Mr Bricolage — Earnings Release 2015

Feb 11, 2016

2015 Business

• Networks tax-inclusive turnover: +0.8% on a like-for-like store basis(1)
• International expansion stepped up
• Consolidated turnover: €529.5m
• Debt reduction continues: -€12.9m

In an economic context that continues to be difficult (the home improvement superstore market contracted by 0.24% in 2015, according to Banque de France), the consolidated turnover of Mr Bricolage SA was €529.5m for financial year 2015 (€544.0m in 2014).

Pre-tax turnover in € million	H2 2015	% change	31.12.2015	31.12.2014	% change 2015/2014
Retail	167.3	-4.5%	343.4	361.2	-4.9%
Sales in Directly Owned Stores	162.9	-4.4%	332.7	348.4	-4.5%
Online sales(a)	4.4	-7.9%	10.7	12.8	-16.9%
Network Services	88.2	+2.9%	186.1	182.8	+1.8%
Goods sold	54.8	+4.9%	117.7	112.3	+4.8%
Sales of services	33.4	-0.2%	68.4	70.5	-3.0%
Total consolidated turnover	255.4	-2.1%	529.5	544.0	-2.7%

(a) The "online sales" item includes home delivery sales only. Online sales with 2-hour collection through the 254 local sites are included in the turnover of the stores concerned.

"Retail" business: Consolidated turnover of €343.4 million in 2015

● Directly Owned Stores

After the changes in scope that took place in 2014 and in the first half of 2015 under the streamlining plan, the network of Directly Owned Stores had a total of 85 shops as of 31 December 2015. Growing competitive pressure, particularly on the larger stores, adversely affected annual turnover, which declined by 2.9% on a like-for-like store basis (down 4.5% on a total-store basis), to €332.7m.

The Perpignan store reopened on 26 November 2015 after transferal and extension of its sales surface by 1,500 m² , increasing it to 3,300 m² .

● Online sales

With 2 million unique visitors (December 2015) to its historical web sites (le-jardin-decatherine.fr and la-maison-de-catherine.fr) and the mr-bricolage.fr web site, Mr Bricolage SA is placing its digital strategy in the service of the networks by generating in-store traffic and sales. Online ordering with "2-hour collection" in-store, a response to new consumer requirements, got off to a positive start. Online sales - which are only home delivery sales - came in at €10.7m for the year.

⁽¹⁾ On an unaudited basis.

"Network Services" business: consolidated turnover of €186.1m in 2015

Turnover generated by "Network Services" grew by 1.8% to €186.1m in 2015, despite a decline in sales of services (€68.4m, compared with €70.5m in 2014), mainly due to stores leaving the Mr.Bricolage France network in 2014. Business was boosted by an increase of 4.8% to €117.7m in sales of goods to member stores transiting through the Group's logistics unit.

Debt reduction continues: -€12.9m in 12 months

Due to the continuing reduction in stocks at the Directly Owned Stores and the ongoing improvement in collection, the working capital requirement (WCR) decreased by €7.8m during the year. This change helped to reduce the Group's net debt, which stood at €78.7m(2) , compared with €91.6m at 31 December 2014.

Networks business: 838 stores and €2.2bn in tax-inclusive turnover in 2015(1)

Turnover generated by the networks came in at €2,159.8m in 2015, benefiting from international growth, particularly in Belgium and Bulgaria.

Tax-inclusive turnover in € million	H2 2015 Change (like-for-like store basis) vs H2 2014	31.12.2015	Change (total store basis)	Change (like-for-like store basis)(c)	Number of stores
In-store sales	+0.5%	2 146,2	-1.4%	+1.0 %	838
Of which France(a)	+0.2%	1,903.6	-2.6%	+0.5%	766
Of which International(b)	+2.7%	242.6	+9.0%	+4.3%	72
E-commerce		13.6		-	-
Tax-inclusive total for networks	+0.4%	2,159.8	-1.6%	+0.8%	838

(a) Of which 350 stores under the Mr.Bricolage brand, 123 stores under the Les Briconautes brand and 293 affiliates.

