Cover
Cover | 12 Months Ended |
Dec. 31, 2020shares | |
Cover [Abstract] | |
Entity Registrant Name | BRAZILIAN DISTRIBUTION CO COMPANHIA BRASILEIRA DE DISTR CBD |
Entity Central Index Key | 0001038572 |
Document Type | 20-F |
Amendment Flag | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Document Period End Date | Dec. 31, 2020 |
Document Fiscal Period Focus | FY |
Document Fiscal Year Focus | 2020 |
Current Fiscal Year End Date | --12-31 |
Entity Incorporation, State or Country Code | D5 |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Auditor Attestation Flag | true |
Entity Common Stock, Shares Outstanding | 268,351,567 |
Consolidated Statements of Inco
Consolidated Statements of Income - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Continued operations | |||
Net operating revenue | R$ 51253 | R$ 28838 | R$ 26490 |
Cost of sales | (37,504) | (21,225) | (19,046) |
Gross profit | 13,749 | 7,613 | 7,444 |
Operating expenses, net | |||
Selling expenses | (7,755) | (5,166) | (4,655) |
General and administrative expenses | (1,588) | (532) | (741) |
Depreciation and amortization | (1,804) | (1,028) | (892) |
Other operating expenses, net | (71) | (386) | (199) |
Total operating expenses | (11,218) | (7,112) | (6,487) |
Profit from continued operations before net financial expenses and share of profit of associates | 2,531 | 501 | 957 |
Financial expenses, net | (728) | (871) | (902) |
Share of profit of associates | 98 | 2 | 28 |
Income before income tax and social contribution | 1,901 | (368) | 83 |
Income tax and social contribution | (662) | 95 | 41 |
Net income (loss) for the year from continuing operations | 1,239 | (273) | 124 |
Net income for the year from discontinued operations | 1,087 | 1,109 | 1,160 |
Net income for the year | 2,326 | 836 | 1,284 |
Net income for the year attributable to: | |||
Controlling shareholders from continuing operations | 1,092 | (287) | 124 |
Controlling shareholders from discontinued operations | 1,087 | 1,077 | 1,025 |
Total of controlling shareholders | 2,179 | 790 | 1,149 |
Non-controlling shareholders from continuing operations | 147 | 14 | |
Non-controlling shareholders from discontinued operations | 32 | 135 | |
Total of non-controlling shareholders | 147 | 46 | 135 |
Total comprehensive income (loss) for the year | R$ 2326 | R$ 836 | R$ 1284 |
Basic | |||
Basic earnings per share - continuing operations | R$ 4.07575 | R$ 1.07463 | R$ 0.46546 |
Basic earnings per share - discontinued operations | 4.05709 | 4.03267 | 3.84673 |
Basic earnings per share - total | 8.13283 | 2.95804 | 4.31209 |
Diluted | |||
Diluted earnings per share - continuing operations | 4.06984 | (1.07337) | 0.46337 |
Diluted earnings per share - discontinued operations | 4.0512 | 4.02728 | 3.83024 |
Diluted earnings per share - total | R$ 8.12104 | R$ 2.95391 | R$ 4.29361 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of profit or loss and other comprehensive income [abstract] | |||
Net income for the year | R$ 2326 | R$ 836 | R$ 1284 |
Items that may be subsequently reclassified to the statement of operations in subsequent periods: | |||
Foreign currency translation | 2,145 | 214 | (26) |
Fair value of trade receivable | 1 | (15) | 17 |
Derivatives | 17 | 5 | |
Income taxes related to other comprehensive income | 3 | 16 | |
Items that will not be reclassified to the statement of operations in subsequent periods: | |||
Other comprehensive income | (4) | (2) | |
Other comprehensive income (loss) for the year, net of income tax | 2,162 | 218 | (9) |
Total comprehensive income for the year | 4,488 | 1,054 | 1,275 |
Total comprehensive income attributable to: | |||
Controlling shareholders | 3,748 | 945 | 1,132 |
Non-controlling shareholders | 740 | 109 | 143 |
Total comprehensive income for the year | R$ 4488 | R$ 1054 | R$ 1275 |
Consolidated Balance Sheets
Consolidated Balance Sheets - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets | ||
Cash and cash equivalents | R$ 8711 | R$ 7954 |
Trade receivables, net | 686 | 727 |
Other receivables | 365 | 381 |
Inventories, net | 6,536 | 8,631 |
Recoverable taxes | 1,199 | 1,692 |
Derivative financial instruments | 73 | |
Other current assets | 251 | 287 |
Total | 17,748 | 19,745 |
Assets held for sale | 109 | 223 |
Total current assets | 17,857 | 19,968 |
Non-current assets | ||
Trade receivables, net | 5 | 1 |
Other receivables | 671 | 192 |
Recoverable taxes | 3,100 | 2,702 |
Derivative financial instruments | 12 | 13 |
Deferred income tax and social contribution | 337 | |
Related parties | 154 | 104 |
Restricted deposits for legal proceedings | 563 | 795 |
Other non-current assets | 208 | 177 |
Investments in associates | 1,250 | 609 |
Investment properties | 3,639 | 3,051 |
Property and equipment, net | 19,888 | 24,290 |
Intangible assets, net | 6,164 | 6,236 |
Total non-current assets | 35,654 | 38,507 |
Total assets | 53,511 | 58,475 |
Current liabilities | ||
Trade payable, net | 11,424 | 14,887 |
Borrowings and financing | 2,309 | 3,488 |
Lease liabilities | 947 | 937 |
Payroll and related taxes | 897 | 980 |
Taxes payable | 585 | 531 |
Related parties | 194 | 215 |
Dividends payable | 556 | 168 |
Financing of property and equipment | 100 | 231 |
Deferred revenue | 297 | 365 |
Transfer to third | 77 | 164 |
Acquisition of non-controlling interest | 636 | 466 |
Other current liabilities | 677 | 703 |
Total current liabilities | 18,699 | 23,135 |
Non-current liabilities | ||
Borrowings and financing | 6,842 | 10,706 |
Lease liabilities | 7,427 | 7,730 |
Deferred income tax and social contribution | 1,034 | 1,195 |
Tax payable | 248 | 376 |
Related parties | 168 | |
Provision for contingencies | 1,385 | 1,305 |
Deferred revenues | 19 | 26 |
Provision for losses on investment in associates | 591 | 386 |
Other non-current liabilities | 291 | 68 |
Total non-current liabilities | 18,005 | 21,792 |
Shareholders' equity | ||
Share capital | 5,650 | 6,857 |
Capital reserves | 263 | 447 |
Earning reserves | 6,090 | 3,529 |
Other comprehensive income | 1,692 | 107 |
Total shareholders' equity | 13,695 | 10,940 |
Non-controlling interest | 3,112 | 2,608 |
Total shareholders' equity | 16,807 | 13,548 |
Total liabilities and shareholders' equity | R$ 53511 | R$ 58475 |
Statements of Changes in Shareh
Statements of Changes in Shareholders' Equity - BRL (R$) R$ in Millions | Share Capital [member] | Other Reserves [member] | Stock Options [member] | Legal [member] | Business growth reserve [member] | Treasury Shares [member] | Retained earnings [member] | Governmental subsidy reserve [member] | Appropriated earnings [member] | Other comprehensive income [member] | Controlling Shareholders [member] | Non-controlling interest [member] | Total |
Beginning balance at Dec. 31, 2018 | R$ 6825 | R$ 7 | R$ 406 | R$ 517 | R$ 2504 | R$ 7 | R$ 10 | R$ 58 | R$ 66 | R$ 10234 | R$ 2925 | R$ 13159 | |
Beginning balance at Dec. 31, 2018 | 6,825 | 7 | 406 | 517 | 2,504 | (7) | (10) | 58 | (66) | 10,234 | 2,925 | 13,159 | |
Other comprehensive income: | |||||||||||||
Net income for the year | 790 | 790 | 46 | 836 | |||||||||
Foreign currency translation | 151 | 151 | 63 | 214 | |||||||||
Fair value of trade receivable | (5) | (5) | (10) | (15) | |||||||||
Income taxes related to other comprehensive income | 6 | 6 | 10 | 16 | |||||||||
Cash flow hedge | 5 | 5 | 5 | ||||||||||
Other comprehensive income | (2) | (2) | (2) | ||||||||||
Comprehensive income for the year | 790 | 155 | 945 | 109 | 836 | ||||||||
Capital increase (Note 25) | 32 | 32 | 32 | ||||||||||
Share-based expenses | 29 | 29 | 29 | ||||||||||
Share-based expenses - subsidiaries | 5 | 5 | 4 | 9 | |||||||||
Appropriation of net income to legal reserve | 39 | (39) | |||||||||||
Mandatory dividends (note 25.3) | 156 | 156 | 38 | 194 | |||||||||
Interest on own capital | (137) | (37) | (174) | (174) | |||||||||
Transfer to expansion reserve | 549 | (549) | |||||||||||
Proposed dividends | (156) | (156) | (38) | (194) | |||||||||
Hyperinflation adjustment on foreign investments | 29 | 29 | 1 | 30 | |||||||||
Transactions with non-controlling interests | (13) | (4) | (17) | 342 | 325 | ||||||||
Non-controlling interest on Exito | 2,556 | 2,556 | |||||||||||
Sale of Via Varejo | (5) | 18 | 13 | (3,291) | (3,278) | ||||||||
Ending balance at Dec. 31, 2019 | 6,857 | 7 | 440 | 556 | 2,916 | (7) | 6 | 58 | 107 | 10,940 | 2,608 | 13,548 | |
Other comprehensive income: | |||||||||||||
Net income for the year | 2,179 | 2,179 | 147 | 2,326 | |||||||||
Foreign currency translation | (16) | 1,570 | 1,554 | 591 | 2,145 | ||||||||
Fair value of trade receivable | 1 | 1 | 1 | ||||||||||
Income taxes related to other comprehensive income | 3 | 3 | 3 | ||||||||||
Cash flow hedge | 15 | 15 | 2 | 17 | |||||||||
Other comprehensive income | (4) | (4) | (4) | ||||||||||
Comprehensive income for the year | 2,163 | 1,585 | 3,748 | 740 | 2,326 | ||||||||
Capital increase (Note 25) | 9 | 9 | 9 | ||||||||||
Capital reduction (note 1.1) | (1,216) | (7) | (209) | (1,432) | (1,432) | ||||||||
Stock options granted | 26 | 26 | 26 | ||||||||||
Stock options granted to subsidiaries (note 25) | 6 | 6 | 6 | ||||||||||
Appropriation of net income to legal reserve | 109 | (109) | |||||||||||
Appropriation of net income to other reserves | 1,528 | 9 | (1,537) | ||||||||||
Mandatory dividends (note 25.3) | (515) | (515) | (515) | ||||||||||
Dividends paid to non-controlling interests (Note 25.4) | (143) | (143) | |||||||||||
Subsidiary PUT valuation Disco (note 19.3) | (102) | (102) | |||||||||||
Proposed dividends | 515 | 515 | 515 | ||||||||||
Hyperinflation adjustment on foreign investments | 220 | 220 | 5 | 225 | |||||||||
Fair value exchange of assets with subsidiary (note 1.1) | 694 | 694 | 694 | ||||||||||
Others | 1 | (2) | (1) | 4 | 3 | ||||||||
Ending balance at Dec. 31, 2020 | R$ 5650 | R$ 263 | R$ 665 | R$ 4444 | R$ 7 | R$ 921 | R$ 67 | R$ 1692 | R$ 13695 | R$ 3112 | R$ 16807 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - BRL (R$) R$ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Cash flow provided by operating activities | ||||
Net income for the year | R$ 2326 | R$ 836 | R$ 1284 | |
Adjustments to reconcile net income for the year to net cash provided by the operating activities: | ||||
Deferred income tax (note 21) | 69 | 240 | 235 | |
Losses on disposals of property and equipment | 317 | 88 | 17 | |
Depreciation and amortization | 2,564 | 1,559 | 1,322 | |
Financial charges | 1,796 | 1,668 | 1,730 | |
Receivables Fair value adjustment | (1) | 1 | 3 | |
Share of profit of associates (note 12) | (99) | (18) | (69) | |
Provision for contingencies | 443 | 194 | 730 | |
Provision for write-off and impairment | 45 | 29 | ||
Share-based payment | 32 | 38 | 41 | |
Allowance for doubtful accounts (note 8.1) | 86 | 263 | 634 | |
Allowance (reversal) for inventory losses and damages (Note 9.2) | 24 | 16 | (6) | |
Deferred revenue (Note 24) | (349) | (344) | (478) | |
Gain on write-off of lease liabilities | (698) | (116) | (80) | |
Other operating income / expenses | [1] | (1,815) | 18 | (369) |
Gain on the sale of subsidiary | (598) | |||
Gain on fair value adjustment on retained interest in Bellamar (note 1.1) | (573) | |||
Total | 4,167 | 3,845 | 5,023 | |
Changes in operating assets and liabilities | ||||
Trade receivables | (257) | (14) | (326) | |
Inventories | (1,142) | (181) | (1,475) | |
Recoverable taxes | 392 | (354) | (1,350) | |
Other assets | (27) | (173) | (34) | |
Related parties | (22) | (81) | 166 | |
Restricted deposits for legal proceedings | 87 | (6) | (1) | |
Trade payables, net | 726 | (1,215) | 2,149 | |
Payroll and related taxes | 234 | (131) | 36 | |
Taxes and social contributions payable | 549 | (15) | 249 | |
Payments of income tax and social contributions | (70) | (231) | (410) | |
Provision for contingencies | (161) | (453) | (1,021) | |
Deferred revenue | 252 | 173 | 1,032 | |
Other liabilities | (1) | (52) | 193 | |
Receipts of dividends and interest on own capital | 15 | 23 | 36 | |
Total | 575 | (2,710) | (756) | |
Net cash provided by operating activities | 4,742 | 1,135 | 4,267 | |
Cash flow from investing activities | ||||
Capital increase in associate | (31) | |||
Purchase of property and equipment (Note 15.4) | (2,289) | (2,462) | (1,649) | |
Purchase of intangible assets (note 16.3) | (201) | (320) | (715) | |
Proceeds from sales of property and equipment | 1,773 | 511 | 467 | |
Acquisition of Exito, net of cash acquired | (3,309) | |||
Cash of deconsolidation of Sendas ( note 1.1) | (3,529) | |||
Proceeds from the sale of subsidiary, Via Varejo (Note 12.4) | 2,326 | |||
Acquisition of investment property (Note 14) | (14) | (12) | ||
Net cash used in investment activities | (4,291) | (3,266) | (1,897) | |
Cash flow from financing activities | ||||
Capital increase | 9 | 32 | 3 | |
Proceeds from borrowings and financing (Note 18.2) | 7,262 | 13,604 | 9,139 | |
Payments of borrowings and financing (Note 18.2) | (5,538) | (9,952) | (8,687) | |
Payments of lease liabilities | (1,680) | (1,498) | (1,743) | |
Payments of dividends and interest on own capital | (339) | (268) | (351) | |
Contributions obtained from non-controlling shareholders | 3 | |||
Installment payments on the acquisition of subsidiary | (31) | (1) | ||
Transactions with non-controlling shareholders | 2 | 7 | (1) | |
Net cash provided by (used in) financing activities | (281) | 1,894 | (1,641) | |
Net increase (decrease) in cash and cash equivalents | 170 | (237) | 729 | |
Cash and cash equivalents at the beginning of the year | 7,954 | 8,080 | 7,351 | |
Exchange variation on cash and cash equivalents | 587 | 111 | ||
Cash and cash equivalents at the end of the year | R$ 8711 | R$ 7954 | R$ 8080 | |
[1] | Includes R$ 1,609 of tax credits explained in the note 22.7 |
Consolidated Statement of Cas_2
Consolidated Statement of Cash Flows (Parenthetical) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of cash flows [abstract] | |||
Interest paid classified in financing activity | R$ 774 | R$ 504 | R$ 758 |
1. Corporate information
1. Corporate information | 12 Months Ended |
Dec. 31, 2020 | |
Corporate Information | |
Corporate information | 1. Corporate information Companhia Brasileira de Distribuição ("Company" or “CBD”), directly or through its subsidiaries (“Group” or “GPA”) is engaged in the retail of food, clothing, home appliances, electronics and other products through its chain of hypermarkets, supermarkets, specialized stores and department stores especially under the trade names "Pão de Açúcar, “Minuto Pão de Açúcar”, "Extra Hiper/Mercado Extra", “Extra Super”, “Minimercado Extra”, “Assai”, and the neighborhood shopping mall brand “Conviva”. The Group’s headquarters are located in the city of São Paulo, State of São Paulo, Brazil. On November 27, 2019, the Company completed a public offering in Colombia to acquire the shares of Almacenes Éxito SA (“Éxito”) from the public including those owned by Casino Guichard Perrachon (“Casino”), our controlling shareholder. Éxito is a Colombian company that operates the supermarket and hypermarket banners Éxito, Carulla, Super Inter, Surtimax and Surtimayorista in Colombia, the Libertad banner in Argentina and the Disco and Devoto banners in Uruguay. Additionally, Éxito also operates shopping centers in Colombia under the banner Viva. The operations of Éxito and its subsidiaries are considered an international operating segment named as Éxito Group, as disclosed in note 31. Éxito is listed on Colombian Securities Exchange. Further details of the acquisition are disclosed in note 13 of these financial statements. In June 2019, the Company disposed of all of its interest in Via Varejo S.A. (“Via Varejo”), a controlled subsidiary engaged in retail activities in the electronics and e-commerce segments operating the brands “Ponto Frio” and “Casas Bahia", as well as the e-commerce platforms “CasasBahia.com,”, “Pontofrio.com” and “Barateiro.com”. Prior to the disposal, Via Varejo was presented as a discontinued operation (see note 12.4). The Company’s shares are listed on the São Paulo Stock Exchange (B3 - Brasil, Bolsa, Balcão) called Novo Mercado, which requires the highest level of Corporate Governance under, the ticker symbol “PCAR3” and in the New York Stock Exchange (ADR level III), under the ticker symbol “CBD”. The Company is controlled by Wilkes Participações S.A. (“Wilkes”), and its parent company is Casino, a French company listed in the Paris Stock Exchange. 1.1. Corporate reorganization and Sendas Spin-Off On December 31, 2020, an extraordinary general shareholders’ meetings of CBD and Sendas Distribuidora S.A. (‘Sendas”) approved a corporate reorganization (the “Transaction”) under which substantially all of the issued and outstanding Sendas common shares were distributed to holders of CBD common shares, including the CBD ADS Custodian, on a pro rata basis for no consideration. The Transaction aims to unlock the full potential of the Cash & Carry segment, which is operated by Sendas, allowing them to operate separately, with their own management, focused on its business model and direct access to the capital market and other sources of financing. In addition, the Transaction involved the following: · Contribution and exchange of interest in Éxito 1. CBD engaged in the exchange transaction with Sendas in which certain assets of CBD were transferred to Sendas in exchange for an equivalent value of the shares of Éxito held by Sendas (corresponding to 8.77% of the total outstanding shares of Éxito). The assets of CBD transferred to Sendas consisted of: o 50% of the shares of Bellamar Empreendimentos e Participações Ltda. (“Bellamar”), a holding company that holds an investment in 35.76% of the shares of Financeira Itaú CBD S.A. Credit, Financing and Investment, with a book value of R$195 million; and o the real estate assets, consisting of five parcels of real estate, with a book value of R$25 million, which may be developed as sites for new stores in the future. o As a result of this exchange, an effect of R$694 was recorded on the Company's shareholders' equity in retained earnings. 2. Sendas distributed to CBD the remaining shares of Éxito held by Sendas, corresponding to 87.80% of the total outstanding shares of Éxito for no consideration. · Contribution of certain assets by Sendas to CBD Sendas distributed certain assets to CBD in the net amount of R$20 million. · Contribution by CBD to Sendas CBD conducted the following capital contributions: 1. CBD transferred to Sendas the net assets of stores that may be developed by Sendas in the future, with a residual value of R$45 million; 2. CBD contributed intercompany receivables to Sendas for an amount of R$140 million; and 3. CBD contributed R$500 million in cash to Sendas · In addition, on December 14, 2020, CBD entered into a Separation Agreement with Sendas, which provides a framework for CBD’s relationship with Sendas following the Transaction. Pursuant to the Separation Agreement, CBD transferred and Sendas will recognize certain assets and liabilities related to contingencies and their related judicial deposits for which the parties have agreed to be responsible following the Separation, in a net amount of R$111 million. The Transaction was accounted for as reorganization amongst entities under common control, as such, the net effect of the transactions above was recorded in equity. In addition, the exchange of 50% interest in Bellamar, described above, resulted in the loss of control of Bellamar. As a result, the Company recognized a gain of R$573 for the difference between the fair value of the retained interest in Bellamar and its book value. The table below summarizes the balances of Sendas that have been deconsolidated from CBD, as of December 31, 2020, as a result of the Transaction: Sendas 31.12.2020 Cash and cash equivalents 3,532 Trade receivable, net 182 Other receivable 34 Inventories, net 3,739 Recoverable taxes 768 Derivative financial instruments 57 Other current assets 36 Total current assets 8,348 Related parties 178 Recoverable taxes 866 Restricted deposits for legal proceedings 134 Financial instruments 11 Investments in associates 769 Property and equipment, net 7,477 Intangible assets, net 1,038 Total non-current assets 10,473 Total assets 18,821 Trade payable, net 5,057 Payroll and related taxes 371 Taxes, installment and contributions payable 528 Borrowings and financing 2,119 Lease liabilities 172 Deferred revenue 227 Financing of property and equipment 34 Other current liabilities 153 Total current liabilities 8,661 Borrowings and financing 5,711 Lease liabilities 2,604 Related parties 41 Provision for contingencies 281 Deferred revenue 1 Deferred income tax and social contribution 82 Other non-current liabilities 8 Total non-current liabilities 8,728 Total liabilities 17,389 Net assets 1,432 Total liabilities and shareholders’ equity 18,821 On February 10, 2021 the request for listing and admission to the trading of shares issued by Sendas in the Novo Mercado segment of the B3 S.A. – Brasil, Bolsa, Balcão was approved. On February 12, 2021, the request for listing of American Depositary Securities (“ADSs”) issued by Sendas on the New York Stock Exchange (“NYSE”) was approved and the Sendas’ ADSs started trading on the NYSE on March 8, 2021, under the ticker symbol “ASAI”. GPA’s shareholders received, after the close of trading on February 26, 2021 (“Cut-off Date”), shares issued by the Sendas, in proportion to their respective holdings in GPA’s share capital. 1.2. Effects of COVID-19 on the consolidated The Group has been monitoring the progress of the pandemic of COVID-19 (Coronavirus) and its impacts on its operations. Several actions were taken by management, among which we highlight the creation of a crisis committee formed by the senior management, which takes decisions in line with the recommendations of Ministry of Health and local authorities and professional associations. The Company has adopted all possible measures to mitigate the transmission of the virus in stores, distribution centers and offices, such as: frequent cleaning, safety / protection items for employees, flexible working hours, adoption of home office, among other decisions. Since the beginning of the COVID-19 outbreak, our stores have remained open, in addition to the significant increase of our e-commerce formats. The Company has an important commitment to society to continue taking products to our consumers. We had no problems in our supply chain, and our suppliers continued to deliver its products in our distribution centers and stores. The Company carried out a complete analysis of the consolidated financial statements, in addition to concluding about its operational continuity. The main aspects evaluated were: The Company prepared its strategic planning for the next three years that were used to estimate the recoverability of store assets and intangible assets, according to the methodology and assumptions described in notes 7.2, 8.1, 15.1, 16.1 and 16.2; We assessed the recoverability of receivables from credit card companies, customers, galleries in our stores, real estate rentals and there is no need to record additional provisions to those already registered; During the first months of 2021, there were restrictions in some cities where the Company operates, in relation to closure in few days, or restrictions of sale of certain products in determined periods. These restrictions, whatsoever, represent a very small portion of our stores and sales; In relation to inventories, we do not expect any adjustment impacting their realizable amount; Financial instruments already reflect the market assumptions in their valuation, and there are no additional exposures not disclosed in these consolidated financial statements. The Company is not exposed to significant financing denominated in US dollars; At this time, the Company does not expect obtaining new financing as a consequence of the pandemic. Finally, the costs necessary to adapt our stores to serve the public are disclosed in Note 28 - Other operating expenses, net. In summary, according to management's estimates and monitoring of the impacts of the pandemic, there are no effects that should be recorded in the consolidated financial statements, nor are there any effects on the Company’s capacity to continue as a going concern and its estimates that would require changes or additional provisions to be recorded, in addition to those already recognized and disclosed. Company will continue to monitor and assess the impacts and, if necessary, make the disclosures. 1.3. Allegations of fraud at Via Varejo In November 2019, Via Varejo’s management disclosed to the market anonymous allegations of fraud related to alleged accounting irregularities at Via Varejo, which had been brought to the attention of Via Varejo’s management at the end of September 2019. Subsequently, in December 2019, Via Varejo informed the market that its preliminary investigation had identified indications of alleged accounting irregularities. On March 25, 2020, Via Varejo disclosed to the market the conclusion of the investigation, which did not result in any material adjustment to be recorded by GPA. 1.4. Company’s trading in “Novo Mercado” On December 30, 2019, the Company's shareholders at the Extraordinary General Meeting approved the Company’s share to be traded in the Novo Mercado of B3 S.A. - Brasil, Bolsa, Balcão (“B3”) “Novo Mercado”. Novo Mercado 1.5. Sale and On December 23, 2019, the Group entered into an agreement to sell 6 properties (Pão de Açúcar stores) in the Sale and Leaseback transaction with Rio Bravo Investimentos Distribuidora de Titulos e Valores Imobiliários Ltda (Rio Bravo). for a total selling price of R$92, of which R$91 was paid upon signing the commitment. In 2020, the Group concluded the sale of 5 of the 6 stores. The parties entered into lease agreements for the 5 properties, with a term of 10 years, renewable for the same period, ensuring the continuity of GPA operations in properties with sustainable financial conditions. On March 5, 2020, the Group entered into a Sale and Leaseback transaction with investment funds administered by BRL Trust Distribuidora de Títulos e Valores Mobiliários S.A. and managed by TRX Gestora de Recursos Ltda. (“TRX”), pursuant to the signing of a “Private Instrument of Commitment of Purchase and Sale of Real Estate Properties and Real Surface Law Institution” (“Instrument”). The Instrument initially foresaw the sale of 43 properties of the Company in various tranches, for the total amount of R$1,246. On May 29, 2020, the Group concluded the sale of 5 properties On June 29, 2020, the Group concluded the sale of 7 properties On July 22, 2020, the Group concluded the sale of another 16 properties On July 30, 2020, the Group concluded the sale of the remaining 11 properties, whose transfer was completed on August 28, 2020. The Group completed the sale of 39 properties for a total amount of R$1,183, of which R$ 1,181 has been already received. Four properties of non-relevant value from the total volume were not sold. The parties entered into lease agreements for each property, with a term of 15 years, renewable for the same period. On December 23, 2020, the Group entered into an agreement to sell 4 properties, in a Sale and Leaseback transaction, to Rio Bravo for a total amount of R$255, of which R$235 was collected in 2020. The parties entered into a 15-year lease agreement for these 4 stores, renewable for the same period, ensuring the continuity of GPA's operations in the properties with sustainable financial conditions. The gain on sale and leaseback transactions was R$187. The right of use increased in R$ 312 and the liability increased in R$ 582. 1.6. Going concern Management has assessed the Company's ability to continue operating for the foreseeable future and has concluded that it has the ability to maintain its business and systems operating normally, even in the face of the COVID- 19 pandemic (see note nº1.2). Accordingly, management is not aware of any material uncertainty that may cast significant doubt on the Company's ability to continue as a going concern and the financial statements have been prepared on a going concern basis. |
2. Basis of preparation
2. Basis of preparation | 12 Months Ended |
Dec. 31, 2020 | |
Basis Of Preparation | |
Basis of preparation | 2. Basis of preparation The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standard Board (“IASB”). The consolidated financial statements have been prepared on the historical cost basis except for certain financial instruments measured at their fair value. The consolidated financial statements are presented in millions of Brazilian Reais (“R$”), which is the functional currency of the Company. The functional currency of associates and subsidiaries located abroad is the local currency of each jurisdiction. These consolidated financial statements were approved by the Board of Directors on April 29, 2021. In June 2019, the Company disposed of all of its interest in its subsidiary Via Varejo (see note 12.4), which prior to the disposal was classified as a discontinued operation in accordance with IFRS 5 - Non-current Assets Held for Sale and Discontinued Operation. The consolidated statement of income for the year and the notes related to the result for the year ended December 31, 2019 are being restated due to the spin-off of the subsidiary Sendas (Assai) note 1.1, considering the effects of such transaction in compliance with IFRS 5 - Non-current assets held for sale and Discontinued Operation. The consolidated statements of cash flow include the cash flow from continuing and discontinued operations. The details of the cash flows from discontinued operations are disclosed in Note 34. The consolidated financial statements include the financial information of all subsidiaries over which the Group exercises control directly or indirectly. The determination if a subsidiary is controlled by the Group and the basis of consolidation are in accordance with the requirements of IFRS 10 - Consolidated Financial Statements. The financial statements of the subsidiaries are prepared on the same closing date of the reporting period of the Company, using consistent accounting policies. All intercompany balances, transactions are eliminated upon consolidation. Gains or losses resulting from changes in equity interest in subsidiaries, which do not result in loss of control, are directly recorded in equity. Losses are attributed to the non-controlling interest, even if it results in a deficit balance. The list of subsidiaries and associates is presented in note 12.1 |
3. Significant accounting polic
3. Significant accounting policies | 12 Months Ended |
Dec. 31, 2020 | |
Significant Accounting Policies | |
Significant accounting policies | 3. Significant accounting policies The main significant accounting policies and practices are described in each corresponding explanatory note, except for those below that are related to more than one explanatory note. Accounting policies and practices have been consistently applied to the years presented in the Group's consolidated financial statements. 3.1. Financial Instruments A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity Financial assets are recognized when the Group becomes party to the contractual provisions of the instrument. Financial assets are derecognized when the contractual rights to the cash flows from the financial asset expire or the Group transfers the contractual rights to receive the cash flows of the financial asset. (i) Classification and measurement of financial assets According to IFRS 9, on initial recognition, a financial asset is classified as measured: at amortized cost; fair value through other comprehensive income (“FVOCI”) - or fair value through profit or loss (“FVPL”). The classification of financial assets according to IFRS 9 is generally based on the business model in which a financial asset is managed and on its contractual cash flow characteristics. A derivative embedded with a hybrid contract containing a financial asset host is not accounted for separately. The financial asset host together with the embedded derivative is required to be classified in its entirety as a financial asset at fair value through profit or loss. A financial asset is measured at amortized cost if it meets both of the following conditions and is not designated as measured at FVPL: It is held within a business model with the objective to hold financial assets in order to collect contractual cash flows; and Its contractual terms give rise, on specified date, to cash flows that are solely payments of principal and interest on the principal amount outstanding. A financial asset is measured at FVOCI if it meets both of the following conditions and is not designated as measured at FVPL: It is held within a business model with the objective of either receipt of contractual cash flows or sale of financial assets; and Its contractual terms give rise on specified dates, to cash flows that are solely payments of principal and interest on the principal amount outstanding. Upon initial recognition, the Group can elect to classify irrevocably its equity investments as equity instruments designated at fair value through OCI when they meet the definition of equity under IAS 32, Financial Instruments: Presentation and are not held for trading. The classification is determined on an instrument-by-instrument basis. Gains and losses on these financial assets are never recycled to profit or loss. Dividends are recognized as other income in the statement of profit or loss when the right of payment has been established, except when the Group benefits from such proceeds as a recovery of part of the cost of the financial asset, in which case, such gains are recorded in OCI. Equity instruments designated at fair value through OCI are not subject to impairment assessment. Group has not investments classified in OCI. Financial assets at fair value through profit or loss include financial assets held for trading, financial assets designated upon initial recognition at fair value through profit or loss, or financial assets mandatorily required to be measured at fair value. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term. This includes all derivative financial assets. A financial asset (unless it refers to trade receivables without a significant component of financing that is initially measured at the transaction price) is initially measured at fair value, plus, for an item that is not measured at FVPL, any transaction costs directly attributable to its acquisition. (ii) Subsequent measurement of financial assets Financial assets measured at FVPL Financial assets at amortized cost Financial assets at FVOCI (iii) Impairment of financial assets IFRS 9 replaces the “incurred loss” model of IAS 39 with an expected credit losses model. The new impairment loss model applies to financial assets measured at amortized cost, contractual assets and debt instruments measured at FVOCI, but does not apply to investments in equity instruments (shares) or financial assets measured at FVPL. According to IFRS 9, provisions for losses are measured at one of the following bases: Credit losses expected for 12 months (general model): these are credit losses that result in possible default events within 12 months from the balance sheet date. For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (a lifetime ECL- “Expected Credit Loss”). Full lifetime expected credit losses (simplified model): these are credit losses resulting from all possible default events over the expected term of a financial instrument. Practical expedient: these are expected credit losses that are consistent with reasonable and sustainable information available, at the balance sheet date about past events, current conditions and forecasts of future economic conditions, which enable the verification of probable future loss based on the historical credit loss occurred in accordance with the maturity. The Group chose to measure provisions for losses from accounts receivable, other receivables, and contractual assets at an amount that equals to the credit loss expected for the entire term, and for trade receivables, whose portfolio of receivables is fragmented, rents receivable, wholesale accounts receivable and accounts receivable from freight companies, the practical expedient was applied through the adoption of a matrix of losses for each maturity range. When determining whether the credit risk of a financial asset increased significantly since its initial recognition and while estimating the expected credit losses, the Group takes into account reasonable and sustainable information that is relevant and available free of cost or excessive effort. This includes quantitative and qualitative information and analysis, based on the Company’s historical experience, during credit assessment and considering information about projections. The Group assumes that the credit risk of a financial asset increased significantly if the asset is overdue more than 90 days. The Group considers a financial asset as in default when: it is less likely that the debtor will fully pay its obligations to the Group, without considering actions such as execution of guarantees (if any), or the financial asset is overdue more than 90 days. The Group determined the credit risk of a debt security by analyzing the payment history, financial and macroeconomic conditions of the counterparty and the assessment of rating agencies, when applicable, thereby assessing each debt security individually. The maximum period considered when estimating the expected credit loss is the maximum contractual period during which the Group is exposed to the credit risk. Measurement of expected credit losses Expected credit losses are discounted by the effective interest rate of the financial asset. Financial assets with credit recovery problems Presentation of impairment loss For financial instruments measured at FVOCI, the provision for losses is recognized in OCI, instead of deducting the carrying amount of the asset. Impairment losses related to trade receivables and other receivables, including contractual assets, are presented separately in the statement of operations and OCI. Impairment of other financial assets is reported under “selling expenses”. Accounts receivable and contractual assets The positions within each group were segmented based on common credit risk characteristics, such as: Credit risk level and historical losses – for wholesale clients and property rental; and Delinquency status, default risk and historical losses – for credit card operators and other clients. (iv) Initial recognition and measurement of financial liabilities Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings, payables, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs. The Group’s financial liabilities include trade and other payables, loans and borrowings including bank overdrafts, and derivative financial instruments. (v) Subsequent measurement of financial liabilities The measurement of financial liabilities depends on their classification, as described below: Financial liabilities at fair value through profit or loss Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial liabilities designated upon initial recognition as at fair value through profit or loss. Financial liabilities are classified as held for trading if they are incurred for the purpose of repurchasing in the near term. This category also includes derivative financial instruments entered into by the Group that are not designated as hedging instruments in hedge relationships as defined by IFRS 9. Separated embedded derivatives are also classified as held for trading unless they are designated as effective hedging instruments. Gains or losses on liabilities held for trading are recognized in the statement of profit or loss. Financial liabilities designated upon initial recognition at fair value through profit or loss are designated at the initial date of recognition, and only if the criteria in IFRS 9 are satisfied. The Group has not designated any financial liability as at fair value through profit or loss. Loans and borrowings This is the category most relevant to the Group. After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortized cost using the effective interest rate (EIR) method. Gains and losses are recognized in profit or loss when the liabilities are derecognized as well as through the EIR amortization process. Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortization is included as finance costs in the statement of profit or loss. This category generally applies to interest-bearing loans and borrowings. For more information, refer to Note 18. (vi) Derecognition of financial assets and liabilities A financial asset (or, as the case may be, part of a financial asset or part of a group of similar financial assets) is derecognized when: • The rights to receive cash flows from the asset have expired; or • The Group has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full to a third party under a “pass-through” arrangement; and either (a) the Group has transferred substantially all the risks and rewards related to the asset; or (b) the Group has neither transferred nor retained substantially all the risks and rewards related to the asset, but has transferred control over the asset. When the Group has transferred its rights to receive cash flows from an asset or has entered into a “pass through” arrangement, it evaluates if, and to what extent, it has retained the risks and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the Group continues to recognize the transferred asset to the extent of it continued involvement. In that case, the Group also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations retained by the Group. A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender, on substantially different terms, or the terms of an existing liability are substantially modified, such exchange or modification is treated as the derecognition of the original liability and recognition of a new liability. The difference in the respective carrying amounts is recognized in profit or loss. When there is a debt modification impacting interest rate the impact is recorded in profit or loss, except, if it is a fee in the modification, over which the impact on profit or loss will follow the effective interest rate. (vii) Offsetting of financial instruments Financial assets and liabilities are offset and the net amount is reported in the consolidated statement of financial position if there is a currently enforceable legal right to offset the recognized amounts and there is an intention of settling them on a net basis, to realize the assets and settle the liabilities simultaneously. (viii) Derivative financial instruments The Company uses derivative financial instruments to limit the exposure to fluctuations not related to the local market such as interest rate and exchange rate swaps. These derivative financial instruments are initially recognized at fair value on the date on which a derivative contract is entered into and are subsequently remeasured at fair value at the end of each reporting period. Derivatives are accounted for as financial assets when the fair value is positive and as financial liabilities when the fair value is negative. The gains or losses arising from changes in the fair value of derivatives are recognized as financial income or expenses. At the inception of a hedge relationship, the Company formally designates and documents the hedge relationship to which it intends to apply hedge accounting and its objective and risk management strategy for contracting the hedge. The documentation includes identification of the hedging instrument, the hedged item or transaction, the nature of the risk being hedged and how the Company will assess the effectiveness of the changes in the hedging instrument’s fair value in offsetting the exposure to changes in the fair value of the hedged item or cash flow attributable to the hedged risk. These hedges are expected to be highly effective in offsetting changes in the fair value or cash flow and are assessed on an ongoing basis to determine if they have been highly effective throughout the periods for which they were designated. The following are recognized as fair value hedges: The change in the fair value of a derivative financial instrument classified as fair value hedging is recognized as financial result. The change in the fair value of the hedged item is recorded as a part of the carrying amount of the hedged item and is recognized in the statement of operations; In order to calculate the fair value, debts and swaps are measured through rates available in the financial market and projected up to their maturity date. The discount rate used in the calculation by the interpolation method for borrowings denominated in foreign currency is developed through CDI curves, free coupon and DI, indexes disclosed by the B3 (the Brazilian Securities, Commodities and Futures Exchange), whereas for borrowings denominated in Reais, the Company uses the DI curve, an index published by the CETIP (Securities Custodial and Clearing Center) and calculated through the exponential interpolation method. The Company uses financial instruments only to hedge identified, risks limited to 100% of the value of these risks. Derivative instruments transactions are exclusively used to reducing the exposure to the risk of changes in interest rates and foreign currency fluctuation and maintaining a balanced capital structure. (ix) Cash flow hedge Derivative instruments are recorded as cash flow hedge, using the following principles: The effective portion of the gain or loss on the hedge instrument is recognized directly in stockholders’ equity in other comprehensive income. In case the hedge relationship no longer meets the hedging ratio but the objective of management risk remains unchanged, the Group should “rebalance” the hedge ratio to meet the eligibility criteria. Any remaining gain or loss on the hedge instrument (including arising from the "rebalancing" of the hedge ratio) is ineffective, and therefore should be recognized in profit or loss. Amounts recorded in other comprehensive income are immediately transferred to the statement of operations together with the hedged transaction by affecting the statement of operations, for example, when the hedge financial income or expense is recognized or when a forecast sale occurs. When the hedged item is the cost of a non-financial asset or liability, the amounts recorded in equity are transferred to the initial carrying amount of the non-financial asset or liability. The Company should prospectively discontinue hedge accounting only when the hedge relationship no longer meets the qualification criteria (after taking into account any rebalancing of the hedge relationship). If the expected transaction or firm commitment is no longer expected, amounts previously recognized in OCI are transferred to the statement of operations. If the hedging instrument expires or is sold, terminated or exercised without replacement or rollover, or if its hedge classification is revoked, gains or losses previously recognized in comprehensive income remain deferred in equity in other comprehensive income until the expected transaction or firm commitment affect the profit or loss. (x) Present value adjustment of monetary assets and liabilities The long-term assets and liabilities are adjusted to their present value, calculated considering the contractual cash flows and the respective interest rate, explicit or implicit. Short-term assets and liabilities are not adjusted to present value. 3.2. Foreign currency transactions Foreign currency transactions are initially recognized at the exchange rate of the corresponding currencies at the date the transaction qualifies for recognition. Assets and liabilities denominated in foreign currencies are translated into Brazilian Reais, using the spot exchange rate at the end of each reporting period. Gains or losses on changes in exchange rate variations are recognized as financial income or expense. 3.3. Classification of assets and liabilities as current and non-current The Group presents assets and liabilities in the statement of financial position based on current/non-current classification. An asset is current when it is: expected to be realized or intended to be sold or consumed within twelve months from the end of the reporting periods held primarily for the purpose of trading expected to be realized within twelve months after the reporting period or cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period All other assets are classified as non-current. A liability is current when it is: expected to be settled within twelve months from the end of the reporting periods held primarily for the purpose of trading due to be settled within twelve months after the reporting period or there is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period are classified as current liabilities. All other liabilities are classified as non-current. Deferred tax assets and liabilities are classified as “non-current” and presented net when appropriate in accordance with the provisions of IAS 12. 3.4. Foreign operations For each entity, the Group determines the functional currency and items included in the financial statements of each entity are measured using that functional currency. On consolidation, the financial statements of foreign operations are translated into Brazilian Reais, as follows: Assets and liabilities, including goodwill, are translated into Brazilian Reais at the exchange rate prevailing at the reporting date. The statements of operation are translated into Brazilian Reais using the average rate for the period except when significant fluctuations in the exchange rate occurs, in which case, the rate at the transaction date is used. Equity accounts are maintained at the historical balance in Reais. The exchange rate differences arising from the translation are recognized in other comprehensive income (“OCI”). When a foreign operation is disposed of, the component of OCI related to that particular foreign operation is reclassified to profit or loss. 3.5. Hyperinflation Starting from September 2018, Argentina has been considered a hyperinflationary economy. As per IAS 29 – Financial Reporting in Hyperinflationary Economies, the non-monetary assets and liabilities, equity items and the statement of operation of the indirect subsidiary Libertad, headquartered in Argentina, a direct subsidiary of Éxito, whose functional currency is the Argentinean peso, are being adjusted so that amounts are reported in the monetary measurement unit at the end of the reporting period. This unit, considers the effects measured by the Consumer Price Index (“IPC”) in Argentina starting January 1, 2017 and Argentina’s Domestic Retail Price Index (“IPIM”) up to December 31, 2016. Consequently, as required by IAS 29, the operating results of the indirect subsidiary Libertad must be considered as highly inflationary starting from September 1, 2018 (start of the period in which a hyperinflationary scenario was identified). 3.6. Accounting for equity interests at cost deriving from corporate restructuring under common control For certain restructuring transactions that occurred in previous years, the Group recorded, at historical cost, the interests deriving from corporate restructuring under common control without economic substance. The difference between the historical cost and the acquiring value was recorded as shareholders’ equity, when the interest acquired is from companies under common control. Such transactions are not in the scope of IFRS 3. |
4. Adoption of new standards, a
4. Adoption of new standards, amendments to and interpretations of existing standards issued by the IASB | 12 Months Ended |
Dec. 31, 2020 | |
Adoption Of New Standards Amendments To And Interpretations Of Existing Standards Issued By Iasb Effective From 2019 | |
Adoption of new standards, amendments to and interpretations of existing standards issued by the IASB | 4. Adoption of new standards, amendments to and interpretations of existing standards issued by the IASB. 4.1. New and amendments standards and interpretations In 2020, the Group applied amendments and new interpretations to IFRS as issued by IASB, which were effective for accounting periods beginning on or after January 1, 2020. The main new standards adopted are as follows: Statement Description Impact Changes in IFRS 3: Definition of business Describe that to be considered a business an integrated set activities and assets must include, at least, input of resources and a substantive process, that together contribute significantly to the capacity to generate output of resources. These changes did not have any impact in the consolidated financial statements. Revision of the Conceptual Framework Concepts and guidelines on presentation and disclosure, measurement basis, financial report objectives and useful information. These changes did not have any impact in the consolidated financial statements. Changes in IFRS 9: Reform of the reference interest rate The amendments to standard IFRS 9 provide exemptions that apply to all hedge relationships directly affected by the reference interest rate reform. A relationship of hedge is directly affected if the reform raises uncertainties about the period, or the value, of cash flows based on the reference interest rate of the hedge item or hedging instrument. These changes did not have any impact in the consolidated financial statements. Amendments to IAS 1 and IAS 8 - Definition of materiality In October 2018, the IASB issued amendments to IAS 1 Presentation of Financial Statements and IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors to align the definition of ‘material’ across the standards and to clarify certain aspects of the definition. The new definition states that, ’Information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements, which provide financial information about a specific reporting entity These changes did not have any impact in the consolidated financial statements. Changes in IFRS 16: Benefits provided to lessees in connection with the COVID-19 pandemic Amendments related to concession to tenants, in the application of the guidelines of IFRS 16, on the modification of the lease, when accounting for related benefits as a direct consequence of the Covid-19 pandemic. These changes did not have any impact in the consolidated financial statements. 4.2 New and amended standards and interpretations applied since 2018 i. IFRS 16 - Leases The Group adopted IFRS 16 using the full retrospective method of adoption, with the date of application of January 1, 2019. In accordance with the full retrospective method of adoption, the Group applied IFRS 16 at the date of initial application as if it had already been effective at the commencement date of existing lease contracts. The Group also elected to use the recognition exemptions for lease contracts that, at the commencement date, have a lease term of 12 months or less and do not contain a purchase option (short-term leases), and lease contracts for which the underlying asset is of low value (low-value assets). ii. IFRS 15 supersedes IAS 11, Construction Contracts, IAS 18, Revenue, and related interpretations and it applies, with limited exceptions, to all revenue arising from contract with customers. IFRS 15 establishes a five-step model to account for revenue arising from contacts with customers and requires that revenue to be recognized at an amount that reflects the consideration to which and entity expects to be entitled in exchange for transferring goods or services to a customer. IFRS 15 requires entities to exercise judgement, taking into consideration all of the relevant facts and circumstances when applying each step of the model to contracts with their customers. The standard also specifies the accounting for the incremental costs of obtaining a contract and the costs directly related to fulfilling a contract. In addition, the standard requires extensive disclosures. The Group adopted IFRS 15 using the full retrospective method of adoption. The effect of the adoption of IFRS 15 resulted in the presentation of rebates received from suppliers related to trade marketing as a reduction of cost of sales. These rebates were previously reported as a reduction of marketing expenses and upon adoption of IFRS 15 management determined that the Company does not have any performance obligation associated with the amounts received from the suppliers. iii. Amendments to IFRS 2 Classification and Measurement of Share-based Payment Transactions The Group applied the amendments IFRS 2, Share-based payment, to account for the withholding of income tax associated with the share-based payment to employees. Consequently, the withhold tax was accounted for as a deduction of shareholders’ equity, except to the extent that the payment exceeds the fair value on the date of settlement by the net value of the own equity instruments withheld. As such, the liability related to the withheld liabilities in the amount of R$13 in continuing operations, and R$8 in discontinued operations was reclassified to shareholders equity on the initial date of adoption, i.e. January 1, 2018. iv. IFRS 9 - Financial Instruments IFRS 9 - Financial Instruments, replaces IAS 39, Financial Instruments: Recognition and Measurement, for annual periods beginning on or after January 1, 2018, bringing together all the three aspects of accounting for financial instruments: classification and measurement; impairment; and hedge accounting. Transition – The Group applied IFRS 9 using full retrospective method, except as described below. The Group concluded on the following matters based on facts and circumstances that existed on the date of initial adoption: Determination of the business model in which a financial asset is held. Designation and cancellation of prior designations of certain financial assets and liabilities measured at FVPL. Determinations of variables related to estimates of impairment. Designation of certain investments in equity instruments not held for trading at FVOCI. All hedge relationships designated in IAS 39 on December 31, 2017 met the criteria for hedge accounting pursuant to IFRS 9 on January 1, 2018 and are, therefore, considered as continuing hedge relationships. The adoption of IFRS 9 did not have a significant impact on the Group’s accounting policies related to financial liabilities and derivative financial instruments. v. IFRIC 23 – Uncertainty over income tax treatments IFRIC 23 clarifies how to apply the recognition and measurement requirements of IFRIC 23 when there is uncertainty about the income tax treatments. The interpretation was approved on December 21, 2018 and became effective on January 1, 2019. In the assessment of the Company's management, there are no significant impacts as a result of the interpretation. 4.4. New and revised standards and interpretations issued and not yet effective The Group has not early adopted the following new and revised IFRSs, which have already been issued but not yet in effect, up to the date of the issuance of the Group’s consolidated financial statements: Accounting pronouncement Description Applicable to annual periods starting in or after Amendments to IAS 1: Classification of liabilities as current or non-current In January 2020, the IASB issued amendments to paragraphs 69 to 76 of IAS 1, in order to specify the requirements for classifying the liability as current or non-current. The amendments clarify: • Which means a right to postpone liquidation; • That the right to postpone must exist on the base date of the report; • That this classification is not affected by the likelihood that an entity will exercise its right to postpone • That only if a derivative embedded in a convertible liability is itself an equity instrument would the terms of a liability not affect its classification The amendments effective for annual reporting periods beginning on or after January 1, 2023 must be applied retrospectively. The Company is currently assessing the impact that the amendments will have on current practice and whether existing loan agreements may require renegotiation. 01/01/2023 The Group does not expect a significant impact on the Group's consolidated financial statements. |
5. Significant accounting judgm
5. Significant accounting judgments, estimates and assumptions | 12 Months Ended |
Dec. 31, 2020 | |
Significant Accounting Judgments Estimates And Assumptions | |
Significant accounting judgments, estimates and assumptions | 5. Significant accounting judgments, estimates and assumptions The preparation of the consolidated financial statements requires Management to make judgments, estimates and assumptions that impact the reported amounts of revenue, expenses, assets and liabilities, and the disclosure of contingent liabilities at the end of the year; however, uncertainty about these assumptions and estimates could result in outcomes that would require material adjustments to the carrying amount of the asset or liability impacted in future periods. In the process of applying the Company’s accounting policies, Management has made the following judgments, which have the most significant impact on the amounts recognized in the consolidated financial statements, as disclosed in the following notes: Impairment: Notes 7.2, 8.1, 15.1, 16.1 and 16.2 Inventories: Allowance for losses on inventory obsolescence and damages: Note 9 Recoverable taxes: Expected realization of tax credits: Note 10 Fair value of derivatives and other financial instruments: Measurement of the fair value of derivatives: Note 19 Provision for contingencies: Record of provision for claims with likelihood assessed as probable loss, estimated with a certain degree of reasonability: Note 22 Income tax: Record of provisions based on reasonable estimates: Note 21 Share-based payments: Estimated fair value of transactions based on a valuation model - Note 25 Business combination: estimates of fair value of assets acquired and liabilities assumed in the business combination and determination of resulting goodwill - Note 13 Lease: determination of the lease term and the incremental borrowing rate - Note 23. |
6. Cash and cash equivalents
6. Cash and cash equivalents | 12 Months Ended |
Dec. 31, 2020 | |
Cash and cash equivalents [abstract] | |
Cash and cash equivalents | 6. Cash and cash equivalents Cash and cash equivalents consist of cash, bank accounts and highly liquid short-term investments that are readily convertible into a known amount of cash, with a maturity of three months or less and subject to an insignificant risk of change in value. Rate 2020 2019 Cash and banks – Brazil 131 249 Cash and banks – Abroad (*) 3,637 3,109 Short-term investments - Brazil (**) 4,784 4,471 Short-term investments - Abroad (***) 159 125 8,711 7,954 (*) As of December 31, 2020, refers to (i) funds from the Éxito Group, of which R$100 are denominated in Argentina pesos, R$382 are denominated in Uruguayan pesos and R$3,028 in Colombian pesos (R$73 in Argentine pesos, R$254 in Uruguayan pesos and R$2,698 in Colombian pesos on December 31, 2019); (ii) including R$127 deposited in the United States of America in US Dollars (R$ 84 on December 31, 2019) (**) Refers substantially to highly liquid investments bearing interest at a weighted average rate of 96.93% (89.94% on December 31, 2019) of the Brazilian Interbank Deposit Certificate (“CDI”), maturing in 90 days or less and which are subject to an insignificant change in value. (***) Refers to funds invested abroad, of which R$12 are denominated in in Argentinian pesos, R$1 are denominated in Uruguayan pesos and R$146 are denominated in Colombia pesos (R$20 in Argentina, R$4 in Uruguay and R$101 in Colombia on December 31, 2019), maturing in 90 days or less and which are subject to an insignificant change in value |
7. Trade receivables
7. Trade receivables | 12 Months Ended |
Dec. 31, 2020 | |
Trade Receivables | |
Trade receivables | 7. Trade receivables Trade receivables are initially recorded at the transaction amount, which corresponds to the sale value, and are subsequently measured according to the portfolio: (i) fair value through other comprehensive income (FVOCI), in the case of receivables from credit card companies and (ii) amortized cost, for other customer portfolio. Credit losses on financial assets that are measured at amortized cost are deducted from carrying amount of the asset. For financial instruments measured at FVOCI, credit losses are recorded in OCI instead of reducing the carrying amount of the asset. At each reporting date, the Company evaluates if the financial assets recorded at amortized cost or FVOCI show any indication of impairment. A financial asset shows indication of impairment loss when there is one or more events with adverse impact on the estimated future cash flows of the financial asset. Receivables are considered unrecoverable and therefore written off from the accounts receivable portfolio, when they are not collected after 360 days from due date. At each balance sheet date, the Company and its subsidiaries assess whether the receivables have any indications of impairment. 2020 2019 Credit card companies (note 7.1) 76 42 Credit card companies - related parties (note 11.2) 15 24 Sales vouchers and trade receivables 488 446 Private label credit card 71 70 Receivables from related parties (note 11.2) 13 12 Receivables from suppliers 71 166 Allowance for doubtful accounts (note 7.2) (43) (32) 691 728 Current 686 727 Non-current 5 1 7.1. Credit card companies As part of its cash management strategy, the Group periodically enters into factoring transactions and discounts a portion of its credit card receivables with financial institutions or credit card companies, without recourse or related obligation. 7.2. Allowance for doubtful accounts on trade receivables 2020 2019 2018 At the beginning of the year (32) (5) (6) Allowance booked for the year (86) (263) (630) Write-offs of receivables 78 282 771 Deconsolidation Sendas 4 (19) - Assets held for sale and discontinued operations - 1 (140) Business combination - (28) - Foreign currency translation adjustment (7) - - At the end of the year (43) (32) (5) The aging list of gross trade receivables is as follows: Overdue receivables Total Not yet due <30 days 30-60 days 61-90 days >90 days 12.31.2020 734 574 80 67 8 5 12.31.2019 760 609 79 21 5 46 |
8. Other receivables
8. Other receivables | 12 Months Ended |
Dec. 31, 2020 | |
Other Receivables | |
Other receivables | 8. Other receivables 2020 2019 Accounts receivable from insurers (*) 14 72 Receivable from sale of subsidiaries (note 8.2) 78 83 Lease receivables 208 113 Accounts receivable - Via Varejo (**) 266 49 Receivables from sale of real estate properties(***) 291 128 Other 190 143 Allowance for doubtful accounts on other receivables (note 8.1) (11) (15) 1,036 573 Current 365 381 Non-current 671 192 (*) In October 2019, the Company received R$203 from the insurance company regarding the claim related to the fire that occurred at the Distribution Center in Osasco on December 27, 2017, after negotiations and agreement on the final amount of the indemnity. (**) As the Company sold the equity interest in Via Varejo, the amount that had been reported as related parties was reclassified to other receivables. The amount of R$266 includes R$231 corresponding to GPA's right to receive from Via Varejo the reimbursement of the deduction of ICMS from the calculation basis PIS and COFINS of its former subsidiary Globex, after the unappeasable court decision, related to the period from 2007 to 2010 (note 22.7) (***) Amount comprised mainly of a land purchase and sale agreement on September 29, 2018 for the amount of R$200, the sale of which was not recognized under IFRS 15 due to the contractual characteristics of long-term payment and transfer of legal title at a future date to be defined by the buyer. In 2020, the Company transferred the deed (legal title), at the buyer's request, in accordance with the contract, of all land registrations and recognized a gain of R$174 (see note 27) in the result line with fixed assets. The transaction resulted in the recognition of an amount receivable of R$200, maturing in September 2023, for which the Company obtained bank guarantee as a guarantee of receipt. 8.1. Allowance for doubtful accounts on other receivables 2020 2019 2018 At the beginning of the year (15) (16) (12) Allowance booked for the year - - (4) Write-off of other receivables 2 5 13 Deconsolidation Sendas 2 (4) - Assets held for sale and discontinued operations - - (13) At the end of the year (11) (15) (16) 8.2. Receivables from the sale of subsidiaries Receivables related to the exercise of an option to buy gas stations by a third party. The original amount of this receivable was R$50, which was adjusted since the execution of the agreement on May 28, 2012, at a rate of 110% of the CDI, with payment in 240 monthly installments. In January, 2016, 5 news gas stations were sold for the amount of R$8, in 120 installments at a rate of 110% of CDI. |
9. Inventories
9. Inventories | 12 Months Ended |
Dec. 31, 2020 | |
Inventories Abstract | |
Inventories | 9. Inventories Inventories are accounted for at cost or net realizable value, whichever is lower. Inventories purchased are recorded at average cost, including warehouse and handling costs, to the extent that these costs are necessary to bring inventories to selling conditions at the stores, less bonuses received from suppliers. Net realizable value is the selling price in the ordinary course of business, less the estimated costs to sell. Inventories are reduced by an allowance for losses and damages, which is periodically reviewed and evaluated as appropriate. Bonuses received from suppliers are measured and recognized based upon executed contracts and agreements and recorded as cost of sales when the corresponding inventories are sold. Unrealized bonuses are presented as reducing the inventories at each balance sheet date. 2020 2019 Stores 2,453 4,698 Distribution centers 1,134 1,583 Inventories – Éxito Group 2,879 2,254 Real Estate Inventory – Éxito Group 142 191 Allowance for losses on inventory obsolescence and damages (72) (95) 6,536 8,631 9.1. Unrealized bonuses On December 31, 2020, unrealized bonuses, which are presented as reducing the inventory balance, amounted to R$62 (R$310 on December 31, 2019). 9.2. Allowance for losses on inventory obsolescence and damages 2020 2019 2018 At the beginning of the year (95) (65) (73) Additions (40) (51) (79) Business combination - (22) - Write-offs / reversal 16 35 85 Foreign currency translation adjustment (4) - - Deconsolidation of Sendas 51 8 - Assets held for sale and discontinued operations - - 2 At the end of the year (72) (95) (65) |
10. Recoverable taxes
10. Recoverable taxes | 12 Months Ended |
Dec. 31, 2020 | |
Recoverable Taxes | |
Recoverable taxes | 10. Recoverable taxes The Company records tax credit, when obtains internal and external factors as legal and market interpretations to conclude that it is entitled to these credits, including realization of the tax credit ICMS is recognized in cost of sale in the statement of operation. PIS/COFINS is recognized as a credit in the same account on which the credits are calculated. The future realization of tax credits is based on a feasibility study, on the expectation of future growth and the expected offset against tax debts from its operations. 2020 2019 State VAT tax credits - ICMS (note 10.1) 1,435 2,621 Social Integration Program/ Contribution for Social Security Financing - PIS/COFINS (note 10.2) 1,926 854 Social Security Contribution – INSS (note 10.3) 299 321 Income tax and social contribution prepayments (*) 462 472 Other 47 49 Other recoverable taxes – Éxito Group 130 77 Total 4,299 4,394 Current 1,199 1,692 Non-current 3,100 2,702 (*) Includes Éxito’s amount of R$440 (R$340 on December31, 2019). 10.1. ICMS (State VAT) tax credits Since 2008, the Brazilian States have been substantially changing their laws aiming at implementing and broadening the ICMS (State VAT) tax substitution system (“ICMS-ST”). Referred system implies the prepayment of ICMS throughout the supply chain, upon receiving goods from manufacturer or importer, or upon transfers to other States. The expansion of such system to a wider range of products traded at the retail stores is based on the assumption that the trading cycle of these products will end in the State, so that ICMS is fully owed thereto. In order to supply its stores, the Group maintains distribution centers strategically located in certain States and in the Federal District, which receive goods with ICMS included in the purchase price on behalf of the entire supply chain and then the goods are shipped to locations in other States. Such interstate shipment entitles the Group to a refund of prepaid ICMS, i.e., the ICMS of the supply chain paid at the acquisition of goods will represent a tax credit to be refunded, pursuant to the State laws. The refund process requires the evidence through tax documents and digital files of the operations that entitled the Company to the refund, which is approved only after homologation from State Tax Authorities and/or compliance with specific ancillary obligations aiming to support these credits. Since the number of items traded at the retail stores, subject to tax substitution, has been continuously increasing, the tax credits to be refunded to the Company and subsidiaries have also grown. The Group has been using such authorized tax credits to offset against state tax liabilities owed after having obtained Special Regime and also through other procedures determined by State rules. The Group understands that future realization of ICMS tax credits is probable based on a feasibility study, on the expectation of future growth and the expected offset against tax debts from its operations. The projections on the realization of ICMS balances are revised at least annually by the occasion of the annual strategic planning approved by the Company’s Board of Directors. Management has implemented monitoring controls over the progress of the plan annually established, assessing and including new elements that contribute to the recoverability of ICMS tax credits. The expected recoverability of ICMS tax credits is demonstrated as follows: Up to one year 261 From 1 to 2 years 175 From 2 to 3 years 173 From 3 to 4 years 157 From 4 to 5 years 153 More than 5 years 516 1,435 10.2. PIS and COFINS credit The Company records PIS and COFINS credits, when it obtains enough evidence to conclude that it is entitled to these credits. Evidence include i) Interpretation of tax legislation, ii) internal and external factors as legal and market interpretations and iii) accounting evaluation about the matter. On October 29, 2020, the Company obtained a favorable decision in its individual lawsuit, resulting in the recording of tax credit in the amount of R$1,609 (of which R$613 in the financial result), net of provisions for installments, which, eventually, considered unrealizable. The compensation of this tax credit against tax liabilities is subject to certain administrative proceedings with the Brazilian tax authorities and the Company estimates it will be realized in until 5 (five) years. See note 22.9. In relation to PIS and COFINS assets, the Company assessed recent procedural progress in certain cases and proceeded to write off PIS/COFINS assets in the amount of R$168, on December 31, 2020, of amounts without expectation of realization. The realization of the PIS and COFINS balance is shown below: Consolidated Up to one year 285 From 1 to 2 years 297 From 2 to 3 years 300 From 3 to 4 years 310 From 4 to 5 years 317 More than 5 years 417 1,926 10.3. INSS On August 28, 2020, the Federal Supreme Court (STF), in general repercussion, recognized as constitutional the incidence of social security charges (INSS) on the additional one third of vacation payment. The Company has been following the development of these issues, and together with its legal advisors, concluded that the elements so far do not impact the recoverability of the respective credits. The amount involved in the consolidated is equivalent to R$158, on December 31, 2020 (R$154 on December 31, 2019) |
11. Related parties
11. Related parties | 12 Months Ended |
Dec. 31, 2020 | |
Related party transactions [abstract] | |
Related parties | 11. Related parties 11.1. Management compensation The expenses related to management compensation (officers appointed pursuant to the Bylaws, including members of the Board of Directors and advisory committees) for the years ended December 31, 2020, 2019 and 2018, were as follows: (In thousands of Brazilian Reais) Base salary Variable compensation Stock option plan – Note 25 Total compensation 2020 2019 2018 2020 2019 2018 2020 2019 2018 2020 2019 2018 Board of directors (*) 67,716 38,207 12,256 - - - 4,056 2,366 - 71,772 40,573 12,256 Executive officers 36,868 33,373 42,695 11,175 12,943 15,083 10,906 15,596 29,267 58,949 61,912 87,045 Fiscal Council 331 - 228 - - - - - - 331 - 228 104,915 71,580 55,179 11,175 12,943 15,083 14,962 17,962 29,267 131,052 102,485 99,529 % share-based payment over the total compensation 11.4% 17.5% 9.4% (*) Includes the compensation of the Board of Directors’ advisory committees (Human Resources and Compensation, Audit, Finance, Sustainable Development and Corporate Governance). 11.2. Balances and transactions with related parties Transactions with related parties refer mainly to transactions between the Company and its subsidiaries and other related entities and were substantially accounted for in accordance with the prices, terms and conditions agreed upon between the parties. Balances Transactions Trade receivables Other assets Trade payables Other liabilities Revenues (expenses) 2020 2019 2020 2019 2020 2019 2020 2019 2020 2019 2018 Controlling shareholders Casino (i) - - - 5 - - - 24 (91) (57) (64) Foncière Euris (i) - - - - - - - 1 (3) (1) (2) Helicco Participações (i) - - - - - - - - - (3) (7) Geant international - - - - - - - - - (3) Associates FIC (iii) 15 24 31 36 12 39 - - 55 83 152 Puntos Colombia (v) - - 37 28 - - 54 43 (114) (13) Tuya (vi) - - 31 26 - - 1 - 24 21 Other related parties Greenyellow (iv) - - - - - - 119 134 (84) (35) Sendas Distribuidora (viii) - - 42 - - - 169 - - - - Casino Group (vii) 13 12 12 8 - 1 19 13 (30) (4) (39) Others - - 1 1 - - - - - - Total 28 36 154 104 12 40 362 215 (243) (12) (40) The Company's main transactions with related parties are: (i) Casino: Insurance: “Agency Agreement”: Signed between the Company, Sendas Distribuidora S.A and Groupe Casino Limited on July 25, 2016 to set the rules for the “global sourcing” (prospecting global suppliers and intermediating the purchases) provided by Casino and reimbursement to be made by Groupe Casino Limited to the Company to recoup lower profit margins by giving discount to certain products. “Cost Reimbursement Agreement”: Signed between the Company and Casino, Guichard-Perrachon S.A. on July 25, 2016 to set the reimbursement rules of French employees expenses related to the French social contributions paid by Casino in France. “Agency Agreement”: Entered into between the Company, Sendas Distribuidora S.A. (“Sendas”) and Casino International S.A. on December 20, 2004, as amended, to represent the Company in the commercial negotiation of products to be acquired from international suppliers. “Purchase Agreement”: signed between the Company, Sendas and E.M.C. Distribution Limited on June 6, 2019 for the import of non-food and food products (except perishables and wines) for resale in its stores, upon request for purchase orders, on a non-exclusive basis. (ii) Éxito and subsidiaries: License agreements for the use of trademarks and copyrights involved in the production, advertising, promotion, marketing and distribution of textile products and accessories for the female public (Bronzini and Arkitect brands) by Distribuidora de Textiles y Confecciones SA (Didetexto), controlled by Éxito. “Cost Reimbursement Agreement”: signed between the Company, Sendas and Éxito on October 22, 2019 for the reimbursement by one party to another of the costs incurred for the transfer of employees. (iii) FIC: (iv) Greenyellow (v) Puntos Colombia: Éxito's customer loyalty program. Amount related to point redemption and other services. (vi) Tuya: Financial institution that is an associate of Éxito. Amount related to participation in business collaboration agreements and expense reimbursement, discount vouchers and others. (vii) Casino Group: Receivable for expatriate expenses with Casino International, Distribution Casino and Casino Services. Provision of services in the importation of goods by other companies of the Casino Group. (viii) Sendas Distribuidora: As of December 31, 2020 Sendas is not a subsidiary of the Group. The Company is responsible for the legal proceedings of Sendas Distribuidora prior to the Assai activity. The Company signed with Sendas a separation agreement, which main terms are related to the operational steps for the separation of the remaining activities done in conjunction. Additionally, this separation agreement stablish the indemnization rights and responsibilities, over which the Company is responsible for expenses related to losses given cause by the retail activity. In the same way, the Company has the right over the gains relate to such activity. |
12. Investments
12. Investments | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of associates [abstract] | |
