Discontinued operations

Like-for-like sales of discontinued operations increased by 1.0% in financial year 2018/19. Like-for-like sales in China rose by 5.0%, while the hypermarket business developed negatively (−0.6%). In local currency, total sales of the discontinued operations rose by 0.4%. Reported sales grew by 0.5% to €9.8 billion.

The online business through Real.de continued to develop dynamically. GMV (gross merchandise value) grew by 51% to €579 million in financial year 2018/19 compared to financial year 2017/18.

The EBITDA excluding earnings contributions from real estate transactions of discontinued operations reached a total of €−2 million in financial year 2018/19 (2017/18: €308 million). While METRO China recorded earnings at the previous year’s level, Real developed negatively. The decrease is mainly attributable to the negative effect on earnings resulting from the termination of the future collective agreement, expenses for future store closures as well as store-related risks and the sales and margin development.

Earnings contributions from real estate transactions amounted to €50 million (2017/18: €1 million) from a real estate transaction in China.

As a result of disclosure as discontinued operations and according to IFRS 5, depreciation for the hypermarket business and amortisation on fixed assets of €180 million have been suspended in financial year 2018/19. In financial year 2018/19, an impairment of the hypermarket business in the amount of €401 million was recognised through profit or loss.

As of 30 September 2019, the store network comprised 97 locations in China (2017/18: 94 locations) and 276 locations for Real (2017/18: 279 locations).