(b) 72 Mr.Bricolage stores operating in 11 countries: Andorra (1), Belgium (45), Bulgaria (11), Cyprus (1), Colombia (1), Macedonia (1), Madagascar (2), Mauritius (2), Morocco (4), Romania (2) and Uruguay (2).

(c) Changes calculated on the basis of all the Mr.Bricolage stores, a panel comprising 67 Les Briconautes stores and 18 affiliates.

● France

In France, the turnover of the networks, which comprised 766 stores at 31 December 2015, declined by 2.6% to €1,903,6m, mainly due to the Gnuva group's departure from the scope of consolidation at 31 December 2014 (nine stores with tax-inclusive turnover of approximately €46m).

On a like-for-like store basis, the turnover generated by the Mr.Bricolage and Les Briconautes brands grew by 0.5% and 0.1% respectively. These brands opened 7 stores and extended another 11 during the year.

● International

Internationally, turnover grew by 9.0% on a total-store basis and by 4.3% on a like-for-like store basis, reflecting:

• a strong sales performance and new developments in Belgium, with the transition to the Mr.Bricolage brand of three Alexandre stores, two store openings and two store extensions (up 2.8% on a like-for-like store basis and up 13.6% on a total-store basis);

⁽²⁾ The financial debt at 31 December 2015 takes account of the payment of the remainder of the acquisition price of e-commerce subsidiary Le Jardin de Catherine, amounting to €3.1m, and reclassification of the net financial debt of activities to be sold as that of activities to be retained, in the amount of €1.7m.

⁽¹⁾ On an unaudited basis

• and continued growth in the Bulgarian business, which has benefited from the opening of the third store in Sofia (up 6.9% on a total-store basis).

After establishing a presence in Colombia in the first half, Mr.Bricolage opened a store in Larnaca, Cyprus, at the end of the year. As at 31 December 2015, the brand's international network therefore comprised 72 stores.

"As the competitive environment intensifies in France, with a particular effect on the Directly Owned Stores, the networks have all shown a high degree of resilience, thanks to the geographical and human proximity that the store teams provide to their customers every day. Internationally, robust business growth was driven by network expansion, sales growth in Belgium and the successful refocus on Bulgaria. In France, we aim to resume the path of growth while increasing our profits, mainly by offering a more relevant product range, stepping up mass purchasing and developing our digital strategy to serve the sales outlets by leveraging customer relationships", says Paul Cassignol, Chairman of the Board of Directors of Mr Bricolage SA.

The Group will publish its annual results on 9 March 2016 after the stock market closes.

About the Mr Bricolage Group (figures as at 31 December 2015)

The Mr Bricolage Group, which owns well-known brands Mr.Bricolage and Les Briconautes, is a French specialist in DIY retail with 766 outlets operating under the brands or through affiliates. It also has partnerships with groups including SEVEA (Villaverde and Baobob garden centres) and SA2E (Espace Emeraude and Rural Expert DIY stores). Internationally, the Group is present in 11 countries with 72 stores. To serve its networks, it implements an active digital strategy designed to enhance the attractiveness of the outlets.

Mr Bricolage SA (MRB FR0004034320) is listed in compartment C of Euronext Paris and is part of the Enternext PEA-PME 150 and CAC All Shares indices.

Mr Bricolage SA is eligible for the PEA-PME savings plan.

Mr Bricolage Eve Jondeau Head of Financial Communications Tel.: +33 (0)2 38 43 21 88 eve.jondeau@mrbricolage.fr

Calyptus

Marie-Anne Garigue/Grégory Bosson Press and investor relations Tel.: +33 (0)1 53 65 68 63/37 90 mrbricolage@calyptus.net

For financial information on the Mr Bricolage Group, see: www.mr-bricolage.com

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