Jeronimo Martins SGPS : H1 2020 Results Presentation

2020 | H1 Results

July 30, 2020

Introductory note

The performance analysis in this presentation is presented under IFRS16.

The Financial Statements excluding the effect of the IFRS16 are presented in the Appendix of this presentation.

2

INDEX

1. 2020 H1 HIGHLIGHTS
2. UPDATE Q2 2020 | COVID- 19 IMPACT
3. KEY FIGURES
4. 1. Overview
   2. Income Statement
   3. Cash Flow
   4. Balance Sheet
   5. Capex
5. SALES PERFORMANCE
6. 1. Group
   2. Biedronka
   3. Hebe
   4. Pingo Doce
   5. Recheio
   6. Ara

1. EBITDA
2. 1. EBITDA Performance
   2. EBITDA Margin
3. 2020 H1 SUMMARY
4. OUTLOOK

APPENDIX

FINANCIAL STATEMENTS

3

1. 2020 H1 HIGHLIGHTS

Operating landscape marked by the pandemic's disruptive effects in every market Biedronka remained impressively strong

All our teams responded with extraordinary resilience, determination and commitment

• Superior execution from Biedronka driving strong outperformance of the market despite the operational challenges raised by the health crisis
• In Portugal, our banners, after a difficult month of April have been adapting their action plans to the lifting of the lockdown measures. Existing restrictions to number of people inside store, subdued tourism and weak consumer demand hampered the performance
• Lockdown measures imposed in Colombia in the beginning of April were in force throughout the second quarter, heavily affecting the economic activity. Ara's trading hours were reduced c.30%
• Biedronka was able to protect profitability despite strong commercial dynamics and mitigated, on Group EBITDA, the impact of operational deleverage in Portugal and Colombia, the additional costs related to COVID-19 and the zloty devaluation

4

2.1. UPDATE Q2 2020 | COVID-19 IMPACT (1/2)

Different epidemiological situations in each geography required different confinement measures and impacted each market differently

Our teams designed specific action plans to respond to each of the circumstances

• Group's Executive Team's permanent support to the operations was pivotal to streamlining the decision-making process and allowing for quick adaptation of short-term action plans
• Poland is ahead with regards to the lifting of the restrictive measures to the economic activity, Portugal is progressively reopening and Colombia is still in lockdown
• Changes in consumer behaviour driven by the pandemic vary from market to market depending on the impacts on the countries economies
• Costs related to the higher frequency of cleaning of infrastructures, safety equipment to our teams, special bonus paid to employees and increase of provisions in the context of the pandemic amounted to €32 mn (of which €29 mn directly impacted EBITDA)

5

2.2. UPDATE Q2 2020 | COVID-19 IMPACT (2/2)

POLAND

PORTUGAL

COLOMBIA

• Confinement measures eased progressively from May
• Reopening of economic activities throughout the last two months of the period
• People movement gradually increasing
• Limitation to number of people inside stores lifted in June from 3 people per checkout until April 19 and 1 person per 15sqm between April 20 and May 29
• Preference for proximity shopping maintained its positive trend

• State of Emergency in force until May 2 was reduced to alert situation
• Slow reopening of hotels and restaurants from May 18
• Consumers showing signs of trading down
• Number of people inside stores limited to 5 people per 100sqm (4 people per 100sqm until May 3)
• Concerns about the evolution of the pandemic driving consumers to reduce the frequency of purchase and to give preference to stores with more space and fewer customers

• Confinement measures imposed in April and in force until the end of July

• Economic activities strongly impacted by lockdown measures
• Curfew hours and trading bans on certain days of the week heavily impacting retail activity

6

3.1. KEY FIGURES | OVERVIEW

(Million Euro)

H1 19

Net Sales & Services	8,908	+4.6%
Excl. FX		+7.3%
EBITDA	667	-4.9%
Excl. FX		-2.7%
Margin	7.5%
Net attributable Results	163	-36.2%
Excl. Other Profits/Losses	165	-28.1%
EPS (€)	0.26
Excl. Other Profits/Losses (€)	0.26
Net Debt	2,513
Excl. capitalized operating	154
leases

