in progress	30,8	32,8
Total trade payables (current)	1.283,5	1.319,3
Current liabilities related to employee benefits	547,8	539,8
VAT, excise duties and other operating taxes	51,5	58,0
Dividends	0,5	0,6
Deferred income and accrued costs	11,1	9,9
Derivative financial instruments – cash flow hedging instruments	0,2	0,3
Other	16,3	5,1
Total liabilities related to employee benefits and other liabilities (current)	627,4	613,7

Terms and repayment schedule

(in million EUR)	< 1 year	1-5 years	> 5 years	Total
Trade payables (non-current)	-	0,6	1,1	1,7
Other liabilities (non-current)	-	30,0	-	30,0
Trade payables (current)	1.283,5	-	-	1.283,5
Liabilities related to employee benefits and other liabilities (current)	627,4	-	-	627,4
Total at 31 March 2022	1.910,9	30,6	1,1	1.942,6
Trade payables (non-current)	-	0,7	0,9	1,6
Other liabilities (non-current)	-	14,8	-	14,8
Trade payables (current)	1.319,3	-	-	1.319,3
Liabilities related to employee benefits and other liabilities (current)	613,7	-	-	613,7
Total at 31 March 2021	1.933,0	15,5	0,9	1.949,4

27. Risk management

27.1. Risks related to financial instruments

A. Currency risk

Colruyt Group's operational entities are located in the euro zone, except for the activities in India, Hong Kong and Africa.

The exchange rate risk incurred when consolidating revenues and costs of subsidiaries not reporting in euro is not hedged.

In addition, Colruyt Group incurs a transactional currency risk on purchases in foreign currency. Colruyt Group uses derivative financial instruments to hedge its exposure to this type of currency risk and to certain inflation risks, with no speculative purposes.

Exchange results incurred when settling purchase transactions in foreign currencies are recognised immediately in profit or loss.

Colruyt Group's exposure to exchange rate fluctuations is based on the following positions in foreign currencies:

	Net position
(in million EUR)	31.03.2022	31.03.2021
EUR/INR	0,9	0,9
USD/EUR	2,7	(0,2)
NZD/EUR	0,1	(0,1)
Total	3,7	0,6

The net positions per currency are presented before intra-group eliminations. A positive amount implies that entities of Colruyt Group have a net receivable in the first currency. The second currency of the pair is the functional currency of the Colruyt Group entity concerned.

The impact of exchange rate changes compared to the euro is relatively limited.

B. Interest rate risk

Since the long-term loans (>1 year) have been concluded at fixed interest rates, the interest rate risk is limited.

On 31 March 2022 the total amount of bank and other borrowings was EUR 684,7 million (non-current and current together) (EUR 221,2 million at 31 March 2021) or 12,2% of the balance sheet total and 389% of the net cash and cash equivalents. New long-term and short-term loans were taken out in 2021/22, all at fixed interest rates.

Colruyt Group's lease liabilities amount to EUR 284,0 million in the current financial year, as against EUR 242,8 million in the previous financial year. The lease liabilities are recognised under IFRS 16 at a fixed interest rate.

A change in interest rates may have an effect on the consolidated income statement or on future cash flows of Colruyt Group.

C. Credit risk

The credit risk in relation to trade receivables is limited since most of Colruyt Group's retail customers pay cash. The main part of Colruyt Group's receivables is linked with the wholesale activity for which Colruyt Group grants its clients the payment terms that are customary in the industry. Risks are mainly limited by the regular follow-up of the credit rating of the wholesale customers and the independent storekeepers to which goods or services are delivered. If necessary, Colruyt Group requires bank guarantees. The credit risk is spread amongst a relatively large number of customers. Solucious NV has covered its credit risk by taking out credit insurance.

Certain customers provide off-balance sheet bank guarantees in order to secure the collectability of Colruyt Group's receivables on them. For the current reporting period nonrecognised bank guarantees were received from several customers having total outstanding debts of EUR 31,1 million (compared to EUR 29,6 million for the previous reporting period). The collectability of this amount was secured by bank guarantees for an amount of EUR 25,9 million (compared to EUR 24,9 million for the previous reporting period).

For the calculation of the expected credit losses under IFRS 9 'Financial Instruments', Colruyt Group applies the following approaches:

• the simplified approach based on a provision matrix; and

• the general method, under which credit losses are determined at the level of the individual receivable. The choice depends on specific circumstances.

D. Liquidity risk

Finco NV and Finco France SAS are Colruyt Group's financial coordinators, and ensure that all entities of Colruyt Group have access to the financial resources they need. Finco NV and Finco France SAS apply a cash pooling system, i.e. any excess in cash and cash equivalents within entities of the group is used for shortages in other entities of the group. Finco NV and Finco France SAS are also responsible for the investment of Colruyt Group's cash and cash equivalents. Finco NV and Finco France SAS use cash projections to follow up on Colruyt Group's liquidity.

E. Other market risks

Colruyt Group's reinsurance entity, Locré SA, manages a portfolio of financial instruments (fixed interest-bearing instruments and equity instruments). These are used to cover the reinsurance risk. Colruyt Group's current financial assets total EUR 128,3 million at 31 March 2022 (EUR 36,4 million at 31 March 2021). The main reason for this increase is that the convertible loan to Virya (EUR 95,0 million) is presented this year as a current asset. EUR 25,2 million of the current financial assets are in the investment portfolio at Locré SA (EUR 27,0 million as of 31 March 2021). Fluctuations in market values and other market parameters of these instruments can therefore have an impact on Colruyt Group's financial result. In total, Colruyt Group recognised a net write-off of EUR -0,9 million during this financial year (a net upward revaluation of EUR 2,7 million during the previous reporting period).

The ratio of the current investment portfolio to net cash and cash equivalents of Colruyt Group amounts to 72,9% (12,8% for the previous reporting period).

