Carrefour shares fell sharply on Thursday after the French retailer sounded a note of caution on consumer demand and said it expects only “slight” growth in free cash flow and earnings before interest and tax in 2025.
Carrefour shares were down 7% by 0904GMT after its fourth-quarter results late on Wednesday showed comparable sales in France – its biggest market – fell again.
Chief financial officer Matthieu Malige saying he does not see demand improving significantly in the short term.
The retailer’s overall profit margin for the second half also missed expectations, hit by the retailer’s push to lower prices, which it said would continue this year as it competes against rivals such as Leclerc, France’s biggest supermarket retailer.
Analysts said investors were also disappointed by the lack of a share buyback, which Carrefour’s finance chief said was due to France recently implementing a tax on share buybacks.
The retailer instead announced a special dividend.
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