H1 20

9,317

635

6.8%

104

119

0.17

0.19

2,150 -99

7

3.2. KEY FIGURES | INCOME STATEMENT Q2

(Million Euro)	Q2 20	Q2 19	∆
Net Sales and Services	4 601		4 661		-1.3%
Gross Profit	991	21.5%	1 006	21.6%	-1.4%
Operating Costs	-666	-14.5%	-648	-13.9%	2.7%
EBITDA	325	7.1%	357	7.7%	-8.8%
Depreciation	-179	-3.9%	-178	-3.8%	0.7%
EBIT	147	3.2%	179	3.8%	-18.3%
Net Financial Costs	-33	-0.7%	-37	-0.8%	-12.1%
Gains in Joint Ventures and Associates	0	0.0%	0	0.0%	n.a.
Other Profits/Losses	-16	-0.3%	-3	-0.1%	n.a.
EBT	98	2.1%	139	3.0%	-29.6%
Income Tax	-32	-0.7%	-32	-0.7%	0.6%
Net Profit	66	1.4%	108	2.3%	-38.6%
Non-Controlling Interests	3	0.1%	-6	-0.1%	n.a.
Net Profit Attributable to JM	69	1.5%	101	2.2%	-31.5%
EPS (€)	0.11		0.16		-31.5%
EPS without Other Profits/Losses (€)	0.13		0.16		-21.1%

8

3.2. KEY FIGURES | INCOME STATEMENT H1

(Million Euro)	H1 20	H1 19	∆
Net Sales and Services	9 317		8 908		4.6%
Gross Profit	2 032	21.8%	1 932	21.7%	5.1%
Operating Costs	-1 397	-15.0%	-1 265	-14.2%	10.4%
EBITDA	635	6.8%	667	7.5%	-4.9%
Depreciation	-362	-3.9%	-352	-3.9%	2.7%
EBIT	273	2.9%	315	3.5%	-13.4%
Net Financial Costs	-96	-1.0%	-78	-0.9%	22.9%
Gains in Joint Ventures and Associates	0	0.0%	0	0.0%	n.a.
Other Profits/Losses	-20	-0.2%	-4	0.0%	n.a.
EBT	157	1.7%	234	2.6%	-32.8%
Income Tax	-54	-0.6%	-60	-0.7%	-9.7%
Net Profit	103	1.1%	174	2.0%	-40.7%
Non-Controlling Interests	1	0.0%	-11	-0.1%	n.a.
Net Profit Attributable to JM	104	1.1%	163	1.8%	-36.2%
EPS (€)	0.17		0.26		-36.2%
EPS without Other Profits/Losses (€)	0.19		0.26		-28.1%

9

3.3. KEY FIGURES | CASH FLOW

(Million Euro)	H1 20	H1 19
EBITDA	635	667
Capitalised Operating Leases Payment	-136	-130
Interest Payment	-77	-79
Other Financial Items	0	0
Income Tax	-97	-86
Funds From Operations	325	371
Capex Payment	-289	-262
Change in Working Capital	-137	45
Others	-17	-2
Cash Flow	-118	152

10

3.4. KEY FIGURES | BALANCE SHEET

(Million Euro)	H1 20	2019	H1 19
Net Goodwill	627	641	641
Net Fixed Assets	3 914	4 140	3 918
Net Rights of Use (RoU)	2 167	2 318	2 341
Total Working Capital	-2 416	-2 793	-2 504
Others	7	94	98
Invested Capital	4 299	4 400	4 495
Total Borrowings	734	732	677
Financial Leases	14	17	19
Capitalised Operating Leases	2 249	2 368	2 359
Accrued Interest	1	3	4
Cash and Cash Equivalents	-848	-949	-546
Net Debt 1	2 150	2 172	2 513
Non-Controlling Interests	238	254	234
Share Capital	629	629	629
Reserves and Retained Earnings	1 283	1 346	1 118
Shareholders Funds	2 150	2 229	1 982

1 Net Debt amount was restated in 2019. Cash in hand previously considered in Total Working Capital was restated to Cash and Cash Equivalents heading.

DIVIDENDS in

the amount of €130.1 million paid in July 15

11

3.5. KEY FIGURES | CAPEX

Capex of €142 mn in H1 20

• New Stores

34 Biedronka (29 net)

11 Hebe

3 Pingo Doce

23 Ara (15 net)

• Revamping 71 Biedronka

6 Pingo Doce

19%		Biedronka
6%	43%	Distribution

Portugal

Ara

Others

32%

12

4.1. SALES PERFORMANCE | GROUP

Contribution to Group Sales Growth (Mn €)

8,908	659		119	1	9,559	9,317
-55	-67		-6		-243

7.3% 4.6%

Sales by banner (Bn €)