F. 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)	Amortised cost	Quoted prices Level 1	Observable market prices Level 2	Non-observable market prices Level 3	Total
Financial assets at fair value through other comprehensive
income
Equity investments	-	-	-	14,7	14,7
Cash flow hedging instruments	-	-	0,3	-	0,3
Financial assets at fair value through profit or loss
Equity investments	-	9,3	-	-	9,3
Fixed-income securities	-	15,9	-	-	15,9
Compound instruments	-	-	-	95,0	95,0
Financial assets at amortised cost
Term deposits	7,8	-	-	-	7,8
Receivables	729,9	-	-	-	729,9
Cash and cash equivalents	176,2	-	-	-	176,2
Total at 31 March 2022	913,9	25,2	0,3	109,7	1.049,1
Financial liabilities
Interest-bearing and other liabilities	1.010,7	-	-	-	1,010,7
Trade payables	1.283,6	-	-	-	1.283,6
Cash flow hedging instruments	-	-	0,2	-	0,2
Bank overdrafts	0,2	-	-	-	0,2
Total at 31 March 2022	2.294,5	-	0,2	-	2.294,7
Financial assets at fair value through other comprehensive
income
Equity investments	-	-	-	16,5	16,5
Cash flow hedging instruments	-	-	3,3	-	3,3
Financial assets at fair value through profit or loss
Equity investments	-	10,9	-	0,1	11,0
Fixed-income securities	-	16,1	-	-	16,1
Compound instruments	-	-	-	95,0	95,0
Financial assets at amortised cost
Term deposits	6,1	-	-	-	6,1
Receivables	663,5	-	-	-	663,5
Cash and cash equivalents	284,5	-	-	-	284,5
Total at 31 March 2021	954,1	27,0	3,3	111,6	1.096,0
Financial liabilities
Interest-bearing and other liabilities	480,3	-	-	-	480,3
Trade payables	1.319,3	-	-	-	1.319,3
Cash flow hedging instruments	-	-	0,3	-	0,3
Bank overdrafts	1,2	-	-	-	1,2
Total at 31 March 2021	1.800,8	-	0,3	-	1.801,1

The fair value hierarchy is based on the inputs used to measure financial assets and liabilities at measurement date. The following three levels are distinguished:

• Level 1: inputs used for measurement of fair value are officially quoted prices (unadjusted) in active markets for identical assets or liabilities.
• Level 2: the fair value of financial instruments not traded on an active market is determined using valuation techniques. These techniques use inputs of observable market prices, if available, as much as possible and avoid reliance on entity-specific estimations.
• Level 3: financial instruments for which fair value is determined with valuation techniques using certain parameters not based on observable market data.

For the amounts recognised at 'Amortised cost' we can conclude that the carrying amount equals the fair value in most cases due to the nature of the instrument or due to the short-term character. Those cases whereby the amortised cost deviates from the fair value are not material.

For the amounts measured at fair value we refer to note 14. Financial assets, which describes how the fair value is measured.

On 12 June 2020, Colruyt Group subscribed to a first tranche of convertible bonds with a 24-month maturity, issued by the associate Virya Energy NV in an amount of EUR 63,9 million. On 15 January 2021, this amount was increased to EUR 97,4 million with the subscription of a second tranche of convertible bonds with the same maturity date as the first tranche (12 June 2022). The carrying amount of EUR 95,0 million, unchanged since the previous financial year, corresponds to the conversion price and reflects the fair value at 31 March 2022. This compound instrument is measured at fair value and included in the category 'Financial assets at fair value through profit or loss'. For the decision regarding the conversion of this instrument by Colruyt Group, we refer to note 32. Events after the reporting date.

The financial assets classified under level 3, include, in addition to the Virya Energy NV convertible bonds, amongst others the investments in the holding company Sofindev IV NV, in the investment funds Good Harvest Belgium I SRL and Blue Horizon Ventures I SCSp RAIF and in North Sea Wind CV, in which Colruyt Group does not have a significant influence.

The opening and closing balance of the investments classified under level 3 can be reconciled as follows:

(in million EUR)	2021/22	2020/21
At 1 April	111,6	14,5
Acquisitions	0,9	97,9
Capital increases	0,9	0,3
Capital decreases	(2,3)	(3,5)
Fair value adjustments through other comprehensive income	(1,1)	2,8
Other	(0,3)	(0,4)
At 31 March	109,7	111,6

27.2. Other risks

A. COVID-19 HEALTH CRISIS AND UKRAINE CRISIS

From the end of financial year 2019/20 onwards, Colruyt Group has experienced diverse impacts of the COVID-19 health crisis. Certain income statement items were impacted by the COVID-19 crisis, but to a lesser extent than in the previous financial years. The COVID-19 impact, however, could not be isolated in an unambiguous manner.

The situation has now stabilised and there are no longer any health measures that significantly affect the group's activities. A possible flare-up of the COVID-19 virus and new measures imposed by the government continue to pose a risk.

The conflict in Ukraine, which started at the end of February 2022, also creates risks and uncertainties for the group. Colruyt Group has no direct activities in Russia or Ukraine, but is affected by the macroeconomic consequences of the war, such as price increases and high inflation, a disrupted supply chain for a number of products, etc. These macroeconomic consequences and the uncertainty as to how the conflict will evolve pose a risk to the company's performance and related financial results and cash flows, as well as discount rates, valuations and impairment assessments.

Colruyt Group continues to closely monitor the situation with regard to the COVID-19 health crisis and the conflict in Ukraine and where possible takes the necessary measures to limit the impact and the (in)direct consequences of these events. Thanks to the group's risk management system, continuity and other risks are being monitored on a regular basis, both in the subsidiaries and in the companies in which Colruyt Group has an interest. To date, the group has no knowledge of information that would lead to a material adjustment of the results or the notes thereto.

B. Other

Colruyt Group is further exposed to various other risks that are not necessarily financial in nature, but nevertheless have the potential to impact Colruyt Group's financial position. For a description of risks other than the ones mentioned above and of how Colruyt Group manages its exposure to these risks, we refer to the Corporate Governance section. In this respect, we also refer to the Audit Committee, which regularly discusses the risk reports of the Risk Management department (internal audit).

28. Off-balance sheet rights and commitments

Colruyt Group has a number of commitments which are not recognised in the statement of financial position. These are mainly contractual obligations related to future acquisitions of property, plant and equipment and future purchases of goods and services.