Investments | 12. Investments 12.1. Interest in subsidiaries and associates: The details of the Company's subsidiaries at the end of each year are shown below: Direct and indirect equity interest - % 2020 2019 Companies Subsidiaries CBD Novasoc Comercial Ltda. (“Novasoc”) Brazil 100.00 100.00 Sendas Distribuidora S.A. (“Sendas”) Brazil - 100.00 CBD Holland B.V. (“CBD Holland”) Brazil 100.00 100.00 GPA 2 Empreend. e Participações Ltda. (“GPA 2”) Brazil 100.00 100.00 GPA Logística e Transporte Ltda. (“GPA Logística”) Brazil 100.00 100.00 SCB Distribuição e Comércio Varejista de Alimentos Ltda. ("Compre Bem'') Brazil 100.00 100.00 Stix Fidelidade e Inteligência S.A. ("Stix")(*) Brazil 66.67 100.00 James Intermediação S.A. ("James Delivery") Brazil 100.00 100.00 Cheftime Comércio de Refeições S/A ("Cheftime") Brazil 79.57 79.57 GPA Malls & Properties Gestão de Ativos e Serviços Imobiliários Ltda. (“GPA M&P”) Brazil 100.00 100.00 BCafeterias e Lanchonetes Ltda. ("BCafeterias")(*) Brazil 100.00 100.00 Fronteira Serviços Imobiliários Ltda.("Fronteira") Brazil 100.00 100.00 Place2B Serviços Imobiliários Ltda.("Place2B") Brazil 100.00 100.00 Companhia Brasileira de Distribuição Luxembourg Holding S.à.r.l. ("CBDLuxco”) Luxembourg 100.00 100.00 Companhia Brasileira de Distribuição Netherlands Holding B.V. (“CBDDutchco”) Netherlands 100.00 100.00 Éxito Almacenes Éxito S.A. ("Éxito") Colombia 96.57 96.57 (Acquired on 11/27/2019) Éxito Industrias S.A.S. ("Éxito Industrias") Colombia 94.59 94.59 Fideicomiso Lote Girardot Colombia 96.57 96.57 Éxito Viajes y Turismo S.A.S. Colombia 49.25 49.25 Almacenes Éxito Inversiones S.A.S. (Móvil Éxito) Colombia 96.57 96.57 Transacciones Energéticas S.A.S Colombia 96.57 96.57 Marketplace Internacional Éxito y Servicios S.A.S. (MPI) Colombia 96.57 96.57 Logística, Transporte y Servicios Asociados S.A.S. (LTSA) Colombia 96.57 96.57 Depósitos y Soluciones Logísticas S.A.S. Colombia 96.57 96.57 Patrimonio Autónomo Iwana Colombia 49.25 49.25 Patrimonio Autónomo Viva Malls Colombia 49.25 49.25 Patrimonio Autónomo Viva Sincelejo Colombia 25.12 25.12 Patrimonio Autónomo Viva Villavicencio Colombia 25.12 25.12 Patrimonio Autónomo San Pedro Etapa I Colombia 25.12 25.12 Patrimonio Autónomo Centro Comercial Colombia 25.12 25.12 Patrimonio Autónomo Viva Laureles Colombia 39.40 39.40 Patrimonio Autónomo Viva Palmas Colombia 25.12 25.12 Patrimonio Autónomo Centro Comercial Viva Colombia 44.33 44.33 Spice investment Mercosur Uruguay 96.57 96.57 Larenco S.A. Uruguay 96.57 96.57 Geant Inversiones S.A. Uruguay 96.57 96.57 Lanin S.A. Uruguay 96.57 96.57 5 Hermanos Ltda. Uruguay 96.57 96.57 Sumelar S.A. Uruguay 96.57 96.57 Raxwy Company S.A. (**) Uruguay - 96.57 Supermercados Disco del Uruguay S.A.(***) Uruguay 60.35 60.35 Maostar S.A. Uruguay 30.18 30.18 Ameluz S.A. Uruguay 60.35 60.35 Fandale S.A. Uruguay 60.35 60.35 Odaler S.A. Uruguay 60.35 60.35 La Cabaña S.R.L. Uruguay 60.35 60.35 Ludi S.A. Uruguay 60.35 60.35 Semin S.A. Uruguay 60.35 60.35 Randicor S.A. Uruguay 60.35 60.35 Setara S.A. Uruguay 60.35 60.35 Hiper Ahorro S.R.L. Uruguay 60.35 60.35 Ciudad del Ferrol S.C. Uruguay 59.14 59.14 Mablicor S.A. Uruguay 30.78 30.78 Tipsel S.A. Uruguay 96.57 96.57 Tedocan S.A. Uruguay 96.57 96.57 Vía Artika S. A. Uruguay 96.57 96.57 Group Disco del Uruguay S.A. Uruguay 60.35 60.35 Devoto Hermanos S.A. Uruguay 96.57 96.57 Mercados Devoto S.A. Uruguay 96.57 96.57 Libertad S.A. Argentina 96.57 96.57 Onper Investment 2015 S.L Spain 96.57 96.57 Spice España de Valores Americanos S.L. Spain 96.57 96.57 Marketplace Internacional Éxito S.L Spain 96.57 96.57 Gelase S. A. Belgium 96.57 96.57 (*) In 2020 the interest held in the company Stix Fidelidade was changed to 66.67%. (**) On July 31, 2020 the company Raxwy Company was liquidated. (***) Supermercados Disco del Uruguay S.A. is controlled through a Shareholders Agreement signed in April 2015, giving Éxito the 75% voting necessary. This agreement will expire in June 30th, 2021 and is currently under discussion. The details of the Company's associates at the end of each year are shown below: Direct and indirect equity interest - % 2020 2019 Companies Subsidiaries Cnova N.V. Cnova N.V. (“Cnova Holanda”) Netherlands 33.98 33.98 Cdiscount Afrique SAS (“Cdiscount Afrique”) France 33.98 33.98 Cdiscount International BV (“Cdiscount Internacional”) Netherlands 33.98 33.98 Cnova France SAS (“Cnova France”) France 33.98 33.98 Cdiscount S.A. (“Cdiscount”) France 33.87 33.87 Cdiscount Côte d'Ivoire SAS Ivory Coast (“Cdiscount Côte”) Ivory Coast 33.98 33.98 Cdiscount Sénégal SAS (“Cdiscount Sénégal”) Senegal 33.98 33.98 Cdiscount Cameroun SAS (“Cdiscount Cameroun”) Cameroon 33.98 33.98 CLatam AS Uruguay (“CLatam”) Uruguay 23.79 23.79 Cdiscount Panama S.A. (“Cdiscount Panama”) Panama 23.79 23.79 Cdiscount Uruguay S.A. (“Cdiscount Uruguay”) Uruguay 23.79 23.79 Ecdiscoc Comercializadora S.A. (Cdiscount Ecuador) (“Ecdiscoc Comercializadora”) Ecuador 23.78 23.78 Cnova Pay France 33.98 33.98 BeezUP SAS ("BezzUp") France 33.98 33.98 CARYA France 33.87 33.87 HALTAE France 33.87 33.87 C-Logistics France 28.56 28.56 NEOSYS France 17.33 17.33 Neotech Solutions Morocco 17.33 17.33 NEOSYS Tunisie Tunisia 17.33 17.33 C Chez Vous France 28.56 28.56 Phoenix France 16.99 16.99 C-Shield (*) France 33.87 - C-Payment (*) France 33.87 - MAAS (*) France 33.87 - FIC Financeira Itaú CBD S.A. Crédito, Financiamento e Investimento (“FIC”) Brazil 17.88 35.76 FIC Promotora de Vendas Ltda. (“FIC Promotora”) Brazil 17.88 35.76 Bellamar Empreend. e Participações Ltda. (“Bellamar”) (**) Brazil 50 100 Éxito Puntos Colombia S.A.S ("Puntos") Colombia 48.29 48.29 Compañia de Financiamento Tuya S.A. ("Tuya") Colombia 48.29 48.29 Cnova N.V (“Cnova Holanda”) Netherlands 0.18 0.18 (*) In 2020 the interest of 33.87% in C-SHIELD, C-PAYMENT and MAAS was acquired by Cnova Group (**) In 2020 the interest held in Bellamar changed to 50%, see note 1.1. 12.2. Associates Investments in associates are accounted for under the equity method when Group exercises significant influence, but not control, and (a) it is part of the shareholders’ agreement, appointing certain officers and having voting rights in certain relevant decisions; and (b) it has power to participate in the operational and financial decisions. The Group’s relevant associates are: i) FIC managed by Itaú Unibanco S.A. (“Itaú Unibanco”), ii) Cnova N.V. which holds mainly on e-commerce in France and (iii) Tuya, financial institution invested of Éxito The summarized financial statements are as follows: FIC Cnova N.V. Tuya 2020 2019 2020 2019 2020 2019 Current assets 6,738 7,085 4,224 3,271 4,728 3,943 Non-current assets 52 51 4,055 2,587 200 100 Total assets 6,790 7,136 8,279 5,858 4,928 4,043 Current liabilities 5,611 6,185 6,766 5,819 1,612 1,426 Non-current liabilities 22 20 2,806 867 2,578 2,146 Shareholders’ equity 1,157 931 (1,293) (828) 738 471 Total liabilities and shareholders’ equity 6,790 7,136 8,279 5,858 4,928 4,043 FIC Cnova N.V. Tuya Statement of operations: 2020 2019 2018 2020 2019 2018 2020 2019 Revenues 989 1,207 969 13,117 9,689 9,370 615 698 Operating income 555 441 398 207 (24) (73) 71 87 Net income for the year 329 263 218 (138) (288) (147) 37 (14) In applying the equity method in FIC, the special goodwill reserve of R$122 recorded by FIC is deducted from its shareholders’ equity, since it represents Itaú Unibanco’s exclusive right. The investments in Tuya and Cnova N.V. including the goodwill acquired in the business combination with Éxito totaling R$71 and R$11, respectively. 12.3. Breakdown of investments and rollfoward: FIC Note 1.1 BINV Bellamar Note 1.1 Tuya Puntos Colombia Other Total Balances at 12.31.2018 203 - - - - (279) (76) Share of profit (loss) of associates – continuing operation 106 - - (7) 2 (99) 2 Share of profit of associates – discontinued operation 12 4 - - - - 16 Dividends and interest on own capital - continuing operation (20) - - - - - (20) Dividends and interest on own capital - discontinued operation (3) - - - - - (3) Share of other comprehensive income - - - 9 - (8) 1 Investment acquisition - - - 305 11 316 Assets held for sale and discontinued operations (9) (4) - - - - (13) Balances at 12.31.2019 289 - - 307 2 (375) 223 Share of profit (loss) of associates – continuing operation 118 - - 18 9 (47) 98 Dividends and interest on own capital - continuing operation (37) - - - - - (37) Share of other comprehensive income - - - 79 1 (156) (76) Capital increase - - - 52 - - 52 Deconsolidation (370) - - - - - (370) Spin off – Sendas - - 196 - - - 196 Fair value adjustment - - 573 - - - 573 Balances at 12.31.2020 - - 769 456 12 (578) 659 (*) Includes losses in the investment in associate Cnova N.V. of R$620 on December 31, 2020 (R$385 on December 31, 2019). 12.4. Sale of investment in Via Varejo: In June 2019, the Company concluded the sale of its subsidiary Via Varejo, through an auction held at B3 SA - Brasil, Bolsa, Balcão, at a price of R$4.90 Reais per share, totaling R$2,300. The sale of Via Varejo resulted in the recognition of a gain on sale of R$398, net of the effect of income taxes of R$199 (see note 21) and related costs. Such gain was presented in the results of discontinued operations (see note 34). There are certain agreements between the Company and Via Varejo that were signed when it was part of the Group, and a related party, being the more significant: i) Corporate collaterals granted by the Company to guarantee obligations in operational agreements under responsibility of Via Varejo, with maturities and performance terms to be met by that company over time, in the amount up to R$ 2 billion. The collaterals are not past due, neither being executed against the Company. Management has already taken the necessary legal steps, according to the previous agreements, to extinguish all the guarantees and has reached an agreement with Via Varejo for replacement of the most significant guarantees, which are no longer in effect as of the date of these consolidated financial statements; ii) Operational agreement regulating the use of GPA brands by Via Varejo, which term will expire on October 21, 2021, iii) Equity interest held, respectively, by GPA, Via Varejo and Itaú Unibanco in Financeira Itaú CBD S.A.(“FIC”), and iv) Hold harmless clauses in the Shareholders´ Agreements signed in 2010, in the occasion of the merger between Globex and Casas Bahia, in relation to previously existing contingencies. Management has been accruing for the probable losses as disclosed in Note 22.6, as well as recording rights related to periods before the signature of the Shareholders´ Agreement. Referred reciprocal guarantees´ obligations will continue as long as the processes covered by such agreement have not ended. |
13. Business Combinations
13. Business Combinations | 12 Months Ended |
Dec. 31, 2020 | |
Business Combinations | |
Business Combinations | 13. Business Combinations Business combinations are accounted for using the acquisition method. The cost of an acquisition is measured as the aggregate of the consideration transferred, measured at fair value on the acquisition date, and the amount of any non-controlling interests in the acquiree. For each business combination, the Group elects whether to measure the non-controlling interest in the acquiree at fair value or at the proportional interest in the acquiree's identifiable net assets. The acquisition-related costs are expensed as incurred in statement of operation. When the Group acquires a business, it assesses the assets acquired and liabilities assumed for the appropriate classification and designation in accordance with contractual terms, economic circumstances and relevant conditions at the acquisition date. This includes the segregation of any embedded derivates identified in the agreements or contracts of the acquiree. Any contingent consideration is recognized at fair value on the acquisition date as part of the business combination. Subsequent changes in the fair value of any contingent consideration classified as an asset or a liability that is a financial instrument is recognized in profit or loss. Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognized for non-controlling interests and any previously held interest in the acquiree. If the fair value of the net assets acquired is in excess of the aggregated consideration transferred, the Group re-assesses whether it has correctly identified all of the assets acquired and all of the liabilities assumed and reviews the procedures used to measure the amounts to be recognized at the acquisition date. If the reassessment still results in an excess of the fair value of net assets acquired over the aggregate consideration transferred, then the gain is recognized in profit or loss. After initial recognition, goodwill is measured at cost, less any impairment losses. For impairment testing purposes, the goodwill acquired in a business combination is, as of the acquisition date, allocated to the cash generating unit that is expected to benefit from the business combination, regardless of whether other assets or liabilities of the acquiree are assigned those units. When goodwill is part of a cash-generating unit and part of the operation of this unit is sold, the goodwill related to the part is included in the carrying amount of the operation when calculating profit or loss from the sale of the operation. This goodwill is then measured based on the relative amounts of the sold operation to the total of the cash-generating unit which was retained. 13.1. Acquisition of Almacenes Éxito - Colombia On June 26, 2019, following a recommendation from the Company's controlling shareholder, it was presented to the GPA Board of Directors a transaction through which GPA launched a tender offer over the shares of Grupo Éxito aiming at the simplification of the structure of the Casino Group in Latin America, a significant improvement in governance of the Company and an increase in the basis of potential investors. As Grupo Éxito was previously controlled by the Company´s controlling shareholders and transactions under common control are not provided for in IFRS, the Company evaluated the substance of the transaction, which did not have a purpose of merely a corporate reorganization, which have been treated at cost historically by the Company, but the acquisition of Éxito Group differed from a reorganization because it had a commercial substance, being carried out at market value validated by evaluation committees, involved a public offering launched by GPA, through its subsidiary Sendas Distribuidora SA (“Sendas”), to acquire, in cash, up to the totality of Éxito’s shares, a listed company located in Colombia. Due to the economic substance, the Company has elected an accounting policy election and recorded this transaction as a business combination pursuant to IFRS 3. The transaction also involved the acquisition by Casino of the Éxito’s indirect equity interest in GPA at the price of R$113 Reais per share. On July 23, 2019, a material fact informed that the Board of Directors of GPA, based on the favorable recommendation from the Special Independent Committee and within range of price originally endorsed by GPA's executive board, proposing that its operational subsidiary Sendas Distribuidora to launch a tender offer, in cash, to acquire up to all of the shares of Éxito, for the price of 18,000 Colombian pesos per share (equivalent to R$21.68 Reais on the date of purchase). On September 12, 2019, the Board of Directors and the Éxito’s general shareholders' meeting approved the sale of its indirect equity interest in GPA to Casino in the terms disclosed. Since the Company was exposed to Colombian pesos (“COP”) during the tender offer period, on July 24, 2019, the financial committee approved the realization of a cash flow hedge, via NDFs (Non-Deliverable Forward), to mitigate this exposure. On November 27, 2019, the tender offer was settled, and shareholders representing 96.57% of Éxito's capital stock accepted the terms proposed. This adhesion represented a disbursement by Sendas of 7,780 billion Colombian pesos, amount equivalent to R$9.5 billion (taking into account the exchange rate of December 31, 2019). On the same date, previously to the settlement of the tender offer, subsidiaries of Casino acquired all of the shares of GPA held directly and indirectly by Éxito for the price, net of debt, of US$1,161 million (equivalent to R$4.9 billion based on the exchange rate on the date of the transaction). As a consequence of this change of control, and based on what is established in the Colombian corporate law, the capital stock owned by a single shareholder cannot exceed 95%. The Company had 18 months, counting from the public offering, to comply with the law. On February 10, 2021 the Company transferred 5% of its interest to GPA 2 Empreendimentos e Participações ("GPA2") and now holds a direct interest of 91.57% of Éxito's capital stock. The Company holds 100% interest in GPA 2. Context of the acquisition Almacenes Éxito S.A. operates more than 650 stores in Colombia, Uruguay and Argentina, in addition to shopping centers, having also a significant investment in a loyalty and financial company, in addition to its own brands with successful participation. The Company started to consolidate Éxito's as of December 1, 2019, consolidating one month of profit or losses in the Statement of operations. Net sales were R$2,151 in this period, and net income was R$71. If Éxito had been consolidated as of January 1, 2019, the contribution to the statement of operations would have been R$18,388 on net sales and R$178 on net income from continuing operations. Determination of the consideration transferred by the acquisition The cash consideration has been adjusted for the dividends received related to the year of 2018 and the effect of the cash flow hedge entered into to hedge the exposure on changes in foreign exchange rates, as shown below: 12.31.2019 Cash consideration 9,268 Cash flow hedge effect 145 9,413 Dividends related to 2018 (42) Total cash consideration transferred 9,371 Fair values of assets acquired and liabilities assumed The fair values of identifiable assets acquired and liabilities assumed from Éxito, on the date of the business combination, are as follows: Balance after purchase price allocation Assets: Cash and cash equivalents 6,062 Trade receivables, net 416 Inventories, net 2,765 Recoverable taxes 477 Other current assets 349 Deferred income tax and social contribution 1,353 Related parties 137 Other non-current assets 111 Investments in associates 316 Investment properties 2,972 Property and equipment, net 8,496 Intangible assets, net 3,009 26,463 Liabilities: Payroll and related taxes 283 Trade payables, net 4,545 Taxes and contributions payables 219 Borrowings and financing 2,546 Lease liabilities 277 Other current liabilities 998 Non-current borrowings and financing 2,060 Deferred income tax and social contribution 2,100 Provisions for contingencies 103 Non-current lease liabilities 1,540 Other non-current liabilities 28 14,699 Net assets 11,764 (-) Attributed to non-controlling shareholders (2,558) Net assets 9,206 a) Tradename - These includes the brands Surtimax, Super Inter, Surti Mayorista, Viva, Frescampo, Éxito and Carulla in Colombia, Libertad brand in Argentina and Disco in Uruguay. In addition, it also includes the brands Éxito, Bronzini, Frescampo, Ekono, Arkitect and Carulla. Tradenames have an indefinite useful life. b) Investment properties and real estate properties - Éxito Group has real estate assets in galleries and shopping malls for the purpose of being leased. Such assets have high commercial relevance as they are located in prime areas. Additionally, we evaluated a group of stores considered significant that are exploited in Éxito's operation c) Investment in Banco Tuya – fair value was estimated using the incoming approach method. d) Lease agreements - Lease liabilities were re-measured using the incremental borrowing rate at the date of acquisition. The non-controlling interests was measured at fair value on the date of acquisition, as shown below: Total consideration transferred - 96.57% 9,371 Fair value of the Company - 100% 9,706 Non-controlling interest at fair value 335 Goodwill The Company recorded a residual goodwill of R$165; which has been determined as follows: Fair value of net assets acquired 11,764 (-) Attributed to non-controlling shareholders (2,223) 9,541 Remaining non-controlling interest (335) Net assets 9,206 Total consideration transferred for the acquisition of control of Éxito 9,371 Goodwill 165 Goodwill is not deductible for tax purposes, except on the sale of the investment. The acquisition-related costs totaled R$198 and were recognized as other operating expenses (note 28). |
14. Investment properties
14. Investment properties | 12 Months Ended |
Dec. 31, 2020 | |
Investment property [abstract] | |
Investment properties | 14. Investment properties Investment properties are measured at historical cost, including transaction costs, net of accumulated depreciation and impairment loss, if any. The cost of investment properties acquired in a business combination is determined at fair value, in accordance with IFRS 3 - Business combination. Investment properties are written off when they are sold or no longer used and no future economic benefit is expected from its use. An investment property is also classified as held for sale when there is an intention and plan to sell. The difference between the net amount obtained from the sale and the carrying amount of the asset is recognized in the statement of operations in the period in which the asset is disposed of. The investment properties of the Group correspond to commercial areas and lots that are maintained for income generation or future price appreciation. The fair value of investment properties is measured based on assessments performed by third parties. Balance at 12.31.2019 Additions Impairment Depreciation Exchange rate Transfers Balance at 12.31.2020 Land 656 - (11) - 149 (32) 762 Buildings 2,385 6 (11) (63) 557 (15) 2,859 Construction in progress 10 8 - - 2 (2) 18 Total 3,051 14 (22) (63) 708 (49) 3,639 Balance at 12.31.2018 Additions Depreciation Business combination Exchange rate changes Transfers Balance at 12.31.2019 Land 6 2 - 643 11 (6) 656 Buildings 10 10 (4) 2,319 45 5 2,385 Improvements 4 - - - - (4) - Construction in progress - - - 10 - - 10 Total 20 12 (4) 2,972 56 (5) 3,051 Balance at 12.31.2020 Balance at 12.31.2019 Cost Accumulated depreciation Net Cost Accumulated depreciation Net Land 762 - 762 656 - 656 Buildings 2,921 (62) 2,859 2,400 (15) 2,385 Construction in progress 18 - 18 10 - 10 Total 3,701 (62) 3,639 3,066 (15) 3,051 The net result generated by investment properties is as follows: 2020 2019 Lease revenue 368 31 Operating expenses from investment properties that generate revenue (78) (4) Operating expenses from investment properties that do not generate revenue (165) (12) Net result generated by investment properties 125 15 As of December 31, 2020, the fair value of investment properties in use was R$3,926 (R$3,047 as of December 31, 2019). Key inputs used in the fair value assessment, such as discount rate, vacancy rate and terminal capitalization rate are estimated by advisors or management based on comparable transactions and industry data. The rates vary for each development based on geographic region, development format and are presented below: Range Discount rate 10.00% 15.25% Vacancy rate 1.00% 10.00% Terminal capitalization rate 7.50% 8.50% |
15. Property and equipment
15. Property and equipment | 12 Months Ended |
Dec. 31, 2020 | |
Property, plant and equipment [abstract] | |
Property and equipment | 15. Property and equipment Property and equipment is stated at cost, net of accumulated depreciation and/or impairment losses, if any. When significant components of property and equipment are replaced, they are recognized as individual assets with specific useful lives and depreciation. Likewise, when a major replacement is performed, its cost is recognized as the carrying amount of the equipment as a replacement, if the recognition criteria are met. All other repair and maintenance costs are recognized in the statement of operations for the year as incurred. Asset category Useful life (in years) Buildings 40 to 50 Leasehold improvements 24 to 40 Machinery and equipment 10 to 20 Facilities 11 Furniture and fixtures 9 to 12 Others 3 to 5 Property and equipment items and eventual significant parts are written off when sold or no future economic benefits are expected from its use. Any gains or losses arising from the disposals of the assets are included in the statement of operations for the year. The residual value, the useful life of assets and the depreciation methods are reviewed at the end of each reporting period and adjusted prospectively, if applicable. The Company reviewed the useful lives of property and equipment items for fiscal year 2020 and no significant changes were deemed necessary. Interest on borrowings and financing directly attributable to the acquisition, construction of an asset that requires a substantial period of time to be completed for its intended use or sale (qualifying asset), are capitalized as part of the cost of the respective assets during its construction phase. From the date that the asset is placed in operation, capitalized costs are depreciated over the estimated useful life of the asset. 15.1. Impairment of non-financial assets Impairment testing is designed so that the Group can present the net realizable value of an asset. This amount may be realized directly or indirectly, respectively, through the sale of the asset or the cash generated by the use of the asset in the Group’s activities. The Group tests its non-financial assets for impairment annually or whenever there is internal or external evidence that they may be impaired. An asset’s recoverable amount is defined as the asset’s fair value less cost to sell or its value in use, whichever is higher, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets. If the carrying amount of an asset or CGU exceeds its recoverable amount, the asset is considered impaired and an impairment loss is recorded to adjust its carrying amount to its recoverable amount. In assessing the recoverable amount, the estimated future cash flows are discounted to present value using a pre-tax discount rate that represents the Company’s weighted average cost of capital (“WACC”), reflecting current market assessments of the time value of money and the risks specific to the asset . Impairment test of stores operating assets An impairment assessment is performed on operating assets (property and equipment) and intangible assets (such as Commercial rights) directly attributable to stores, as follows: • Step 1: the book value of properties in rented stores was compared to a sales multiple (30% to 35%) representing transactions between retail companies. Stores for which the multiple of sales was lower than their book value and owned stores, a more detailed test is made, as described in Step 2 below. • Step 2: the Group considers the highest value between: a) the discounted cash flows of stores using sales growth average 4.6% (4.8% in 2019) for periods exceeding the next five years and a discount rate of 7.9% (8.4% in 2019) and b) a valuation prepared by independent experts for owned stores. The Group assessed if any of its long-lived assets were impaired at December 31, 2020. Based on the tests performed, it was necessary to record a loss amounting to R$23 in the consolidated financial statements. See considerations regarding the effects of the pandemic in note 1.2. Impairment losses are recognized in profit or loss for the year consistent with the function of the respective impaired asset. Previously recognized impairment losses are reversed only if there is a change in the assumptions used to determine the asset’s recoverable amount at its initial or most recent recognition, except for goodwill, which cannot be reversed in future periods. Balance at 12.31.2019 Additions Remeasurement Impairment Depreciation Write-offs Merger Transfers (*) Exchange rate changes Deconsolidation Balance at 12.31.2020 Land 3,692 61 - - - (87) 121 (308) 542 (481) 3,540 Buildings 4,869 80 - (23) (156) (145) - (308) 705 (608) 4,414 Leasehold improvements 4,441 788 - - (429) (119) - 262 70 (2,601) 2,412 Machinery and equipment 2,281 308 - - (437) (69) - 172 151 (637) 1,769 Facilities 580 61 - - (67) (11) - (18) 8 (270) 283 Furniture and fixtures 1,007 120 - - (193) (16) - 62 66 (340) 706 Construction in progress 275 746 - - - (7) - (750) 17 (68) 213 Other 74 18 - - (28) - - 7 1 (38) 34 Total 17,219 2,182 - (23) (1,310) (454) 121 (881) 1,560 (5,043) 13,371 Lease – right of use: Buildings 7,023 2,001 1,403 - (928) (1,005) - (3) 402 (2,428) 6,465 Equipment 45 24 (7) - (15) (1) - - 9 (6) 49 Land 3 - - - - - - - - - 3 7,071 2,025 1,396 - (943) (1,006) - (3) 411 (2,434) 6,517 Total 24,290 4,207 1,396 (23) (2,253) (1,460) 121 (884) 1,971 (7,477) 19,888 (*) The main effects are R$722 for transfers to held for sale and R$198 for intangibles and (R$49) for investment properties Balance at 12.31.2018 Additions Business Combination Remeasurement Depreciation Write-offs Transfers Exchange rate changes Deconsolidation Via Varejo Balance at 12.31.2019 Land 1,366 75 2,277 - - (30) (36) 40 - 3,692 Buildings 1,773 237 2,934 - (67) (29) (29) 51 (1) 4,869 Leasehold improvements 3,843 634 334 - (332) (382) 407 - (63) 4,441 Machinery and equipment 1,308 445 672 - (264) (36) 180 10 (34) 2,281 Facilities 501 86 64 - (59) (16) 30 (2) (24) 580 Furniture and fixtures 595 163 300 - (100) (21) 80 6 (16) 1,007 Construction in progress 176 789 154 - - (6) (903) 3 62 275 Other 59 32 6 - (24) (2) 7 - (4) 74 Total 9,621 2,461 6,741 - (846) (522) (264) 108 (80) 17,219 Lease – right of use: Buildings 4,422 792 1,727 832 (525) (152) 52 32 (157) 7,023 Equipment 9 15 25 - (5) - - 1 - 45 Land - - 3 - - - - - - 3 4,431 807 1,755 832 (530) (152) 52 33 (157) 7,071 Total 14,052 3,268 8,496 832 (1,376) (674) (212) 141 (237) 24,290 Balance at 12.31.2020 Balance at 12.31.2019 Cost Accumulated depreciation Net Cost Accumulated depreciation Net Land 3,540 - 3,540 3,692 - 3,692 Buildings 5,219 (805) 4,414 5,712 (843) 4,869 Leasehold improvements 4,778 (2,366) 2,412 7,065 (2,624) 4,441 Machinery and equipment 4,438 (2,669) 1,769 4,864 (2,583) 2,281 Facilities 725 (442) 283 1,065 (485) 580 Furniture and fixtures 1,966 (1,260) 706 2,196 (1,189) 1,007 Construction in progress 213 - 213 275 - 275 Other 181 (147) 34 256 (182) 74 21,060 (7,689) 13,371 25,125 (7,906) 17,219 Lease – right of use: Buildings 10,069 (3,604) 6,465 10,655 (3,632) 7,023 Equipment 105 (56) 49 128 (83) 45 Land 7 (4) 3 6 (3) 3 10,181 (3,664) 6,517 10,789 (3,718) 7,071 Total 31,241 (11,353) 19,888 35,914 (11,624) 24,290 15.2. Guarantees At December 31, 2020 and 2019, the Group had collateralized property and equipment items in relation to certain legal claims, as disclosed in note 22.8. 15.3. Capitalized borrowing costs Capitalized borrowing costs for the year ended December 31, 2020 were R$15 (R$26 for the year ended December 31, 2019). The rate used for the capitalization of borrowing costs was 150.67% of Brazilian CDI (136.11% in 2019), corresponding to the effective interest rate of the Group’s borrowings. The effective interest rate was 3.96% in 2020 (6.06% in 2019) 15.4. Additions to property and equipment for cash flow presentation purposes are as follows: 2020 2019 Additions (i) 4,207 3,268 Lease (2,025) (806) Capitalized borrowing costs (15) (26) Property and equipment financing - Additions (ii) (2,001) (2,116) Property and equipment financing - Payments (ii) 2,123 2,142 Total 2,289 2,462 (i) The additions are related to the purchase of operating assets, acquisition of land and buildings to expand activities, building of new stores, improvements of existing distribution centers and stores and investments in equipment and information technology. (ii) The additions to property and equipment above are presented to reconcile the acquisitions during the year with the amounts presented in the statement of cash flows net of items that did not impact cash flow. 15.5. Other information At December 31, 2020, the Group recorded in cost of sales an amount of R$232 (R$120 at December 31, 2019) related to the depreciation of its machinery, buildings and facilities related to the distribution centers. |
16. Intangible assets
16. Intangible assets | 12 Months Ended |
Dec. 31, 2020 | |
Intangible assets and goodwill [abstract] | |
Intangible assets | 16. Intangible assets Intangible assets acquired separately are measured at cost, less amortization and impairment losses, if any. Internally generated intangible assets, excluding capitalized software development costs, are recognized as expenses when incurred. Intangible assets consist mainly of software acquired from third parties, software developed for internal use, commercial rights (stores’ rights of use), customer lists and brands. Intangible assets with definite useful lives are amortized by the straight-line method. The amortization period and method are reviewed, at least, at the end of each reporting period. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are accounted for by changing the amortization period or method, as appropriate, and are treated as changes in accounting estimate. Software development costs recognized as assets are amortized over their useful lives (5 to 10 years). The weighted average amortization rate is 10.82%, beginning the amortization when the assets become operational. Intangible assets with indefinite useful lives are not amortized, but tested for impairment at the end of each reporting period or whenever there are indications that their carrying amount may be impaired either individually or at the level of the cash-generating unit. The assessment is reviewed annually to determine whether the indefinite life assumption remains appropriate. Otherwise, the useful life is changed prospectively from indefinite to definite. When applicable, gains or losses arising from the derecognition of an intangible asset are measured as the difference between the net proceeds from the sale of the asset and its carrying amount, any gain or loss is recognized in the statement of operations in the year the asset is derecognized. Balance at 12.31.2019 Additions Amortization Write-off Remeasurement Exchange rate changes Transfer Deconsolidation Sendas Balance at 12.31.2020 Goodwill 1,314 - - - - 39 15 (618) 750 Tradename 3,062 - (1) - - 713 - (40) 3,734 Commercial rights (note 16.2) 136 6 - - - - - (95) 47 Software 888 191 (179) (2) - 19 183 (70) 1,030 5,400 197 (180) (2) - 771 198 (823) 5,561 Lease-right of use: Right of use Paes Mendonça (*) 780 - (47) - 49 - - (215) 567 Software 56 1 (21) - - - - - 36 836 1 (68) - 49 - - (215) 603 Total 6,236 198 (248) (2) 49 771 198 (1,038) 6,164 (*) Correspond to the premium paid for the renewal of the agreement with Paes Mendonça to operate certain stores by 30-year term Balance at 12.31.2018 Additions Business combination (*) Amortization Write-off Remeasurement Exchange rate changes Transfer Deconsolidation Via Varejo Balance at 12.31.2019 Goodwill 1,148 - 165 - - - 3 (1) - 1,315 Tradename 39 - 2,949 - - - 66 8 - 3,062 Commercial rights (note 16.2) 111 24 - - - - - - - 135 Software 621 274 60 (110) (7) - 1 124 (75) 888 1,919 298 3,174 (110) (7) - 70 131 (75) 5,400 Lease-right of use: Right of use Paes Mendonça (**) 819 - - (45) - 6 - - - 780 Software 80 - - (24) (1) - - - 1 56 899 - - (69) (1) 6 - - 1 836 Total 2,818 298 3,174 (179) (8) 6 70 131 (74) 6,236 (*) See note 13.1 (**) Correspond to the premium paid for the renewal of the agreement with Paes Mendonça to operate certain stores by 30-year term Balance at 12.31.2020 Balance at 12.31.2019 Cost Accumulated Net Cost Accumulated Net Goodwill 2,478 (1,728) 750 2,425 (1,111) 1,314 Tradename 3,736 (2) 3,734 3,062 - 3,062 Commercial rights (note 16.2) 47 - 47 135 1 136 Software 2,012 (982) 1,030 1,715 (827) 888 8,273 (2,712) 5,561 7,337 (1,937) 5,400 Lease-right of use: Right of use Paes Mendonça 653 (86) 567 836 (56) 780 Software 120 (84) 36 321 (265) 56 773 (170) 603 1,157 (321) 836 Total intangibles 9,046 (2,882) 6,164 8,494 (2,258) 6,236 16.1. Impairment assessment on intangible assets with indefinite useful life, including goodwill The impairment test of intangibles uses the same practices described in Note 15 Property and equipment. For impairment testing purposes, goodwill acquired through business combinations and licenses (brands) with indefinite life were allocated to a group of cash generating units, which correspond to our operating segments. They are retail and international retail (Éxito). CGU’s recoverable value is calculated using the value in use based on estimated cash flow based on financial budgets approved by Board of Directors for the next three years. The discount rate used on cash flow projections was 7.9% (8.4% in 2019), and the cash flows exceeding the three-year period are extrapolated using a 4.6% growth rate (4.8% on December 31, 2019). Based on this analysis no impairment charges were recorded. See considerations regarding the pandemic effects of COVID-19 in note 1.2. The Éxito Group discount rate applied to cash flow projections is 6.5% (and cash flows exceeding the three-year period are extrapolated using a growth rate of 3%) in Colombia. The discount rate applied to cash flow projections is 9.4% (and cash flows exceeding the three-year period are extrapolated using a growth rate of 6.3%) in Uruguay. The discount rate applied to cash flow projections is 58.1% for 2021, 47.9% for 2022, 38.9% for 2023, 33.5% para 2024, 30.2% for 2025, 27.8% for 2026, 26.4% for 2027, 25.3% for 2028, 22.1% for 2029 and 19.6% for 2030 onwards and growth rate is 5.0% in Argentina. Based on this analysis no impairment charges were recorded. Sensitivity analysis Based on the probable scenario, a sensitivity analysis was made for a 0.5 percentage points increase / decrease in the discount rate and growth rate. In any combination, the value of the segment's cash flow is higher than its book value. As a result of this analysis, there was no need to record a provision for impairment of these assets. 16.2. Commercial right Commercial rights are the right to operate the stores under acquired rights, or through business combinations. Commercial rights are considered recoverable, either through the expected cash flows of the related store or the sale to third parties. Commercial rights with a defined useful life are tested using the same assumptions for the Company's impairment test, following the term of use of these assets. 16.3. Additions to intangible assets for cash flow presentation purposes: 2020 2019 Additions 198 298 Lease - (1) Intangible assets financing - Addition (1) (23) Intangible assets financing - Payments 4 46 Total 201 320 |
17. Trade payables, net
17. Trade payables, net | 12 Months Ended |
Dec. 31, 2020 | |
Trade and other payables [abstract] | |
Trade payables, net | 17. Trade payables, net 2020 2019 Product suppliers 10,907 14,371 Service suppliers 904 977 Bonuses from suppliers (note 17.2) (387) (461) 11,424 14,887 17.1. Agreement between suppliers, the Group and banks The Group entered into certain agreements with financial institutions in order to allow suppliers to use the Group's lines of credit, and to anticipate receivables arising from the sale of goods and services. These transactions were assessed by management that determined that they have commercial characteristics, since there are no changes to the original terms of the receivables in relation to price and / or terms, including financial charges. The anticipation is also solely at the suppliers’ discretion. The Group also has commercial transactions increasing payment terms, as part of its commercial activities, without financial charges. 17.2. Bonuses from suppliers It includes considerations and discounts obtained from suppliers. These amounts are established in agreements and include amounts for discounts on purchase volumes, joint marketing campaigns, freight reimbursements, and other similar programs. The settlement of these receivables is through offsetting the amounts payable to suppliers, according to the terms of supply agreements. |
18. Borrowings and financing
18. Borrowings and financing | 12 Months Ended |
Dec. 31, 2020 | |
Borrowings [abstract] | |
Borrowings and financing | 18. Borrowings and financing 18.1. Debt breakdown Weighted average rate 2020 2019 Debentures and promissory note Debentures, certificate of agribusiness receivables and promissory notes (note 18.4) CDI + 1.27% per year 4,598 11,863 4,598 11,863 Borrowings and financing Local currency BNDES 4.07% per year - 27 Working capital CDI + 2.37% per year 2,689 1,008 Working capital TR + 9.80 % per year 13 99 Swap contracts (note 18.7) CDI – 0.02% per year (2) (12) Unamortized borrowing costs (13) (22) 2,687 1,100 Foreign currency (note 18.5) Working capital USD + 2.27% per year 271 846 Working capital IBR 3M + 3.8% 1,534 323 Working capital Argentina Pré: 29.43% 26 - Credit letter 12 12 Swap contracts (note 18.7) CDI + 2.0% per year 12 (15) Swap contracts (note 18.7) IBR 3M + 3.8% 1 (19) NDF Contracts – Derivatives - (1) Unamortized borrowing costs (1) (1) 1,855 1,145 Total 9,140 14,108 Current assets - 73 Non-current assets 11 13 Current liabilities 2,309 3,488 Non-current liabilities 6,842 10,706 18.2. Changes in borrowings At December 31, 2019 14,108 Additions 7,262 Accrued interest 755 Accrued swap (343) Mark-to-market 14 Adjustment to present value 115 Monetary and exchange rate changes 331 Borrowing cost 53 Interest paid (774) Payments (5,125) Swap paid 333 Foreign currency translation adjustment 173 Deconsolidation Sendas (7,762) At December 31, 2020 9,140 At December 31, 2018 5,286 Additions 13,604 Accrued interest 678 Accrued swap (11) Mark-to-market (47) Monetary and exchange rate changes (13) Borrowing cost 31 Interest paid (504) Payments (9,551) Swap paid 103 Acquisition of company 4,527 Foreign currency translation adjustment 80 Desconsolidation Via Varejo (75) At December 31, 2019 14,108 18.3. Maturity schedule of non-current borrowings and financing Year From 1 to 2 years 4,756 From 2 to 3 years 1,426 From 3 to 4 years 237 From 4 to 5 years 230 After 5 years 195 Subtotal 6,844 Unamortized borrowing costs (13) Total 6,831 18.4. Debentures, Promissory Note and Certificate of Agribusiness Receivables Date Consolidated Type Issue Amount Outstanding debentures (units) Issue Maturity Financial charges Unit price (in reais) 12.31.2020 12.31.2019 14th Issue of Debentures – CBD and CRA No preference 1,080 1,080,000 04/17/17 04/13/20 - - - 1,091 15th Issue of Debentures – CBD No preference 800 800,000 01/17/18 01/15/21 150.00% of CDI 564 451 821 16th Issue of Debentures – CBD (1st series) No preference 700 700,000 09/11/18 09/10/21 162.71% of CDI 1,015 711 712 16th Issue of Debentures – CBD (2nd series) No preference 500 500,000 09/11/18 09/12/22 163.56% of CDI 1,042 521 508 17th Issue of Debentures - CDB No preference 2,000 2,000,000 01/06/20 01/06/23 CDI + 1.45% per year 1,017 2,033 - 4th Issue of Promissory Notes – CBD No preference 800 800 01/10/19 01/09/22 163.13% of CDI 1,113,594 891 849 1th Issue of Promissory Notes – Sendas (1st series) No preference 50 1 07/04/19 07/03/20 CDI + 0.72% per year - - 52 1th Issue of Promissory Notes – Sendas (2nd series) No preference 50 1 07/04/19 07/05/21 CDI + 0.72% per year - - 52 1th Issue of Promissory Notes – Sendas (3nd series) No preference 50 1 07/04/19 07/04/22 CDI + 0.72% per year - - 52 1th Issue of Promissory Notes – Sendas (4nd series) No preference 250 5 07/04/19 07/04/23 CDI + 0.72% per year - - 258 1th Issue of Promissory Notes – Sendas (5nd series) No preference 200 4 07/04/19 07/04/24 CDI + 0.72% per year - - 206 1th Issue of Promissory Notes – Sendas (6nd series) No preference 200 4 07/04/19 07/04/25 CDI + 0.72% per year - - 206 1th Issue of Debentures – Sendas (1nd series) No preference 2,000 2,000,000 09/04/19 08/20/20 - - - 1,001 1th Issue of Debentures – Sendas (2nd series) No preference 2,000 2,000,000 09/04/19 08/20/21 CDI + 1.74% per year - - 2,044 1th Issue of Debentures – Sendas (3nd series) No preference 2,000 2,000,000 09/04/19 08/20/22 CDI + 1.95% per year - - 2,046 1th Issue of Debentures – Sendas (4nd series) No preference 2,000 2,000,000 09/04/19 08/20/23 CDI + 2.20% per year - - 2,047 Borrowing cost - (9) (82) 4,598 11,863 Current liabilities 1,220 2,287 Non-current liabilities 3,378 9,576 GPA issues debentures to strengthen its working capital, maintain its cash strategy, lengthening its debt profile and make investments. The debentures issued are unsecured, without renegotiation clauses and not convertible into shares. Principal is paid in full on maturity date with semi-annually interest payments ( 14 th th th The 15 th th th On April 17, 2017, CBD launched the 14 th th st On January 17, 2018, CBD performed the 15th issuance of simple debentures, non-convertible into shares, unsecured, in a single series. The resources are used to increase working capital and to extend the indebtedness profile. The amount of R$ 800 has maturity on January 15, 2021, with interest of 104.75% of CDI that will be paid semiannually. On September 11, 2018, CBD launched the 16 th On January. 6, 2020, CBD launched the 17 th In the third quarter of 2019, occurred the first issue of commercial promissory notes of Sendas in 6 series, with a nominal value of R$50 to R$250 and a total of R$800. On December 17, 2018, CBD approved the 4th issue of promissory notes in a single series. The resources are used to increase working capital and extend the indebtedness profile. The total amount was R$800, has maturity on January 9, 2022 and interest of 105.75% of CDI. In the year, there was also the first issue of Sendas of simple, not convertible debentures into shares, in four series with a nominal value of R$2,000 Reais each, with a maturity between 1 and 4 years, totaling of R$8,000. These funds were used to finance the acquisition of Éxito shares in connection with the proposed reorganization operations in Latin America, as disclosed in note 13.1. 18.5. Borrowings in foreign currencies On December 31, 2020 the Group has loans in foreign currencies (US dollar) to strengthen its working capital, maintain its cash strategy, lengthening its debt profile and make investments. 18.6. Guarantees The Group has signed promissory notes for some loan contracts. 18.7. Swap contracts The Group uses swap transactions for 100% of its borrowings denominated in US dollars and fixed interest rates, exchanging these obligations for Real linked to CDI (floating) interest rates. These contracts include a total amount of the debt with the objective to protect the interest and principal and are signed, generally, with the same due dates and in the same economic group. The weighted average annual rate in December 2020 was 2.76% (5.96% as of December 31, 2019). 18.8. Financial covenants In connection with the debentures and promissory notes and for a portion of borrowings denominated in foreign currencies, the Company is required to maintain certain debt financial covenants. In connection of the reorganization disclosed, certain conditions were renegotiated. These ratios are quarterly calculated based on consolidated financial statements of the Company prepared in accordance with accounting practices adopted in Brazil, as follows: (i) net debt (debt minus cash and cash equivalents and trade accounts receivable) should not exceed the amount of equity and (ii) consolidated net debt/EBITDA ratio should be lower than or equal to 3.25. At December 31, 2020, GPA complied with these ratios. |
