São Paulo, April 26th, 2018 – GPA [B3: PCAR4; and NYSE: CBD] announces its results for the first quarter of 2018 (1Q18). The comments refer to the consolidated results of the Group or of its business units. All comparisons are with the same period in 2017, except where stated otherwise.

GPA Food

  • Total gross sales amounted to R$12.3 billion, up 7.6% (2.8% on same-store basis excluding calendar effect), driven by robust growth of 25% at Assaí
  • Strong improvement in adjusted EBITDA to R$591 million (+17.4%), with margin expanding from 4.8% to 5.2%
  • Net income from continuing operations attributable to controlling shareholders of R$153 million (+47.7%)


  • Gross sales advance 25.0% to R$5.5 billion. Same-store growth excluding the calendar effect was 9.9% (5.1% excluding conversions), with growth of 12% in clients and 8% in sales volume. As a result, market share expanded by 380 bps in the period;
  • Gross margin stood at 15.4%, predominately due to the rapid maturation of the 33 stores opened in 2016 and 2017 and to the new tax framework, despite the negative effects from food deflation;
  • Adjusted EBITDA margin stood at 4.8%, with strong expansion of 80 bps on last year;
  • Net income strong growth of 51.6% to R$115 million, with net margin of 2.3%;
  • Six months after the launch of the Passaí card, the portfolio has over 200,000 active cards and a monthly issuance rate of around 50,000 cards;
  • In line with the organic growth plan, one store was inaugurated in Sergipe, seven are under construction and another two are under conversion. The banner operates 127 stores in 19 states.


  • Total gross sales of R$6.8 billion. After a lackluster start of the quarter, March registered an important reversal in trend, with same-store sales growth of 11.8% (3.9% ex calendar effect);
  • In early March, new commercial actions were implemented, with greater visibility of promotions, relaunch of the Collect & Win campaign and reinforcement of the loyalty program with the launch of “My Rewards” in the same app as “My Discount”;
  • Selling, general and administrative expenses fell 4.9%, despite inflation (IPCA +2.8%), resulting in a dilution of 30 bps compared to 1Q17;
  • Adjusted EBITDA amounted to R$347 million, with margin of 5.5%, expanding 30 bps from 1Q17.


Performance in 1Q18 was in line with our expectations. We reaffirm our guidance for 2018:

  • Same-store sales growth: Above inflation at Assaí and in line with food inflation at Multivarejo, supporting continued market share gains;
  • Adjusted EBITDA margin: 5.5%-5.6% at Multivarejo and 5.8%-5.9% at Assaí;
  • Financial result: around 1% of net sales.

Click on the link below in order to access:

1Q18 Earnings Release

April 27th, 2018
10:30 a.m. (Brasília time) | 9:30 a.m. (NY) | 2:30 p.m. (London)
Conference in English (simultaneous translation)
+1 646 828-8246
Webcast: click here.
Conference in Portuguese (original language)
+55 (11) 3193-1001 or 2820-4001
Webcast: click here.

Replay: +55 (11) 3193-1012 or +55 (11) 2820-4012
Access code for audio in English: 378980#
Access code for audio in Portuguese: 1799994#
The conference call will also be available in audio format on http://www.gpari.com.br/.

Please dial in five minutes prior to the scheduled conference call time.

Departamento de Relações com Investidores – Investor Relations Team
+55 (11) 3886-0421