The amounts due in respect of these commitments are as follows:

(in million EUR)	31.03.2022	< 1 year	1-5 years	> 5 years
Lease arrangements as lessee(1)	3,4	1,5	1,9	-
Commitments relating to the acquisition of property, plant and equipment	108,0	101,6	6,4	-
Commitments relating to purchases of goods	171,7	161,2	10,5	-
Other commitments	36,7	18,0	18,7	-
(in million EUR)	31.03.2021	< 1 year	1-5 years	> 5 years
Lease arrangements as lessee(1)	4,1	1,8	2,3	-
Commitments relating to the acquisition of property, plant and equipment	64,5	63,5	1,0	-
Commitments relating to purchases of goods	191,0	179,9	11,1	-

(1) Leases outside the scope of IFRS 16.

The off-balance sheet commitments for lease arrangements in a lessee capacity amount to EUR 3,4 million (EUR 4,1 million at 31 March 2021) and relate to short-term leases or leases of low-value assets. In addition, these off-balance sheet commitments also contain arrangements that do not meet the definition of a lease.

The income statement includes rental and rental-related charges in respect of movables in the amount of EUR 18,5 million (EUR 18,7 million for the previous reporting period). These rental charges mainly result from cancellable lease arrangements that do not meet the definition of a lease.

The commitments relating to the acquisition of property, plant and equipment for an amount of EUR 108,0 million (EUR 64,5 million in the previous reporting period) consist mainly of contractual commitments for the acquisition of land and buildings.

The commitments relating to purchases of goods for an amount of EUR 171,7 million (EUR 191,0 million in the previous reporting period) are the result of forward contracts concluded with suppliers in order for Colruyt Group to ensure the sufficient supply of certain trade goods, as well as of purchase commitments in respect of electricity and green certificates, clothing collections and raw materials for production.

The line 'Other commitments' mainly relates to commitments arising from various non-cancellable forward contracts regarding ICT services (mainly for software maintenance and development) for an amount of EUR 33,7 million (EUR 19,9 million in the previous reporting period).

In addition to these commitments Colruyt Group also has certain rights which are not recognised in the statement of financial position. Occasionally Colruyt Group leases out certain immovable assets under lease arrangements.

The amounts to be received in relation to these rights are to be classified as follows:

(in million EUR)	31.03.2022	< 1 year	1-5 years	> 5 years
Lease arrangements as lessor	14,7	8,1	6,6	-
(in million EUR)	31.03.2021	< 1 year	1-5 years	> 5 years

The off-balance sheet commitments for lease arrangements amount to EUR 14,7 million (EUR 7,6 million as per 31 March 2021) and mainly relate to operating lease arrangements as lessor in respect of subleased assets.

The rights resulting from non-cancellable agreements in respect of movables are not material.

29. Contingent liabilities and contingent assets

Contingent liabilities and contingent assets are all those items in relation to third parties which are not recognised in the statement of financial position, in accordance with IAS 37 'Provisions, Contingent Liabilities and Contingent Assets'.

The table below gives an overview of all contingent liabilities of Colruyt Group.

(in million EUR)	31.03.2022	31.03.2021
Disputes	7,1	1,9
Other	0,6	0,6

At balance sheet date there were a limited number of legal actions outstanding against Colruyt Group which, although disputed, constitute a contingent liability of EUR 7,1 million (compared to EUR 1,9 million in the previous reporting period). The pending cases primarily concern commercial law claims. As was the case last year, there are no contingent liabilities for pending cases in respect of taxation law, common law or social law.

'Other' contingent liabilities represent guarantees provided by Colruyt Group towards financial institutions. These guarantees consist of buyback commitments supplied as an additional guarantee for the financing of affiliated independent storekeepers for an amount of EUR 0,6 million (compared to EUR 0,6 million in the previous reporting period).

When acquiring interests and determining goodwill, a conditional variable compensation is applied, with the most accurate estimate possible of the amount to be finally calculated at the end of the valuation period.

Colruyt Group expects no significant financial disadvantages to be derived from these liabilities.

There are no material contingent assets to be reported.

30. Dividends paid and proposed

On 5 October 2021 a gross dividend of EUR 1,47 per share was paid to the shareholders.

For the financial year 2021/22, the Board of Directors has proposed a gross dividend of EUR 1,10 per share, which will be declared payable from 4 October 2022. As the decision to distribute a dividend is to be considered an event after reporting date which is not to be included in the statement of financial position, this dividend, which is still to be approved at the Annual General Meeting of Shareholders of 28 September 2022, is therefore not recorded as a liability in the statement of financial position.

Taking into account that the distribution proposed by the Board of Directors relates to 128.993.335 shares (after deduction of treasury shares), as determined on 10 June 2022, the total amount of proposed dividends is EUR 141,9 million.

31. Related parties

An overview of related party transactions is given below. In this note, only the transactions which were not eliminated in the consolidated financial statements are presented.

In accordance with IAS 24, 'Related Party Disclosures', Colruyt Group identifies different categories of related parties:

a) Colruyt Group's key managers (see section Corporate Governance) and relatives;

b) entities that control Colruyt Group: Korys NV controlled by Stichting Administratiekantoor Cozin (see section Corporate Governance);

c) associates (as disclosed under note 12. Investments in associates);

d) joint ventures (as disclosed under note 13. Investments in joint ventures) and

e) entities controlled by persons belonging to the key management of Colruyt Group. Colruyt Group has no material transactions with these entities, except with Smartmat NV.

31.1. Related party transactions excluding key management personnel compensation

(in million EUR)	2021/22	2020/21
Revenue	9,2	42,3
Costs	18,1	11,6
Receivables	115,1	109,8
Liabilities	0,9	0,8
Dividends paid	116,1	106,9

The amounts disclosed above result from transactions made on terms equivalent to those that prevail in arm's length transactions between independent parties.

Transactions with various related parties generated revenue for an amount of EUR 9,2 million (EUR 42,3 million in the previous reporting period). In the previous financial year, Eoly Energy NV was contributed to Virya Energy NV, with a realised gain of EUR 30,7 million, while fixed assets were also sold to associates.