7		+7.8%		H1 19		H1 20
6
5
4
3		-2.9%
2
1		-14.4%	+18.8%	-1.7%
0
	Biedronka Pingo Doce Recheio	Ara	Hebe

• Strong Biedronka delivery throughout the entire period more than compensating for the market restrictions pressure in Portugal in the context of COVID-19 and currencies devaluation
• Currency devaluation effects impacted sales growth in euros in c.3p.p.
• Group LFL at 4.2% in H1 (-0.7% in Q2)

13

4.2. SALES PERFORMANCE | BIEDRONKA

LFL SALES GROWTH											SALES (Mn €)
																11.1%								459	200	6,723	6,536
																							6,064
																					-187
				8.6%	7.8%			7.7%
																	4.8%
																											+10.9%		+7.8%
-1.1%		Q2			Q3	Q4	Q1				Q2
			Q1
		2019					2020

• Solid performance reflects agility, flexibility and resourcefulness in the response to the challenges raised by the pandemic
• Basket inflation slowing down across the period, was at 3.9% in H1 (2.7% in Q2)
• 34 new stores (29 net additions to a total network of 3,031 locations). 71 stores remodelled over the period
• Strong market share gains accelerated in Q2 and were more than 2p.p. in H1

14

4.3. SALES PERFORMANCE | HEBE

SALES (Mn €)						STORE NETWORK
117		18	118		115							273			281	284
						247	255
			-3	238
-17
			+1.2%		-1.7%

Q1 19

H1 19

9M 19

2019YE

Q1 20

H1 20

• Sales performance heavily impacted by the pandemic
• Signs of negative pressure easing towards the end of June
• Online sales in Q2 increased c.80% over Q1
• 11 new stores opened in the period
• Hebe will close the 48 pharmacies it runs, 20 of which are inside Hebe's stores

15

4.4. SALES PERFORMANCE | PINGO DOCE

LFL SALES GROWTH (EXCL. FUEL)

	5.1%			3.5%
			2.7%
1.6%		0.6%
					-8.5%
Q1	Q2	Q3	Q4	Q1	Q2
	2019	2020

SALES (Mn €)

1,893	1,838
-50	-6

-2.9%

* Includes fuel sales

• Restriction measures to traffic impacted the historically high number of visits
• April was the most challenging month. The banner fought in May and June to mitigate the impact of the restriction measures and start to adapt to gradual easing
• Three new stores opened; Six stores were refurbished

16

4.5. SALES PERFORMANCE | RECHEIO

LFL SALES GROWTH						SALES (Mn €)
							467
3.7%	3.2%	3.4%		2.4%			0	400
			0.1%
						-67

-14.4%

					-26.9%
Q1	Q2	Q3	Q4	Q1	Q2

2019 2020

* Includes export activity

• Performance strongly impacted by the closure of HoReCa in April and May. HoReCa represented more than 35% of Recheio sales
• Soft opening of hotels and restaurants throughout June with majority of hotel activity only starting in July
• Traditional segment performing well

17

4.6. SALES PERFORMANCE | ARA

SALES (Mn €)				STORE NETWORK	631
60	475			628
423	616
59
356			-52		578
					557
		+33.4%		+18.8%	541

Q1 19

H1 19

9M 19

2019YE

Q1 20

H1 20

• Pandemic situation pressuring the economy and consumer demand
• Confinement measures imposed reduced Ara's trading hours by c.30% in Q2
• Ara continues to adapt to the challenging circumstances while protecting its competitive position
• 23 stores opened over the period (15 net additions)

18

5.1. EBITDA PERFORMANCE

CONTRIBUTION TO CONSOLIDATED EBITDA GROWTH (Mn €)

46
667				649	635
-25	-14	-2
-23
		-15

-2.7%-4.9%

• Biedronka performance mitigated the pressure from additional pandemic related costs, from operating deleveraging in Portugal and Colombia and from zloty devaluation
• Additional costs related to COVID-19 impacted EBITDA by c. €29 mn in H1
• EBITDA from Ara and Hebe at €-15 mn, in line with H1 19

19

5.2. EBITDA MARGIN

					•	Biedronka	EBITDA		margin
						under	pressure	from	costs
						related	to	the		pandemic
9.2%	9.0%					situation incurred in Q1. In Q2
				and	despite	maintaining
				7.5%		strong	commercial	dynamics,
		6.3%		6.8%		EBITDA	margin	was	stable,
		5.1%	5.7%			driven	by	increased	costs
					discipline
									+12.2%
			3.1%			+7.5%
				•	EBITDA	margin	in	Portugal
						impacted by wage	inflation,
						costs related to COVID-19 and
						negative top line performance
Biedronka	Pingo Doce	Recheio	JM

