42. Segment reporting

Segment reporting has been carried out in accordance with IFRS 8 (Operating Segments). The segmentation corresponds to the group’s internal controlling and reporting structures and is generally based on the division of the business into individual sectors.

METRO Cash & Carry

METRO Cash & Carry operates in the cash and carry sector in 29 countries of Europe, Asia and Africa through its METRO and MAKRO brands. In Germany, the portfolio is complemented by the C+C Schaper brand. Its broad product and service range is geared to commercial customers, in particular: hotel and restaurant owners, catering firms, independent retailers as well as service providers and public authorities.

Media-Saturn

Media-Saturn offers a comprehensive assortment of the latest brand products in consumer electronics retailing. The sales line is represented in 15 countries by its two strong sales brands Media-Markt and Saturn. In addition, Media-Saturn comprises the online retailer Redcoon, the Russian online shop 003.ru as well as the company 24–7 Entertainment.

Real

Real is a hypermarket operator in Germany where it operates both stationary stores and an online store. In addition, the sales line primarily has locations in Poland and Turkey. All stores offer a broad food assortment with a large proportion of fresh produce that is complemented by a non-food assortment.

Galeria Kaufhof

Galeria Kaufhof operates department stores in Germany and Belgium. In Belgium, the sales line operates under the Galeria Inno name. The Galeria department stores offer international assortments and high-quality own brands with a focus on clothing. The stationary business is closely dovetailed with the online store.

Real Estate

METRO PROPERTIES is METRO GROUP’s real estate company and manages retail locations in nearly all METRO countries. METRO PROPERTIES aims to add value to the group’s real estate assets over the long term through active and strategic portfolio and asset management. Its activities include planning new locations, the development and management of modern wholesale and retail properties as well as energy management on behalf of METRO GROUP locations.

Starting in the financial year 2013/14, the Real Estate segment is no longer shown separately. Segment-relevant information will then be shown in the sales lines’ segments or in the “others” segment. This change will have no effect on data shown for the regional segments.

Additional information on the segments is provided in the combined management report.

Aside from the information on the operating segments listed above, equivalent information is provided on the METRO regions. Here, a distinction is made between the regions Germany, Western Europe (excluding Germany), Eastern Europe and Asia/Africa.

  • External sales represent sales of the operating segments to third parties outside the group.
  • Internal sales represent sales between the group’s operating segments.
  • Segment EBITDAR represents EBITDA before rental expenses less rental income.
  • Segment EBITDA comprises EBIT before depreciation and reversals of impairment losses of property, plant and equipment, intangible assets and investment properties.
  • EBIT is the key ratio for segment reporting and describes operating earnings for the period before net financial result and income taxes. Intra-group rental contracts are shown as operating leases in the segments. The properties are leased at market rates. In principle, store-related risks and impairment risks related to non-current assets are only shown in the segments where they represent group risks. In analogy, this also applies to deferred assets and liabilities, which are only shown at segment level if this was also required in the consolidated balance sheet.
  • Segment investments include additions (including additions to the consolidation group) to non-current intangible assets and property, plant and equipment as well as investment properties except for additions due to the reclassification of “assets held for sale” as non-current assets.
  • Segment assets include non-current and current assets. They do not include mostly financial assets, investments recognised at equity, tax items, cash and cash equivalents and assets allocable to discontinued operations.

The reconciliation from segment assets to group assets is shown in the following table:

  Download XLS (24 kB)

€ million

31/12/2012

30/9/2012

30/9/2013

1

Adjustment of previous year (see chapter “Notes to the group accounting principles and methods”)

2

New balance sheet item (see chapter “Notes to the group accounting principles and methods”)

3

Included in the balance sheet item “other financial and non-financial assets” (current)

4

Included in the balance sheet items “other financial and non-financial assets” (noncurrent and current)

Segment assets1

27,445

26,953

24.223

Non-current and current financial investments

269

307

327

Investments accounted for using the equity method2

92

57

132

Cash and cash equivalents

5,299

2,075

2564

Deferred entitlements to tax refunds1

914

1,077

837

Entitlements to income tax refunds

347

662

297

Other entitlements to tax refunds3

269

417

368

Assets held for sale

107

0

12

Receivables from other financial transactions4

19

24

30

Other

40

36

20

Group assets

34,802

31,608

28,811

  • Segment liabilities include non-current and current liabilities. They do not include, in particular, borrowings, tax items and liabilities allocable to discontinued operations.

The reconciliation from segment liabilities to group liabilities is shown in the following table:

  Download XLS (37 kB)

€ million

31/12/2012

30/9/2012

30/9/2013

1

Adjustment of previous year (see chapter “Notes to the group accounting principles and methods”)

2

Included in the balance sheet item “other financial and non-financial assets” (current)

3

Included in the balance sheet items “other financial and non-financial assets” (noncurrent and current)

Segment liabilities1

18,650

14,800

14,645

Non-current and current borrowings

8,550

9,814

7,963

Deferred tax liabilities

159

156

127

Income tax liabilities

291

136

181

Income tax provisions2

106

126

107

Other tax liabilities3

615

420

338

Liabilities from other financial transactions3

45

47

31

Liabilities to third parties1, 3

352

394

82

Liabilities connected to assets held for sale

287

0

77

Interest for other provisions2

49

40

47

Other

32

25

9

Group liabilities

29,136

25,959

23,605

  • In principle, transfers between segments are made based on the costs incurred from the group’s perspective.