19. Financial instruments
19. Financial instruments | 12 Months Ended |
Dec. 31, 2020 | |
Financial Instruments | |
Financial instruments | 19. Financial instruments The main financial instruments and their carrying amounts, by category, are as follows: Carrying amount 2020 2019 Financial assets: Amortized cost Related parties - assets 154 104 Trade receivables and other receivables 1,614 924 Others assets 48 51 Fair value through profit or loss Cash and cash equivalents 8,711 7,954 Financial instruments – Fair value hedge 11 86 Financial instruments about lease – Fair value hedge 1 - Others assets 2 2 Fair value through other comprehensive income Trade receivables - credit card companies and sales vouchers 113 377 Others assets 28 19 Financial liabilities: Other financial liabilities - amortized cost Related parties – liabilities (194) (215) Trade payables (11,424) (14,887) Financing for purchase of assets (100) (231) Debentures and promissory notes (4,598) (11,863) Borrowings and financing (4,247) (1,348) Lease (8,372) (8,667) Fair value through profit or loss Borrowings and financing ( Hedge accounting underlying) (284) (944) Financial instruments – Fair Value Hedge – liabilities side (22) (39) Financial instruments about lease – Fair value hedge – liabilities side (2) - Suppliers financial instruments - Fair value hedge - liabilities side (25) (8) Disco Group put option (*) (636) (466) (*) See note 19.3. The financial instruments measured at amortized cost, the related fair values of which differ from the carrying amounts, are disclosed in note 19.3. The fair value of other financial instruments detailed in table above approximates the carrying amount based on the existing terms and conditions. 19.1. Considerations on risk factors that may affect the business of the Group (i) Credit risk Cash and cash equivalents: in order to minimize credit risk, the Group adopts investment policies at financial institutions approved by the Group’s Financial Committee, also taking into consideration monetary limits and financial institution evaluations, which are regularly updated. Credit risk related to trade receivables is minimized by the fact that a large portion of sales are paid with credit cards, and the Group sells these receivables to banks and credit card companies, aiming to strengthen working capital. The sales of receivables result in derecognition of the accounts receivable due to the transfer of the credit risk, benefits and control of such assets. Additionally, regarding the trade receivables collected in installments, the Group monitor the risk through the credit concession and by periodic analysis of the provision for losses. The Group also has counterparty risk related to the derivative instruments; which is mitigated by the Group’s carrying out transactions, according to policies approved by governance boards. There are no amounts receivable that are individually, higher than 5% of accounts receivable or sales, respectively. (ii) Interest rate risk The Group obtains borrowings and financing with major financial institutions for cash needs for investments. As a result, the Group is, mainly, exposed to relevant interest rates fluctuation risk, especially in view of derivatives liabilities (foreign currency exposure hedge) and CDI indexed debt. The balance of cash and cash equivalents, indexed to CDI, partially offsets the interest rate risk. (iii) Foreign currency exchange rate risk The Group is exposed to exchange rate fluctuations, which may increase outstanding balances of foreign currency-denominated borrowings. The Group uses derivatives, such as swaps, aiming to mitigate the foreign currency exchange rate risk, converting the cost of debt into domestic currency and interest rates. Éxito Group uses derivatives to hedge foreign currency exchange rate on goods imports. (iv) Capital risk management The main objective of the Group’s capital management is to ensure that the Group maintain its credit rating and a well-balanced equity ratio, in order to support businesses and maximize shareholder value. The Group manages the capital structure and makes adjustments taking into account changes in the economic conditions. The Group capital structure is as follows: 2020 2019 Cash and cash equivalents 8,711 7,954 Financial instruments – Fair value hedge (37) 39 Borrowings, financing and debentures (9,129) (14,155) Other liabilities with related parties (*) (120) (124) Net financial debt (575) (6,286) Shareholders’ equity (16,807) (13,548) Net debt to equity ratio 3% 46% (*) Represents amount payable to Greenyellow related to the purchase of equipment. (v) Liquidity risk management The Group manages liquidity risk through the daily analysis of cash flows and maturities of financial assets and liabilities. The table below summarizes the aging profile of the Group’s financial liabilities as at December 31, 2020. Up to 1 Year 1 – 5 years More than 5 years Total Borrowings 1,174 3,761 181 5,116 Debentures and promissory notes 1,259 3,551 - 4,810 Derivative financial instruments (22) 43 - 21 Lease liabilities 1,606 5,226 8,172 15,004 Trade payables 11,424 - - 11,424 Total 15,441 12,581 8,353 36,375 (vi) Derivative financial instruments Swap transactions are designated as fair value hedges At December 31, 2020 the notional amount of these contracts was R$301 (R$955 at December 31, 2019. These transactions are usually contracted under the same terms of amounts, maturities, and carried out with the financial institution of the same economic group, observing the limits set by Management. According to the Group’s treasury policies, swaps cannot be contracted with restrictions (“caps”), margins, as well as return clauses, double index, flexible options or any other types of transactions different from traditional “swap” and “forwards” transactions to hedge against debts. The Group calculates the effectiveness of hedge transactions at the inception date and on a continuing basis. Hedge transactions contracted in the year ended December 31, 2020 were effective in relation to the covered risk. For derivative transactions that qualify as hedge accounting, the debt, which is the hedged item, is also adjusted to fair value. Notional value Fair value 2020 2019 2020 2019 Fair value hedge Hedge object (debt) 301 955 284 944 Long position (buy) Prefixed rate TR + 9.80% per year 21 127 13 99 US$ + fixed USD + 2.27 % per year 280 828 271 846 301 955 284 945 Short position (sell) CDI + 1.92% per year (301) (955) (294) (917) Hedge position - asset - - 11 57 Hedge position - liability - - (21) (29) Net hedge position - - (10) 28 Realized and unrealized gains and losses on these contracts during the year ended December 31, 2020 are recorded as financial income or expenses and the balance payable at fair value is R$10 (receivable from R$28 as of December 31, 2019). Assets are recorded as “Financial instruments” and liabilities as “Borrowings and financing” The effects of the fair value hedge recorded in the statement of operations for the year ended December 31, 2020 resulted in a gain of R$282 (gain of R$24 as of December 31, 2019 and a gain of R$6 as of December 31, 2018). v) Fair value of derivative financial instruments Fair value is the amount for which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties in an arm’s length transaction. Fair value is calculated using projected the future cash flows, using the CDI curves and discounting to present value, using CDI market rates for swaps both disclosed by B3. The fair value of exchange coupon swaps versus the CDI rate was determined based on market exchange rates effective at the date of the financial statements and projected based on currency coupon curves. In order to calculate the coupon of foreign currency indexed-positions, the straight-line convention - 360 consecutive days was adopted and to calculate the coupon of CDI indexed-positions, the exponential convention - 252 business days was adopted. 19.2. Sensitivity analysis According to Management’s assessment, the most probable scenario is what the market has been estimating through market curves (currency and interest rates) of B3, on the maturity dates of each transaction. Therefore, in the probable scenario (I), there is no impact on the fair value of financial instruments. For scenarios (II) and (III), for the sensitivity analysis effect, a deterioration of 25% and 50% was taken into account, respectively, on risk variables, up to one year of the financial instruments. For the probable scenario, weighted exchange rate was R$5.28 on the due date, and the interest rate weighted was 2.85% per year. In case of derivative financial instruments (aiming at hedging the financial debt), changes in scenarios are accompanied by respective hedges, indicating that the effects are not significant. The Group disclosed the net exposure of the derivative financial instruments, each of the scenarios mentioned above in the sensitivity analysis as follows: (i) Other financial instruments Transactions Risk (CDI variation) Balance at 2020 Scenario I Scenario II Scenario III Fair value hedge (fixed rate) CDI-0.02% per year (11) (1) (1) (1) Fair value hedge (exchange rate) CDI+2.00% per year (283) (11) (13) (16) Debentures and promissory notes CDI+1.27% per year (4,607) (133) (166) (199) Bank loans CDI+2.37% per year (2,689) (82) (103) (123) Total borrowings and financing exposure (7,590) (227) (283) (339) Cash and cash equivalents (*) 96.93% of CDI 4,784 106 133 159 Net exposure (2,806) (121) (150) (180) (*) Weighted average The Éxito Group's sensitivity analysis considers the economic environment in which this company operates. In scenario I, the observable rates are used. In scenario II it is considered an increase of 10% and in scenario III it is a decrease of 10%. Scenario I: Reference Bank Index in Colombia (IBR) available 1.693%. Scenario II: 1.693% increase in IBR and for Libor at 90 days an increase of 0.01583% Scenario III: 1.693% decrease in IBR and for Libor at 90 days a decrease of 0.01583% Market projection Transactions Balance 2020 Scenario I Scenario II Scenario III Bank loans and swap 1,599 (13) (44) (18) 19.3. Fair value measurements The Group discloses the fair value of financial instruments measured at fair value and of financial instruments measured at amortized cost, the fair value of which differ from the carrying amount, in accordance with IFRS13, which refer to the requirements of measurement and disclosure. The fair value hierarchy levels are defined below: Level 1: Quoted (unadjusted) market prices in active markets for assets or liabilities. Level 2: Valuation techniques for which the lowest level inputs that is significant to the fair value measurement is directly or indirectly observable, Level 3: Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable. The data used in fair value models are obtained, whenever possible, from observable markets or from information in comparable transactions in the market, the benchmarking of the fair value of similar financial instruments, the analysis of discounted cash flows or other valuation models. Judgment is used in the determination of assumptions in relation to liquidity risk, credit risk and volatility. Changes in assumptions may affect the reported fair value of financial instruments. The fair values of cash and cash equivalents, trade receivables and trade payables approximate their carrying amounts. The table below presents the fair value hierarchy of financial assets and liabilities measured at fair value and of financial instruments measured at amortized cost, for which the fair value is disclosed in the consolidated financial statements: Carrying amount Fair value 12.31.2020 12.31.2020 Level Financial assets and liabilities Trade receivables with credit card companies and sales vouchers 113 113 2 Cross-currency interest rate swap (12) (12) 2 Interest rate swaps (23) (23) 2 Forward between Currencies (2) (2) 2 Borrowings and financing (FVPL) (284) (284) 2 Borrowings and financing and debentures (amortized cost) (8,845) (8,241) 2 Disco Group put option (*) (636) (636) 3 Total (9,689) (9,085) (*) Non-controlling shareholders of Group Disco del Uruguay S.A., Éxito Group’s subsidiary has a exercisable put option based on a formula that uses data such as net income, EBITDA - earnings before interest, taxes, depreciation and amortization - and net debt, in addition to fixed amounts determined in the contract and the exchange variation applicable for conversion to the functional currency. This put option is presented in “Acquisition of non-controlling interest”. There were no changes between the fair value measurements hierarchy levels during the year ended December 31, 2020. Cross-currency and interest rate swaps and borrowings and financing are classified in level 2 since the fair value of such financial instruments was determined based on readily observable inputs, such as expected interest rate and current and future foreign exchange rate. 19.4. Consolidated position of derivative transactions The Group has derivative contracts with the following financial institutions: Itaú BBA, Scotiabank, Bogotá Bank, BBVA, Davivenda, Bancolombia, Santander, Banco Popular, Banco Occidente and Corficolombia. The outstanding derivative financial instruments are presented in the table below: Risk Notional (millions) Due date 2020 2019 Debt USD - BRL US$ 160 2020 - 16 USD - BRL US$ 50 2023 (12) - Interest rate - BRL R$ 21 2026 2 2 Interest rate - BRL R$ 106 2027 - 10 Derivatives - Fair value hedge - Brazil (10) 28 Debt USD - COP 2020 - 20 USD - COP US$ 2 2022 1 1 Interest rate - COP COP 383.235 2021 (2) (1) Interest rate - COP COP 132.917 2022 (1) - (2) 20 Trade payables EUR - COP EUR 5 2021 (2) - USD - COP USD 55 2021 (23) - (25) - Derivatives – Éxito Group (27) 20 |
20. Taxes
20. Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Taxes And Contributions Payable And Taxes Payable In Installments | |
Taxes payable | 20. Taxes payable In Brazil, revenue from sales of goods or services are subject to taxation by State Value-Added Tax (“ICMS”) and Services Tax (“ISS”), calculated based on the rates applicable to each state and city, as well as contributions for the Social Integration Program (“PIS”) and Social Security Financing (“COFINS”), and are presented as a reduction of sales revenue. Revenue and expenses are recognized net of taxes, except when the sales tax paid on the purchase of assets or services is not recoverable from the tax authority, in which case the sales tax is recognized as part of the cost of acquisition of the asset or as cost or expense item, as applicable. 20.1. Taxes and contributions payable and taxes payable in installments are as follows : 2020 2019 Taxes payable in installments - Law 11,941/09 (ii) 244 355 Taxes payable in installments – PERT 151 162 ICMS 99 96 PIS and COFINS 9 7 Provision for income tax and social contribution 13 - Withholding Income Tax 2 1 INSS 5 6 Other 25 60 Taxes payable – Éxito Group 285 220 833 907 Current 585 531 Non-current 248 376 (i) In 2017, the Group decided to include certain federal tax debts in the Special Program on Tax Settlements – PERT (“PERT Program. The program allows the payment of certain taxes in monthly installments, and granted discounts on interest and penalties. The Group included tax debts related to (i) tax assessments over purchase transactions, manufacturing and exports sales of soil beans (PIS/COFINS), (ii) non-validation of tax offsets (IRPJ, PIS/COFINS); and other tax debts previously classified as possible risks related mainly to CPMF( Contribuição provisória sobre movimentação financeira (ii) Federal tax installment payment program, Law 11,941/09 – The Law 11,941, was enacted on May 27, 2009, a special federal tax and social security debt installment program, for debts overdue until November 2008, which granted several benefits to its participants, such as reduction of fines, interest rates and penalties, the possibility of utilization of accumulated tax losses to settle penalties and interest and payment in 180 months, use of restricted deposits linked to the claim to reduce the balance. The program also allows the gains arising from reduction of fines and penalties not to be taxable for income taxes purposes. The Group is in compliance with the terms and conditions of these tax payment program. 20.2. Maturity schedule of taxes payable in installments in non-current liabilities: From 1 to 2 years 87 From 2 to 3 years 73 From 3 to 4 years 25 From 4 to 5 years 12 After 5 years 51 248 |
21. Income tax and social contr
21. Income tax and social contribution | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax And Social Contribution | |
Income tax and social contribution | 21. Income tax and social contribution Current income tax and social contribution Current income tax and social contribution assets and liabilities for the current and prior years are measured at the amount expected to be recovered from or paid to the tax authorities. The tax rates and tax laws used to calculate taxes are those enacted or substantially enacted at the balance sheet date. Income taxes comprise Corporate Income Tax (“IRPJ”) and Social Contribution on Net Income (“CSLL”), calculated based on taxable income, at the statutory rates set forth in the legislation in force: 15% on taxable income plus an additional 10% on annual taxable income exceeding R$240,000 for IRPJ, and 9% for CSLL, and it is paid by each legal entity. According to tax legislation in Brazil there is not a Group´s Corporate Tax Return, and each legal entity have its own tax obligations. Deferred income tax and social contribution Deferred income tax and social contribution assets are recognized for all future deductible temporary differences and unused tax loss carryforwards to the extent that it is probable that taxable income will be available to be compensated against these temporary differences and unused tax loss carryforwards, except where the deferred income tax and social contribution assets relating to the deductible temporary difference arise from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither accounting profit nor tax income or losses. Deferred income tax and social contribution liabilities are recognized for all future taxable temporary differences, except when the deferred tax liability arises from the initial recognition of goodwill or an asset or liability in a transaction other than a business combination and which, at the time of the transaction, affects neither accounting profit nor tax losses. With respect to deductible temporary differences associated with investments in subsidiaries and associates, deferred income tax and social contribution are recognized only to the extent that it is probable that these temporary differences will reverse in the foreseeable future and taxable income will be available against which the temporary differences can be utilized. The carrying amount of deferred income tax and social contribution assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable income will be available to allow all or part of these assets to be utilized. Unrecognized deferred income tax and social contribution assets are reassessed at the end of each reporting period and are recognized to the extent that it has become probable that future taxable income will allow these assets to be recovered. Deferred income tax and social contribution assets and liabilities are measured at the tax rates that are expected to apply when the asset is realized or the liability is settled, based on the tax rates (and tax laws) that have been enacted or substantively enacted at the reporting period. Deferred taxes related to items directly recognized in equity are also recognized in equity and not in the statement of operations. Deferred income tax and social contribution assets and liabilities are offset if there is a legal or contractual right to offset tax assets against income tax liabilities, and relates to the same taxpayer entity and to the same tax authority. In virtue of nature and complexity of the Group's businesses, the differences between the actual results and the assumptions adopted, or the future changes to these assumptions, may result in future adjustments to tax revenues and expenses already recorded. The Company and its subsidiaries set up provisions, based on reasonable estimates, for taxes due. The value of these provisions is based on several factors, such as the experience of previous inspections and the different interpretations of tax regulations by the taxpayer and the responsible tax authority. These differences in interpretation can refer to a wide variety of issues, depending on the conditions in force at the home of the respective entity. 21.1. Income tax and social contribution effective rate reconciliation 2020 2019 2018 Note 2 Note 2 Income (loss) before income tax and social contribution (Continued operations) 1,901 (368) 83 Credit (expense) of Income tax and social contribution expense at the nominal rate. (542) 105 (28) Tax penalties (11) (16) (20) Share of profit of associates 19 (2) 15 Interest on own capital (*) (78) (4) 54 Tax benefits 12 6 15 Sendas spin-off (74) - - Other permanent differences 12 6 5 Effective income tax and social contribution expense (662) 95 41 Credit (expense) income tax and social contribution expense for the year: Current (371) 249 (41) Deferred (291) (154) 82 Credit (expense) income tax and social contribution expense (662) 95 41 Effective rate 34.82% 25.82% -49.40% (*) Effect of income tax on interest on own capital. Income tax expense calculated on the sale of Via Varejo in 2019 totaled R$199 (see note 12.4), presented in the result of discontinued operations. The nominal rate is 34% for subsidiaries located in Brazil, 32% for subsidiaries based in Colombia, 25% for subsidiaries based in Uruguay and 30% for subsidiaries based in Argentina. The Company does not pay social contribution based on a final favorable court decision in the past; therefore, its nominal rate is 25%. 21.2. Breakdown of deferred income tax and social contribution 2020 2019 Asset Liability Net Asset Liability Net Tax losses and negative basis of social contribution 514 - 514 453 - 453 Provision for contingencies 376 - 376 321 - 321 Goodwill tax amortization - (496) (496) - (604) (604) Mark-to-market adjustment - (6) (6) - (7) (7) Technological innovation – future realization - (5) (5) - (7) (7) Fixed assets, tradename and investment property - (1,681) (1,681) - (1,359) (1,359) Unrealized gains with tax credits - (402) (402) 82 (322) (240) Net adjustments of IFRS 16 389 - 389 356 - 356 Cash flow hedge 11 - 11 - (80) (80) Other 29 - 29 117 - 117 Presumed profit on equity of Éxito 237 - 237 192 - 192 Deferred income tax and social contribution assets (liabilities) 1,556 (2,590) (1,034) 1,521 (2,379) (858) Off-set assets and liabilities (1,556) 1,556 - (1,184) 1,184 - Deferred income tax and social contribution assets (liabilities), net - (1,034) (1,034) 337 (1,195) (858) Management has assessed the future realization of deferred tax assets, considering the projections of future taxable income. This assessment was based on information from the strategic planning report previously approved by the Group’s Board of Directors. The Company estimates the recovery of the deferred tax assets as follows: Up to one year 143 From 1 to 2 years 238 From 2 to 3 years 211 From 3 to 4 years 218 From 4 to 5 years 225 Above 5 years 521 1,556 21.3. Movement in deferred income tax and social contribution 2020 2019 2018 Note 2 Note 2 Opening balance (858) (225) (95) Credit (expense) for the year – Continuing operations (291) (154) 82 Credit (expense) for the year - Discontinued operations 214 (122) (87) Tax on discontinued operations - 314 (61) Income tax related to OCI - Continuing operations - 1 (1) Income tax related to OCI - Discontinued operations - (20) 3 Business combination - (747) - Exchange rate changes (188) (18) - Assets held for sale and discontinued operations - 122 (64) Deconsolidation - Sendas 91 - - Other (2) (7) (2) At the end of the period (1,034) (856) (225) |
22. Provision for contingencies
22. Provision for contingencies | 12 Months Ended |
Dec. 31, 2020 | |
Provision For Contingencies | |
Provision for contingencies | 22. Provision for contingencies Provisions are recognized when the Group has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources will be required to settle the obligation, and the obligation can be reliably estimated. The expense related to the provision is recognized in statement of operations for the year, net of any reimbursement. In case of attorney’s fees in favorable court decisions, the Group’s policy is to record a provision when fees are incurred, i.e., upon final judgment on lawsuits, as well as disclose in notes the estimated amounts involved in lawsuits in progress. In order to assess the outcome´s probability the Group considers available evidence, the hierarchy of laws, prior court decisions in similar cases and their legal significance, as well as the legal counsel’s opinion. The provision for contingencies is estimated by the Group’s management, supported by its legal counsel, for an amount considered sufficient to cover probable losses. Tax Social security and labor Civil and Regulatory Total Balance at December 31, 2019 841 319 145 1,305 Additions 331 166 166 663 Payments (13) (75) (73) (161) Reversals (67) (83) (70) (220) Monetary adjustment (3) 38 21 56 Exchange rate changes 17 2 5 24 Deconsolidation Sendas (*) (169) (64) (49) (282) Balance at December 31, 2020 937 303 145 1,385 (*) As result of the Sendas’ spin-off, the balances of provisions for legal demands totaling R$ 292 were deconsolidated, of which R$179 of tax contingencies, R$64 of labor contingencies, and R$49 of civil contingencies and others. Tax Social security and labor Civil and Regulatory Total Balance at December 31, 2018 828 291 116 1,235 Additions 149 449 162 760 Payments (41) (328) (84) (453) Reversals (274) (200) (92) (566) Monetary restatement (10) 66 23 79 Business combination 76 13 14 103 Exchange rate changes 2 - - 2 Deconsolidation Via Varejo 111 28 6 145 Balance at December 31, 2019 841 319 145 1,305 22.1. Tax As per prevailing legislation, tax claims are subject to monetary restatement, which refers to an adjustment to the provision for tax claims according to the indexation rates used by each tax jurisdiction. In all cases, both the interest charges and penalties, when applicable, were computed and fully provisioned. The main provisioned tax claims are as follows: ICMS The Federal Supreme Court ("STF") on October 16, 2014 decided that ICMS taxpayers that trade products included in the “basic food basket” had no right to fully take the ICMS credits on the purchase. The Group, with the assistance of its legal counsel, decided to record a provision in relation to this matter amounting to R$27 as of December 31, 2020 (R$50 as of December 31, 2019). The amounts accrued represent Management’s best estimate of the future probable cash disbursement to settle this claim. On May 9, 2019, the STF upheld the previous understanding and did not comply with the request for modulation of the effects of the decision. However, this decision did not have a major impact on the Group's financial information, since the amount was fully provisioned. Additionally, there are cases assessed by São Paulo State tax authorities related to the refund of ICMS over tax substitution without proper compliance with accessory tax obligations introduced by CAT Administrative Rule 17. Considering recent court decisions the Group accrued R$292 (R$268 in December 2019) representing the estimation of probable loss evaluated by management based on documentation evidence aspect of the claims. Other tax claim According to the assessment of its external legal counsel, were provisioned by the Group refer to: (i) challenge on the non-application of the Accident Prevention Factor - FAP; (ii) challenge on the State Finance Department on the ICMS tax rate calculated on energy bills; (iii) undue credit (iv) no social charges on benefits granted to its employees, due to an unfavorable decision in the Court; (v) IPI requirement on the resale of imported products; (vi) other minor claims. The amount accrued for these claims as of December 31, 2020 was R$470 (R$345 as of December 31, 2019). Supplementary Law 110/2001 The Group claims in court the eligibility to not pay to the Government Severance Indemnity Fund for Employees (FGTS) costs. The accrued amount as of December 31, 2020 is R$60 (R$96 in December 31, 2019). Indemnification with Sendas The Company is responsible for the legal proceedings of Sendas Distribuidora prior to Assai's activity. At December 31, 2020, the accrued amount of tax lawsuits is R$115 (R$104 at December 31, 2019). Éxito Group Éxito and its subsidiaries discuss tax claims related to value added tax, property tax and industry and commerce taxes in the amount of R$88 at December 31, 2020 (R$78 at December 2019). 22.2. Labor and social security taxes The Group is part in various labor lawsuits mainly due to termination of employees in the ordinary course of business. At December 31, 2020, the Group recorded a provision of R$303 (R$319 as of December 31, 2019). Management, with the assistance of its legal counsel, assessed these claims and recorded a provision for losses when the related amounts can be reasonably estimated, based on past experiences in relation to the amounts claimed. 22.3. Civil and others The Group is part in civil lawsuits at several court levels (indemnities and collections, among others) and at different courts. Management records a provision for amounts it considers sufficient to cover unfavorable court decisions, when its internal and external legal counsels assess that a negative outcome is probable. Among these lawsuits, we highlight the following: · The Group is part in various lawsuits requesting the renewal of rental agreements and the review of the current rent paid. The Group recognizes a provision for the difference between the amount originally paid by the stores and the amounts claimed by the owner of the property, when its internal and external legal counsels assessed that it is probable that such difference will be actually paid by the Group. As of December 31, 2020, the amount accrued for these lawsuits is R$34 (R$68 as of December 31, 2019), for which there are no corresponding restricted deposits. · The Group is part of claims related to penalties applied by regulatory agencies, from the Federal, State and Municipal Administrations, among which includes Consumer Protection Agencies (Procon), National Institute of Metrology, Standardization and Industrial Quality (INMETRO) and Municipalities and some lawsuits involving contract terminations with suppliers. Management, with the assistance of its legal counsels, assessed these claims, and recorded a provision. On December 31, 2020 the amount of this provision is R$40 (R$24 on December 31, 2019). · The subsidiary Éxito and its subsidiaries respond to certain lawsuits related to civil liability claims, lawsuits for rental conditions and other matters in the amount of R$35 on December 31, 2020 (R$17 on December 31, 2019). · In relation to the provisioned amounts remaining for other civil jurisdiction claims on December 31, 2019, it is R$36 (R$36 on December 31, 2019). Total civil lawsuits and other claims as of December 31, 2020 amount to R$145 (R$145 as of December 31, 2019). 22.4. Possible contingent liabilities The Group is part of other litigations for which an outcome has been assessed by Management with the support of legal advisors as possible, therefore, the Group has not recorded a provision. Possible losses amounted to R$10,081 as of December 31, 2020 (R$10,829 on December 31, 2019), and are mainly related to: · INSS (Social Security Contribution) –The Group was assessed for non-levy of payroll charges on benefits granted to its employees, among other matters, totaling R$473, as December 31, 2020 (R$453 as of December 31, 2019). The claims are under administrative and court discussions. On August 28, 2020, the Federal Supreme Court (STF), in a general repercussion decision, recognized the constitutionality of the incidence of social security contributions on one-third vacation pay. The Company has been following the development of these issues, and together with its legal advisors, has concluded that the elements until now do not require to record a provision for losses. · IRPJ, withholding income tax - IRRF, CSLL, tax on financial transactions - IOF, withholding income tax on net income – Group has several assessment notices regarding offsetting proceedings, rules on the deductibility of provisions, payment divergences and overpayments; fine for failure to comply with accessory obligations, among other less significant taxes. The amount involved is R$575 as of December 31, 2020 (R$1,055 as of December 31, 2019). · COFINS, PIS and IPI – the Group has been challenged about offsets of IPI credits acquired from third parties with a final and an-appeal over the decision, fine for failure to comply with accessory obligations, disallowance of COFINS and PIS credits, among other minor claims. These lawsuits await decision at the administrative and court levels. The amount involved in these assessments is R$2,940 as December 31, 2020 (R$2,022 as of December 31, 2019). · ICMS – The Group received tax assessment notices by the State tax authorities in relation to: (i) utilization of energy bills credits; (ii) purchases from suppliers considered not qualified in the State Finance Department registry; (iii) purchases of merchandise for resale (own ICMS); (iv) sale of extended warranty, (v) resulting from financed sales; and (vi) among other matters. The total amount of these assessments is R$5,572, as of December 31, 2020 (R$6,773 as of December 31, 2019), which await a decision at the administrative and court levels. · Municipal service tax - ISS, Municipal Real Estate Tax (“IPTU”), rates and others – these refer to assessments on withholdings of third parties, IPTU payment divergences, penalties for failure to comply with accessory obligations, ISS and sundry taxes, in the amount of R$143 as December 31, 2020 (R$123 as of December 31, 2019), which await decision at the administrative and court levels. · Other litigations – these refer to administrative proceedings and lawsuits in which the Group claims the renewal of rental agreements and setting of rents according to market values in the civil court, special civil court, Consumer Protection Agency - PROCON (in many States), Institute of Weights and Measure - IPEM, National Institute of Metrology, Standardization and Industrial Quality - INMETRO and National Health Surveillance Agency - ANVISA, among others, totaling R$374 as December 31, 2020 (R$403 as of December 31, 2019). · The subsidiary Éxito and its subsidiaries have an amount of R$4 of lawsuits with probability of possible losses on December 31, 2020 (R$72 as of December 31, 2019), mostly related to tax claims. The Group is part of other tax claims, including the improper tax deduction of goodwill amortization, for which, based on the management’s understanding and assessment of external legal counsel, the Group has the right for an indemnization from its former and current shareholders, related to the years 2007 to 2013. These assessments amounted to R$1,432 on December 31, 2020 (R$1,409 on December 31, 2019). The Group is responsible for the legal processes of GLOBEX prior to the association with Casas Bahia (Via Varejo). As of December 31, 2020, the amount involved in tax proceedings is R$456 (R$484 as of December 31, 2019). The Company is responsible for the legal proceedings of Sendas Distribuidora prior to the Assai activity. At December 31, 2020, the amount involved is R$1,420, of which tax R$1,378 and civil and others R$42 (R$1,382 at December 31, 2019). The Group engages external legal counsels to represent it in the tax assessments, whose fees are contingent on the final outcome of the lawsuits. This percentage may vary according to qualitative and quantitative factors of each claim, and as of December 31, 2020 the estimated amount, in case of success in all lawsuits, is approximately R$174 (R$205 as of December 31, 2019). 22.5. Restricted deposits for legal proceedings The Group is challenging the payment of certain taxes, contributions and labor-related obligations and has made restricted deposits in the corresponding amounts, as well as escrow deposits related to the provision for legal proceedings. The Group has recorded restricted deposits as follows. 2020 2019 Tax 123 242 Labor 407 474 Civil and other 33 79 Total 563 795 22.6. Guarantees Lawsuits Property and equipment Letter of Guarantee Total 2020 2019 2020 2019 2020 2019 Tax 733 843 10,022 9,162 10,755 10,005 Labor - - 613 539 613 539 Civil and other 9 11 558 469 567 480 Total 742 854 11,193 10,170 11,935 11,024 The cost of letter of guarantees is approximately 0.49% per year of the amount of the lawsuits and is recorded as financial expense. The Company is responsible for the legal claims of Sendas Distribuidora related to periods when activities in Sendas Distribuidora were related to the traditional retail. In relation to these legal claims there are letters of guarantee and insurance issued in the amount of R$ 201 at December 31, 2020. 22.7. Deduction of ICMS from the calculation basis for PIS and COFINS Since the adoption of the non-cumulative regime to calculate PIS and COFINS, the Group has claimed the right to deduct ICMS taxes from the calculation basis of PIS and COFINS. On March 15, 2017, the Supreme Court ruled that ICMS should be excluded from the calculation basis of PIS and COFINS. Since such decision, the proceedings have been brought forward by our legal advisors without any change in management's judgment, but without the final decision on the appeal filed by the Attorney General. The Group and its external legal counsel believe that the decision on this appeal will not limit the right of the lawsuit filed by the Group, however, the elements of the lawsuit were still pending decision and do not allow the recognition of assets related to the credits to be raised since filing of the lawsuit in 2003. In 2019, certain of the Company’s subsidiaries had final court decision and recorded PIS and COFINS credits of R$382, of which R$198 was recognized as financial income. On October 29, 2020, a final decision was issued in favor of the Company and granted a tax credit, of approximately R$1,609 (of which R$613 in the financial result), net of provisions for portions that are eventually considered unrealizable. The Group made the calculations based on the understanding of its legal advisors. This tax credit is subjected to certain administrative proceeding within the Brazilian Tax Authorities, and the Company estimates to realize the credits within 5 (five) years. Similarly, Via Varejo obtained a favorable decision in May, 2020, which includes amount for which GPA is entitled to be reimbursed for, according to the terms of the association agreement signed between GPA and the Klein family in the transaction that created Via Varejo. The periods which GPA is entitled to be reimbursed relate to the subsidiary Globex (that was merged in the formation of Via Varejo) for the years between 2003 and 2010. CBD has already recognized in fiscal year 2020, R$231 of a receivable with Via Varejo. The related gain is recognized in the net result of discontinued operations. In addition, the Company believes it is entitled to an outstanding amount of R$277, to be confirmed by documents to be provided by Via Varejo. 22.8. Arbitration Península On September 12, 2017, the Company received a notice from the Brazil-Canada Chamber of Commerce regarding a request for arbitration (“Proceeding”) filed by Banco Ourinvest S.A., a financial institution, in its capacity as fund manager and acting in the exclusively interest of the quotaholders of Fundo de Investimento Imobiliário Península ("Península"). The Proceeding aims to discuss the calculation of the rental fees and other operational matters related to the stores owned by Peninsula, which are under several lease agreements and contracts entered into between the Company and Peninsula during 2005 (the "Agreements"). The Agreements assure to CBD the rent of the stores for a period of twenty (20) years, which may be extended for an additional 20-year term, at CBD’s discretion, and establish the calculation of the rental fees. The Proceeding refers to certain terms and conditions of the Agreements and does not affect the continuity of the leasing of the stores, which are contractually assured. The amounts on which the Company is exposed cannot be determined with reasonable certainty based on the current stage of the arbitral process. Management assessed the arbitration as possible loss, based on the opinion provided by the external legal counsel. |