H1 19		H1 20

• Deleveraging in Colombia also pressured Group EBITDA margin

20

6. 2020 H1 SUMMARY

Good Biedronka performance over the six months and strong cash position by the end of the period

Poland was the first market to lift the restrictions and is ahead in the reactivation of economic activities

Biedronka was flexible and innovative to address the market circumstances and delivered well on sales and profitability, strengthening its market positioning

+7.5%+12.2%

Portugal is progressively lifting restrictions but the economy already reflects the absence of tourism until June

Colombia under strict lockdown the entire second quarter with the economy already heavily impacted by the health crisis impact

Investment in the commercial offer maintained

After a tough month of April, Pingo Doce is adapting to mitigate the impact of restrictive measures

Recheio is being very impacted by the poor performance of HoReCa

Ara strongly impacted by restrictions over trading hours and the weak consumer environment

21

7. OUTLOOK

Biedronka's confirmed strength and a healthy balance sheet makes us confident about our capacity to navigate the next months that we know will continue to be challenging

The mission of guaranteeing access to quality essential food products, at low prices, on proximity, and in a safe shopping environment, will remain the guiding thread of all our decisions

Biedronka is well prepared to perform in a competitive and value-oriented market and will maintain an active commercial dynamic offering attractive and+7quality.5% products at good+12prices,.2% managing in detail sales mix and cost efficiency to drive profitability

In Portugal, Pingo Doce and Recheio have strong value propositions and are well prepared as the economy opens and a more value sensitive consumer emerges. The next months will be critical to understand the extent of the economic impact of the health crisis

In Colombia, Ara protected its value perception for the last months and will adjust the operations to the circumstances to reduce the impacts over profitability

The uncertainty about the development of the pandemic remains very high, being too early to estimate the real impact it will have on the world economy and on each of the countries where we operate. We thus do not restate guidance for 2020

22

APPENDIX

FINANCIAL STATEMENTS

23

											APPENDIX
FINANCIAL STATEMENTS (1/11)
INCOME STATEMENT
				(Excl. IFRS16)				(Excl. IFRS16)
	(Million Euro)	H1 20	H1 19	∆	Q2 20	Q2 19	∆
	Net Sales and Services	9 317		8 908		4.6%	4 601		4 661		-1.3%
	Gross Profit	2 032	21.8%	1 932	21.7%	5.1%	991	21.5%	1 006	21.6%	-1.4%
	Operating Costs	-1 597	-17.1%	-1 461	-16.4%	9.3%	-764	-16.6%	-748	-16.0%	2.1%
	EBITDA	435	4.7%	471	5.3%	-7.7%	227	4.9%	257	5.5%	-11.8%
	Depreciation	-205	-2.2%	-195	-2.2%	5.2%	-102	-2.2%	-98	-2.1%	3.6%
	EBIT	230	2.5%	276	3.1%	-16.8%	+7125.5%2.7%	159	3.4%	-21.3%+12.2%
	Net Financial Costs	-18	-0.2%	-16	-0.2%	14.5%	-9	-0.2%	-8	-0.2%	11.2%
	Gains in Joint Ventures and Associates	0	0.0%	0	0.0%	n.a.	0	0.0%	0	0.0%	n.a.
	Other Profits/Losses	-20	-0.2%	-4	0.0%	n.a.	-16	-0.3%	-3	-0.1%	n.a.
	EBT	192	2.1%	257	2.9%	-25.4%	101	2.2%	149	3.2%	-32.1%
	Income Tax	-60	-0.6%	-63	-0.7%	-5.9%	-33	-0.7%	-33	-0.7%	-2.1%
	Net Profit	132	1.4%	193	2.2%	-31.8%	68	1.5%	116	2.5%	-40.8%
	Non-Controlling Interests	0	0.0%	-12	-0.1%	n.a.	3	0.1%	-7	-0.1%	n.a.
	Net Profit Attributable to JM	132	1.4%	181	2.0%	-27.2%	71	1.5%	109	2.3%	-34.5%
	EPS (€)	0.21		0.29		-27.2%	0.11		0.17		-34.5%
	EPS without Other Profits/Losses (€)	0.23		0.29		-20.1%	0.13		0.17		-24.8%

24

APPENDIX

FINANCIAL STATEMENTS (2/11)

