Carrefour predicted further growth this year across its main three indicators - earnings before interest, taxes, depreciation and amortisation (EBITDA), recurring operating income and net free cash flow.

"In 2023 Carrefour will continue to differentiate itself for the benefit of its customers and shareholders," Chairman and CEO Alexandre Bompard said in a statement.

Good results and strong cash generation allowed Carrefour to hand investors an 8% dividend hike to 0.56 euros per share and launch an 800 million euro share buyback scheme after one of 750 million euros in 2022 and 700 million euros in 2021.

The company also reported 2022 recurring operating income up 4.6% at 2.377 billion euros ($2.55 billion) at constant exchange rates, slightly above the 2.34 billion euro analyst consensus compiled by Refinitiv.

The performance reflected 1 billion euros in cost cuts and 2022 sales that grew 8.5% on a like-for-like basis to 90.81 billion euros, with market share gains in all key countries.

In the company's core French market, where its hypermarkets' los-cost offering attracted buyers grappling with high inflation, operating profit rose 10.2% to 834 million euros.

In Brazil, Carrefour's second-largest market, operating profit rose 9% at constant exchange rates, though its margin was down 111 basis points owing to expenses related to integration of Grupo BIG and accelerated store conversions.

In November last year, Carrefour vowed to step up its expansion in e-commerce, open more discount stores and cut costs as part of Bompard's plan to speed the group's turnaround amid soaring inflation made worse by the war in Ukraine.

Bompard also faces the challenge of delivering the second leg of the group's turnaround to 2026 without the extra financial resources that would have been on hand if two planned tie-ups had not failed - one with Canada's Alimentation Couche-Tard and another with France's Auchan.

Carrefour shares are still 26% below the level when Bompard took over in July 2017.

($1 = 0.9332 euros)

(Reporting by Dominique Vidalon; Editing by Tassilo Hummel and David Goodman)

By Dominique Vidalon