Colruyt Group and Korys took the requisite measures in the context of the conflict of interest rules. We refer to the Corporate Governance section for more details.

The costs arising from transactions with various related parties amount to EUR 18,1 million and mainly relate to the purchase of energy-related products (EUR 11,1 million). This figure also includes EUR 2,2 million of purchases of trade goods from entities controlled by persons belonging to the key management of Colruyt Group (previous reporting period EUR 3,3 million). In addition, trade goods were purchased from and fees paid to joint ventures in the amount of EUR 3,6 million (previous reporting period EUR 2,7 million).

The outstanding receivables from related parties amounting to EUR 115,1 million (EUR 109,8 million in the previous reporting period) relate largely to receivables in respect of associates, consisting mainly of compound instruments at arm's length conditions.

The outstanding liabilities towards related parties amount to EUR 0,9 million (EUR 0,8 million in the previous reporting period). The amount reported in the current financial year relates mainly to transactions with entities that are consolidated using the equity method.

31.2. Key management personnel compensation

The compensation awarded to key management personnel is summarised below. All amounts are gross amounts before taxes. Social security contributions were paid on these amounts.

(in million EUR)	Remuneration 2021/22	Number of persons 2021/22	Remuneration 2020/21	Number of persons 2020/21
Board of Directors		9		9
Fixed remuneration (directors' fees)	0,9		1,0
Senior Management		13		13
Fixed remuneration	4,1		4,1
Variable remuneration	2,8		2,7
Payments into defined contribution plans and other components	0,8		1,0

More information regarding the different components of compensation for key management personnel can be found in the remuneration report (see section Corporate Governance) as prepared by the Remuneration Committee.

32. Events after the reporting date

At the beginning of June 2022, Colruyt Group and its family majority shareholder Korys converted their convertible bonds issued by Virya Energy NV into shares. The energy holding company, Virya Energy NV, focuses on the development, financing, construction and operation of renewable energy assets and is looking to expand internationally. Since both shareholders converted the bonds, the shareholding remains unchanged. The parties took the requisite measures in the context of the conflict of interest rules.

On 13 June 2022 Colruyt Group increased its stake in Newpharma Group NV to 100% by acquiring the shares held by Korys, the investment company of the Colruyt family. Newpharma Group NV is a leading player in the online pharmacy business. With this investment, Colruyt Group aims at pursuing its ambitions in the area of health, and at further developing its leadership in online retail. As a result of this transaction, Colruyt Group's cash flow statement will include a cash outflow of approximately EUR 95 million in financial year 2022/23. Both parties have agreed not to disclose further details regarding pricing or other terms of the transaction. Arm's length principles were applied for the valuation.

As a result of this transaction, Newpharma Group NV will be fully consolidated from July 2022. Excluding possible one-off effects, Colruyt Group does not expect these transactions to have a material impact on Colruyt Group's net result in financial year 2022/23. The requisite measures were taken in the context of the conflict of interest rules.

After the end of the reporting period, 1.326.899 treasury shares were purchased for an amount of EUR 44,8 million. On 10 June 2022, Colruyt Group owned 4.845.853 treasury shares, which represented 3,62% of the total number of issued shares.

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

33. Independent auditor's remuneration

The table below provides an overview of remuneration paid to the independent auditor and its associated parties for services rendered to Colruyt Group.

(in million EUR)	2021/22	2020/21
Audit assignments	1,0	0,9
Total	1,0	0,9

The consideration paid for audit services was EUR 1 million, of which EUR 0,2 million was recognised at the level of the Company and EUR 0,8 million was recognised at the level of its subsidiaries.

For non-audit services, such as other audit assignments, tax advice and other assignments, the costs are negligible.

34. List of consolidated entities

34.1. Company

Etn. Fr. Colruyt NV	Edingensesteenweg 196	1500 Halle, Belgium	0400 378 485	-

34.2. Subsidiaries

AB Restauration BV	Avenue du Levant 13	5030 Gembloux, Belgium	0475 405 017	100%
Agripartners NV	Edingensesteenweg 196	1500 Halle, Belgium	0716 663 417	100%
Banden Deproost BV	Zinkstraat 6	1500 Halle, Belgium	0424 880 586	100%
Banketbakkerij Mariman NV	Warandestraat 5	9240 Zele, Belgium	0874 422 336	100%
Bavingsveld NV	Edingensesteenweg 196	1500 Halle, Belgium	0441 486 194	100%
Bio-Planet Luxembourg SA	Rue F.W. Raiffeisen 5	2411 Luxembourg, Grand Duchy of Luxembourg		100%
Bio-Planet NV	Victor Demesmaekerstraat 167	1500 Halle, Belgium	0472 405 143	100%
Buurtwinkels OKay NV	Victor Demesmaekerstraat 167	1500 Halle, Belgium	0464 994 145	100%
Codevco I RDC SASU	Av. De la Vallee, Quartier des Cliniques 3	4972 Kinshasa, Democratic Republic of the Congo	CD/KNG/ RCCM/21-B-01787	100%
Codevco II RDC SASU	Av. De la Vallee, Quartier des Cliniques 3	4972 Kinshasa, Democratic Republic of the Congo	CD/KNG/ RCCM/21-B-01809	100%
Codevco IV NV	Edingensesteenweg 196	1500 Halle, Belgium	0716 663 615	100%
Codevco IX BV	Edingensesteenweg 196	1500 Halle, Belgium	0779 301 067	100%
Codevco VI BV	Edingensesteenweg 196	1500 Halle, Belgium	0739 913 228	100%
Codevco VII BV	Edingensesteenweg 196	1500 Halle, Belgium	0760 300 252	100%
Codevco VIII NV	Edingensesteenweg 196	1500 Halle, Belgium	0760 300 846	100%
Codevco X NV	Edingensesteenweg 196	1500 Halle, Belgium	0779 300 572	100%
Codevco XI NV	Edingensesteenweg 196	1500 Halle, Belgium	0779 443 795	100%
Codevco XII NV	Edingensesteenweg 196	1500 Halle, Belgium	0779 443 302	100%
Codevco XIII NV	Edingensesteenweg 196	1500 Halle, Belgium	0779 443 696	100%
Codex BV	Edingensesteenweg 196	1500 Halle, Belgium	0453 365 924	100%
Codifrance SAS	Zone Industrielle, Rue de Saint Barthélémy 66	45110 Châteauneuf-sur-Loire, France	824 116 099	100%
Colim NV	Edingensesteenweg 196	1500 Halle, Belgium	0400 374 725	100%
Colimpo NV	Edingensesteenweg 196	1500 Halle, Belgium	0685 762 581	100%
Colimpo Private Limited	Unit 08-09, 13th floor, New Mandarin Plaza, Tower A 14, Science Museum Road, Tsim Sha Tsui East	Kowloon, Hongkong	59139630 000 11 18 0	100%