23. Leases
23. Leases | 12 Months Ended |
Dec. 31, 2020 | |
Leases | |
Leases | 23. Leases 23.1. Lease obligations When entering into a contract, the Company assesses whether the contract is, or contains, a lease. The contract is, or contains, a lease if it transfers the right to control the use of the identified asset for a specified period in exchange for consideration. The Company leases equipment and commercial spaces, including stores and distribution centers, under cancellable and non-cancellable lease agreements. The terms of the contracts vary substantially between 5 and 25 years. The Group as lessees The Group evaluates its lease agreements in order to identify lease terms for a right to use, using the exemptions provided for contracts with a term of less than twelve months and an individual asset value below US$5,000 (five thousand dollars). The contracts are then recorded, when the lease begins, as a Lease Liability against the Right of Use (notes 15 and 16), both at the present value of the minimum lease payments, using the interest rate implicit in the contract, if this can be used, or an incremental borrowing rate considering loans obtained by the Group. The lease term used in the measurement corresponds to the term that the lessee is reasonably certain to exercise the option to extend the lease or not to exercise the option to terminate the lease. Subsequently, payments made are segregated between financial charges and reduction of the lease liability, in order to obtain a constant interest rate on the liability balance. Financial charges are recognized as financial expenses for the period. Right of use assets are amortized over the lease term. Improvements and renovations carried out in stores are amortized over their estimated useful life or the expected term of use of the asset, limited if there is evidence that the lease will not be extended. Variable rents are recognized as expenses in the years in which they are incurred. The Group as lessors Leases where the Group does not substantially transfer all the risks and rewards of ownership of the asset are classified as operating leases. The initial direct costs of negotiating operating leases are added to the book value of the leased asset and recognized over the term of the contract, on the same basis as rental income. Variable rents are recognized as income in the years in which they are earned. Aging of leases liability: Leasing contracts totaled R$8,374 as of December 31, 2020 (R$8,667 as of December 31, 2019), as presented in the following table: 2020 2019 Lease liability – minimum lease payments: Up to 1 year 947 937 1 - 5 years 3,053 2,936 Over 5 years 4,374 4,794 Present value of finance lease agreements 8,374 8,667 Future financing charges 6,630 8,007 Gross amount of finance lease agreements 15,004 16,674 The interest expense on lease liabilities is presented in note 29. The average incremental borrowing rate of the Group at the date of signing the agreements was 9.41% in the year ended December 31, 2020 (10.73% in 2019 and 12.61% in 2018). 23.2. Movement of lease liabilities At December 31, 2019 8,667 Additions 2,025 Remeasurement 1,445 Accrued interest 958 Payments (1,680) Anticipated lease contract termination (698) Exchange rate changes 433 Deconsolidation of Sendas (2,776) At December 31, 2020 8,374 Current 947 Non-current 7,427 At December 31, 2018 5,787 Additions 807 Remeasurement 838 Accrued interest 862 Payments (1,498) Anticipated lease contract termination (116) Business combination (Éxito) 1,817 Exchange rate changes 33 Deconsolidation Via Varejo 137 At December 31, 2019 8,667 Current 937 Non-current 7,730 23.3. Lease expense on variable rents, low value assets and short-term agreements 2020 2019 2018 Expenses (income) for the year: Note 2 Variable (0.1% to 4.5% of sales) 40 19 11 Sublease rentals (*) (196) (210) (191) (*) Refers to revenues from lease agreements from commercial shopping malls and spaces rented in the stores. |
24. Deferred revenues
24. Deferred revenues | 12 Months Ended |
Dec. 31, 2020 | |
Deferred Revenue | |
Deferred revenues | 24. Deferred revenues The Group received amounts from business partners on exclusivity in the intermediation of additional or extended warranty services, and the subsidiary Sendas received amounts for the rental of back lights for exhibition of products from certain suppliers at its stores. 2020 2019 Deferred revenue in relation to sale of real estate property 8 10 Additional or extended warranties 12 16 Services rendering agreement - Allpark 8 9 Revenue from credit card operators and banks 80 84 Back lights - 142 Gift Card 131 99 Others 77 31 316 391 Current 297 365 Non-current 19 26 |
25. Shareholders' equity
25. Shareholders' equity | 12 Months Ended |
Dec. 31, 2020 | |
Changes in equity [abstract] | |
Shareholders' equity | 25. Shareholders’ equity a. Capital stock On March 02, 2020 the conversion process of the preferred shares into common shares was completed and GPA started trading on the Novo Mercado The subscribed and paid-up capital as of December 31, 2020 is represented by 268,352 (267,997 as of December 31, 2019) in thousands of registered shares with no par value. As a result of the spin-off of Sendas, there was a capital reduction in the amount of R$ 1,216. At December 31, 2020, capital is R$ 5,650 (R$ 6,857 at December 31, 2019). The Company is authorized to increase its capital stock up to the limit of 400,000 shares, regardless of any amendment to the Company’s Bylaws, upon resolution of the Board of Directors. At the Board of Directors’ Meetings held on February 19, 2020, March 24, 2020, May 13, 2020, July 29, 2020 and October 28, 2020, it was approved a capital increase totaling R$9 through the issuance of 354 thousand shares. At the Board of Directors’ Meetings held on February 20, 2019, May 7, 2019, June 24, 2019 and July 24, 2019, it was approved a capital increase totaling R$32 through the issuance of 1,152 thousands of shares. b. Share rights Pursuant to the Brazilian Corporation Law, the Bylaws or the resolutions taken by the shareholders in a General Meeting may not deprive the shareholders of their right to: (i) participate in the Company's corporate profits; (ii) participate, in the event of liquidation of the Company, in the distribution of any remaining assets, in proportion to their interest in the capital stock; (iii) supervise the management, as provided for in the Brazilian Corporation Law; (iv) preference in the subscription of future capital increases, except in certain circumstances provided for in the Brazilian Corporation Law; and (v) withdraw from the Company in the cases provided for in the Brazilian Corporation Law. Regarding the right to dividends, the Bylaws provide that 25% of the annual adjusted net profit must be available for distribution as mandatory dividend or payment of interest on equity in any fiscal year. c. Earnings reserve (i) Legal reserve (ii) Business growth reserve: d. Stock options The Company recognizes the expenses associated to the group of executives’ share-based payments in accordance with IFRS 2 – Share-based payment. Employees and senior executives of the Company and its subsidiaries may receive compensation in the form of share-based payment, whereby employees render services in exchange for equity instruments (“equity-settled transactions”). The Group calculates compensation expense in relation to share based payments based on the fair value of the awards at the grant date. Estimating of the volatility and dividend return awards requires determination of the most appropriate valuation model, which depends on the terms and conditions of the grant. This estimate also requires a definition of the most appropriate information for the valuation model, including the expected useful life of the stock options, volatility and dividend yield, as well as making assumptions about them. The cost of equity-settled transactions is recognized as an expense for the year, together with a corresponding increase in shareholders' equity, over the period in which the performance and / or service provision conditions are met. Accumulated expenses recognized in relation to equity instruments at each reporting date until the vesting date reflect the extent to which the vesting period has expired and the Company’s best estimate of the number of equity instruments that will ultimately vest. The expense or reversal of expenses for each year represents the change in the accumulated expenses recognized at the beginning and end of the year. No expenses is recognized for services that have not completed the vesting period, except for equity-settled transactions where vesting is conditional upon a market or non-vesting condition, which are treated as vested irrespective of whether or not the market or non-vesting condition is met, provided that all other performance and / or service provision conditions are met. When an equity instrument is modified, the minimum expense recognized is the expense that would have been incurred if the terms had not been modified. An additional expense is recognized for any modification that increases the total fair value of the share-based payment transaction or is otherwise beneficial to the employee, as measured on the date of modification. When an equity instrument is cancelled, it is treated as fully vested on the date of cancellation, and any unrecognized expenses related to the premium are immediately recognized in profit or loss for the year. This includes any premium whose non-vesting conditions within the control of either the Company or the employee are not met. However, if the canceled plan is replaced by another plan and designated as a replacement grants on the grant date, the cancelled grant and the new plan are treated as if they were a modification of the original grant, as described in the previous paragraph. All cancellations of equity-settled transactions are treated equally. The dilutive effect of outstanding options is reflected as an additional share dilution in the calculation of diluted earnings per share. The following describes the Stock Option Plans on December 31, 2020. Compensation Plan The Compensation Plan is managed by the Board of Directors, who has assigned to the Human Resources and the Compensation Committee the responsibility to grant the options and act as an advisory in managing the Compensation Plan (the "Committee"). Committee members meet to decide on the grant of options and Compensation Plan series or whenever necessary. Each series of the options granted are assigned the letter "B" followed by number. For the year ended December 31, 2020, the B5 and B6 Series of the Compensation Plan were granted. Options granted to a participant vest on a period of 36 (thirty six) months from the date of grant ("Grace Period"), except with formal authorization by the Company, and may only be exercised in the period beginning on the first day of the 37 (thirty-seventh) month from the date of grant, through the 42 (forty-second) month from the date of grant ("Exercise Period"). The participants may exercise their total purchase options or in part, in one or more times, if for each year, the option exercise term is submitted during the Exercise Period. The exercise price of each stock option granted under the Compensation Plan should correspond to R$0.01 (one cent) ("Exercise Price"). The exercise price of the options shall be paid in full in local currency by check or wire transfer available to the bank account held by the Company, in the tenth (10th) day preceding the date of acquisition of the shares. The participants are precluded for a period of 180 (one hundred and eighty) days from the date of acquisition of the shares, directly or indirectly, sell, assign, exchange, dispose of, transfer, grant to the capital of another company, grant option, or even celebrate any act or agreement which results or may result in the sale, directly or indirectly, costly or free, all or any of the shares acquired by the exercise of the purchase option under the option Plan. The Group withholds any applicable tax under Brazilian tax law, less the number of shares delivered to the participant amount equivalent to taxes withheld. Option Plan The Stock Option Plan is managed by the Board of Directors, who assigns to Human Resources and the Compensation Committee the responsibility to grant options and to provide advice in managing the Stock Option Plan (the "Committee"). Committee members meet when options under the Option Plan are granted, and, when necessary, to make decisions in relation to the Stock Option Plan. Each series of options granted receive the letter "C" followed by a number. For the year ended December 31, 2020, the series C5 and C6 of the Option Plan were granted. For each series of stock options granted under the Option Plan, the exercise price of the option is equivalent to 80% of the closing average price of the Company's preferred shares traded during twenty (20) days in B3 - Securities, Commodities and Futures prior to the date of the Committee meeting that decides upon the granting of the options ("Exercise Price"). Options granted to a Participant vest in a period of 36 (thirty six) months from the Grant Date ("Grace Period"), and may only be exercised in the period beginning on the first day of the 37 (thirty-seventh) months as from the Grant Date, and ends on the last day of the 42 (forty-second) month as of the Grant Date ("Exercise Period"), provided the exceptions included in the Compensation Plan. Participants may exercise the options in full or in part, in one or more times, by the formalization of the exercise. The options exercise price shall be paid in full in local currency by check or wire transfer available to the bank account held by the Company, provided that the payment deadline will always be the tenth (10th) day preceding the date to acquire the shares. Information on the plans are summarized below: 2020 Number of options (in thousands) Series granted Grant date 1st date of exercise Exercise price at the grant date Granted Exercised Cancelled Expired Outstanding B4 05/31/2017 05/31/2020 0.01 537 (450) (55) (32) - C4 05/31/2017 05/31/2020 56.78 537 (382) (60) (95) - B5 05/31/2018 05/31/2021 0.01 594 (152) (49) - 393 C5 05/31/2018 05/31/2021 62.61 594 (142) (58) - 394 B6 05/31/2019 05/31/2022 0.01 434 (13) (29) - 392 C6 05/31/2019 05/31/2022 70.62 331 (5) (37) - 289 3,027 (1,144) (288) (127) 1,468 Consolidated information of share-based payment plans – GPA According to the terms of the plans, including B6 and C6 series, each option offers the participant the right to acquire a preferred share, with the same conditions of the preceding series. The plans will be exercisable in until 6 months after the end of the vesting period. The series are different, exclusive, in the exercise price of the options and in the existence or not of a restriction of selling after vesting. According to the plans, the options granted in each of the series may represent maximum 0.7% of the total shares issued by the Company. At December 31, 2020 there were 239 thousands treasury preferred shares which may be used upon exercised of the options granted in the plan. The preferred share market price was R$75.05 per share. The table below shows the dilutive effect if all options granted were exercised: 2020 2019 Number of shares 268,352 267,997 Balance of effective stock options granted 1,468 2,153 Maximum percentage of dilution 0.55% 0.80% The fair value of each option granted is estimated on the grant date, by using the options pricing model “Black & Scholes” taking into account the following assumptions for the series B4 and C4: (a) expectation of dividends of 0.57%, (b) expectation of volatility nearly 35.19% and (c) the weighted average interest rate without risk of 9.28% and 10.07%; (d) vesting period of 18 to 36 months. The fair value of each option granted is estimated at the grant date using the option pricing model Black & Scholes, taking into account the following assumptions for the B5 and C5 series: (a) dividend expectation of 0.41%, (b) volatility expectation of nearly 36.52% and (c) the weighted average interest rate of 9.29%. The fair value of each option granted is estimated at the grant date using the option pricing model Black & Scholes, taking into account the following assumptions for the B6 and C6 series: (a) dividend expectation of 0.67%, (b) volatility expectation of nearly 32.74% and (c) the weighted average interest rate of 7.32%. The expectation of remaining average life of the series outstanding at December 31, 2020 is 0.88 year (1.50 year at December 31, 2019). The weighted average fair value of options granted at December 31, 2020 was R$58.78 (R$56.41 at December 31, 2019). Shares in thousands Weighted average of exercise price Weighted average of remaining contractual term At December 31, 2019 Granted during the period 765 30.55 Cancelled during the period (126) 31.75 Exercised during the period (1,080) 21.55 Expired during the period (161) 16.74 Outstanding at the end of the period 2,153 30.25 1.50 Total to be exercised at December 31, 2019 2,153 30.25 1.50 At December 31, 2020 Granted during the period - - Cancelled during the period (69) 42.59 Exercised during the period (489) 23.93 Expired during the period (127) 42.44 Outstanding at the end of the period 1,468 30.71 0.88 Total to be exercised at December 31, 2020 1,468 30.71 0.88 The amounts recorded in the statement of operations, for the year ended December 31, 2020 were R$23 (R$27 as of December 31, 2019). 25.1. Other comprehensive income Exchange variation of foreign subsidiaries Cumulative effect of exchange gains and losses on the translation of assets, liabilities and profit (loss) denominated in Euros to Brazilian Reais, corresponding to the investment in subsidiary Cnova N.V and Colombian denominated in Pesos to Reais and corresponding to the investment in the subsidiary Éxito. The effect was R$1,570 (R$151 on December 31, 2019). 25.2. Governmental subsidy reserve On June 29, 2018, and in December 2018, an extraordinary shareholders’ meeting approved Management’s proposal to transfer a total R$58 from the expansion reserve to the governmental subsidy reserve. In December 2020 the Management’s proposal an additional R$9 to subsidy reserve to be approved at an Extraordinary General Meeting . 25.3. Dividends and interests on own capital Dividend distribution to the Group's shareholders is recognized as a liability at the year-end, based on the minimum mandatory dividends established by the Bylaws. Additional dividends are only recorded when approved by the Group’s Board of Directors. The Company's Bylaws establish the minimum payment of 25% of profit for the year, which may be higher upon decision by the Board of Directors. The Group may pay interest on own capital as remuneration calculated over the shareholders' equity accounts, observing the rate and limits determined by law. Management proposed dividends to be distributed in the amount of R$515 (R$1.9217 - one real and ninety-two cents per share), as shown below, considering that there were no anticipations of interest on equity in the fiscal year 2020. Proposed dividends 2020 2019 Net income for the year 2,179 790 Legal reserve (109) (39) Governmental subsidy reserve (9) - Calculation basis of dividends 2,061 751 Mandatory minimum dividends – 25% 515 188 Payment of interim dividends as interest on own capital, net of withholding taxes - (32) Dividends payable 515 156 25.4. Dividends distributed to non-controlling interests. The Company, through its subsidiary Éxito, has investments with non-controlling interest in some real estate projects and in Grupo Disco del Uruguay S.A., as detailed in Note 12. On December 31, 2020 dividends in the amount of R$143 were declared to the non-controlling interests. |
26. Revenue from the sale of go
26. Revenue from the sale of goods and / or services | 12 Months Ended |
Dec. 31, 2020 | |
Revenue [abstract] | |
Revenue from the sale of goods and / or services | 26. Revenue from the sale of goods and / or services IFRS 15 establishes a comprehensive framework to determine when and for how much revenue form contracts with customers should be recognized. Sale of goods Revenue from sale of goods is recognized when control of the goods is transferred to the customer, usually when delivered in the store, and at an amount that reflects the consideration to which the Group expects to be entitled in exchange for those goods. No revenue is recognized if collection is uncertain. Service revenue The Company acts as agent in insurance extended warranty, financial protection insurance, personal accident insurance, technical assistance and mobile phone credits recharge. Revenues from these services are presented net of related costs and recognized when control of the service is transferred to the customer at an amount that reflects the consideration to which the Group expects to be entitled in exchange for those services. 2020 2019 2018 Gross sales Note 2 Note 2 Goods 54,466 30,826 28,686 Services rendered 1,608 555 440 Sales returns and cancellations (342) (216) (433) 55,732 31,165 28,693 Taxes on sales (4,479) (2,327) (2,203) Net operating revenue 51,253 28,838 26,490 |
27. Expenses by nature
27. Expenses by nature | 12 Months Ended |
Dec. 31, 2020 | |
Expenses By Nature | |
Expenses by nature | 27. Expenses by nature Cost of goods sold The cost of goods sold comprises the acquisition cost of inventory net of discounts and considerations received from suppliers and logistics costs. Rebates received from suppliers are measured based on contracts and agreements signed with them. The cost of sales includes the cost of logistics operations managed or outsourced by the Group, comprising warehousing, handling and freight costs incurred until the goods are ready for sale. Selling expenses Selling expenses comprise all store expenses, such as salaries, marketing, occupancy, maintenance, fees charged by credit card companies, etc. Marketing expenses refer to advertising campaigns for each segment in which the Group operates. The main media used by the Group are: radio, television, newspapers and magazines. These expenses are recognized in profit or loss through campaign period. General and administrative expenses General and administrative expenses correspond to overhead and the cost of corporate units, including purchasing and procurement, information technology and financial activities. 2020 2019 2018 Note 2 Note 2 Cost of inventories (35,357) (19,893) (17,498) Personnel expenses (5,500) (3,607) (3,485) Outsourced services (838) (438) (485) Overhead expenses (2,214) (1,361) (1,086) Commercial expenses (1,690) (1,074) (1,003) Other expenses (1,248) (550) (635) (46,847) (26,923) (24,442) Cost of sales (37,504) (21,225) (19,046) Selling expenses (7,755) (5,166) (4,655) General and administrative expenses (1,588) (532) (741) (46,847) (26,923) (24,442) |
28. Other operating expenses, n
28. Other operating expenses, net | 12 Months Ended |
Dec. 31, 2020 | |
Other Operating Expenses Net | |
Other operating expenses, net | 28. Other operating expenses, net Other operating income and expenses correspond to the effects of major or nonrecurring events occurred during the year that do not meet the definition for the other statement of operations lines. 2020 2019 2018 Note 2 Note 2 Tax installments and other tax risks (374) (158) (217) Restructuring expenses (*) (454) (267) (142) Gain on disposal of property and equipment(**) 378 39 160 Corporate reorganization (****) 513 - - Prevention spending – Covid-19 (***) (134) - - (71) (386) (199) (*) amounts related to restructuring expenses in the Brazilian operations and those incurred in connection with the acquisition of Éxito Group. (**) The net gain on disposal of fixed assets was mainly impacted by Sale and Leaseback operations in the amount of R$187 (see note 1.3), disposal of 3 stores in the city of Curitiba in the amount of R$68 and the disposal of 2 non-core properties in the city of São Paulo in the amount of R$190 (see note 32), R$45 in 2019. (***) The expenses incurred as a consequence of the pandemic refer to the purchase of individual protection items and adaptation of the stores, expenses with overtime, expenses with internal and external communication, incremental expenses with transportation and with cleaning and sanitation services. (****) Impacts related to the spin-off of Sendas totaled revenue of R$513 including (i) revaluation of the remaining held in FIC by IFRS10 (50% of the interest held in GPA was transferred to Sendas at fair value price) in the amount of R$573 (see note 1.1) and (ii) costs related to the spin-off (expenses of R$60). |
29. Financial income (expenses)
29. Financial income (expenses), net | 12 Months Ended |
Dec. 31, 2020 | |
Financial Income Expenses Net | |
Financial income (expenses), net | 29. Financial income (expenses), net Financial income includes income generated by highly liquid short-term investments and gains arising from measurement of derivative financial instruments at fair value. Interest income is recorded for all financial assets measured at amortized cost, using the effective interest rate, which is the rate that discounts for the estimated future cash payments or receipts through the expected term of the financial instrument or shorter period, where appropriate, from the carrying amount of the financial asset or liability. Financial expenses include substantially interest and financial charges on borrowings and financing and discounting receivables during the year, losses arising from measurement of derivative financial instruments at fair value, losses on disposals of financial assets, financial charges on provisions on lawsuits and taxes and interest charges on financial leases, as well as discount charges. 2020 2019 2018 Note 2 Note 2 Finance expenses: Cost of debt (387) (337) (327) Cost of the discounting of receivables (58) (101) (114) Monetary restatement loss (265) (151) (89) Interest on lease liabilities (729) (528) (494) Other finance expenses (198) (107) (71) Total financial expenses (1,637) (1,224) (1,095) Financial income: Income from short term instruments 152 111 23 Monetary restatement gain (*) 749 234 162 Other financial income 8 8 8 Total financial income 909 353 193 Total (728) (871) (902) (*) On October 29, 2020, the lawsuit had an unappeasable decision in favor of the Company, granting a tax credit in the amount of R$ 1,609, net of the provisions for portions considered unrealizable being R$613 in the financial result. The gains or losses on derivative financial instruments are recorded as cost of debt and disclosed in Note 19. |
30. Earnings per share
30. Earnings per share | 12 Months Ended |
Dec. 31, 2020 | |
Earnings per share [abstract] | |
Earnings per share | 30. Earnings per share Basic earnings per share are calculated based on the weighted average number of outstanding shares of each category during the year. Diluted earnings per share are calculated as follows: Numerator: profit for the year adjusted by dilutive effects from stock options. Denominator: the number of shares of each category adjusted to include potential shares corresponding to dilutive instruments (stock options), less the number of shares that could be bought back at market, if applicable. Equity instruments that will or may be settled with the Company’s shares are only included in the calculation when its settlement has a dilutive impact on earnings per share. As mentioned in note 1.4, the migration process to “ Novo Mercado The table below presents the determination of net income available to holders of common shares and the weighted average number of common shares outstanding used to calculate basic and diluted earnings per share in each reporting exercise: 2020 2019 2018 Note 2 Note 2 Basic numerator Net income (loss) allocated to controlling shareholder – continuing operations 1,092 (287) 124 Net income allocated to controlling shareholder - discontinued operations 1,087 1,077 1,025 Net income allocated to controlling shareholder 2,179 790 1,149 Basic denominator (millions of shares) Weighted average of shares 268 267 266 Basic earnings per share (R$) – continuing operations 4.07575 (1.07463) 0.46546 Basic earnings per share (R$) – discontinued operations 4.05709 4.03267 3.84673 Basic earnings per share (R$) – total 8.13283 2.95804 4.31209 Diluted numerator Net income (loss) allocated to ordinary controlling shareholders – continuing operations 1,092 (287) 124 Net income allocated to ordinary controlling shareholders - discontinued operations 1,087 1,077 1,025 Net income allocated to ordinary controlling shareholders 2,179 790 1,149 Diluted denominator Weighted average of shares (in millions) 268 267 266 Stock option (in millions) 1 1 1 Diluted weighted average of shares (millions) 269 268 267 Diluted earnings per share (R$) – continuing operations 4.06984 (1.07337) 0.46337 Diluted earnings per share (R$) – discontinued operations 4.05120 4.02728 3.83024 Diluted earnings per share (R$) – total 8.12104 2.95391 4.29361 |
31. Segment information
31. Segment information | 12 Months Ended |
Dec. 31, 2020 | |
Segment Information | |
Segment information | 31. Segment information Management considers the following business segments: Food retail – includes the banners “Pão de Açúcar”, “Extra Hiper”, “Extra Supermercado” / “Mercado Extra”, “Minimercado Extra”, “Minuto Pão de Açúcar”, “Comprebem”, “Posto Extra, “Drogaria Extra” and “GPA Malls & Properties”. Éxito Group - includes the company Éxito (Colômbia) and its subsidiaries Libertad (Argentina) and Disco (Uruguay). Éxito also operates the brands Surtimax, Super Inter and CarullaHome, consequence of the business combination of Éxito in November 2019 (note 13). Appliances and e-commerce segments were sold and are presented as Discontinued Operations on December 31, 2019 and 2018 (note 12.4). The cash and carry segment, Assai, has been deconsolidated to the Company’s shareholders and is presented as a discontinued operation as of December 31, 2020 and 2019 and 2018 (note1.1)..The others businesses are composed of the results of James Delivery, Cheftime, Stix and Cnova N.V. Those segments are maintained in this note for reconciliation purposes. The eliminations of the result and balance sheet are presented within the segment itself. The debentures obtained for funding the acquisition of Éxito and related interest expenses were allocated to Éxito Group, as well as other acquisition related expenses incurred in 2019. Management monitors the operating results of its business units separately making decisions about resource allocation and performance assessment. The segment performance is evaluated based on operating income and is measured consistently with operating income in the financial statements. The Group is engaged in operations of retail stores located in 16 States and the Federal District of Brazil. Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker who has been identified as the Chief Executive Officer. The chief operating decision-maker (CODM) allocates resources and assesses performance by reviewing results and other information related to segments. The Group deems irrelevant the disclosure of information on sales per product category, given that similar products are sold based on each business’ strategies and each segment has its own management controls. The Group measures the results of segments, regularly reviewed by the chief operating decision-maker (CODM), using the accounting practices under IFRS, using each segment’s operating profit, which includes certain corporate overhead allocations. Information on the Group’s segments as of December 31, 2020 is included in the table below: Description Retail Éxito Group Others Business Discontinued operations Total 2020 2019 2018 2020 2019 2020 2019 2018 2020 2019 2018 2020 2019 2018 Net operating revenue 29,170 26,654 26,490 22,034 2,151 49 33 - - - - 51,253 28,838 26,490 Gross profit 8,219 7,005 7,444 5,508 609 22 (1) - - - - 13,749 7,613 7,444 Depreciation and amortization (1,069) (967) (892) (729) (60) (6) (1) - - - - (1,804) (1,028) (892) Operating income 2,016 467 957 652 90 (137) (56) - - - - 2,531 501 957 Net financial expenses (386) (815) (902) (340) (57) (2) 1 - - - - (728) (871) (902) Profit(loss) before income tax and social contribution 1,748 (241) 134 339 27 (186) (154) (51) - - - 1,901 (368) 83 Share of profit of associates 118 107 79 27 (6) (47) (99) (51) - - - 98 2 28 Income tax and social contribution (559) 121 41 (110) (28) 7 2 - - - - (662) 95 41 Net income (loss) for continuing operations 1,189 (120) 175 229 (1) (179) (152) (51) - - - 1,239 (273) 124 Net income (loss) for discontinued operations 85 312 (73) (1) - - - - 1,003 797 1,233 1,087 1,109 1,160 Net income (loss) of year end 1,274 192 102 228 (1) (179) (152) (51) 1,003 797 1,233 2,326 836 1,284 Current assets 9,747 8,002 7,529 8,015 6,664 95 10 - 5,292 28,813 17,857 19,968 40,518 Non-current assets 16,672 15,568 15,138 18,930 15,438 52 26 - 7,475 - 35,654 38,507 21,139 Current liabilities 8,789 11,557 8,358 9,729 7,252 181 9 - 4,317 23,602 18,699 23,135 37,256 Non-current liabilities 14,390 9,810 9,834 3,620 9,686 (5) 1 - 2,295 - 18,005 21,792 11,242 Shareholders' equity 3,240 2,203 4,475 13,596 5,164 (29) 26 - 6,155 5,211 16,807 13,548 13,159 The Group operates primarily as a retailer of food, clothing, home appliances and other products. Total revenues by geographic region is showed below: 2020 2019 2018 Brazil Retail 29,170 26,654 26,490 Others businesses 49 33 - 29,219 26,687 26,490 Éxito Group Colombia 17,062 1,694 - Uruguay 3,746 350 - Argentina 1,226 107 - 22,034 2,151 - Total net operating revenue 51,253 28,838 26,490 |
32. Non cash transactions
32. Non cash transactions | 12 Months Ended |
Dec. 31, 2020 | |
Non Cash Transactions | |
Non cash transactions | 32. Non cash transactions During 2020, 2019 and 2018 the Group had the following non-cash transactions: Purchase of property plant and equipment items not yet paid as per note 15.3; Purchase of intangible assets not yet paid as per note 16.3. |
33. Non-current assets held for
33. Non-current assets held for sale and discontinued operations | 12 Months Ended |
Dec. 31, 2020 | |
Noncurrent Assets Held For Sale And Discontinued Operations | |
Non-current assets held for sale and discontinued operations | 33. Non-current assets held for sale and discontinued operations 33.1. Assets held for sale Non-current assets and group of assets are reclassified as held for sale if the carrying amount will be recovered through a sale transaction, instead of continuous use. This condition is met only when the asset is available for sale in the present condition, exposed only to the terms that are usual to sales of these assets and the sale is highly probable. Management has to be committed to complete within one year. When the Company is committed to a sale plan involving the loose of control over a subsidiary, all the assets and liabilities of this subsidiary are classified as held for sale when the criteria above is met, even if the Company keeps a non-controlling interest in its former subsidiary after the sale. Additionally, the net income of the entity classified as held for sale is presented as discontinued operations in a single caption in the statements of operations. Non-current assets classified as held for sale are measured based on the lower amount between their carrying amount and their fair value less cost to sell. Breakdown 2020 2019 Properties / lands held for sale 78 171 Real estate developments held for sale - Éxito 31 52 Total 109 223 |
34. Discontinued operations
34. Discontinued operations | 12 Months Ended |
Dec. 31, 2020 | |
Insurance Coverage | |
Discontinued operations | 34. Discontinued operations a) Via Varejo As disclosed in notes 2 and 12.4, on June 14, 2019, the sale of Via Varejo S.A. (“VV”) was concluded, the date on which control of the subsidiary was exercised by its new controlling shareholders. Following are the balance sheet and consolidated statements of Via Varejo's cash flows before eliminations, including effects of purchase price allocation on the acquisitions of Globex and Casa Bahia: Balance sheet (*): 05.31.2019 Assets Current Total current assets 9,871 Non-current Total non-current assets 16,266 Total assets 26,137 Liabilities Current Total current liabilities 13,484 Non-current Total non-current liabilities 7,375 Shareholders’ equity 5,278 Total liabilities and shareholders’ equity 26,137 (*) Prior to elimination of GPA related party balances. Cash flow: 05.31.2019 12.31.2018 Cash flow provided by (used in) operating activities (2,640) 1,609 Net cash provided by (used in) investing activities (234) (590) Net cash provided by (used in) financing activities (651) (867) Cash variation in the period (3,525) 152 Income statement: The breakdown of profit from discontinued operations presented in the consolidated income statement of the Company is as follows: 05.31.2019 12.31.2018 Net operating revenue 10,527 26,928 Net income before income tax and social contribution 169 341 Income tax and social contribution (119) (101) Net income for the period 50 240 b) Sendas On December 31, 2020, the Company lost control of the subsidiary Sendas (note 1.1), as a result of the spin off, Sendas' net result is presented as a discontinued operation. Below is the summary cash flow statement and income statement: Cash flow: 12.31.2020 12.31.2019 12.31.2018 Cash flow provided by operating activities 4,191 (5,560) 1,548 Net cash used in investing activities (695) (965) (925) Net cash used in financing activities (1,827) 6,986 (97) Cash variation in the year 1,669 461 526 12.31.2020 12.31.2019 12.31.2018 Net operating revenue 35,950 27,806 22,900 Net income before income tax and social contribution 1,315 1,128 1,487 Income tax and social contribution (312) (367) (455) Net income for the period 1,003 761 1,032 c) Composition of discontinued operations 12.31.2020 12.31.2019 12.31.2018 Net income Via Varejo - 50 240 Net income - Sendas 1,003 761 1,032 Other results from discontinued operations 84 (100) (112) Gain on the sale of discontinued operations (note 12.4) - 398 - Net income from discontinued operations presented in the consolidated income statement of the Company 1,087 1,109 1,160 Attributable: Controlling shareholders of the Company 1,087 1,077 1,025 Participation of non-controlling shareholders - 32 135 In the amount of “Other results from discontinued operations” of R$84 (R$(100) on December 31, 2019 and R$(112) on December 31, 2018) is related mainly to costs of contingencies and credits of Via Varejo, pertaining to the operation of Globex, now operated by Via Varejo, which is recorded in this line under IFRS 5. The amount of R$84 includes the a gain of R$231 (R$173 net of income tax) corresponding to GPA right to receive the refund of the ICMS exclusion benefit from the PIS and COFINS basis of its former subsidiary Globex from Via Varejo, after the final and unappeasable process referring to the period of 2007 and 2010 (note 22.7). |
35. Insurance coverage
35. Insurance coverage | 12 Months Ended |
Dec. 31, 2020 | |
Subsequent Events | |
