Casino: strategic plan to return to break-even

(CercleFinance.com) - On Thursday Casino unveiled a new strategic plan focusing on the fast-growing convenience retail market, aiming to return to break-even by 2026.


The project - dubbed 'Renouveau 2028' - aims to focus on three key markets, namely everyday food shopping, takeaway food and new everyday services.

The retailer, which sold 425 stores as part of its recent financial restructuring, plans to refocus on its Monoprix, Franprix, Casino, Cdiscount, Naturalia, Spar and Vival banners.

This scope should represent almost 7,700 sales outlets and a workforce of about 25,000, representing sales of E13bn, based on FY 2023.

The group explains that it plans to invest around E1.2bn over the next four years, with a view to achieving a business volume of around E15bn in 2028.

On the financial front, Casino has set itself the target of an adjusted EBITDA after rents of around E500m in 2028, with gradual growth over the plan's duration.

This aims to achieve break-even in free cash flow before financial expenses and dividends in 2026, with a conversion rate of adjusted EBITDA after rents to free cash flow of around 50% in 2028.

These announcements were welcomed on Thursday morning by the Paris Bourse, where the Casino share gained 1.6% in early trading. However, note that the share is still down 97% YTD.


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