CASH FLOW

	(Excl. IFRS16)
(Million Euro)	H1 20	H1 19
EBITDA	435	471
Interest Payment	-14	-13
Other Financial Items	0	0
Income Tax	-97	-86	+7.5%	+12.2%
Funds From Operations	325	372
Capex Payment	-289	-262
Change in Working Capital	-137	45
Others	-17	-2
Cash Flow	-118	152

25

APPENDIX

FINANCIAL STATEMENTS (3/11)

BALANCE SHEET

			(Excl. IFRS16)
(Million Euro)	H1 20	2019	H1 19
Net Goodwill	627		641	641
Net Fixed Assets	3 914	4 140	3 918
Total Working Capital	-2 411	-2 788	-2 499
Others	-7	86	95
Invested Capital	2 123	2 079	2 155		+12.2%
Total Borrowings	734	732	+7677.5%
Financial Leases	14	17	19
Accrued Interest	1	3	4
Cash and Cash Equivalents	-848	-949	-546
Net Debt 1	-99	-196	154
Non-Controlling Interests	242	257	236
Share Capital	629	629	629
Reserves and Retained Earnings	1 351	1 389	1 136
Shareholders Funds	2 222	2 275	2 001

1 Net Debt amount was restated in 2019.

Cash in hand previously considered in Total Working Capital was restated to Cash and Cash Equivalents heading.

26

APPENDIX

FINANCIAL STATEMENTS (4/11)

EBITDA BREAKDOWN

(Million Euro)		IFRS16						Excl. IFRS16
H1 20	Mg	H1 19	Mg			H1 20	Mg	H1 19	Mg
Biedronka	589	9.0%		560	9.2%			453	6.9%		428	7.1%
Pingo Doce	94	5.1%		118	6.3%			62	3.4%		86	4.5%
Recheio	13	3.1%		27	5.7%			10	2.5%		23	5.0%
Ara	-19	n.a.		-20	n.a.	+7.5%	-36	n.a.		-37	n.a.
Hebe	4	3.4%		4	3.8%	-7	n.a.		-5	+12.2%
				n.a.
Others & Cons. Adjustments	-46	n.a.		-23	n.a.			-47	n.a.		-24	n.a.
JM Consolidated	635	6.8%		667	7.5%			435	4.7%		471	5.3%

27

								APPENDIX
FINANCIAL STATEMENTS (5/11)
	FINANCIAL RESULTS
	(Million Euro)	IFRS16				Excl. IFRS16
	H1 20	H1 19			H1 20	H1 19
	Net Interest	-11	-12			-11	-12
	Interests on Capitalised Operating Leases	-63	-66			-	-
	Exchange Differences	-19	3		.5%	-4	-1	+12.2%
				+7
	Others	-3	-3			-3	-3
	Financial Results	-96	-78			-18	-16

28

APPENDIX

FINANCIAL STATEMENTS (6/11)

SALES BREAKDOWN

(Million Euro)	H1 20	H1 19	∆ %	Q2 20	Q2 19	∆ %
	% total		% total excl. FX	Euro		% total		% total excl. FX	Euro
Biedronka	6 536	70.2%	6 064	68.1%	10.9%	7.8%	3 274	71.1%	3 167	67.9%	8.7%	3.4%
Pingo Doce	1 838	19.7%	1 893	21.3%		-2.9%	902	19.6%	988	21.2%		-8.8%
Recheio	400	4.3%	467	5.2%		-14.4%	185	4.0%	253	5.4%		-26.7%
Ara	423	4.5%	356	4.0%	33.4%	18.8%	188	4.1%	187	4.0%	16.7%	0.5%
Hebe	115	1.2%	117	1.3%	1.2%	-1.7%	+7.5%	61	1.3%	+12.2%
51	1.1%	-11.8%	-16.6%
Others & Cons. Adjustments	6	0.1%	11	0.1%		-51.8%	2	0.0%	6	0.1%		-63.5%
Total JM	9 317	100%	8 908	100%	7.3%	4.6%	4 601	100%	4 661	100%	3.1%	-1.3%

29

APPENDIX

FINANCIAL STATEMENTS (7/11)