Colruyt Afrique SAS	Sacré Coeur III VDN, Villa numéro 10684, boîte Postale 4579	Dakar, Senegal	SN DKR 2020 B 13136	100%
Colruyt Cash and Carry NV	Edingensesteenweg 196	1500 Halle, Belgium	0716 663 318	100%
Colruyt Gestion SA	Rue F.W. Raiffeisen 5	2411 Luxembourg, Grand Duchy of Luxembourg	B137485	100%
Colruyt Group Services NV	Edingensesteenweg 196	1500 Halle, Belgium	0880 364 278	100%
Colruyt IT Consultancy India Private LTD	Building N°21, Mindspace, Raheja IT Park, Survey nr 64 (Part) Hi-Tech City	Madhapur, Hyderabad, Telangana State, India - 500081	U72300TG2007 PTC053130	100%
Colruyt Luxembourg SA	Rue F.W. Raiffeisen 5	2411 Luxembourg, Grand Duchy of Luxembourg	B124296	100%
Colruyt Retail France SAS	Zone Industrielle, Rue des Entrepôts 4	39700 Rochefort-sur-Nenon, France	789 139 789	100%
Comans NV	Edingensesteenweg 196	1500 Halle, Belgium	0462 732 956	100%
Comant NV	Edingensesteenweg 196	1500 Halle, Belgium	0604 984 743	100%
Combru NV	Edingensesteenweg 196	1500 Halle, Belgium	0442 944 956	100%
Comels NV	Edingensesteenweg 196	1500 Halle, Belgium	0820 198 247	100%
Comgen NV	Edingensesteenweg 196	1500 Halle, Belgium	0404 020 638	100%
Comgil NV	Edingensesteenweg 196	1500 Halle, Belgium	0739 995 974	100%
Comjan NV	Edingensesteenweg 196	1500 Halle, Belgium	0783 195 915	100%
Comkro NV	Edingensesteenweg 196	1500 Halle, Belgium	0693 920 677	100%
Comlie NV	Edingensesteenweg 196	1500 Halle, Belgium	0560 926 056	100%
Commol NV	Edingensesteenweg 196	1500 Halle, Belgium	0684 490 495	100%
Comnie NV	Edingensesteenweg 196	1500 Halle, Belgium	0715 711 530	100%
Comnik NV	Edingensesteenweg 196	1500 Halle, Belgium	0741 814 626	100%
DATS 24 NV	Edingensesteenweg 196	1500 Halle, Belgium	0893 096 618	100%
Davytrans NV	Edingensesteenweg 196	1500 Halle, Belgium	0413 920 972	100%
Do Invest Lux SA	Rue de Beggen 233-241	1121 Luxembourg, Grand Duchy of Luxembourg	B181441	100%
Do Invest NV	Edingensesteenweg 196	1500 Halle, Belgium	0817 092 663	100%
Dreambaby NV	Edingensesteenweg 196	1500 Halle, Belgium	0472 630 817	100%
DreamLand NV	Edingensesteenweg 196	1500 Halle, Belgium	0448 746 645	100%
E-Logistics NV	Edingensesteenweg 196	1500 Halle, Belgium	0830 292 878	100%
Enco Retail NV	Edingensesteenweg 196	1500 Halle, Belgium	0434 584 942	100%
Eoly NV	Edingensesteenweg 196	1500 Halle, Belgium	0864 995 025	100%
Finco France SAS	Zone Industrielle, Rue des Entrepôts 4	39700 Rochefort-sur-Nenon, France	848 012 209	100%
Finco NV	Edingensesteenweg 196	1500 Halle, Belgium	0429 127 109	100%
Fleetco NV	Edingensesteenweg 196	1500 Halle, Belgium	0423 051 939	100%
Gecaro NV	Marktplein 63/0002	9520 Sint-Lievens-Houtem, Belgium	0427 772 968	100%
Grimbergen Retail Property BV	Edingensesteenweg 196	1500 Halle, Belgium	0509 956 813	100%
Het Taartenhuis NV	Warandestraat 5	9240 Zele, Belgium	0889 841 277	100%
Het Zilverleen BV	Izenbergestraat 175	8690 Alveringem, Belgium	0715 775 767	100%
Immo Colruyt France SAS	Zone Industrielle, Rue des Entrepôts 4	39700 Rochefort-sur-Nenon, France	319 642 252	100%
Immo Colruyt Luxembourg SA	Rue F.W. Raiffeisen 5	2411 Luxembourg, Grand Duchy of Luxembourg	B195799	100%