Insurance coverage | 35. Insurance coverage The insurance coverage as of December 31, 2020 is summarized as follows: Insured assets Covered risks Amount insured Property and equipment and inventories Operating risks 16,438 Business interruption Loss of profits 13,110 Cars and Others (*) Damages 337 The Company also has specific insurance policies for general civil liability of R$100 and civil responsibility of R$134, coverage against fraud and risk (Criminal) in the amount of R$44 and damage protection and Cybersecurity responsibility (Cyber) of R$37, which totaled a coverage of R$315. (*) The value reported above does not include coverage of the hulls, which are insured by the value of 100% of the Foundation Institute of Economic Research – FIPE table. |
36. Subsequent events
36. Subsequent events | 12 Months Ended |
Dec. 31, 2020 | |
Subsequent Events | |
36. Subsequent events | 36. Subsequent events At the Annual and Extraordinary General Meeting held on April 28, 2021, it was approved the distribution of dividends and interest on equity (“EI”) in the amount of R$584 for the fiscal year ended December 31, 2020, as follows: (i) the amount of R$ 128, corresponding to R$ 0.475788964 per share, to be paid as dividends; (ii) the gross amount of R$ 456, corresponding to R$1.701093954 per share, to be paid as EI. From such gross amount, it will be deducted the amount related to withhold taxes (“ IRRF Imposto de Renda Retido na Fonte |
3. Significant accounting pol_2
3. Significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Significant Accounting Policies | |
Financial Instruments | 3.1. Financial Instruments A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity Financial assets are recognized when the Group becomes party to the contractual provisions of the instrument. Financial assets are derecognized when the contractual rights to the cash flows from the financial asset expire or the Group transfers the contractual rights to receive the cash flows of the financial asset. |
Foreign currency transactions | 3.2. Foreign currency transactions Foreign currency transactions are initially recognized at the exchange rate of the corresponding currencies at the date the transaction qualifies for recognition. Assets and liabilities denominated in foreign currencies are translated into Brazilian Reais, using the spot exchange rate at the end of each reporting period. Gains or losses on changes in exchange rate variations are recognized as financial income or expense. |
Classification of assets and liabilities as current and non-current | 3.3. Classification of assets and liabilities as current and non-current The Group presents assets and liabilities in the statement of financial position based on current/non-current classification. |
Foreign operations | 3.4. Foreign operations For each entity, the Group determines the functional currency and items included in the financial statements of each entity are measured using that functional currency. On consolidation, the financial statements of foreign operations are translated into Brazilian Reais, as follows: Assets and liabilities, including goodwill, are translated into Brazilian Reais at the exchange rate prevailing at the reporting date. The statements of operation are translated into Brazilian Reais using the average rate for the period except when significant fluctuations in the exchange rate occurs, in which case, the rate at the transaction date is used. Equity accounts are maintained at the historical balance in Reais. The exchange rate differences arising from the translation are recognized in other comprehensive income (“OCI”). When a foreign operation is disposed of, the component of OCI related to that particular foreign operation is reclassified to profit or loss. |
Hyperinflation | 3.5. Hyperinflation Starting from September 2018, Argentina has been considered a hyperinflationary economy. As per IAS 29 – Financial Reporting in Hyperinflationary Economies, the non-monetary assets and liabilities, equity items and the statement of operation of the indirect subsidiary Libertad, headquartered in Argentina, a direct subsidiary of Éxito, whose functional currency is the Argentinean peso, are being adjusted so that amounts are reported in the monetary measurement unit at the end of the reporting period. This unit, considers the effects measured by the Consumer Price Index (“IPC”) in Argentina starting January 1, 2017 and Argentina’s Domestic Retail Price Index (“IPIM”) up to December 31, 2016. Consequently, as required by IAS 29, the operating results of the indirect subsidiary Libertad must be considered as highly inflationary starting from September 1, 2018 (start of the period in which a hyperinflationary scenario was identified). |
Accounting for equity interests at cost deriving from corporate restructuring under common control | 3.6. Accounting for equity interests at cost deriving from corporate restructuring under common control For certain restructuring transactions that occurred in previous years, the Group recorded, at historical cost, the interests deriving from corporate restructuring under common control without economic substance. The difference between the historical cost and the acquiring value was recorded as shareholders’ equity, when the interest acquired is from companies under common control. Such transactions are not in the scope of IFRS 3. |
1. Corporate information (Table
1. Corporate information (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Corporate Information | |
Schedule of balances of sendas deconsolidated from CBD | The table below summarizes the balances of Sendas that have been deconsolidated from CBD, as of December 31, 2020, in relation to the spin-off of Sendas from CBD: Sendas 31.12.2020 Cash and cash equivalents 3,532 Trade receivable, net 182 Other receivable 34 Inventories, net 3,739 Recoverable taxes 768 Derivative financial instruments 57 Other current assets 36 Total current assets 8,348 Related parties 178 Recoverable taxes 866 Restricted deposits for legal proceedings 134 Financial instruments 11 Investments in associates 769 Property and equipment, net 7,477 Intangible assets, net 1,038 Total non-current assets 10,473 Total assets 18,821 Trade payable, net 5,057 Payroll and related taxes 371 Taxes, installment and contributions payable 528 Borrowings and financing 2,119 Lease liabilities 172 Deferred revenue 227 Financing of property and equipment 34 Other current liabilities 153 Total current liabilities 8,661 Borrowings and financing 5,711 Lease liabilities 2,604 Related parties 41 Provision for contingencies 281 Deferred revenue 1 Deferred income tax and social contribution 82 Other non-current liabilities 8 Total non-current liabilities 8,728 Total liabilities 17,389 Net assets 1,432 Total liabilities and shareholders’ equity 18,821 |
4. Adoption of new standards,_2
4. Adoption of new standards, amendments to and interpretations of existing standards issued by the IASB effective from 2019 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Adoption Of New Standards Amendments To And Interpretations Of Existing Standards Issued By Iasb Effective From 2019 | |
Schedule of new and amendments standards and interpretations starting at the current year | In 2020, the Group applied amendments and new interpretations to IFRS as issued by IASB, which were effective for accounting periods beginning on or after January 1, 2020. The main new standards adopted are as follows: Statement Description Impact Changes in IFRS 3: Definition of business Describe that to be considered a business an integrated set activities and assets must include, at least, input of resources and a substantive process, that together contribute significantly to the capacity to generate output of resources. These changes did not have any impact in the consolidated financial statements. Revision of the Conceptual Framework Concepts and guidelines on presentation and disclosure, measurement basis, financial report objectives and useful information. These changes did not have any impact in the consolidated financial statements. Changes in IFRS 9: Reform of the reference interest rate The amendments to standard IFRS 9 provide exemptions that apply to all hedge relationships directly affected by the reference interest rate reform. A relationship of hedge is directly affected if the reform raises uncertainties about the period, or the value, of cash flows based on the reference interest rate of the hedge item or hedging instrument. These changes did not have any impact in the consolidated financial statements. Amendments to IAS 1 and IAS 8 - Definition of materiality In October 2018, the IASB issued amendments to IAS 1 Presentation of Financial Statements and IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors to align the definition of ‘material’ across the standards and to clarify certain aspects of the definition. The new definition states that, ’Information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements, which provide financial information about a specific reporting entity These changes did not have any impact in the consolidated financial statements. Changes in IFRS 16: Benefits provided to lessees in connection with the COVID-19 pandemic Amendments related to concession to tenants, in the application of the guidelines of IFRS 16, on the modification of the lease, when accounting for related benefits as a direct consequence of the Covid-19 pandemic. These changes did not have any impact in the consolidated financial statements. |
Schedule of new and revised standards and interpretations issued and not yet adopted | The Group has not early adopted the following new and revised IFRSs, which have already been issued but not yet in effect, up to the date of the issuance of the Group’s consolidated financial statements: Accounting pronouncement Description Applicable to annual periods starting in or after Amendments to IAS 1: Classification of liabilities as current or non-current In January 2020, the IASB issued amendments to paragraphs 69 to 76 of IAS 1, in order to specify the requirements for classifying the liability as current or non-current. The amendments clarify: • Which means a right to postpone liquidation; • That the right to postpone must exist on the base date of the report; • That this classification is not affected by the likelihood that an entity will exercise its right to postpone • That only if a derivative embedded in a convertible liability is itself an equity instrument would the terms of a liability not affect its classification The amendments effective for annual reporting periods beginning on or after January 1, 2023 and must be applied retrospectively. The Company is currently assessing the impact that the amendments will have on current practice and whether existing loan agreements may require renegotiation.. 01/01/2023 |
6. Cash and cash equivalents (T
6. Cash and cash equivalents (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Cash and cash equivalents [abstract] | |
Schedule of cash and cash equivalents | Rate 2020 2019 Cash and banks – Brazil 131 249 Cash and banks – Abroad (*) 3,637 3,109 Short-term investments - Brazil (**) 4,784 4,471 Short-term investments - Abroad (***) 159 125 8,711 7,954 (*) As of December 31, 2020, refers to (i) funds from the Éxito Group, of which R$100 are denominated in Argentina pesos, R$382 are denominated in Uruguayan pesos and R$3,028 in Colombian pesos (R$73 in Argentine pesos, R$254 in Uruguayan pesos and R$2,698 in Colombian pesos on December 31, 2019); (ii) including R$127 deposited in the United States of America in US Dollars (R$ 84 on December 31, 2019) (**) Refers substantially to highly liquid investments bearing interest at a weighted average rate of 96.93% (89.94% on December 31, 2019) of the Brazilian Interbank Deposit Certificate (“CDI”), maturing in 90 days or less and which are subject to an insignificant change in value. (***) Refers to funds invested abroad, of which R$12 are denominated in in Argentinian pesos, R$1 are denominated in Uruguayan pesos and R$146 are denominated in Colombia pesos (R$20 in Argentina, R$4 in Uruguay and R$101 in Colombia on December 31, 2019), maturing in 90 days or less and which are subject to an insignificant change in value |
7. Trade receivables (Tables)
7. Trade receivables (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Trade Receivables | |
Schedule of trade receivables | 2020 2019 Credit card companies (note 7.1) 76 42 Credit card companies - related parties (note 11.2) 15 24 Sales vouchers and trade receivables 488 446 Private label credit card 71 70 Receivables from related parties (note 11.2) 13 12 Receivables from suppliers 71 166 Allowance for doubtful accounts (note 7.2) (43) (32) 691 728 Current 686 727 Non-current 5 1 |
Schedule of estimated losses on doubtful accounts | 2020 2019 2018 At the beginning of the year (32) (5) (6) Allowance booked for the year (86) (263) (630) Write-offs of receivables 78 282 771 Deconsolidation Sendas 4 (19) - Assets held for sale and discontinued operations - 1 (140) Business combination - (28) - Foreign currency translation adjustment (7) - - At the end of the year (43) (32) (5) |
Schedule of aging list of gross receivables | The aging list of gross trade receivables is as follows: Overdue receivables Total Not yet due <30 days 30-60 days 61-90 days >90 days 12.31.2020 734 574 80 67 8 5 12.31.2019 760 609 79 21 5 46 |
8. Other receivables (Tables)
8. Other receivables (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Receivables | |
Schedule of other receivables | 2020 2019 Accounts receivable from insurers (*) 14 72 Receivable from sale of subsidiaries (note 8.2) 78 83 Lease receivables 208 113 Accounts receivable - Via Varejo (**) 266 49 Receivables from sale of real estate properties(***) 291 128 Other 190 143 Allowance for doubtful accounts on other receivables (note 8.1) (11) (15) 1,036 573 Current 365 381 Non-current 671 192 (*) In October 2019, the Company received R$203 from the insurance company regarding the claim related to the fire that occurred at the Distribution Center in Osasco on December 27, 2017, after negotiations and agreement on the final amount of the indemnity. (**) As the Company sold the equity interest in Via Varejo, the amount that had been reported as related parties was reclassified to other receivables. The amount of R$266 includes R$231 corresponding to GPA's right to receive from Via Varejo the reimbursement of the deduction of ICMS from the calculation basis PIS and COFINS of its former subsidiary Globex, after the unappeasable court decision, related to the period from 2007 to 2010 (note 22.7) (***) Amount comprised mainly of a land purchase and sale agreement on September 29, 2018 for the amount of R$200, the sale of which was not recognized under IFRS 15 due to the contractual characteristics of long-term payment and transfer of legal title at a future date to be defined by the buyer. In 2020, the Company transferred the deed (legal title), at the buyer's request, in accordance with the contract, of all land registrations and recognized a gain of R$174 (see note 27) in the result line with fixed assets. The transaction resulted in the recognition of an amount receivable of R$200, maturing in September 2023, for which the Company obtained bank guarantee as a guarantee of receipt. |
Schedule of other receivables allowance for doubtful accounts | 2020 2019 2018 At the beginning of the year (15) (16) (12) Allowance booked for the year - - (4) Write-off of other receivables 2 5 13 Deconsolidation Sendas 2 (4) - Assets held for sale and discontinued operations - - (13) At the end of the year (11) (15) (16) |
9. Inventories (Tables)
9. Inventories (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Inventories Abstract | |
Schedule of inventories | 2020 2019 Stores 2,453 4,698 Distribution centers 1,134 1,583 Inventories – Éxito Group 2,879 2,254 Real Estate Inventory – Éxito Group 142 191 Allowance for losses on inventory obsolescence and damages (72) (95) 6,536 8,631 |
Schedule of estimated losses on obsolescence and breakage | 9.2. Allowance for losses on inventory obsolescence and damages 2020 2019 2018 At the beginning of the year (95) (65) (73) Additions (40) (51) (79) Business combination - (22) - Write-offs / reversal 16 35 85 Foreign currency translation adjustment (4) - - Deconsolidation of Sendas 51 8 - Assets held for sale and discontinued operations - - 2 At the end of the year (72) (95) (65) |
10. Recoverable taxes (Tables)
10. Recoverable taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Recoverable Taxes | |
Schedule of recoverable taxes | 2020 2019 State VAT tax credits - ICMS (note 10.1) 1,435 2,621 Social Integration Program/ Contribution for Social Security Financing - PIS/COFINS (note 10.2) 1,926 854 Social Security Contribution – INSS (note 10.3) 299 321 Income tax and social contribution prepayments (*) 462 472 Other 47 49 Other recoverable taxes – Éxito Group 130 77 Total 4,299 4,394 Current 1,199 1,692 Non-current 3,100 2,702 (*) Includes Éxito’s amount of R$440 (R$340 on December31, 2019). |
Schedule of future realization of revoverable taxes | including new elements that contribute to the recoverability of ICMS tax credits. The expected recoverability of ICMS tax credits is demonstrated as follows: Up to one year 261 From 1 to 2 years 175 From 2 to 3 years 173 From 3 to 4 years 157 From 4 to 5 years 153 More than 5 years 516 1,435 |
Schedule of realization of the PIS and COFINS | The realization of the PIS and COFINS balance is shown below: Consolidated Up to one year 285 From 1 to 2 years 297 From 2 to 3 years 300 From 3 to 4 years 310 From 4 to 5 years 317 More than 5 years 417 1,926 |
11. Related parties (Tables)
11. Related parties (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Related party transactions [abstract] | |
Schedule of compensation | The expenses related to management compensation (officers appointed pursuant to the Bylaws, including members of the Board of Directors and advisory committees) for the years ended December 31, 2020, 2019 and 2018, were as follows: (In thousands of Brazilian Reais) Base salary Variable compensation Stock option plan – Note 25 Total compensation 2020 2019 2018 2020 2019 2018 2020 2019 2018 2020 2019 2018 Board of directors (*) 67,716 38,207 12,256 - - - 4,056 2,366 - 71,772 40,573 12,256 Executive officers 36,868 33,373 42,695 11,175 12,943 15,083 10,906 15,596 29,267 58,949 61,912 87,045 Fiscal Council 331 - 228 - - - - - - 331 - 228 104,915 71,580 55,179 11,175 12,943 15,083 14,962 17,962 29,267 131,052 102,485 99,529 % share-based payment over the total compensation 11.4% 17.5% 9.4% (*) Includes the compensation of the Board of Directors’ advisory committees (Human Resources and Compensation, Audit, Finance, Sustainable Development and Corporate Governance). |
Schedule of related party balances and transactions | Balances Transactions Trade receivables Other assets Trade payables Other liabilities Revenues (expenses) 2020 2019 2020 2019 2020 2019 2020 2019 2020 2019 2018 Controlling shareholders Casino (i) - - - 5 - - - 24 (91) (57) (64) Foncière Euris (i) - - - - - - - 1 (3) (1) (2) Helicco Participações (i) - - - - - - - - - (3) (7) Geant international - - - - - - - - - (3) Associates FIC (iii) 15 24 31 36 12 39 - - 55 83 152 Puntos Colombia (v) - - 37 28 - - 54 43 (114) (13) Tuya (vi) - - 31 26 - - 1 - 24 21 Other related parties Greenyellow (iv) - - - - - - 119 134 (84) (35) Sendas Distribuidora (viii) - - 42 - - - 169 - - - - Casino Group (vii) 13 12 12 8 - 1 19 13 (30) (4) (39) Others - - 1 1 - - - - - - Total 28 36 154 104 12 40 362 215 (243) (12) (40) |
12. Investments (Tables)
12. Investments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of associates [abstract] | |
Schedule of investments in subsidiaries | The details of the Company's subsidiaries at the end of each year are shown below: Direct and indirect equity interest - % 2020 2019 Companies Subsidiaries CBD Novasoc Comercial Ltda. (“Novasoc”) Brazil 100.00 100.00 Sendas Distribuidora S.A. (“Sendas”) Brazil - 100.00 CBD Holland B.V. (“CBD Holland”) Brazil 100.00 100.00 GPA 2 Empreend. e Participações Ltda. (“GPA 2”) Brazil 100.00 100.00 GPA Logística e Transporte Ltda. (“GPA Logística”) Brazil 100.00 100.00 SCB Distribuição e Comércio Varejista de Alimentos Ltda. ("Compre Bem'') Brazil 100.00 100.00 Stix Fidelidade e Inteligência S.A. ("Stix")(*) Brazil 66.67 100.00 James Intermediação S.A. ("James Delivery") Brazil 100.00 100.00 Cheftime Comércio de Refeições S/A ("Cheftime") Brazil 79.57 79.57 GPA Malls & Properties Gestão de Ativos e Serviços Imobiliários Ltda. (“GPA M&P”) Brazil 100.00 100.00 BCafeterias e Lanchonetes Ltda. ("BCafeterias")(*) Brazil 100.00 100.00 Fronteira Serviços Imobiliários Ltda.("Fronteira") Brazil 100.00 100.00 Place2B Serviços Imobiliários Ltda.("Place2B") Brazil 100.00 100.00 Companhia Brasileira de Distribuição Luxembourg Holding S.à.r.l. ("CBDLuxco”) Luxembourg 100.00 100.00 Companhia Brasileira de Distribuição Netherlands Holding B.V. (“CBDDutchco”) Netherlands 100.00 100.00 Éxito Almacenes Éxito S.A. ("Éxito") Colombia 96.57 96.57 (Acquired on 11/27/2019) Éxito Industrias S.A.S. ("Éxito Industrias") Colombia 94.59 94.59 Fideicomiso Lote Girardot Colombia 96.57 96.57 Éxito Viajes y Turismo S.A.S. Colombia 49.25 49.25 Almacenes Éxito Inversiones S.A.S. (Móvil Éxito) Colombia 96.57 96.57 Transacciones Energéticas S.A.S Colombia 96.57 96.57 Marketplace Internacional Éxito y Servicios S.A.S. (MPI) Colombia 96.57 96.57 Logística, Transporte y Servicios Asociados S.A.S. (LTSA) Colombia 96.57 96.57 Depósitos y Soluciones Logísticas S.A.S. Colombia 96.57 96.57 Patrimonio Autónomo Iwana Colombia 49.25 49.25 Patrimonio Autónomo Viva Malls Colombia 49.25 49.25 Patrimonio Autónomo Viva Sincelejo Colombia 25.12 25.12 Patrimonio Autónomo Viva Villavicencio Colombia 25.12 25.12 Patrimonio Autónomo San Pedro Etapa I Colombia 25.12 25.12 Patrimonio Autónomo Centro Comercial Colombia 25.12 25.12 Patrimonio Autónomo Viva Laureles Colombia 39.40 39.40 Patrimonio Autónomo Viva Palmas Colombia 25.12 25.12 Patrimonio Autónomo Centro Comercial Viva Colombia 44.33 44.33 Spice investment Mercosur Uruguay 96.57 96.57 Larenco S.A. Uruguay 96.57 96.57 Geant Inversiones S.A. Uruguay 96.57 96.57 Lanin S.A. Uruguay 96.57 96.57 5 Hermanos Ltda. Uruguay 96.57 96.57 Sumelar S.A. Uruguay 96.57 96.57 Raxwy Company S.A. (**) Uruguay - 96.57 Supermercados Disco del Uruguay S.A.(***) Uruguay 60.35 60.35 Maostar S.A. Uruguay 30.18 30.18 Ameluz S.A. Uruguay 60.35 60.35 Fandale S.A. Uruguay 60.35 60.35 Odaler S.A. Uruguay 60.35 60.35 La Cabaña S.R.L. Uruguay 60.35 60.35 Ludi S.A. Uruguay 60.35 60.35 Semin S.A. Uruguay 60.35 60.35 Randicor S.A. Uruguay 60.35 60.35 Setara S.A. Uruguay 60.35 60.35 Hiper Ahorro S.R.L. Uruguay 60.35 60.35 Ciudad del Ferrol S.C. Uruguay 59.14 59.14 Mablicor S.A. Uruguay 30.78 30.78 Tipsel S.A. Uruguay 96.57 96.57 Tedocan S.A. Uruguay 96.57 96.57 Vía Artika S. A. Uruguay 96.57 96.57 Group Disco del Uruguay S.A. Uruguay 60.35 60.35 Devoto Hermanos S.A. Uruguay 96.57 96.57 Mercados Devoto S.A. Uruguay 96.57 96.57 Libertad S.A. Argentina 96.57 96.57 Onper Investment 2015 S.L Spain 96.57 96.57 Spice España de Valores Americanos S.L. Spain 96.57 96.57 Marketplace Internacional Éxito S.L Spain 96.57 96.57 Gelase S. A. Belgium 96.57 96.57 (*) In 2020 the interest held in the company Stix Fidelidade was changed to 66.67%. (**) On July 31, 2020 the company Raxwy Company was liquidated. (***) Supermercados Disco del Uruguay S.A. is controlled through a Shareholders Agreement signed in April 2015, giving Éxito the 75% voting necessary. This agreement will expire in June 30th, 2021 and is currently under discussion. |
Schedule of investments in associates | The details of the Company's associates at the end of each year are shown below: Direct and indirect equity interest - % 2020 2019 Companies Subsidiaries Cnova N.V. Cnova N.V. (“Cnova Holanda”) Netherlands 33.98 33.98 Cdiscount Afrique SAS (“Cdiscount Afrique”) France 33.98 33.98 Cdiscount International BV (“Cdiscount Internacional”) Netherlands 33.98 33.98 Cnova France SAS (“Cnova France”) France 33.98 33.98 Cdiscount S.A. (“Cdiscount”) France 33.87 33.87 Cdiscount Côte d'Ivoire SAS Ivory Coast (“Cdiscount Côte”) Ivory Coast 33.98 33.98 Cdiscount Sénégal SAS (“Cdiscount Sénégal”) Senegal 33.98 33.98 Cdiscount Cameroun SAS (“Cdiscount Cameroun”) Cameroon 33.98 33.98 CLatam AS Uruguay (“CLatam”) Uruguay 23.79 23.79 Cdiscount Panama S.A. (“Cdiscount Panama”) Panama 23.79 23.79 Cdiscount Uruguay S.A. (“Cdiscount Uruguay”) Uruguay 23.79 23.79 Ecdiscoc Comercializadora S.A. (Cdiscount Ecuador) (“Ecdiscoc Comercializadora”) Ecuador 23.78 23.78 Cnova Pay France 33.98 33.98 BeezUP SAS ("BezzUp") France 33.98 33.98 CARYA France 33.87 33.87 HALTAE France 33.87 33.87 C-Logistics France 28.56 28.56 NEOSYS France 17.33 17.33 Neotech Solutions Morocco 17.33 17.33 NEOSYS Tunisie Tunisia 17.33 17.33 C Chez Vous France 28.56 28.56 Phoenix France 16.99 16.99 C-Shield (*) France 33.87 - C-Payment (*) France 33.87 - MAAS (*) France 33.87 - FIC Financeira Itaú CBD S.A. Crédito, Financiamento e Investimento (“FIC”) Brazil 17.88 35.76 FIC Promotora de Vendas Ltda. (“FIC Promotora”) Brazil 17.88 35.76 Bellamar Empreend. e Participações Ltda. (“Bellamar”) (**) Brazil 50 100 Éxito Puntos Colombia S.A.S ("Puntos") Colombia 48.29 48.29 Compañia de Financiamento Tuya S.A. ("Tuya") Colombia 48.29 48.29 Cnova N.V (“Cnova Holanda”) Netherlands 0.18 0.18 (*) In 2020 the interest of 33.87% in C-SHIELD, C-PAYMENT and MAAS was acquired by Cnova Group (**) In 2020 the interest held in Bellamar changed to 50%, see note 1.1. |
Schedule of financial statements | The summarized financial statements are as follows: FIC Cnova N.V. Tuya 2020 2019 2020 2019 2020 2019 Current assets 6,738 7,085 4,224 3,271 4,728 3,943 Non-current assets 52 51 4,055 2,587 200 100 Total assets 6,790 7,136 8,279 5,858 4,928 4,043 Current liabilities 5,611 6,185 6,766 5,819 1,612 1,426 Non-current liabilities 22 20 2,806 867 2,578 2,146 Shareholders’ equity 1,157 931 (1,293) (828) 738 471 Total liabilities and shareholders’ equity 6,790 7,136 8,279 5,858 4,928 4,043 FIC Cnova N.V. Tuya Statement of operations: 2020 2019 2018 2020 2019 2018 2020 2019 Revenues 989 1,207 969 13,117 9,689 9,370 615 698 Operating income 555 441 398 207 (24) (73) 71 87 Net income for the year 329 263 218 (138) (288) (147) 37 (14) FIC Note 1.1 BINV Bellamar Note 1.1 Tuya Puntos Colombia Other Total Balances at 12.31.2018 203 - - - - (279) (76) Share of profit (loss) of associates – continuing operation 106 - - (7) 2 (99) 2 Share of profit of associates – discontinued operation 12 4 - - - - 16 Dividends and interest on own capital - continuing operation (20) - - - - - (20) Dividends and interest on own capital - discontinued operation (3) - - - - - (3) Share of other comprehensive income - - - 9 - (8) 1 Investment acquisition - - - 305 11 316 Assets held for sale and discontinued operations (9) (4) - - - - (13) Balances at 12.31.2019 289 - - 307 2 (375) 223 Share of profit (loss) of associates – continuing operation 118 - - 18 9 (47) 98 Dividends and interest on own capital - continuing operation (37) - - - - - (37) Share of other comprehensive income - - - 79 1 (156) (76) Capital increase - - - 52 - - 52 Deconsolidation (370) - - - - - (370) Spin off – Sendas - - 196 - - - 196 Fair value adjustment - - 573 - - - 573 Balances at 12.31.2020 - - 769 456 12 (578) 659 (*) Includes losses in the investment in associate Cnova N.V. of R$620 on December 31, 2020 (R$385 on December 31, 2019). |
13. Business Combinations (Tabl
13. Business Combinations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Business Combinations And Goodwill | |
Schedule of total consideration transferred | The cash consideration has been adjusted for the dividends received related to the year of 2018 and the effect of the cash flow hedge entered into to hedge the exposure on changes in foreign exchange rates, as shown below: 12.31.2019 Cash consideration 9,268 Cash flow hedge effect 145 9,413 Dividends related to 2018 (42) Total cash consideration transferred 9,371 |
Schedule of fair values of identifiable acquired assets and liabilities acquired | The fair values of identifiable assets acquired and liabilities assumed from Éxito, on the date of the business combination, are as follows: Balance after purchase price allocation Assets: Cash and cash equivalents 6,062 Trade receivables, net 416 Inventories, net 2,765 Recoverable taxes 477 Other current assets 349 Deferred income tax and social contribution 1,353 Related parties 137 Other non-current assets 111 Investments in associates 316 Investment properties 2,972 Property and equipment, net 8,496 Intangible assets, net 3,009 26,463 Liabilities: Payroll and related taxes 283 Trade payables, net 4,545 Taxes and contributions payables 219 Borrowings and financing 2,546 Lease liabilities 277 Other current liabilities 998 Non-current borrowings and financing 2,060 Deferred income tax and social contribution 2,100 Provisions for contingencies 103 Non-current lease liabilities 1,540 Other non-current liabilities 28 14,699 Net assets 11,764 (-) Attributed to non-controlling shareholders (2,558) Net assets 9,206 |
Schedule of the fair value of the interest of non-controlling | The non-controlling interests was measured at fair value on the date of acquisition, as shown below: Total consideration transferred - 96.57% 9,371 Fair value of the Company - 100% 9,706 Non-controlling interest at fair value 335 |
Schedule of other operating expenses | The Company recorded a residual goodwill of R$165; which has been determined as follows: Fair value of net assets acquired 11,764 (-) Attributed to non-controlling shareholders (2,223) 9,541 Remaining non-controlling interest (335) Net assets 9,206 Total consideration transferred for the acquisition of control of Éxito 9,371 Goodwill 165 |
14. Investment properties (Tabl
14. Investment properties (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Investment property [abstract] | |
Schedule of fair value of investment properties | The fair value of investment properties is measured based on assessments performed by third parties. Balance at 12.31.2019 Additions Impairment Depreciation Exchange rate Transfers Balance at 12.31.2020 Land 656 - (11) - 149 (32) 762 Buildings 2,385 6 (11) (63) 557 (15) 2,859 Construction in progress 10 8 - - 2 (2) 18 Total 3,051 14 (22) (63) 708 (49) 3,639 Balance at 12.31.2018 Additions Depreciation Business combination Exchange rate changes Transfers Balance at 12.31.2019 Land 6 2 - 643 11 (6) 656 Buildings 10 10 (4) 2,319 45 5 2,385 Improvements 4 - - - - (4) - Construction in progress - - - 10 - - 10 Total 20 12 (4) 2,972 56 (5) 3,051 Balance at 12.31.2020 Balance at 12.31.2019 Cost Accumulated depreciation Net Cost Accumulated depreciation Net Land 762 - 762 656 - 656 Buildings 2,921 (62) 2,859 2,400 (15) 2,385 Construction in progress 18 - 18 10 - 10 Total 3,701 (62) 3,639 3,066 (15) 3,051 |
Schedule of fair value of investment properties by Exito and its subsidiaries | The net result generated by investment properties is as follows: 2020 2019 Lease revenue 368 31 Operating expenses from investment properties that generate revenue (78) (4) Operating expenses from investment properties that do not generate revenue (165) (12) Net result generated by investment properties 125 15 |
Schedule of rates based on geographic region | The rates vary for each development based on geographic region, development format and are presented below: Range Discount rate 10.00% 15.25% Vacancy rate 1.00% 10.00% Terminal capitalization rate 7.50% 8.50% |
15. Property and equipment (Tab
15. Property and equipment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property, plant and equipment [abstract] | |
Schedule of changes in property and equipment | All other repair and maintenance costs are recognized in the statement of operations for the year as incurred. Asset category Useful life (in years) Buildings 40 to 50 Leasehold improvements 24 to 40 Machinery and equipment 10 to 20 Facilities 11 Furniture and fixtures 9 to 12 Others 3 to 5 |
Schedule of property and equipment | Impairment losses are recognized in profit or loss for the year consistent with the function of the respective impaired asset. Previously recognized impairment losses are reversed only if there is a change in the assumptions used to determine the asset’s recoverable amount at its initial or most recent recognition, except for goodwill, which cannot be reversed in future periods. Balance at 12.31.2019 Additions Remeasurement Impairment Depreciation Write-offs Merger Transfers (*) Exchange rate changes Deconsolidation Balance at 12.31.2020 Land 3,692 61 - - - (87) 121 (308) 542 (481) 3,540 Buildings 4,869 80 - (23) (156) (145) - (308) 705 (608) 4,414 Leasehold improvements 4,441 788 - - (429) (119) - 262 70 (2,601) 2,412 Machinery and equipment 2,281 308 - - (437) (69) - 172 151 (637) 1,769 Facilities 580 61 - - (67) (11) - (18) 8 (270) 283 Furniture and fixtures 1,007 120 - - (193) (16) - 62 66 (340) 706 Construction in progress 275 746 - - - (7) - (750) 17 (68) 213 Other 74 18 - - (28) - - 7 1 (38) 34 Total 17,219 2,182 - (23) (1,310) (454) 121 (881) 1,560 (5,043) 13,371 Lease – right of use: Buildings 7,023 2,001 1,403 - (928) (1,005) - (3) 402 (2,428) 6,465 Equipment 45 24 (7) - (15) (1) - - 9 (6) 49 Land 3 - - - - - - - - - 3 7,071 2,025 1,396 - (943) (1,006) - (3) 411 (2,434) 6,517 Total 24,290 4,207 1,396 (23) (2,253) (1,460) 121 (884) 1,971 (7,477) 19,888 (*) The main effects are R$722 for transfers to held for sale and R$198 for intangibles and (R$49) for investment properties Balance at 12.31.2018 Additions Business Combination Remeasurement Depreciation Write-offs Transfers Exchange rate changes Deconsolidation Via Varejo Balance at 12.31.2019 Land 1,366 75 2,277 - - (30) (36) 40 - 3,692 Buildings 1,773 237 2,934 - (67) (29) (29) 51 (1) 4,869 Leasehold improvements 3,843 634 334 - (332) (382) 407 - (63) 4,441 Machinery and equipment 1,308 445 672 - (264) (36) 180 10 (34) 2,281 Facilities 501 86 64 - (59) (16) 30 (2) (24) 580 Furniture and fixtures 595 163 300 - (100) (21) 80 6 (16) 1,007 Construction in progress 176 789 154 - - (6) (903) 3 62 275 Other 59 32 6 - (24) (2) 7 - (4) 74 Total 9,621 2,461 6,741 - (846) (522) (264) 108 (80) 17,219 Lease – right of use: Buildings 4,422 792 1,727 832 (525) (152) 52 32 (157) 7,023 Equipment 9 15 25 - (5) - - 1 - 45 Land - - 3 - - - - - - 3 4,431 807 1,755 832 (530) (152) 52 33 (157) 7,071 Total 14,052 3,268 8,496 832 (1,376) (674) (212) 141 (237) 24,290 Balance at 12.31.2020 Balance at 12.31.2019 Cost Accumulated depreciation Net Cost Accumulated depreciation Net Land 3,540 - 3,540 3,692 - 3,692 Buildings 5,219 (805) 4,414 5,712 (843) 4,869 Leasehold improvements 4,778 (2,366) 2,412 7,065 (2,624) 4,441 Machinery and equipment 4,438 (2,669) 1,769 4,864 (2,583) 2,281 Facilities 725 (442) 283 1,065 (485) 580 Furniture and fixtures 1,966 (1,260) 706 2,196 (1,189) 1,007 Construction in progress 213 - 213 275 - 275 Other 181 (147) 34 256 (182) 74 21,060 (7,689) 13,371 25,125 (7,906) 17,219 Lease – right of use: Buildings 10,069 (3,604) 6,465 10,655 (3,632) 7,023 Equipment 105 (56) 49 128 (83) 45 Land 7 (4) 3 6 (3) 3 10,181 (3,664) 6,517 10,789 (3,718) 7,071 Total 31,241 (11,353) 19,888 35,914 (11,624) 24,290 |
Schedule of reconciliation of additions to property and equipment | 2020 2019 Additions (i) 4,207 3,268 Lease (2,025) (806) Capitalized borrowing costs (15) (26) Property and equipment financing - Additions (ii) (2,001) (2,116) Property and equipment financing - Payments (ii) 2,123 2,142 Total 2,289 2,462 (i) The additions are related to the purchase of operating assets, acquisition of land and buildings to expand activities, building of new stores, improvements of existing distribution centers and stores and investments in equipment and information technology. (ii) The additions to property and equipment above are presented to reconcile the acquisitions during the year with the amounts presented in the statement of cash flows net of items that did not impact cash flow. |
16. Intangible assets (Tables)
16. Intangible assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Intangible assets and goodwill [abstract] | |
Schedule of changes in intangible assets | When applicable, gains or losses arising from the derecognition of an intangible asset are measured as the difference between the net proceeds from the sale of the asset and its carrying amount, any gain or loss is recognized in the statement of operations in the year the asset is derecognized. Balance at 12.31.2019 Additions Amortization Write-off Remeasurement Exchange rate changes Transfer Deconsolidation Sendas Balance at 12.31.2020 Goodwill 1,314 - - - - 39 15 (618) 750 Tradename 3,062 - (1) - - 713 - (40) 3,734 Commercial rights (note 16.2) 136 6 - - - - - (95) 47 Software 888 191 (179) (2) - 19 183 (70) 1,030 5,400 197 (180) (2) - 771 198 (823) 5,561 Lease-right of use: Right of use Paes Mendonça (*) 780 - (47) - 49 - - (215) 567 Software 56 1 (21) - - - - - 36 836 1 (68) - 49 - - (215) 603 Total 6,236 198 (248) (2) 49 771 198 (1,038) 6,164 (*) Correspond to the premium paid for the renewal of the agreement with Paes Mendonça to operate certain stores by 30-year term Balance at 12.31.2018 Additions Business combination (*) Amortization Write-off Remeasurement Exchange rate changes Transfer Deconsolidation Via Varejo Balance at 12.31.2019 Goodwill 1,148 - 165 - - - 3 (1) - 1,315 Tradename 39 - 2,949 - - - 66 8 - 3,062 Commercial rights (note 16.2) 111 24 - - - - - - - 135 Software 621 274 60 (110) (7) - 1 124 (75) 888 1,919 298 3,174 (110) (7) - 70 131 (75) 5,400 Lease-right of use: Right of use Paes Mendonça (**) 819 - - (45) - 6 - - - 780 Software 80 - - (24) (1) - - - 1 56 899 - - (69) (1) 6 - - 1 836 Total 2,818 298 3,174 (179) (8) 6 70 131 (74) 6,236 (*) See note 13.1 (**) Correspond to the premium paid for the renewal of the agreement with Paes Mendonça to operate certain stores by 30-year term |
Schedule of intangible assets | Balance at 12.31.2020 Balance at 12.31.2019 Cost Accumulated Net Cost Accumulated Net Goodwill 2,478 (1,728) 750 2,425 (1,111) 1,314 Tradename 3,736 (2) 3,734 3,062 - 3,062 Commercial rights (note 16.2) 47 - 47 135 1 136 Software 2,012 (982) 1,030 1,715 (827) 888 8,273 (2,712) 5,561 7,337 (1,937) 5,400 Lease-right of use: Right of use Paes Mendonça 653 (86) 567 836 (56) 780 Software 120 (84) 36 321 (265) 56 773 (170) 603 1,157 (321) 836 Total intangibles 9,046 (2,882) 6,164 8,494 (2,258) 6,236 |
Schedule of reconciliation of additions to intangible assets | 2020 2019 Additions 198 298 Lease - (1) Intangible assets financing - Addition (1) (23) Intangible assets financing - Payments 4 46 Total 201 320 |
17. Trade payables, net (Tables
17. Trade payables, net (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Trade and other payables [abstract] | |
Schedule of trade payables, net | 2020 2019 Product suppliers 10,907 14,371 Service suppliers 904 977 Bonuses from suppliers (note 17.2) (387) (461) 11,424 14,887 |
18. Borrowings and financing (T
18. Borrowings and financing (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Borrowings [abstract] | |
Schedule of debt breakdown | Weighted average rate 2020 2019 Debentures and promissory note Debentures, certificate of agribusiness receivables and promissory notes (note 18.4) CDI + 1.27% per year 4,598 11,863 4,598 11,863 Borrowings and financing Local currency BNDES 4.07% per year - 27 Working capital CDI + 2.37% per year 2,689 1,008 Working capital TR + 9.80 % per year 13 99 Swap contracts (note 18.7) CDI – 0.02% per year (2) (12) Unamortized borrowing costs (13) (22) 2,687 1,100 Foreign currency (note 18.5) Working capital USD + 2.27% per year 271 846 Working capital IBR 3M + 3.8% 1,534 323 Working capital Argentina Pré: 29.43% 26 - Credit letter 12 12 Swap contracts (note 18.7) CDI + 2.0% per year 12 (15) Swap contracts (note 18.7) IBR 3M + 3.8% 1 (19) NDF Contracts – Derivatives - (1) Unamortized borrowing costs (1) (1) 1,855 1,145 Total 9,140 14,108 Current assets - 73 Non-current assets 11 13 Current liabilities 2,309 3,488 Non-current liabilities 6,842 10,706 |
Schedule of changes in borrowings | 18.2. Changes in borrowings At December 31, 2019 14,108 Additions 7,262 Accrued interest 755 Accrued swap (343) Mark-to-market 14 Adjustment to present value 115 Monetary and exchange rate changes 331 Borrowing cost 53 Interest paid (774) Payments (5,125) Swap paid 333 Foreign currency translation adjustment 173 Deconsolidation Sendas (7,762) At December 31, 2020 9,140 At December 31, 2018 5,286 Additions 13,604 Accrued interest 678 Accrued swap (11) Mark-to-market (47) Monetary and exchange rate changes (13) Borrowing cost 31 Interest paid (504) Payments (9,551) Swap paid 103 Acquisition of company 4,527 Foreign currency translation adjustment 80 Desconsolidation Via Varejo (75) At December 31, 2019 14,108 |
Schedule of maturity of non-current borrowings and financing | 18.3. Maturity schedule of non-current borrowings and financing Year From 1 to 2 years 4,756 From 2 to 3 years 1,426 From 3 to 4 years 237 From 4 to 5 years 230 After 5 years 195 Subtotal 6,844 Unamortized borrowing costs (13) Total 6,831 |
