Carrefour has revised down its financial targets for 2026, according to Retail Gazette. The group now expects its adjusted earnings per share to remain stable or increase slightly, whereas it had previously anticipated high single-digit growth.
This revision comes after widespread riots and looting in France, which damaged dozens of the retailer's stores. Environ 50 Carrefour stores were directly affected by the violence. Chief executive Alexandre Bompard described the situation as « sans précédent » for the retailer.
An impact worth tens of millions of euros
According to chief financial officer Matthieu Malige, direct costs linked to the theft of merchandise, damaged equipment and store closures had already reached tens of millions of euros. In total, the riots could reduce the group's operating profit by up to 174 million pounds sterling.
The disruption is also weighing on store footfall, forcing a reduction in opening hours and increasing security and logistics spending. Carrefour now expects a slight decline in its free cash flow.
Investissements revised downward
The group is cutting its planned investment in France by 100 million euros. Its annual capital expenditure forecast thus falls from 1.7 billion euros to 1.6 billion euros.
Reste that further protests are planned for 24 October and could cause additional disruption. Carrefour is concerned about the impact of these movements on sales ahead of the Black Friday and Noël periods.