Immo De CE Floor BV	Edingensesteenweg 196	1500 Halle, Belgium	0446 434 580	100%
Immoco SARL	Zone Industrielle, Rue des Entrepôts 4	39700 Rochefort-sur-Nenon, France	527 664 965	100%
Izock BV	Kerkstraat 132-134	1851 Humbeek, Belgium	0426 190 284	100%
Jims NV	Edingensesteenweg 196	1500 Halle, Belgium	0423 644 035	100%
Joma Sport BV	Guldensporenpark 100, blok K	9820 Merelbeke, Belgium	0823 778 933	100%
Juliette BV	Twaalfmaandenstraat 15, bus 4	2000 Antwerp, Belgium	0753 439 679	100%
Locré SA	Rue De Neudorf 534	2220 Luxembourg,	B59147	100%
		Grand Duchy of Luxembourg
Myreas BV	Guldensporenpark 100, blok K	9820 Merelbeke, Belgium	0733 909 522	85%
Northlandt NV	Moortelstraat 9	9160 Lokeren, Belgium	0459 739 517	100%
Onroerende Beleggingsmaatschappij van	Edingensesteenweg 196	1500 Halle, Belgium	0414 105 173	100%
Brabant NV
Puur NV	Edingensesteenweg 196	1500 Halle, Belgium	0544 328 861	100%
Puurgen NV	Edingensesteenweg 196	1500 Halle, Belgium	0631 815 438	100%
Puurwijn NV	Edingensesteenweg 196	1500 Halle, Belgium	0645 906 865	100%
R.H.C. SAS	Avenue Georges Brassens 10	94470 Boissy Saint-Léger, France	350 590 154	100%
Retail Partners Colruyt Group NV	Edingensesteenweg 196	1500 Halle, Belgium	0413 970 957	100%
Roecol NV	Spieveldstraat 4	9160 Lokeren, Belgium	0849 963 488	100%
Roelandt NV	Warandestraat 5	9240 Zele, Belgium	0412 127 858	100%
Saro BV	Edingensesteenweg 196	1500 Halle, Belgium	0451 082 662	100%
Smart Technics NV	Edingensesteenweg 196	1500 Halle, Belgium	0716 663 516	100%
SmartRetail BV	Edingensesteenweg 196	1500 Halle, Belgium	0640 760 224	100%
Solucious NV	Edingensesteenweg 196	1500 Halle, Belgium	0448 692 207	100%
Supermarkt De Belie BV	Kerkstraat 14	9111 Sint-Niklaas, Belgium	0433 756 581	100%
Supermarkt Magda NV	Lippelostraat 24	1840 Londerzeel, Belgium	0422 180 523	100%
Symeta Hybrid NV	Interleuvenlaan 50	3001 Heverlee, Belgium	0867 583 935	100%
The Fashion Society NV(1)	Brusselsesteenweg 185	1785 Merchtem, Belgium	0553 548 910	100%
Van der Veken BV	Veldenstraat 22	2470 Retie, Belgium	0465 176 069	100%
VDV-Lease BV	Everdongenlaan 9, bus B-05	2300 Turnhout, Belgium	0698 812 150	100%
Vlevico NV	Edingensesteenweg 196	1500 Halle, Belgium	0422 846 259	100%
Walcodis SA	Rue Du Parc Industriel 34	7822 Ath, Belgium	0829 176 784	100%
Wieleke BV	Tramstraat 63	9052 Zwijnaarde, Belgium	0477 728 760	100%
Witeb 1 BV	Edingensesteenweg 196	1500 Halle, Belgium	0697 694 571	100%
Witeb 2 BV	Edingensesteenweg 196	1500 Halle, Belgium	0699 852 426	100%
Witeb 3 BV	Edingensesteenweg 196	1500 Halle, Belgium	0726 754 187	100%
Witeb 4 BV	Edingensesteenweg 196	1500 Halle, Belgium	0747 601 566	100%
Witeb 5 BV	Edingensesteenweg 196	1500 Halle, Belgium	0761 776 335	100%
WV1 BV	Guldensporenpark 100, blok K	9820 Merelbeke, Belgium	0627 969 585	100%
WV2 BV	Guldensporenpark 100, blok K	9820 Merelbeke, Belgium	0627 973 149	100%
Zeeboerderij Westdiep BV	Edingensesteenweg 196	1500 Halle, Belgium	0739 918 869	80%

(1) This company is a sub-consolidation.

34.3. Joint ventures

Achilles Design BV(1)	Borchtstraat 30	2800 Mechelen, Belgium	0691 752 926	24,70%
Daltix NV(1)	Ottergemsesteenweg-Zuid 808, bus 160	9000 Ghent, Belgium	0661 713 511	77,55%
Daltix Unipessoal LDA(1)	Avenida Antonio Augusto De Aguiar 130 Piso 1	1050-020 Lisbon, Portugal	0514 607 769	77,55%
De Leiding BV(1)	Kerkstraat 108	9050 Gentbrugge, Belgium	0694 734 685	46,23%
Digiteal NV(1)	Rue Emile Francqui 6	1435 Mont-Saint-Guibert, Belgium	0630 675 588	26,84%
Hyve BV(1)	Kapeldreef 75	3001 Leuven, Belgium	0767 791 820	16,67%
Kriket BV(1)	Brogniezstraat 172 BIO7	1070 Anderlecht, Belgium	0692 761 033	43,82%
Some BV(1)	Hooilaar 40	2230 Herselt, Belgium	0829 249 337	24,97%
Ticom NV	Bilkensveld 1A	1500 Halle, Belgium	0820 813 505	90,00%
We Connect Data BV(1)	Wiedauwkaai 23, bus S	9000 Ghent, Belgium	0650 599 388	16,03%

(1) These companies close their financial year on 31 December and are included in the consolidated financial statements as of that date.

34.4. Associates

AgeCore SA(1)	Rue de la Synagogue 33	1204 Genève, Switzerland	CHE-222 427 477	25,00%
First Retail International 2 NV(1)	Pontbeekstraat 2	1702 Dilbeek, Belgium	0644 497 494	4,73%
Newpharma Group SA(1)(3)	Rue du Charbonnage 10, bus 2	4020 Liège, Belgium	0684 465 652	60,99%
Scallog SAS(2)	Rue Raymond Barbet 105	92000 Nanterre, France	791 336 076	23,73%
Smartmat NV(3)	Regine Beerplein 1, bus 207	2018 Antwerp, Belgium	0841 142 626	41,36%
The Seaweed Company BV(3)	Lange Haven 132	3111 CK Schiedam, Netherlands	72339225	21,30%
Vendis Capital NV(1)	Jan Emiel Mommaertslaan 22	1831 Machelen, Belgium	0819 787 778	10,87%
Virya Energy NV(1)(3)	Villalaan 96	1500 Halle, Belgium	0739 804 548	59,78%

(1) These companies close their financial year on 31 December and are included in the consolidated financial statements as of that date.