SALES GROWTH

		Total Sales Growth			LFL Growth
	Q1 20	Q2 20	H1 20	Q1 20	Q2 20	H1 20
Biedronka
Euro	12.6%	3.4%		7.8%
PLN	13.2%	8.7%		10.9%	11.1%	4.8%	7.8%
Hebe						+7.5%		+12.2%
Euro	14.6%	-16.6%		-1.7%
PLN	15.2%	-11.8%		1.2%	-1.7%	-26.6%	-14.8%
Pingo Doce	3.5%	-8.8%		-2.9%	2.8%	-10.2%	-4.0%
Excl. Fuel	4.3%	-7.1%		-1.6%	3.5%	-8.5%	-2.8%
Recheio	0.2%	-26.7%		-14.4%	0.1%	-26.9%	-14.5%
Ara
Euro	38.9%	0.5%		18.8%
COP	52.3%	16.7%		33.4%	34.3%	1.1%	16.6%
Total JM
Euro	11.0%	-1.3%		4.6%
Excl. FX	12.0%	3.1%		7.3%	9.5%	-0.7%	4.2%

30

APPENDIX

FINANCIAL STATEMENTS (8/11)

STORE NETWORK

Number of Stores	2019	Openings	Closings	H1 20	H1 19
Q1 20	Q2 20	H1 20
Biedronka	3 002	11	23	5		3 031	2 916
Hebe *	273	8	3	0		284	247
Pingo Doce	441	1	2	0		444	436
Recheio	42	0	0	0		42	42
Ara	616	19	4	8		631	557		+12.2%
							+7.5%
* H1 20: 284 stores: 28 pharmacies and 256 drugstores (21 of which include a pharmacy)
		Openings	Closings
Sales Area (sqm)	2019	Remodellings	H1 20	H1 19
		Q1 20	Q2 20	H1 20
Biedronka	2 021 345	8 394	16 694	-127		2 046 559	1 949 632
Hebe	66 805	2 109	703	0		69 617	59 826
Pingo Doce	513 272	102	2 496	0		515 870	510 035
Recheio	133 826	0	0	0		133 826	133 826
Ara	207 982	6 235	1 502	3 001		212 718	189 316

31

APPENDIX

FINANCIAL STATEMENTS (9/11)

CAPEX

(Million Euro)	H1 20	Weight	H1 19	Weight
Biedronka	61	43%	114	48%
Distribution Portugal	45	32%	+7.5% 75	32%	+12.2%
Ara	9	6%	37	15%
Others	27	19%	13	5%
Total CAPEX	142	100%	238	100%

32

APPENDIX

FINANCIAL STATEMENTS (10/11)

WORKING CAPITAL

(Million Euro)	IFRS16			Excl. IFRS16
H1 20	H1 19		H1 20	H1 19
Inventories	1 023	949		1 023	949
in days of sales	20	19		20	19
Customers	35	58		35	58
in days of sales	1	1		1	1		+12.2%
					+7.5%
Suppliers	-2 873	-2 925		-2 873	-2 925
in days of sales	-56	-59		-56	-59
Trade Working Capital	-1 814	-1 918		-1 814	-1 918
in days of sales	-35	-39		-35	-39
Others	-601	-586		-597	-580
Total Working Capital 1	-2 416	-2 504		-2 411	-2 499
in days of sales	-47	-51		-47	-51

1 Cash in hand previously considered in Total Working Capital was restated to Cash and Cash Equivalents heading.

33

APPENDIX

FINANCIAL STATEMENTS (11/11)

TOTAL BORROWINGS

(Million Euro)	H1 20	H1 19
Long Term Borrowings	211	296
as % of Total Borrowings	28.8%	43.7%
Average Maturity (years)	3.6	+7.5% 2.2	+12.2%
Short Term Borrowings	523	381
as % of Total Borrowings	71.2%	56.3%
Total Borrowings	734	677
Average Maturity (years)	1.7	1.3
% Total Borrowings in Euros	9.5%	7.4%
% Total Borrowings in Zlotys	46.4%	44.8%
% Total Borrowings in Colombian Pesos	44.1%	47.8%

34

DISCLAIMER

All guidance is provided excluding IFRS16 basis.

Statements in this presentation that are forward-looking are based on current expectations of future events and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. The risks and uncertainties relate to factors that are beyond Jerónimo

+7.5%+12.2%

Martins' ability to control or estimate precisely, such as general economic conditions, credit markets, foreign exchange fluctuations and regulatory developments.

Except as required by any applicable law or regulation, Jerónimo Martins assumes no obligation to update the information contained in this presentation or to notify a reader in the event that any matter stated herein changes or becomes inaccurate.

35

Jerónimo Martins, SGPS, SA

Rua Actor António Silva, 7, 1649-033 Lisboa • Portugal • T.: [phone]

www.jeronimomartins.com