Schedule of debentures, promissory note and certificate of agribusiness receivables | 18.4. Debentures, Promissory Note and Certificate of Agribusiness Receivables Date Consolidated Type Issue Amount Outstanding debentures (units) Issue Maturity Financial charges Unit price (in reais) 12.31.2020 12.31.2019 14th Issue of Debentures – CBD and CRA No preference 1,080 1,080,000 04/17/17 04/13/20 - - - 1,091 15th Issue of Debentures – CBD No preference 800 800,000 01/17/18 01/15/21 150.00% of CDI 564 451 821 16th Issue of Debentures – CBD (1st series) No preference 700 700,000 09/11/18 09/10/21 162.71% of CDI 1,015 711 712 16th Issue of Debentures – CBD (2nd series) No preference 500 500,000 09/11/18 09/12/22 163.56% of CDI 1,042 521 508 17th Issue of Debentures - CDB No preference 2,000 2,000,000 01/06/20 01/06/23 CDI + 1.45% per year 1,017 2,033 - 4th Issue of Promissory Notes – CBD No preference 800 800 01/10/19 01/09/22 163.13% of CDI 1,113,594 891 849 1th Issue of Promissory Notes – Sendas (1st series) No preference 50 1 07/04/19 07/03/20 CDI + 0.72% per year - - 52 1th Issue of Promissory Notes – Sendas (2nd series) No preference 50 1 07/04/19 07/05/21 CDI + 0.72% per year - - 52 1th Issue of Promissory Notes – Sendas (3nd series) No preference 50 1 07/04/19 07/04/22 CDI + 0.72% per year - - 52 1th Issue of Promissory Notes – Sendas (4nd series) No preference 250 5 07/04/19 07/04/23 CDI + 0.72% per year - - 258 1th Issue of Promissory Notes – Sendas (5nd series) No preference 200 4 07/04/19 07/04/24 CDI + 0.72% per year - - 206 1th Issue of Promissory Notes – Sendas (6nd series) No preference 200 4 07/04/19 07/04/25 CDI + 0.72% per year - - 206 1th Issue of Debentures – Sendas (1nd series) No preference 2,000 2,000,000 09/04/19 08/20/20 - - - 1,001 1th Issue of Debentures – Sendas (2nd series) No preference 2,000 2,000,000 09/04/19 08/20/21 CDI + 1.74% per year - - 2,044 1th Issue of Debentures – Sendas (3nd series) No preference 2,000 2,000,000 09/04/19 08/20/22 CDI + 1.95% per year - - 2,046 1th Issue of Debentures – Sendas (4nd series) No preference 2,000 2,000,000 09/04/19 08/20/23 CDI + 2.20% per year - - 2,047 Borrowing cost - (9) (82) 4,598 11,863 Current liabilities 1,220 2,287 Non-current liabilities 3,378 9,576 |
19. Financial instruments (Tabl
19. Financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Financial Instruments | |
Schedule of financial instruments | The main financial instruments and their carrying amounts, by category, are as follows: Carrying amount 2020 2019 Financial assets: Amortized cost Related parties - assets 154 104 Trade receivables and other receivables 1,614 924 Others assets 48 51 Fair value through profit or loss Cash and cash equivalents 8,711 7,954 Financial instruments – Fair value hedge 11 86 Financial instruments about lease – Fair value hedge 1 - Others assets 2 2 Fair value through other comprehensive income Trade receivables - credit card companies and sales vouchers 113 377 Others assets 28 19 Financial liabilities: Other financial liabilities - amortized cost Related parties – liabilities (194) (215) Trade payables (11,424) (14,887) Financing for purchase of assets (100) (231) Debentures and promissory notes (4,598) (11,863) Borrowings and financing (4,247) (1,348) Lease (8,372) (8,667) Fair value through profit or loss Borrowings and financing ( Hedge accounting underlying) (284) (944) Financial instruments – Fair Value Hedge – liabilities side (22) (39) Financial instruments about lease – Fair value hedge – liabilities side (2) - Suppliers financial instruments - Fair value hedge - liabilities side (25) (8) Disco Group put option (*) (636) (466) (*) See note 19.3. |
Schedule of changes as to objectives, policies or processes | The Group capital structure is as follows: 2020 2019 Cash and cash equivalents 8,711 7,954 Financial instruments – Fair value hedge (37) 39 Borrowings, financing and debentures (9,129) (14,155) Other liabilities with related parties (*) (120) (124) Net financial debt (575) (6,286) Shareholders’ equity (16,807) (13,548) Net debt to equity ratio 3% 46% (*) Represents amount payable to Greenyellow related to the purchase of equipment. |
Schedule of aging profile of financial liabilities | The table below summarizes the aging profile of the Group’s financial liabilities as at December 31, 2020. Up to 1 Year 1 – 5 years More than 5 years Total Borrowings 1,174 3,761 181 5,116 Debentures and promissory notes 1,259 3,551 - 4,810 Derivative financial instruments (22) 43 - 21 Lease liabilities 1,606 5,226 8,172 15,004 Trade payables 11,424 - - 11,424 Total 15,441 12,581 8,353 36,375 |
Schedule of hedge position | Notional value Fair value 2020 2019 2020 2019 Fair value hedge Hedge object (debt) 301 955 284 944 Long position (buy) Prefixed rate TR + 9.80% per year 21 127 13 99 US$ + fixed USD + 2.27 % per year 280 828 271 846 301 955 284 945 Short position (sell) CDI + 1.92% per year (301) (955) (294) (917) Hedge position - asset - - 11 57 Hedge position - liability - - (21) (29) Net hedge position - - (10) 28 |
Schedule of other financial instruments | (i) Other financial instruments Transactions Risk (CDI variation) Balance at 2020 Scenario I Scenario II Scenario III Fair value hedge (fixed rate) CDI-0.02% per year (11) (1) (1) (1) Fair value hedge (exchange rate) CDI+2.00% per year (283) (11) (13) (16) Debentures and promissory notes CDI+1.27% per year (4,607) (133) (166) (199) Bank loans CDI+2.37% per year (2,689) (82) (103) (123) Total borrowings and financing exposure (7,590) (227) (283) (339) Cash and cash equivalents (*) 96.93% of CDI 4,784 106 133 159 Net exposure (2,806) (121) (150) (180) (*) Weighted average |
Schedule of sensitivity analysis | Market projection Transactions Balance 2020 Scenario I Scenario II Scenario III Bank loans and swap 1,599 (13) (44) (18) |
Schedule of fair value hierarchy of financial assets and liabilities | The table below presents the fair value hierarchy of financial assets and liabilities measured at fair value and of financial instruments measured at amortized cost, for which the fair value is disclosed in the consolidated financial statements: Carrying amount Fair value 12.31.2020 12.31.2020 Level Financial assets and liabilities Trade receivables with credit card companies and sales vouchers 113 113 2 Cross-currency interest rate swap (12) (12) 2 Interest rate swaps (23) (23) 2 Forward between Currencies (2) (2) 2 Borrowings and financing (FVPL) (284) (284) 2 Borrowings and financing and debentures (amortized cost) (8,845) (8,241) 2 Disco Group put option (*) (636) (636) 3 Total (9,689) (9,085) (*) Non-controlling shareholders of Group Disco del Uruguay S.A., Éxito Group’s subsidiary has a exercisable put option based on a formula that uses data such as net income, EBITDA - earnings before interest, taxes, depreciation and amortization - and net debt, in addition to fixed amounts determined in the contract and the exchange variation applicable for conversion to the functional currency. This put option is presented in “Acquisition of non-controlling interest”. |
Schedule of consolidated position of outstanding derivative transactions | The outstanding derivative financial instruments are presented in the table below: Risk Notional (millions) Due date 2020 2019 Debt USD - BRL US$ 160 2020 - 16 USD - BRL US$ 50 2023 (12) - Interest rate - BRL R$ 21 2026 2 2 Interest rate - BRL R$ 106 2027 - 10 Derivatives - Fair value hedge - Brazil (10) 28 Debt USD - COP 2020 - 20 USD - COP US$ 2 2022 1 1 Interest rate - COP COP 383.235 2021 (2) (1) Interest rate - COP COP 132.917 2022 (1) - (2) 20 Trade payables EUR - COP EUR 5 2021 (2) - USD - COP USD 55 2021 (23) - (25) - Derivatives – Éxito Group (27) 20 |
20. Taxes payable (Tables)
20. Taxes payable (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Taxes And Contributions Payable And Taxes Payable In Installments | |
Schedule of taxes and contributions payable and taxes payable | 20.1. Taxes and contributions payable and taxes payable in installments are as follows : 2020 2019 Taxes payable in installments - Law 11,941/09 (ii) 244 355 Taxes payable in installments – PERT 151 162 ICMS 99 96 PIS and COFINS 9 7 Provision for income tax and social contribution 13 - Withholding Income Tax 2 1 INSS 5 6 Other 25 60 Taxes payable – Éxito Group 285 220 833 907 Current 585 531 Non-current 248 376 (i) In 2017, the Group decided to include certain federal tax debts in the Special Program on Tax Settlements – PERT (“PERT Program. The program allows the payment of certain taxes in monthly installments, and granted discounts on interest and penalties. The Group included tax debts related to (i) tax assessments over purchase transactions, manufacturing and exports sales of soil beans (PIS/COFINS), (ii) non-validation of tax offsets (IRPJ, PIS/COFINS); and other tax debts previously classified as possible risks related mainly to CPMF( Contribuição provisória sobre movimentação financeira (ii) Federal tax installment payment program, Law 11,941/09 – The Law 11,941, was enacted on May 27, 2009, a special federal tax and social security debt installment program, for debts overdue until November 2008, which granted several benefits to its participants, such as reduction of fines, interest rates and penalties, the possibility of utilization of accumulated tax losses to settle penalties and interest and payment in 180 months, use of restricted deposits linked to the claim to reduce the balance. The program also allows the gains arising from reduction of fines and penalties not to be taxable for income taxes purposes. The Group is in compliance with the terms and conditions of these tax payment program. |
Schedule of maturity of taxes payable | 20.2. Maturity schedule of taxes payable in installments in non-current liabilities: From 1 to 2 years 87 From 2 to 3 years 73 From 3 to 4 years 25 From 4 to 5 years 12 After 5 years 51 248 |
21. Income tax and social con_2
21. Income tax and social contribution (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax And Social Contribution | |
Schedule of reconciliation of income and social contribution tax expense | 21.1. Income tax and social contribution effective rate reconciliation 2020 2019 2018 Note 2 Note 2 Income (loss) before income tax and social contribution (Continued operations) 1,901 (368) 83 Credit (expense) of Income tax and social contribution expense at the nominal rate. (542) 105 (28) Tax penalties (11) (16) (20) Share of profit of associates 19 (2) 15 Interest on own capital (*) (78) (4) 54 Tax benefits 12 6 15 Sendas spin-off (74) - - Other permanent differences 12 6 5 Effective income tax and social contribution expense (662) 95 41 Credit (expense) income tax and social contribution expense for the year: Current (371) 249 (41) Deferred (291) (154) 82 Credit (expense) income tax and social contribution expense (662) 95 41 Effective rate 34.82% 25.82% -49.40% (*) Effect of income tax on interest on own capital. |
Schedule of breakdown of deferred income tax and social contribution | 21.2. Breakdown of deferred income tax and social contribution 2020 2019 Asset Liability Net Asset Liability Net Tax losses and negative basis of social contribution 514 - 514 453 - 453 Provision for contingencies 376 - 376 321 - 321 Goodwill tax amortization - (496) (496) - (604) (604) Mark-to-market adjustment - (6) (6) - (7) (7) Technological innovation – future realization - (5) (5) - (7) (7) Fixed assets, tradename and investment property - (1,681) (1,681) - (1,359) (1,359) Unrealized gains with tax credits - (402) (402) 82 (322) (240) Net adjustments of IFRS 16 389 - 389 356 - 356 Cash flow hedge 11 - 11 - (80) (80) Other 29 - 29 117 - 117 Presumed profit on equity of Éxito 237 - 237 192 - 192 Deferred income tax and social contribution assets (liabilities) 1,556 (2,590) (1,034) 1,521 (2,379) (858) Off-set assets and liabilities (1,556) 1,556 - (1,184) 1,184 - Deferred income tax and social contribution assets (liabilities), net - (1,034) (1,034) 337 (1,195) (858) |
Schedule of recovery of deferred tax assets | The Company estimates the recovery of the deferred tax assets as follows: Up to one year 143 From 1 to 2 years 238 From 2 to 3 years 211 From 3 to 4 years 218 From 4 to 5 years 225 Above 5 years 521 1,556 |
Schedule of changes in deferred income tax and social contribution | 21.3. Movement in deferred income tax and social contribution 2020 2019 2018 Note 2 Note 2 Opening balance (858) (225) (95) Credit (expense) for the year – Continuing operations (291) (154) 82 Credit (expense) for the year - Discontinued operations 214 (122) (87) Tax on discontinued operations - 314 (61) Income tax related to OCI - Continuing operations - 1 (1) Income tax related to OCI - Discontinued operations - (20) 3 Business combination - (747) - Exchange rate changes (188) (18) - Assets held for sale and discontinued operations - 122 (64) Deconsolidation - Sendas 91 - - Other (2) (7) (2) At the end of the period (1,034) (856) (225) |
22. Provision for contingenci_2
22. Provision for contingencies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Provision For Contingencies | |
Schedule of provision for contingencies | Tax Social security and labor Civil and Regulatory Total Balance at December 31, 2019 841 319 145 1,305 Additions 331 166 166 663 Payments (13) (75) (73) (161) Reversals (67) (83) (70) (220) Monetary adjustment (3) 38 21 56 Exchange rate changes 17 2 5 24 Deconsolidation Sendas (*) (169) (64) (49) (282) Balance at December 31, 2020 937 303 145 1,385 (*) As result of the Sendas’ spin-off, the balances of provisions for legal demands totaling R$ 292 were deconsolidated, of which R$179 of tax contingencies, R$64 of labor contingencies, and R$49 of civil contingencies and others. Tax Social security and labor Civil and Regulatory Total Balance at December 31, 2018 828 291 116 1,235 Additions 149 449 162 760 Payments (41) (328) (84) (453) Reversals (274) (200) (92) (566) Monetary restatement (10) 66 23 79 Business combination 76 13 14 103 Exchange rate changes 2 - - 2 Deconsolidation Via Varejo 111 28 6 145 Balance at December 31, 2019 841 319 145 1,305 |
Schedule of restricted deposits | The Group has recorded restricted deposits as follows. 2020 2019 Tax 123 242 Labor 407 474 Civil and other 33 79 Total 563 795 |
Schedule of guarantees | 22.6. Guarantees Lawsuits Property and equipment Letter of Guarantee Total 2020 2019 2020 2019 2020 2019 Tax 733 843 10,022 9,162 10,755 10,005 Labor - - 613 539 613 539 Civil and other 9 11 558 469 567 480 Total 742 854 11,193 10,170 11,935 11,024 |
23. Leases (Tables)
23. Leases (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases | |
Schedule of minimum rental payment on termination | Leasing contracts totaled R$8,374 as of December 31, 2020 (R$8,667 as of December 31, 2019), as presented in the following table: 2020 2019 Lease liability – minimum lease payments: Up to 1 year 947 937 1 - 5 years 3,053 2,936 Over 5 years 4,374 4,794 Present value of finance lease agreements 8,374 8,667 Future financing charges 6,630 8,007 Gross amount of finance lease agreements 15,004 16,674 |
Schedule of contingent lease payments | 23.2. Movement of lease liabilities At December 31, 2019 8,667 Additions 2,025 Remeasurement 1,445 Accrued interest 958 Payments (1,680) Anticipated lease contract termination (698) Exchange rate changes 433 Deconsolidation of Sendas (2,776) At December 31, 2020 8,374 Current 947 Non-current 7,427 At December 31, 2018 5,787 Additions 807 Remeasurement 838 Accrued interest 862 Payments (1,498) Anticipated lease contract termination (116) Business combination (Éxito) 1,817 Exchange rate changes 33 Deconsolidation Via Varejo 137 At December 31, 2019 8,667 Current 937 Non-current 7,730 |
Schedule of finance lease | 2020 2019 2018 Expenses (income) for the year: Note 2 Note 2 Variable (0.1% to 4.5% of sales) 40 19 11 Sublease rentals (*) (196) (210) (191) (*) Refers to revenues from lease agreements from commercial shopping malls and spaces rented in the stores. |
24. Deferred revenues (Tables)
24. Deferred revenues (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Deferred Revenue | |
Schedule of liabilities related to assets held to sale | 2020 2019 Deferred revenue in relation to sale of real estate property 8 10 Additional or extended warranties 12 16 Services rendering agreement - Allpark 8 9 Revenue from credit card operators and banks 80 84 Back lights - 142 Gift Card 131 99 Others 77 31 316 391 Current 297 365 Non-current 19 26 |
25. Shareholders' equity (Table
25. Shareholders' equity (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Changes in equity [abstract] | |
Schedule of former stock option plan, stock option plan and compensation plan | Information on the plans are summarized below: 2020 Number of options (in thousands) Series granted Grant date 1st date of exercise Exercise price at the grant date Granted Exercised Cancelled Expired Outstanding B4 05/31/2017 05/31/2020 0.01 537 (450) (55) (32) - C4 05/31/2017 05/31/2020 56.78 537 (382) (60) (95) - B5 05/31/2018 05/31/2021 0.01 594 (152) (49) - 393 C5 05/31/2018 05/31/2021 62.61 594 (142) (58) - 394 B6 05/31/2019 05/31/2022 0.01 434 (13) (29) - 392 C6 05/31/2019 05/31/2022 70.62 331 (5) (37) - 289 3,027 (1,144) (288) (127) 1,468 |
Schedule of maximum percentage of interest dilution | The table below shows the dilutive effect if all options granted were exercised: 2020 2019 Number of shares 268,352 267,997 Balance of effective stock options granted 1,468 2,153 Maximum percentage of dilution 0.55% 0.80% |
Schedule of stock option activity | The weighted average fair value of options granted at December 31, 2020 was R$58.78 (R$56.41 at December 31, 2019). Shares in thousands Weighted average of exercise price Weighted average of remaining contractual term At December 31, 2019 Granted during the period 765 30.55 Cancelled during the period (126) 31.75 Exercised during the period (1,080) 21.55 Expired during the period (161) 16.74 Outstanding at the end of the period 2,153 30.25 1.50 Total to be exercised at December 31, 2019 2,153 30.25 1.50 At December 31, 2020 Granted during the period - - Cancelled during the period (69) 42.59 Exercised during the period (489) 23.93 Expired during the period (127) 42.44 Outstanding at the end of the period 1,468 30.71 0.88 Total to be exercised at December 31, 2020 1,468 30.71 0.88 |
Schedule of dividends proposed | Proposed dividends 2020 2019 Net income for the year 2,179 790 Legal reserve (109) (39) Governmental subsidy reserve (9) - Calculation basis of dividends 2,061 751 Mandatory minimum dividends – 25% 515 188 Payment of interim dividends as interest on own capital, net of withholding taxes - (32) Dividends payable 515 156 |
26. Revenue from the sale of _2
26. Revenue from the sale of goods and / or services (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Revenue [abstract] | |
Schedule of net operating revenue | 2020 2019 2018 Gross sales Note 2 Note 2 Goods 54,466 30,826 28,686 Services rendered 1,608 555 440 Sales returns and cancellations (342) (216) (433) 55,732 31,165 28,693 Taxes on sales (4,479) (2,327) (2,203) Net operating revenue 51,253 28,838 26,490 |
27. Expenses by nature (Tables)
27. Expenses by nature (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Expenses By Nature | |
Schedule of expenses by nature | General and administrative expenses correspond to overhead and the cost of corporate units, including purchasing and procurement, information technology and financial activities. 2020 2019 2018 Note 2 Note 2 Cost of inventories (35,357) (19,893) (17,498) Personnel expenses (5,500) (3,607) (3,485) Outsourced services (838) (438) (485) Overhead expenses (2,214) (1,361) (1,086) Commercial expenses (1,690) (1,074) (1,003) Other expenses (1,248) (550) (635) (46,847) (26,923) (24,442) Cost of sales (37,504) (21,225) (19,046) Selling expenses (7,755) (5,166) (4,655) General and administrative expenses (1,588) (532) (741) (46,847) (26,923) (24,442) |
28. Other operating expenses,_2
28. Other operating expenses, net (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Operating Expenses Net | |
Schedule of other operating expenses, net | Other operating income and expenses correspond to the effects of major or nonrecurring events occurred during the year that do not meet the definition for the other statement of operations lines. 2020 2019 2018 Note 2 Note 2 Tax installments and other tax risks (374) (158) (217) Restructuring expenses (*) (454) (267) (142) Gain on disposal of property and equipment(**) 378 39 160 Corporate reorganization (****) 513 - - Prevention spending – Covid-19 (***) (134) - - (71) (386) (199) (*) amounts related to restructuring expenses in the Brazilian operations and those incurred in connection with the acquisition of Éxito Group. (**) The net gain on disposal of fixed assets was mainly impacted by Sale and Leaseback operations in the amount of R$187 (see note 1.3), disposal of 3 stores in the city of Curitiba in the amount of R$68 and the disposal of 2 non-core properties in the city of São Paulo in the amount of R$190 (see note 32), R$45 in 2019. (***) The expenses incurred as a consequence of the pandemic refer to the purchase of individual protection items and adaptation of the stores, expenses with overtime, expenses with internal and external communication, incremental expenses with transportation and with cleaning and sanitation services. (****) Impacts related to the spin-off of Sendas totaled revenue of R$513 including (i) revaluation of the remaining held in FIC by IFRS10 (50% of the interest held in GPA was transferred to Sendas at fair value price) in the amount of R$573 (see note 1.1) and (ii) costs related to the spin-off (expenses of R$60). |
29. Financial income (expense_2
29. Financial income (expenses), net (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Financial Income Expenses Net | |
Schedule of financial income (expenses), net | Financial expenses include substantially interest and financial charges on borrowings and financing and discounting receivables during the year, losses arising from measurement of derivative financial instruments at fair value, losses on disposals of financial assets, financial charges on provisions on lawsuits and taxes and interest charges on financial leases, as well as discount charges. 2020 2019 2018 Note 2 Note 2 Finance expenses: Cost of debt (387) (337) (327) Cost of the discounting of receivables (58) (101) (114) Monetary restatement loss (265) (151) (89) Interest on lease liabilities (729) (528) (494) Other finance expenses (198) (107) (71) Total financial expenses (1,637) (1,224) (1,095) Financial income: Income from short term instruments 152 111 23 Monetary restatement gain (*) 749 234 162 Other financial income 8 8 8 Total financial income 909 353 193 Total (728) (871) (902) (*) On October 29, 2020, the lawsuit had an unappeasable decision in favor of the Company, granting a tax credit in the amount of R$ 1,609, net of the provisions for portions considered unrealizable being R$613 in the financial result. |
30. Earnings per share (Tables)
30. Earnings per share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings per share [abstract] | |
Schedule of earnings per share | The table below presents the determination of net income available to holders of common shares and the weighted average number of common shares outstanding used to calculate basic and diluted earnings per share in each reporting exercise: 2020 2019 2018 Note 2 Note 2 Basic numerator Net income (loss) allocated to controlling shareholder – continuing operations 1,092 (287) 124 Net income allocated to controlling shareholder - discontinued operations 1,087 1,077 1,025 Net income allocated to controlling shareholder 2,179 790 1,149 Basic denominator (millions of shares) Weighted average of shares 268 267 266 Basic earnings per share (R$) – continuing operations 4.07575 (1.07463) 0.46546 Basic earnings per share (R$) – discontinued operations 4.05709 4.03267 3.84673 Basic earnings per share (R$) – total 8.13283 2.95804 4.31209 Diluted numerator Net income (loss) allocated to ordinary controlling shareholders – continuing operations 1,092 (287) 124 Net income allocated to ordinary controlling shareholders - discontinued operations 1,087 1,077 1,025 Net income allocated to ordinary controlling shareholders 2,179 790 1,149 Diluted denominator Weighted average of shares (in millions) 268 267 266 Stock option (in millions) 1 1 1 Diluted weighted average of shares (millions) 269 268 267 Diluted earnings per share (R$) – continuing operations 4.06984 (1.07337) 0.46337 Diluted earnings per share (R$) – discontinued operations 4.05120 4.02728 3.83024 Diluted earnings per share (R$) – total 8.12104 2.95391 4.29361 |
31. Segment information (Tables
31. Segment information (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Segment Information | |
Schedule of segment information | Information on the Group’s segments as of December 31, 2020 is included in the table below: Description Retail Éxito Group Others Business Discontinued operations Total 2020 2019 2018 2020 2019 2020 2019 2018 2020 2019 2018 2020 2019 2018 Net operating revenue 29,170 26,654 26,490 22,034 2,151 49 33 - - - - 51,253 28,838 26,490 Gross profit 8,219 7,005 7,444 5,508 609 22 (1) - - - - 13,749 7,613 7,444 Depreciation and amortization (1,069) (967) (892) (729) (60) (6) (1) - - - - (1,804) (1,028) (892) Operating income 2,016 467 957 652 90 (137) (56) - - - - 2,531 501 957 Net financial expenses (386) (815) (902) (340) (57) (2) 1 - - - - (728) (871) (902) Profit(loss) before income tax and social contribution 1,748 (241) 134 339 27 (186) (154) (51) - - - 1,901 (368) 83 Share of profit of associates 118 107 79 27 (6) (47) (99) (51) - - - 98 2 28 Income tax and social contribution (559) 121 41 (110) (28) 7 2 - - - - (662) 95 41 Net income (loss) for continuing operations 1,189 (120) 175 229 (1) (179) (152) (51) - - - 1,239 (273) 124 Net income (loss) for discontinued operations 85 312 (73) (1) - - - - 1,003 797 1,233 1,087 1,109 1,160 Net income (loss) of year end 1,274 192 102 228 (1) (179) (152) (51) 1,003 797 1,233 2,326 836 1,284 Current assets 9,747 8,002 7,529 8,015 6,664 95 10 - 5,292 28,813 17,857 19,968 40,518 Non-current assets 16,672 15,568 15,138 18,930 15,438 52 26 - 7,475 - 35,654 38,507 21,139 Current liabilities 8,789 11,557 8,358 9,729 7,252 181 9 - 4,317 23,602 18,699 23,135 37,256 Non-current liabilities 14,390 9,810 9,834 3,620 9,686 (5) 1 - 2,295 - 18,005 21,792 11,242 Shareholders' equity 3,240 2,203 4,475 13,596 5,164 (29) 26 - 6,155 5,211 16,807 13,548 13,159 |
Schedule of company general information | The Group operates primarily as a retailer of food, clothing, home appliances and other products. Total revenues by geographic region is showed below: 2020 2019 2018 Brazil Retail 29,170 26,654 26,490 Others businesses 49 33 - 29,219 26,687 26,490 Éxito Group Colombia 17,062 1,694 - Uruguay 3,746 350 - Argentina 1,226 107 - 22,034 2,151 - Total net operating revenue 51,253 28,838 26,490 |
33. Non-current assets held f_2
33. Non-current assets held for sale and discontinued operations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Noncurrent Assets Held For Sale And Discontinued Operations | |
Schedule of non-current assets classified as held for sale | Non-current assets classified as held for sale are measured based on the lower amount between their carrying amount and their fair value less cost to sell. Breakdown 2020 2019 Properties / lands held for sale 78 171 Real estate developments held for sale - Éxito 31 52 Total 109 223 |
34. Discontinued operations (Ta
34. Discontinued operations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations | |
Schedule of balance sheet and consolidated statements of Via Varejos cash flows before eliminations | Following are the balance sheet and consolidated statements of Via Varejo's cash flows before eliminations, including effects of purchase price allocation on the acquisitions of Globex and Casa Bahia: Balance sheet (*): 05.31.2019 Assets Current Total current assets 9,871 Non-current Total non-current assets 16,266 Total assets 26,137 Liabilities Current Total current liabilities 13,484 Non-current Total non-current liabilities 7,375 Shareholders’ equity 5,278 Total liabilities and shareholders’ equity 26,137 (*) Prior to elimination of GPA related party balances. Cash flow: 05.31.2019 12.31.2018 Cash flow provided by (used in) operating activities (2,640) 1,609 Net cash provided by (used in) investing activities (234) (590) Net cash provided by (used in) financing activities (651) (867) Cash variation in the period (3,525) 152 |
Schedule of sendas result as discontinued operation of cash flow statement and income statement | The breakdown of profit from discontinued operations presented in the consolidated income statement of the Company is as follows: 05.31.2019 12.31.2018 Net operating revenue 10,527 26,928 Net income before income tax and social contribution 169 341 Income tax and social contribution (119) (101) Net income for the period 50 240 Cash flow: 12.31.2020 12.31.2019 12.31.2018 Cash flow provided by operating activities 4,191 (5,560) 1,548 Net cash used in investing activities (695) (965) (925) Net cash used in financing activities (1,827) 6,986 (97) Cash variation in the year 1,669 461 526 12.31.2020 12.31.2019 12.31.2018 Net operating revenue 35,950 27,806 22,900 Net income before income tax and social contribution 1,315 1,128 1,487 Income tax and social contribution (312) (367) (455) Net income for the period 1,003 761 1,032 c) Composition of discontinued operations 12.31.2020 12.31.2019 12.31.2018 Net income Via Varejo - 50 240 Net income - Sendas 1,003 761 1,032 Other results from discontinued operations 84 (100) (112) Gain on the sale of discontinued operations (note 12.4) - 398 - Net income from discontinued operations presented in the consolidated income statement of the Company 1,087 1,109 1,160 Attributable: Controlling shareholders of the Company 1,087 1,077 1,025 Participation of non-controlling shareholders - 32 135 |
35. Insurance coverage (Tables)
35. Insurance coverage (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Insurance Coverage | |
Schedule of insurance coverage | The insurance coverage as of December 31, 2020 is summarized as follows: Insured assets Covered risks Amount insured Property and equipment and inventories Operating risks 16,438 Business interruption Loss of profits 13,110 Cars and Others (*) Damages 337 (*) The value reported above does not include coverage of the hulls, which are insured by the value of 100% of the Foundation Institute of Economic Research – FIPE table. |
1. Corporate information (Detai
1. Corporate information (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
CorporateInformationLineItems [Line Items] | |||
Cash and cash equivalents | R$ 8711 | R$ 7954 | |
Trade receivable, net | 686 | 727 | |
Other receivable | 365 | 381 | |
Inventories, net | 6,536 | 8,631 | |
Recoverable taxes | 1,199 | 1,692 | |
Derivative financial instruments | 73 | ||
Other current assets | 251 | 287 | |
Total current assets | 17,857 | 19,968 | R$ 40518 |
Related parties | 154 | 104 | |
Recoverable taxes | 3,100 | 2,702 | |
Restricted deposits for legal proceedings | 563 | 795 | |
Investments in associates | 1,250 | 609 | |
Property and equipment, net | 19,888 | 24,290 | 14,052 |
Intangible assets, net | 6,164 | 6,236 | 2,818 |
Total non-current assets | 35,654 | 38,507 | 21,139 |
Total assets | 53,511 | 58,475 | |
Trade payable, net | 11,424 | 14,887 | |
Payroll and related taxes | 897 | 980 | |
Taxes, installment and contributions payable | 585 | 531 | |
Borrowings and financing | 2,309 | 3,488 | |
Lease liabilities | 947 | 937 | |
Deferred revenue | 297 | 365 | |
Financing of property and equipment | 100 | 231 | |
Other current liabilities | 677 | 703 | |
Total current liabilities | 18,699 | 23,135 | 37,256 |
Borrowings and financing | 6,842 | 10,706 | |
Lease liabilities | 7,427 | 7,730 | |
Related parties | 168 | ||
Provision for contingencies | 1,385 | 1,305 | 1,235 |
Deferred revenue | 19 | 26 | |
Deferred income tax and social contribution | 1,034 | 1,195 | |
Other non-current liabilities | 291 | 68 | |
Total non-current liabilities | 18,005 | 21,792 | 11,242 |
Net assets | 16,807 | 13,548 | R$ 13159 |
Total liabilities and shareholders' equity | 53,511 | R$ 58475 | |
Sendas distribuidora s.a [member] | |||
CorporateInformationLineItems [Line Items] | |||
Cash and cash equivalents | 3,532 | ||
Trade receivable, net | 182 | ||
Other receivable | 34 | ||
Inventories, net | 3,739 | ||
Recoverable taxes | 768 | ||
Derivative financial instruments | 57 | ||
Other current assets | 36 | ||
Total current assets | 8,348 | ||
Related parties | 178 | ||
Recoverable taxes | 866 | ||
Restricted deposits for legal proceedings | 134 | ||
Financial instruments | 11 | ||
Investments in associates | 769 | ||
Property and equipment, net | 7,477 | ||
Intangible assets, net | 1,038 | ||
Total non-current assets | 10,473 | ||
Total assets | 18,821 | ||
Trade payable, net | 5,057 | ||
Payroll and related taxes | 371 | ||
Taxes, installment and contributions payable | 528 | ||
Borrowings and financing | 2,119 | ||
Lease liabilities | 172 | ||
Deferred revenue | 227 | ||
Financing of property and equipment | 34 | ||
Other current liabilities | 153 | ||
Total current liabilities | 8,661 | ||
Borrowings and financing | 5,711 | ||
Lease liabilities | 2,604 | ||
Related parties | 41 | ||
Provision for contingencies | 281 | ||
Deferred revenue | 1 | ||
Deferred income tax and social contribution | 82 | ||
Other non-current liabilities | 8 | ||
Total non-current liabilities | 8,728 | ||
Total liabilities | 17,389 | ||
Net assets | 1,432 | ||
Total liabilities and shareholders' equity | R$ 18821 |
1. Corporate information (Det_2
1. Corporate information (Details Narrative) R$ in Millions | Dec. 23, 2020BRL (R$)Number | Dec. 14, 2020BRL (R$) | Mar. 05, 2020BRL (R$)Number | Dec. 23, 2019Number | Dec. 31, 2020BRL (R$)Numbershares | Jul. 30, 2020Number | Jul. 22, 2020Number | Jun. 29, 2020Number | May 29, 2020Number | Dec. 31, 2019shares |
CorporateInformationLineItems [Line Items] | ||||||||||
Number of share issued (in shares) | shares | 268,352 | 267,997 | ||||||||
Amount of property sold | R$ 1183 | |||||||||
Amount of property plant received | R$ 1181 | |||||||||
Agreement term | 15 years | |||||||||
Number of property sold | Number | 39 | |||||||||
Gain on sale and leaseback transactions | R$ 187 | |||||||||
Sendas distribuidora s.a [member] | ||||||||||
CorporateInformationLineItems [Line Items] | ||||||||||
Description of agreement | 1. CBD transferred to Sendas the net assets of stores that may be developed by Sendas in the future, with a residual value of R$45 million; 2. CBD contributed intercompany receivables to Sendas for an amount of R$140 million; and 3. CBD contributed R$500 million in cash to Sendas | |||||||||
Agreement amount | R$ 111 | |||||||||
Right of use | R$ 312 | |||||||||
Increase in liability | R$ 582 | |||||||||
Percentage of outstanding shares | 8.77% | |||||||||
Percentage of outstanding remaining shares | 87.80% | |||||||||
Net assets amount | R$ 20 | |||||||||
Bellamar empreendimentos e participacoes ltda [member] | ||||||||||
CorporateInformationLineItems [Line Items] | ||||||||||
Description of agreement | o 50% of the shares of Bellamar Empreendimentos e Participações Ltda. (“Bellamar”), a holding company that holds an investment in 35.76% of the shares of Financeira Itaú CBD S.A. Credit, Financing and Investment, with a book value of R$195 million; and o the real estate assets, consisting of five parcels of real estate, with a book value of R$25 million, which may be developed as sites for new stores in the future. o As a result of this exchange, an effect of R$694 was recorded on the Company's shareholders' equity in retained earnings | |||||||||
Fair value of the retained interest | R$ 573 | |||||||||
Percentage of exchange of interest | 50.00% | |||||||||
Rio bravo investimentos distribuidora de titulos e valores imobiliarios Ltda [member] | ||||||||||
CorporateInformationLineItems [Line Items] | ||||||||||
Description of agreement | Group entered into an agreement to sell 6 properties (Pão de Açúcar stores) in the Sale and Leaseback transaction with Rio Bravo Investimentos Distribuidora de Titulos e Valores Imobiliários Ltda (Rio Bravo). for a total selling price of R$92, of which R$91 was paid upon signing the commitment. In 2020, the Group concluded the sale of 5 of the 6 stores. The parties entered into lease agreements for the 5 properties, with a term of 10 years, renewable for the same period, ensuring the continuity of GPA operations in properties with sustainable financial conditions. | |||||||||
Amount of property sold | R$ 255 | |||||||||
Amount of property plant received | R$ 235 | |||||||||
Agreement term | 15 years | 10 years | ||||||||
Number of property sold | Number | 4 | 5 | ||||||||
Number of stores | Number | 4 | |||||||||
BRL trust distribuidora de titulos e valores mobiliarios s.a. [member] | ||||||||||
CorporateInformationLineItems [Line Items] | ||||||||||
Amount of property sold | R$ 1246 | |||||||||
Number of property sold | Number | 43 | 11 | 16 | 7 | 5 |
4. Adoption of new standards,_3
4. Adoption of new standards, amendments to and interpretations of existing standards issued by the IASB (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Changes in IFRS 3 definition of business [member] | |
AdoptionOfNewStandardsAmendmentsToAndInterpretationsLineItems [Line Items] | |
Description | Describe that to be considered a business an integrated set activities and assets must include, at least, input of resources and a substantive process, that together contribute significantly to the capacity to generate output of resources. |
Impact | These changes did not have any impact in the consolidated financial statements. |
Revision of the conceptual framework [member] | |
AdoptionOfNewStandardsAmendmentsToAndInterpretationsLineItems [Line Items] | |
Description | Concepts and guidelines on presentation and disclosure, measurement basis, financial report objectives and useful information. |
Impact | These changes did not have any impact in the consolidated financial statements. |
Changes in IFRS 9 reform of the reference interest rate [member] | |
AdoptionOfNewStandardsAmendmentsToAndInterpretationsLineItems [Line Items] | |
Description | The amendments to standard IFRS 9 provide exemptions that apply to all hedge relationships directly affected by the reference interest rate reform. A relationship of hedge is directly affected if the reform raises uncertainties about the period, or the value, of cash flows based on the reference interest rate of the hedge item or hedging instrument. |
Impact | These changes did not have any impact in the consolidated financial statements. |
Amendments to IAS 1 and IAS 8 - definition of materiality [member] | |
AdoptionOfNewStandardsAmendmentsToAndInterpretationsLineItems [Line Items] | |
Description | In October 2018, the IASB issued amendments to IAS 1 Presentation of Financial Statements and IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors to align the definition of ‘material’ across the standards and to clarify certain aspects of the definition. The new definition states that, ’Information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements, which provide financial information about a specific reporting entity |
Impact | These changes did not have any impact in the consolidated financial statements. |
Changes in IFRS 16 benefits provided to lessees in connection with the COVID-19 pandemic [member] | |
AdoptionOfNewStandardsAmendmentsToAndInterpretationsLineItems [Line Items] | |
Description | Amendments related to concession to tenants, in the application of the guidelines of IFRS 16, on the modification of the lease, when accounting for related benefits as a direct consequence of the Covid-19 pandemic. |
Impact | These changes did not have any impact in the consolidated financial statements. |
4. Adoption of new standards,_4
4. Adoption of new standards, amendments to and interpretations of existing standards issued by the IASB (Details 1) - Amendments to IAS 1: classification of liabilities as current or non-current [member] | 12 Months Ended |
Dec. 31, 2020 | |
AdoptionOfNewStandardsAmendmentsToAndInterpretationsLineItems [Line Items] | |
Description | In January 2020, the IASB issued amendments to paragraphs 69 to 76 of IAS 1, in order to specify the requirements for classifying the liability as current or non-current. The amendments clarify: • Which means a right to postpone liquidation; • That the right to postpone must exist on the base date of the report; • That this classification is not affected by the likelihood that an entity will exercise its right to postpone • That only if a derivative embedded in a convertible liability is itself an equity instrument would the terms of a liability not affect its classification The amendments effective for annual reporting periods beginning on or after January 1, 2023 and must be applied retrospectively. The Company is currently assessing the impact that the amendments will have on current practice and whether existing loan agreements may require renegotiation. |
Applicable to annual periods starting in or after | Jan. 1, 2023 |
4. Adoption of new standards,_5
4. Adoption of new standards, amendments to and interpretations of existing standards issued by the IASB (Details Narrative) - Amendments to IAS 1: classification of liabilities as current or non-current [member] R$ in Millions | Dec. 31, 2020BRL (R$) |
Continuing operations [member] | |
AdoptionOfNewStandardsAmendmentsToAndInterpretationsLineItems [Line Items] | |
Total liabilities | R$ 13 |
Discontinued operations [member] | |
AdoptionOfNewStandardsAmendmentsToAndInterpretationsLineItems [Line Items] | |
Total liabilities | R$ 8 |
6. Cash and cash equivalents (D
6. Cash and cash equivalents (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
CashAndCashEquivalentLineItems [Line Items] | |||
Cash and cash equivalents | R$ 8711 | R$ 7954 | |
Cash and banks - brazil [member] | |||
CashAndCashEquivalentLineItems [Line Items] | |||
Cash and cash equivalents | 131 | 249 | |
Cash and banks - abroad [member] | |||
CashAndCashEquivalentLineItems [Line Items] | |||
Cash and cash equivalents | [1] | 3,637 | 3,109 |
Short-term investments - brazil [member] | |||
CashAndCashEquivalentLineItems [Line Items] | |||
Cash and cash equivalents | [2] | 4,784 | 4,471 |
Short-term investments - abroad [member] | |||
CashAndCashEquivalentLineItems [Line Items] | |||
Cash and cash equivalents | [3] | R$ 159 | R$ 125 |