(2) This company closes its financial year on 30 June and is included in the consolidated financial statements based on intermediate financial statements as of 31 March. (3) This company is a sub-consolidation.

34.5. Changes in consolidation scope

a. New investments

On 23 April 2021, Colruyt Group acquired 100% of the shares of Culinoa (AB Restauration BV), thereby strengthening Colruyt Group's position in the foodservice market in Belgium. On 30 April 2021, Colruyt Group acquired 100% of the shares of the fitness chain JIMS (Jims NV, Do Invest NV en Do Invest Lux SA). Both companies have, since their acquisition, been accounted for as subsidiaries and are fully consolidated.

In January 2022, Colruyt Group fully acquired Roelandt Group. Roelandt Group is one of Belgium's most important industrial bakeries. Via this acquisition, 100% of the shares of Roecol NV (previously 70%) were also acquired. Besides Roecol NV, Roelandt Group consists of Northlandt NV, Roelandt NV, Banketbakkerij Mariman NV and Het Taartenhuis NV.

On 3 February 2022, Colruyt Group acquired 41% of the shares of Smartmat NV, a specialist in meal boxes under the Foodbag and 15gram brands. Smartmat NV is accounted for as an associate using the equity method.

On 14 March 2022, Colruyt Group increased its stake in The Seaweed Company BV from 1% to 21%. The Seaweed Company BV is a Netherlands-incorporated company that operates sea(weed) farms in the Netherlands, Ireland, Morocco and India. The Seaweed Company BV is accounted for as an associate using the equity method.

As part of the further expansion of Bike Republic, Wieleke BV (January 2022), Van der Veken BV and VDV-Lease BV (March 2022) were fully acquired.

Additionally, Codex BV (April 2021), Grimbergen Retail Property BV (September 2021), Immo De CE Floor BV (October 2021), Gecaro NV (January 2022), Supermarkt Magda NV, Supermarkt De Belie BV and Juliette BV (February 2022) were fully acquired.

During the financial year, interests were acquired in Digiteal NV (July 2021), De Leiding BV (July 2021) and Some BV (November 2021). These companies are accounted for as joint ventures using the equity method.

b. Mergers

No companies were merged during the financial year.

c. Newly established companies

In Belgium, the companies Codevco IX BV, Codevco X NV, Codevco XI NV, Codevco XII NV and Codevco XIII NV (December 2021) and Comjan NV (March 2022) were established. Bio-Planet Luxembourg SA was established in the Grand Duchy of Luxembourg (December 2021). Finally, Codevco I SASU and Codevco II SASU (July 2021) were established in the Democratic Republic of the Congo.

On 30 April 2021, Colruyt Group co-established HYVE BV. This company is accounted for as a joint venture using the equity method.

d. Other changes

In March 2021, Korys Investments NV made a contribution in kind to Virya Energy NV of 100% of the shares of Korys Renewable Energy BV (and the underlying stake in Sanchore Renewable Private Limited), along with a receivable on Korys Renewable Energy BV, thereby reducing Colruyt Group's stake in Virya Energy NV to 60%. In addition, in February 2021, Virya Energy NV bought out the minority shareholders of Eurowatt Group, thereby acquiring 100% of the shares of Eurowatt Group and thus full control of Eurowatt Group.

GEOxyz Group was acquired at the end of October 2021 and is fully consolidated in Virya Energy NV, with a 60% shareholder percentage.

These transactions related to the associate Virya Energy NV were included in the consolidated figures of Colruyt Group in the 2021/22 financial year and have no material impact.

Colruyt Group has increased its stake in online pharmacy specialist Newpharma Group NV from 26% to 61% by acquiring the shares held by minority shareholders. Based on the reserved items listed in the shareholders' agreement, Newpharma Group NV is accounted for as an associate using the equity method.

For transactions decided by the Board of Directors after year-end with regard to Virya Energy NV and Newpharma Group NV, we refer to note 32. Events after the reporting date.

In January 2022, the remaining 2% of the shares of minority shareholders of The Fashion Society NV were acquired. Since then, The Fashion Society NV has been an integral part of Colruyt Group.

In the course of the financial year, Colruyt Group's shareholding in Daltix NV and Daltix Unipessoal LDA was increased in 2 phases from 65% to 78%. In December 2021, the stake in Kriket BV was increased from 25% to 44%. The investment in Agecore NV was also increased in August from 17% to 25%.

The registered names of Witeb Oost BV, Witeb West BV and Witeb Zuid BV were changed to Witeb 1 BV, Witeb 2 BV and Witeb 3 BV respectively in May 2021. In July 2022, Trybou Bio BV was renamed Het Zilverleen BV. Following the sale of 20% of the shares of Codevco V BV to DEME NV, the company was renamed Zeeboerderij Westdiep BV.

35. Condensed (non-consolidated) financial statements of Etn. Fr. Colruyt NV, in accordance with Belgian accounting standards

The financial statements of Etn. Fr. Colruyt NV are presented below in condensed form.

For the individual financial statements of Etn. Fr. Colruyt NV an unqualified audit opinion was delivered by the auditor. The statutory report of the auditor confirms that the individual financial statements of Etn. Fr. Colruyt NV for the financial year ending 31 March 2022, prepared according to Belgian accounting standards, give a true and fair view of the financial position of Etn. Fr. Colruyt NV in accordance with all legal and regulatory dispositions. In the report no attention was drawn to any matter in particular.

The annual report, the annual financial statements of Etn. Fr. Colruyt NV and the independent auditor's report are filed with the National Bank of Belgium, in accordance with art. 3:10 and art. 3:12 of the Code on Companies and Associations. A copy of these documents can be obtained there on request.

