By Shares in France’s Casino Guichard-Perrachon took a significant hit after the company reported a widened loss for 2023 and withdrew its outlook in anticipation of an impending change in control due to financial restructuring.
Financial Performance
- Share Performance:
- The embattled French grocer’s shares plummeted by 9.9% to EUR0.64, marking a loss of over 93% compared to the previous year.
- Net Loss:
- Casino reported a staggering net loss of 5.66 billion euros for 2023, attributing it to disposals and financial restructuring. This is a stark contrast to the EUR316 million loss in 2022.
- Sales Decline:
- Net sales decreased to EUR8.96 billion from EUR9.40 billion, with fourth-quarter sales alone dropping by 5.8% to EUR2.32 billion.
Restructuring and Change in Control
- A financial-restructuring plan, led by Czech billionaire Daniel Kretinsky, is set to take control of the company following approval from a Paris court. The completion of this plan is scheduled for March 27.
- Ongoing processes to sell some operations have rendered previous projections invalid, leading Casino to retract its guidance for the 2023-28 period without providing new estimates in light of the imminent change in control.
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