These documents can also be obtained on request at the Company's registered office:

Etn. Fr. Colruyt NV – Edingensesteenweg 196, 1500 Halle Tel. +32 (2) 363 55 45 Internet: www.colruytgroup.com Email: contact@colruytgroup.com

Condensed statement of financial position of Etn. Fr. Colruyt NV

(in million EUR)	31.03.2022	31.03.2021
Non-current assets	6.262,9	6.184,4
II. Intangible assets	188,1	150,4
III. Property, plant and equipment	285,5	275,6
IV. Financial non-current assets	5.789,3	5.758,4
Current assets	1.266,4	1.185,3
V. Receivables exceeding one year	8,0	8,2
VI. Inventories and work in progress	434,0	420,2
VII. Receivables for less than one year	659,3	530,6
VIII. Cash investments	132,0	65,4
IX. Cash and cash equivalents	29,0	149,9
X. Prepayments and accrued income	4,1	11,0
Total assets	7.529,3	7.369,7

Equity	1.757,0	1.783,8
I. Share capital	364,8	357,4
IV. Reserves	172,2	105,5
V. Profit carried forward	1.219,7	1.320,6
VI. Capital grants	0,3	0,3
Provisions and deferred taxes	2,8	3,1
Liabilities	5.769,5	5.582,8
VIII. Liabilities exceeding one year	4.089,8	3.750,1
IX. Liabilities for less than one year	1.657,3	1.809,8
X. Accruals and deferred income	22,4	22,9
Total liabilities	7.529,3	7.369,7

Condensed income statement of Etn. Fr. Colruyt NV

(in million EUR)	2021/22	2020/21
I. Operating income	7.351,6	7.573,4
II. Operating expenses	(7.177,4)	(7.336,6)
III. Operating profit	174,2	236,8
IV. Finance income	209,0	387,9
V. Finance costs	(149,8)	(137,8)
VI. Profit for the financial year before tax		486,9
VIII. Income tax	(6,9)	(19,3)
IX. Profit for the financial year		467,6
X.A. Transfer from the tax exempt reserves	0,9	0,3
X.B. Transfer to the tax exempt reserves	(0,3)	(0,4)
XI. Profit for the financial year available for appropriation		467,5

Profit appropriation of Etn. in Colruyt NV

For the 2021/22 financial year, the Board of Directors will propose the following profit distribution to the General Meeting of Shareholders on 28 September 2022:

(in million EUR)	2021/22	2020/21
Profit for the financial year available for appropriation	227,2	467,5
Profit carried forward from previous financial year	1.320,6	1.109,9
Profit available for appropriation	1.547,8	1.577,4
Transfer to the legal reserve	0,7	1,0
Addition to/(transfer from) other reserves	186,3	52,5
Result to be carried forward	1.219,7	1.320,6
Dividend to owners(1)	139,8	197,5
Other debts	1,3	5,8

(1) This item was calculated on the basis of the treasury share repurchase situation at 10 June 2022.

Definitions

Acquisitions of property, plant and equipment and intangible assets

Acquisitions of property, plant and equipment and intangible assets are exclusive of acquisitions through business combinations, contributions by third parties and rights of use under IFRS 16.

Capital employed

The value of the assets and liabilities that contribute to generating income.

Dividend yield

Gross dividend per share divided by the share price at balance sheet date.

Dividend pay-out ratio

Gross dividend per share divided by the profit for the financial year (group share) per share.

EBIT margin

EBIT divided by revenue.

EBITDA

Earnings before interest, taxes, depreciation and amortisation, or operating profit (EBIT) plus depreciation, amortisation and impairments.

EBITDA margin

EBITDA divided by revenue.

Free cash flow

Free cash flow is defined as the sum of the cash flow from operating activities and the cash flow from investing activities.

FTE

Full-time equivalent; unit of account with which the number of personnel is expressed by dividing the contractual working time by full-time working time.

Gross added value

The realisable value of the manufactured goods less the value of the raw materials and the auxiliary materials used in the production process and the procured services.

Gross profit

Revenue minus cost of goods sold.

Gross profit margin

Gross profit divided by revenue.

Market capitalisation

Closing price multiplied by the number of issued shares at the reporting date.

Net added value

Consists of the gross added value less depreciation, amortisation, impairments on fixed assets, provisions and write-offs of current assets.

Net profit

Profit for the financial year (after tax).

Net profit margin

Net profit divided by revenue.

Operating profit (EBIT or earnings before interest and taxes)

The operating income less all operating costs (cost of goods sold, services and miscellaneous goods, employee benefit expenses, depreciation, amortisation, impairments and other operating expenses).

Revenue

Revenue comprises the sale of goods and services provided to our own customers, affiliated customers and wholesale customers, after the deduction of discounts and commissions allocated to these customers.

ROCE

Return on capital employed, or operating profit (EBIT) after tax divided by the capital employed.

Share of the group

Interest that can be attributed to the owners of the parent company.

SPPI ('Solely Payments of Principal and Interests')

The SPPI test requires that the contractual terms of the financial asset give rise to cash flows that only include principal and interest payments on the principal amount outstanding.

Weighted average number of outstanding shares

The number of outstanding shares at the beginning of the period, adjusted for the number of shares cancelled, treasury shares purchased or shares issued during the period multiplied by a time-correcting factor.

Notes

Notes

Contact

Limited liability company Etn. Fr. Colruyt

Headquarters: Wilgenveld Edingensesteenweg 196 B-1500 HALLE

RPR Brussels VAT: BE 0400.378.485 Enterprise number: 0400.378.485

+32 (0)2 363 55 45 colruytgroup.com contact@colruytgroup.com

Investor relations (for questions about shares, financial issues, annual rapport) +32 (0)2 363 55 45 investor@colruytgroup.com

Press and media enquiries +32 (0)473 92 45 10 press@colruytgroup.com

Risks relating to forecasts

Statements by Colruyt Group included in this publication, along with references to this publication 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 all 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 publication or in other group communication, whether written or oral.

colruytgroup.com/en/annualreport

Publisher: Etn. Fr. Colruyt NV

Edingensesteenweg 196, B-1500 Halle • +32 (0)2 363 55 45 Design: Colruyt Goup Marketing Communication Services • Edingensesteenweg 249, B-1500 Halle

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