[1] | As of December 31, 2020, refers to (i) funds from the Exito Group, of which R$100 are denominated in Argentina pesos, R$382 are denominated in Uruguayan pesos and R$3,028 in Colombian pesos (R$73 in Argentine pesos, R$254 in Uruguayan pesos and R$2,698 in Colombian pesos on December 31, 2019) (ii) including R$127 deposited in the United States of America in US Dollars (R$ 84 on December 31, 2019) | ||
[2] | Refers substantially to highly liquid investments bearing interest at a weighted average rate of 96.93% (89.94% on December 31, 2019) of the Brazilian Interbank Deposit Certificate ("CDI"), maturing in 90 days or less and which are subject to an insignificant change in value. | ||
[3] | Refers to funds invested abroad, of which R$$2 are denominated in in Argentinian pesos, R$1 are denominated in Uruguayan pesos and R$146 are denominated in Colombia pesos (R$20 in Argentina, R$4 in Uruguay and R$101 in Colombia on December 31, 2019), maturing in 90 days or less and which are subject to an insignificant change in value. |
6. Cash and cash equivalents _2
6. Cash and cash equivalents (Details Narrative) - Exito [member] - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Argentina | ||
CashAndCashEquivalentLineItems [Line Items] | ||
Acquisition consideration | R$ 100 | R$ 73 |
Funds invested abroad | 12 | 20 |
URUGUAY | ||
CashAndCashEquivalentLineItems [Line Items] | ||
Acquisition consideration | 382 | 254 |
Funds invested abroad | 1 | 4 |
Colombia | ||
CashAndCashEquivalentLineItems [Line Items] | ||
Acquisition consideration | 3,028 | 2,698 |
Funds invested abroad | 146 | 101 |
UNITED STATES | ||
CashAndCashEquivalentLineItems [Line Items] | ||
Deposited | R$ 127 | R$ 84 |
Short-term investments [member] | Brazilian interbank deposit certificate ("CDI") [member] | ||
CashAndCashEquivalentLineItems [Line Items] | ||
Weighted average interest rate | 96.93% | 89.94% |
7. Trade receivables (Details)
7. Trade receivables (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
TradeReceivablesLineItems [Line Items] | ||
Trade receivables, net | R$ 691 | R$ 728 |
Trade receivables, current | 686 | 727 |
Trade receivables, noncurrent | 5 | 1 |
Receivables from related parties [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade receivables, net | 13 | 12 |
Receivables from suppliers [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade receivables, net | 71 | 166 |
Private label credit card [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade receivables, net | 71 | 70 |
Sales vouchers and trade receivables [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade receivables, net | 488 | 446 |
Credit card companies [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade receivables, net | 76 | 42 |
Credit card companies - related parties [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade receivables, net | 15 | 24 |
Allowance for doubtful accounts [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade receivables, net | R$ 43 | R$ 32 |
7. Trade receivables (Details 1
7. Trade receivables (Details 1) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Trade Receivables | |||
At the beginning of the year | R$ 32 | R$ 5 | R$ 6 |
Allowance booked for the year | (86) | (263) | (630) |
Write-offs of receivables | 78 | 282 | 771 |
Deconsolidation Sendas | 4 | (19) | |
Assets held for sale and discontinued operations | 1 | (140) | |
Business combination | (28) | ||
Foreign currency translation adjustment | (7) | ||
At the end of the year | R$ 43 | R$ 32 | R$ 5 |
7. Trade receivables (Details 2
7. Trade receivables (Details 2) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
TradeReceivablesLineItems [Line Items] | ||
Trade account receivables gross | R$ 734 | R$ 760 |
Not yet due [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade account receivables gross | 574 | 609 |
Overdue receivables less than 30 days [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade account receivables gross | 80 | 79 |
Overdue receivables 30 To 60 days [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade account receivables gross | 67 | 21 |
Overdue receivables 61 to 90 days [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade account receivables gross | 8 | 5 |
Overdue receivables more than 90 days [member] | ||
TradeReceivablesLineItems [Line Items] | ||
Trade account receivables gross | R$ 5 | R$ 46 |
8. Other receivables (Details)
8. Other receivables (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
OtherReceivablesLineItems [Line Items] | |||
Other receivables | R$ 1036 | R$ 573 | |
Other receivables, current | 365 | 381 | |
Other receivables, noncurrent | 671 | 192 | |
Accounts Receivable - Via Varejo [member] | |||
OtherReceivablesLineItems [Line Items] | |||
Other receivables | [1] | 266 | 49 |
Receivable From Sale Of Subsidiaries [member] | |||
OtherReceivablesLineItems [Line Items] | |||
Other receivables | 78 | 83 | |
Allowance For Doubtful Accounts on Other Receivables [member] | |||
OtherReceivablesLineItems [Line Items] | |||
Other receivables | (11) | (15) | |
Receivables From Sale Of Real Estate Properties [member] | |||
OtherReceivablesLineItems [Line Items] | |||
Other receivables | [2] | 291 | 128 |
Accounts Receivable From Insurers [member] | |||
OtherReceivablesLineItems [Line Items] | |||
Other receivables | [3] | 14 | 72 |
Other [member] | |||
OtherReceivablesLineItems [Line Items] | |||
Other receivables | 190 | 143 | |
Lease Receivables [member] | |||
OtherReceivablesLineItems [Line Items] | |||
Other receivables | R$ 208 | R$ 113 | |
[1] | As the Company sold the equity interest in Via Varejo, the amount that had been reported as related parties was reclassified to other receivables. The amount of R$266 includes R$231 corresponding to GPA's right to receive from Via Varejo the reimbursement of the deduction of ICMS from the calculation basis PIS and COFINS of its former subsidiary Globex, after the unappeasable court decision, related to the period from 2007 to 2010 (note 22.7) | ||
[2] | Amount comprised mainly of a land purchase and sale agreement on September 29, 2018 for the amount of R$200, the sale of which was not recognized under IFRS 15 due to the contractual characteristics of long-term payment and transfer of legal title at a future date to be defined by the buyer. In 2020, the Company transferred the deed (legal title), at the buyer's request, in accordance with the contract, of all land registrations and recognized a gain of R$174 (see note 27) in the result line with fixed assets. The transaction resulted in the recognition of an amount receivable of R$200, maturing in September 2023, for which the Company obtained bank guarantee as a guarantee of receipt. | ||
[3] | In October 2019, the Company received R$203 from the insurance company regarding the claim related to the fire that occurred at the Distribution Center in Osasco on December 27, 2017, after negotiations and agreement on the final amount of the indemnity. |
8. Other receivables (Details 1
8. Other receivables (Details 1) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other Receivables | |||
At the beginning of the year | R$ 15 | R$ 16 | R$ 12 |
Allowance booked for the year | (4) | ||
Write-off of other receivables | 2 | 5 | 13 |
Deconsolidation Sendas | 2 | (4) | |
Assets held for sale and discontinued operations | (13) | ||
At the end of the year | R$ 11 | R$ 15 | R$ 16 |
8. Other receivables (Details N
8. Other receivables (Details Narrative) R$ in Millions | Oct. 30, 2019BRL (R$) | Sep. 29, 2018BRL (R$) | Jan. 31, 2016BRL (R$)Number | May 28, 2012BRL (R$)Number | Dec. 31, 2020BRL (R$) |
OtherReceivablesLineItems [Line Items] | |||||
Receivables from the sale of subsidiaries | R$ 8 | R$ 50 | |||
Percentage of receivable | 110.00% | 110.00% | |||
Number of installments | Number | 120 | 240 | |||
Amount comprised of land purchase and sale agreement | R$ 200 | ||||
Recognized gain as result line with fixed assets | R$ 174 | ||||
Recognition of amount receivable | 200 | ||||
Number of gas stations | Number | 5 | ||||
Via Varejo S.A. ("VV'') [member] | |||||
OtherReceivablesLineItems [Line Items] | |||||
Amount of GPA's right received | R$ 231 | ||||
Insurance Company [member] | |||||
OtherReceivablesLineItems [Line Items] | |||||
Claim recivable | R$ 203 |
9. Inventories (Details)
9. Inventories (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
InventoriesLineItems [Line Items] | ||
Inventories, net | R$ 6536 | R$ 8631 |
Exito Group [member] | ||
InventoriesLineItems [Line Items] | ||
Inventories, net | 2,879 | 2,254 |
Real Estate Inventories [member] | Exito Group [member] | ||
InventoriesLineItems [Line Items] | ||
Inventories, net | 142 | 191 |
Distribution Centers [member] | ||
InventoriesLineItems [Line Items] | ||
Inventories, net | 1,134 | 1,583 |
Stores [member] | ||
InventoriesLineItems [Line Items] | ||
Inventories, net | 2,453 | 4,698 |
Allowance for losses on inventory obsolescence and damages [member] | ||
InventoriesLineItems [Line Items] | ||
Inventories, net | R$ 72 | R$ 95 |
9. Inventories (Details 1)
9. Inventories (Details 1) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Inventories Abstract | |||
At the beginning of the year | R$ 95 | R$ 65 | R$ 73 |
Additions | (40) | (51) | (79) |
Business combination | (22) | ||
Write-offs / reversal | 16 | 35 | 85 |
Foreign currency translation adjustment | (4) | ||
Deconsolidation of Sendas | 51 | 8 | |
Assets held for sale and discontinued operations | 2 | ||
At the end of the year | R$ 72 | R$ 95 | R$ 65 |
9. Inventories (Details Narrati
9. Inventories (Details Narrative) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
InventoriesLineItems [Line Items] | ||
Inventories, net | R$ 6536 | R$ 8631 |
Unrealized Commercial Agreements [Member] | ||
InventoriesLineItems [Line Items] | ||
Inventories, net | R$ 62 | R$ 310 |
10. Recoverable taxes (Details)
10. Recoverable taxes (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
RecoverableTaxesLineItems [Line Items] | |||
Recoverable taxes | R$ 4299 | R$ 4394 | |
Recoverable taxes, current | 1,199 | 1,692 | |
Recoverable taxes, non-current | 3,100 | 2,702 | |
Other recoverable taxes - Exito Group [member] | |||
RecoverableTaxesLineItems [Line Items] | |||
Recoverable taxes | 130 | 77 | |
Social Security Contribution - INSS [member] | |||
RecoverableTaxesLineItems [Line Items] | |||
Recoverable taxes | 299 | 321 | |
Other [member] | |||
RecoverableTaxesLineItems [Line Items] | |||
Recoverable taxes | 47 | 49 | |
State VAT tax credits - ICMS [member] | |||
RecoverableTaxesLineItems [Line Items] | |||
Recoverable taxes | 1,435 | 2,621 | |
Social Integration Program/ Contribution for Social Security Financing - PIS/COFINS [member] | |||
RecoverableTaxesLineItems [Line Items] | |||
Recoverable taxes | 1,926 | 854 | |
Income tax and social contribution prepayments [member] | |||
RecoverableTaxesLineItems [Line Items] | |||
Recoverable taxes | [1] | R$ 462 | R$ 472 |
[1] | Includes Exito's amount of R$440 (R$340 on December31, 2019). |
10. Recoverable taxes (Details
10. Recoverable taxes (Details 1) R$ in Millions | Dec. 31, 2020BRL (R$) |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | R$ 1435 |
PIS and COFINS [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 1,926 |
Up to one year [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 261 |
Up to one year [member] | PIS and COFINS [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 285 |
From 1 To 2 Years [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 175 |
From 1 To 2 Years [member] | PIS and COFINS [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 297 |
From 2 To 3 Years [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 173 |
From 2 To 3 Years [member] | PIS and COFINS [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 300 |
From 3 To 4 Years [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 157 |
From 3 To 4 Years [member] | PIS and COFINS [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 310 |
From 4 To 5 Years [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 153 |
From 4 To 5 Years [member] | PIS and COFINS [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 317 |
After 5 Years [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | 516 |
After 5 Years [member] | PIS and COFINS [member] | |
RecoverableTaxesLineItems [Line Items] | |
Future realization of recoverable taxes | R$ 417 |
10. Recoverable taxes (Detail_2
10. Recoverable taxes (Details Narrative) - BRL (R$) R$ in Millions | Oct. 29, 2020 | Dec. 31, 2020 | Dec. 31, 2019 |
RecoverableTaxesLineItems [Line Items] | |||
Tax credit amount | R$ 1609 | ||
Amount included in tax credit from financial result | R$ 613 | ||
Estimate certain administrative proceedings period | 5 years | ||
Amount involved in consolidated | R$ 158 | R$ 154 | |
PIS and COFINS [member] | |||
RecoverableTaxesLineItems [Line Items] | |||
Write off amount | R$ 168 |
11. Related parties (Details)
11. Related parties (Details) - BRL (R$) R$ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Disclosure of transactions between related parties [line items] | ||||
Base salary | R$ 104915 | R$ 71580 | R$ 55179 | |
Variable compensation | 11,175 | 12,943 | 15,083 | |
Stock option plan | 14,962 | 17,962 | 29,267 | |
Total compensation | R$ 131052 | R$ 102485 | R$ 99529 | |
Percent share-based payment over the total compensation | 11.40% | 17.50% | 9.40% | |
Fiscal Council [member] | ||||
Disclosure of transactions between related parties [line items] | ||||
Base salary | R$ 331 | R$ 228 | ||
Variable compensation | ||||
Stock option plan | ||||
Total compensation | 331 | 228 | ||
Board Of Directors [member] | ||||
Disclosure of transactions between related parties [line items] | ||||
Base salary | [1] | 67,716 | 38,207 | 12,256 |
Variable compensation | [1] | |||
Stock option plan | [1] | 4,056 | 2,366 | |
Total compensation | [1] | 71,772 | 40,573 | 12,256 |
Executive Officers [member] | ||||
Disclosure of transactions between related parties [line items] | ||||
Base salary | 36,868 | 33,373 | 42,695 | |
Variable compensation | 11,175 | 12,943 | 15,083 | |
Stock option plan | 10,906 | 15,596 | 29,267 | |
Total compensation | R$ 58949 | R$ 61912 | R$ 87045 | |
[1] | Includes the compensation of the Board of Directors' advisory committees (Human Resources and Compensation, Audit, Finance, Sustainable Development and Corporate Governance). |
11. Related parties (Details 1)
11. Related parties (Details 1) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of transactions between related parties [line items] | |||
Trade receivables | R$ 28 | R$ 36 | |
Other assets | 154 | 104 | |
Trade payables | 12 | 40 | |
Other liabilities | 362 | 215 | |
Revenues (expenses) | (243) | (12) | R$ 40 |
Casino Group [member] | Other Related Parties [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | 13 | 12 | |
Other assets | 12 | 8 | |
Trade payables | 1 | ||
Other liabilities | 19 | 13 | |
Revenues (expenses) | (30) | (4) | (39) |
Other [member] | Other Related Parties [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | |||
Other assets | 1 | 1 | |
Trade payables | |||
Other liabilities | |||
Revenues (expenses) | |||
Tuya [member] | Associates [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | |||
Other assets | 31 | 26 | |
Trade payables | |||
Other liabilities | 1 | ||
Revenues (expenses) | 24 | 21 | |
Casino [member] | Controlling Shareholders [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | |||
Other assets | 5 | ||
Trade payables | |||
Other liabilities | 24 | ||
Revenues (expenses) | (91) | (57) | (64) |
Fonciere Euris [member] | Controlling Shareholders [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | |||
Other assets | |||
Trade payables | |||
Other liabilities | 1 | ||
Revenues (expenses) | (3) | (1) | (2) |
Helicco Participacoes [member] | Controlling Shareholders [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | |||
Other assets | |||
Trade payables | |||
Other liabilities | |||
Revenues (expenses) | (3) | (7) | |
Geant International [member] | Controlling Shareholders [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | |||
Other assets | |||
Trade payables | |||
Other liabilities | |||
Revenues (expenses) | (3) | ||
FIC [member] | Associates [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | 15 | 24 | |
Other assets | 31 | 36 | |
Trade payables | 12 | 39 | |
Other liabilities | |||
Revenues (expenses) | 55 | 83 | 152 |
Puntos Colombia [member] | Associates [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | |||
Other assets | 37 | 28 | |
Trade payables | |||
Other liabilities | 54 | 43 | |
Revenues (expenses) | (114) | (13) | |
Greenyellow [member] | Other Related Parties [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | |||
Other assets | |||
Trade payables | |||
Other liabilities | 119 | 134 | |
Revenues (expenses) | (84) | R$ 35 | |
Sendas Distribuidora [Member] | Other Related Parties [member] | |||
Disclosure of transactions between related parties [line items] | |||
Trade receivables | |||
Other assets | 42 | ||
Trade payables | |||
Other liabilities | 169 | ||
Revenues (expenses) |
12. Investments (Details)
12. Investments (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | ||
Supermercados Disco del Uruguay S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | [1] | Supermercados Disco del Uruguay S.A. | |
Location (state) | [1] | Uruguay | |
Direct and indirect equity interest - % | [1] | 60.35% | 60.35% |
Novasoc Comercial Ltda. ("Novasoc") [member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | Novasoc Comercial Ltda. (“Novasoc”) | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
Sendas Distribuidora S.A. ("Sendas") [member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | Sendas Distribuidora S.A. (“Sendas”) | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 100.00% | ||
CBD Holland B.V. ("CBD Holland") [member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | CBD Holland B.V. (“CBD Holland”) | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
GPA 2 Empreend. e Participacoes Ltda. ("GPA 2") [member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | GPA 2 Empreend. e Participações Ltda. (“GPA 2”) | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
GPA Logistica e Transporte Ltda. ("GPA Logistica") [member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | GPA Logística e Transporte Ltda. (“GPA Logística”) | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
SCB Distribuicao e Comercio Varejista De Alimentos Ltda. ("Compre Bem") [member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | SCB Distribuição e Comércio Varejista de Alimentos Ltda. ("Compre Bem'') | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
Stix Fidelidade e Inteligencia S.A. ("Stix") [Member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | [2] | Stix Fidelidade e Inteligência S.A. ("Stix")(*) | |
Location (state) | [2] | Brazil | |
Direct and indirect equity interest - % | [2] | 66.67% | 100.00% |
James Intermediacao S.A. ("James Delivery") [member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | James Intermediação S.A. ("James Delivery") | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
Cheftime Comercio De Refeicoes S/A ("Cheftime") [Member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | Cheftime Comércio de Refeições S/A ("Cheftime") | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 79.57% | 79.57% | |
GPA Malls And Properties Gestao De Ativos e Servicos Imobiliarios Ltda. ("GPA M&P") [Member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | GPA Malls & Properties Gestão de Ativos e Serviços Imobiliários Ltda. (“GPA M&P”) | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
BCafeterias e Lanchonetes Ltda. ("BCafeterias") [Member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | [2] | BCafeterias e Lanchonetes Ltda. ("BCafeterias") | |
Location (state) | [2] | Brazil | |
Direct and indirect equity interest - % | [2] | 100.00% | 100.00% |
Fronteira Servicos Lmobiliarios Ltda.("Fronteira") [Member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | Fronteira Serviços Imobiliários Ltda.("Fronteira") | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
Place2B Servicos Lmobiliarios Ltda.("Place2B") [Member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | Place2B Serviços Imobiliários Ltda.("Place2B") | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
Companhia Brasileira De Distribuicao Luxembourg Holding S.a.r.l. ("CBDLuxco") [Member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | Companhia Brasileira de Distribuição Luxembourg Holding S.à.r.l. ("CBDLuxco”) | ||
Location (state) | Luxembourg | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
Companhia Brasileira de Distribuicao Netherlands Holding B.V. ("CBDDutchco") [Member] | CBD [member] | |||
Disclosure of associates [line items] | |||
Company type | Companhia Brasileira de Distribuição Netherlands Holding B.V. (“CBDDutchco”) | ||
Location (state) | Netherlands | ||
Direct and indirect equity interest - % | 100.00% | 100.00% | |
Almacenes Exito S.A. ("Exito") [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Almacenes Éxito S.A. ("Éxito") | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Exito Industrias S.A.S. ("Exito Industrias") [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Éxito Industrias S.A.S. ("Éxito Industrias") | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 94.59% | 94.59% | |
Fideicomiso Lote Girardot [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Fideicomiso Lote Girardot | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Exito Viajes y Turismo S.A.S. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Éxito Viajes y Turismo S.A.S. | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 49.25% | 49.25% | |
Almacenes Exito Inversiones S.A.S. (Movil Exito) [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Almacenes Éxito Inversiones S.A.S. (Móvil Éxito) | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Transacciones Energeticas S.A.S [member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Transacciones Energéticas S.A.S | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 96.57% | 95.57% | |
Marketplace Internacional Exito y Servicios S.A.S. (MPI) [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Marketplace Internacional Éxito y Servicios S.A.S. (MPI) | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Logistica, Transporte y Servicios Asociados S.A.S. (LTSA) [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Logística, Transporte y Servicios Asociados S.A.S. (LTSA) | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Depositos y Soluciones Logisticas S.A.S. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Depósitos y Soluciones Logísticas S.A.S. | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Patrimonio Autonomo Iwana [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Patrimonio Autónomo Iwana | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 49.25% | 49.25% | |
Patrimonio Autonomo Viva Malls [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Patrimonio Autónomo Viva Malls | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 49.25% | 49.25% | |
Patrimonio Autonomo Viva Sincelejo [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Patrimonio Autónomo Viva Sincelejo | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 25.12% | 25.12% | |
Patrimonio Autonomo Viva Villavicencio [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Patrimonio Autónomo Viva Villavicencio | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 25.12% | 25.12% | |
Patrimonio Autonomo San Pedro Etapa I [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Patrimonio Autónomo San Pedro Etapa I | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 25.12% | 25.12% | |
Patrimonio Autonomo Centro Comercial [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Patrimonio Autónomo Centro Comercial | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 25.12% | 25.12% | |
Patrimonio Autonomo Viva Laureles [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Patrimonio Autónomo Viva Laureles | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 39.40% | 39.40% | |
Patrimonio Autonomo Viva Palmas [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Patrimonio Autónomo Viva Palmas | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 25.12% | 25.12% | |
Patrimonio Autonomo Centro Comercial Viva [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Patrimonio Autónomo Centro Comercial Viva | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 44.33% | 44.33% | |
Spice Investment Mercosur [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Spice investment Mercosur | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Larenco S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Larenco S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Geant Inversiones S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Geant Inversiones S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Lanin S.A.. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Lanin S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
5 Hermanos Ltda. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | 5 Hermanos Ltda. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Sumelar S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Sumelar S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Raxwy Company S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | [3] | Raxwy Company S.A. | |
Location (state) | [3] | Uruguay | |
Direct and indirect equity interest - % | [3] | 96.57% | |
Maostar S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Maostar S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 30.18% | 30.18% | |
Ameluz S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Ameluz S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 60.35% | 60.35% | |
Fandale S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Fandale S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 60.35% | 60.35% | |
Odaler S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Odaler S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 60.35% | 60.35% | |
La Cabana S.R.L. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | La Cabaña S.R.L. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 60.35% | 60.35% | |
Ludi S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Ludi S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 60.35% | 60.35% | |
Semin S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Semin S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 60.35% | 60.35% | |
Randicor S.A [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Randicor S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 60.35% | 60.35% | |
Setara S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Setara S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 60.35% | 60.35% | |
Hiper Ahorro S.R.L [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Hiper Ahorro S.R.L. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 60.35% | 60.35% | |
Ciudad Del Ferrol S.C. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Ciudad del Ferrol S.C. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 59.14% | 59.14% | |
Mablicor S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Mablicor S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 30.78% | 30.78% | |
Tipsel S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Tipsel S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Tedocan S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Tedocan S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Via Artika S. A.[Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Vía Artika S. A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Group Disco Del Uruguay S.A..[Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Group Disco del Uruguay S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 60.35% | 60.35% | |
Devoto Hermanos S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Devoto Hermanos S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Mercados Devoto S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Mercados Devoto S.A. | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Libertad S.A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Libertad S.A. | ||
Location (state) | Argentina | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Onper Investment 2015 S.L [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Onper Investment 2015 S.L | ||
Location (state) | Spain | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Spice Espana de Valores Americanos S.L. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Spice España de Valores Americanos S.L. | ||
Location (state) | Spain | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Marketplace Internacional Exito S.L [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Marketplace Internacional Éxito S.L | ||
Location (state) | Spain | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
Gelase S. A. [Member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Gelase S. A. | ||
Location (state) | Belgium | ||
Direct and indirect equity interest - % | 96.57% | 96.57% | |
[1] | Supermercados Disco del Uruguay S.A. is controlled through a Shareholders Agreement signed in April 2015, giving Exito the 75% voting necessary. This agreement will expire in June 30th, 2021 and is currently under discussion. | ||
[2] | In 2020 the interest held in the company Stix Fidelidade was changed to 66.67%. | ||
[3] | On July 31, 2020 the company Raxwy Company was liquidated. |
12. Investments (Details 1)
12. Investments (Details 1) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | ||
Cnova N.V. ("Cnova Holanda") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cnova N.V. (“Cnova Holanda”) | ||
Location (state) | Netherlands | ||
Direct and indirect equity interest - % | 33.98% | 33.98% | |
Cnova N.V. ("Cnova Holanda") [member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Cnova N.V (“Cnova Holanda”) | ||
Location (state) | Netherlands | ||
Direct and indirect equity interest - % | 0.18% | 0.18% | |
Cdiscount Afrique SAS ("Cdiscount Afrique") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cdiscount Afrique SAS (“Cdiscount Afrique”) | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 33.98% | 33.98% | |
Cdiscount International BV ("Cdiscount Internacional") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cdiscount International BV (“Cdiscount Internacional”) | ||
Location (state) | Netherlands | ||
Direct and indirect equity interest - % | 33.98% | 33.98% | |
Cnova France SAS ("Cnova France") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cnova France SAS (“Cnova France”) | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 33.98% | 33.98% | |
Cdiscount S.A. ("Cdiscount") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cdiscount S.A. (“Cdiscount”) | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 33.87% | 33.87% | |
Cdiscount Cote d'Ivoire SAS Ivory Coast ("Cdiscount Cote") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cdiscount Côte d'Ivoire SAS Ivory Coast (“Cdiscount Côte”) | ||
Location (state) | Ivory Coast | ||
Direct and indirect equity interest - % | 33.98% | 33.98% | |
Cdiscount Senegal SAS ("Cdiscount Senegal") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cdiscount Sénégal SAS (“Cdiscount Sénégal”) | ||
Location (state) | Senegal | ||
Direct and indirect equity interest - % | 33.98% | 33.98% | |
Cdiscount Cameroun SAS ("Cdiscount Cameroun") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cdiscount Cameroun SAS (“Cdiscount Cameroun”) | ||
Location (state) | Cameroon | ||
Direct and indirect equity interest - % | 33.98% | 33.98% | |
CLatam AS Uruguay ("CLatam") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | CLatam AS Uruguay (“CLatam”) | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 23.79% | 23.79% | |
Cdiscount Panama S.A. ("Cdiscount Panama") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cdiscount Panama S.A. (“Cdiscount Panama”) | ||
Location (state) | Panama | ||
Direct and indirect equity interest - % | 23.79% | 23.79% | |
Cdiscount Uruguay S.A. ("Cdiscount Uruguay") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cdiscount Uruguay S.A. (“Cdiscount Uruguay”) | ||
Location (state) | Uruguay | ||
Direct and indirect equity interest - % | 23.79% | 23.79% | |
Ecdiscoc Comercializadora S.A.(Cdiscount Ecuador) ("Ecdiscoc Comercializadora") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Ecdiscoc Comercializadora S.A. (Cdiscount Ecuador) (“Ecdiscoc Comercializadora”) | ||
Location (state) | Ecuador | ||
Direct and indirect equity interest - % | 23.78% | 23.78% | |
Cnova Pay [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Cnova Pay | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 33.98% | 33.98% | |
BeezUP SAS ("BezzUp") [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | BeezUP SAS ("BezzUp") | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 33.98% | 33.98% | |
CARYA [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | CARYA | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 33.87% | 33.87% | |
HALTAE [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | HALTAE | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 33.87% | 33.87% | |
C-Logistics [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | C-Logistics | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 28.56% | 28.56% | |
NEOSYS [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | NEOSYS | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 17.33% | 17.33% | |
Neotech Solutions [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Neotech Solutions | ||
Location (state) | Morocco | ||
Direct and indirect equity interest - % | 17.33% | 17.33% | |
NEOSYS Tunisie [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | NEOSYS Tunisie | ||
Location (state) | Tunisia | ||
Direct and indirect equity interest - % | 17.33% | 17.33% | |
C Chez Vous [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | C Chez Vous | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 28.56% | 28.56% | |
Phoenix [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | Phoenix | ||
Location (state) | France | ||
Direct and indirect equity interest - % | 16.99% | 16.99% | |
Financeira Itau CBD S.A. Credito, Financiamento e Investimento ("FIC") [member] | FIC [member] | |||
Disclosure of associates [line items] | |||
Company type | Financeira Itaú CBD S.A. Crédito, Financiamento e Investimento (“FIC”) | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 17.88% | 35.76% | |
FIC Promotora de Vendas Ltda. ("FIC Promotora") [member] | FIC [member] | |||
Disclosure of associates [line items] | |||
Company type | FIC Promotora de Vendas Ltda. (“FIC Promotora”) | ||
Location (state) | Brazil | ||
Direct and indirect equity interest - % | 17.88% | 35.76% | |
Puntos Colombia S.A.S ("Puntos") [member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Puntos Colombia S.A.S ("Puntos") | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 48.29% | 48.29% | |
Compania de Financiamento Tuya S.A. ("Tuya") [member] | Exito [member] | |||
Disclosure of associates [line items] | |||
Company type | Compañia de Financiamento Tuya S.A. ("Tuya") | ||
Location (state) | Colombia | ||
Direct and indirect equity interest - % | 48.29% | 48.29% | |
C-Shield [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | [1] | C-Shield | |
Location (state) | [1] | France | |
Direct and indirect equity interest - % | [1] | 33.87% | |
C-Payment [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | [1] | C-Payment | |
Location (state) | [1] | France | |
Direct and indirect equity interest - % | [1] | 33.87% | |
MAAS [member] | Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Company type | [1] | MAAS | |
Location (state) | [1] | France | |
Direct and indirect equity interest - % | [1] | 33.87% | |
Bellamar Empreend. e Participacoes Ltda. ("Bellamar") [member] | FIC [member] | |||
Disclosure of associates [line items] | |||
Company type | [2] | Bellamar Empreend. e Participações Ltda. (“Bellamar”) | |
Location (state) | [2] | France | |
Direct and indirect equity interest - % | [2] | 50.00% | 100.00% |
[1] | In 2020 the interest of 33.87% in C-SHIELD, C-PAYMENT and MAAS was acquired by Cnova Group | ||
[2] | In 2020 the interest held in Bellamar changed to 50%, see note 1.1. |
12. Investments (Details 2)
12. Investments (Details 2) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of associates [line items] | |||
Current assets | R$ 17857 | R$ 19968 | R$ 40518 |
Non-current assets | 35,654 | 38,507 | 21,139 |
Total assets | 53,511 | 58,475 | |
Current liabilities | 18,699 | 23,135 | 37,256 |
Non-current liabilities | 18,005 | 21,792 | 11,242 |
Shareholders' equity | 16,807 | 13,548 | R$ 13159 |
Total liabilities and shareholders' equity | 53,511 | 58,475 | |
FIC [member] | |||
Disclosure of associates [line items] | |||
Current assets | 6,738 | 7,085 | |
Non-current assets | 52 | 51 | |
Total assets | 6,790 | 7,136 | |
Current liabilities | 5,611 | 6,185 | |
Non-current liabilities | 22 | 20 | |
Shareholders' equity | 1,157 | 931 | |
Total liabilities and shareholders' equity | 6,790 | 7,136 | |
Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Current assets | 4,224 | 3,271 | |
Non-current assets | 4,055 | 2,587 | |
Total assets | 8,279 | 5,858 | |
Current liabilities | 6,766 | 5,819 | |
Non-current liabilities | 2,806 | 867 | |
Shareholders' equity | (1,293) | (828) | |
Total liabilities and shareholders' equity | 8,279 | 5,858 | |
Tuya [member] | |||
Disclosure of associates [line items] | |||
Current assets | 4,728 | 3,943 | |
Non-current assets | 200 | 100 | |
Total assets | 4,928 | 4,043 | |
Current liabilities | 1,612 | 1,426 | |
Non-current liabilities | 2,578 | 2,146 | |
Shareholders' equity | 738 | 471 | |
Total liabilities and shareholders' equity | R$ 4928 | R$ 4043 |
12. Investments (Details 3)
12. Investments (Details 3) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of associates [line items] | |||
Revenues | R$ 51253 | R$ 28838 | R$ 26490 |
Operating income | (71) | (386) | (199) |
Net income for the year | 2,326 | 836 | 1,284 |
FIC [member] | |||
Disclosure of associates [line items] | |||
Revenues | 989 | 1,207 | 969 |
Operating income | 555 | 441 | 398 |
Net income for the year | 329 | 263 | 218 |
Cnova N.V. [member] | |||
Disclosure of associates [line items] | |||
Revenues | 13,117 | 9,689 | 9,370 |
Operating income | 207 | (24) | (73) |
Net income for the year | (138) | (288) | R$ 147 |
Tuya [member] | |||
Disclosure of associates [line items] | |||
Revenues | 615 | 698 | |
Operating income | 71 | 87 | |
Net income for the year | R$ 37 | R$ 14 |
12. Investments (Details 4)
12. Investments (Details 4) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of associates [line items] | |||
Investments, beginning | R$ 223 | R$ 76 | |
Share of profit (loss) of associates - continuing operation | 98 | 2 | R$ 28 |
Share of profit of associates - discontinued operation | 16 | ||
Dividends and interest on own capital - continuing operation | (37) | (20) | |
Dividends and interest on own capital - discontinued operation | (3) | ||
Share of other comprehensive income | (76) | 1 | |
Capital increase | 52 | ||
Deconsolidation | (370) | ||
Spin off - Sendas | 196 | ||
Fair value adjustment | 573 | ||
Investment acquisition | 316 | ||
Assets held for sale and discontinued operations | (13) | ||
Investments, ending | 659 | 223 | (76) |
FIC [member] | |||
Disclosure of associates [line items] | |||
Investments, beginning | 289 | 203 | |
Share of profit (loss) of associates - continuing operation | 118 | 106 | |
Share of profit of associates - discontinued operation | 12 | ||
Dividends and interest on own capital - continuing operation | (37) | (20) | |
Dividends and interest on own capital - discontinued operation | (3) | ||
Share of other comprehensive income | |||
Capital increase | |||
Deconsolidation | (370) | ||
Spin off - Sendas | |||
Fair value adjustment | |||
Investment acquisition | |||
Assets held for sale and discontinued operations | (9) | ||
Investments, ending | 289 | 203 | |
BINV [member] | |||
Disclosure of associates [line items] | |||
Investments, beginning | |||
Share of profit (loss) of associates - continuing operation | |||
Share of profit of associates - discontinued operation | 4 | ||
Dividends and interest on own capital - continuing operation | |||
Dividends and interest on own capital - discontinued operation | |||
Share of other comprehensive income | |||
Capital increase | |||
Deconsolidation | |||
Spin off - Sendas | |||
Fair value adjustment | |||
Investment acquisition | |||
Assets held for sale and discontinued operations | (4) | ||
Investments, ending | |||
Bellamar [member] | |||
Disclosure of associates [line items] | |||
Investments, beginning | |||
Share of profit (loss) of associates - continuing operation | |||
Share of profit of associates - discontinued operation | |||
Dividends and interest on own capital - continuing operation | |||
Dividends and interest on own capital - discontinued operation | |||
Share of other comprehensive income | |||
Capital increase | |||
Deconsolidation | |||
Spin off - Sendas | 196 | ||
Fair value adjustment | 573 | ||
Investment acquisition | |||
Assets held for sale and discontinued operations | |||
Investments, ending | 769 | ||
Tuya [member] | |||
Disclosure of associates [line items] | |||
Investments, beginning | 307 | ||
Share of profit (loss) of associates - continuing operation | 18 | (7) | |
Share of profit of associates - discontinued operation | |||
Dividends and interest on own capital - continuing operation | |||
Dividends and interest on own capital - discontinued operation | |||
Share of other comprehensive income | 79 | 9 | |
Capital increase | 52 | ||
Deconsolidation | |||
Spin off - Sendas | |||
Fair value adjustment | |||
Investment acquisition | 305 | ||
Assets held for sale and discontinued operations | |||
Investments, ending | 456 | 307 | |
Puntos Colombia [member] | |||
Disclosure of associates [line items] | |||
Investments, beginning | 2 | ||
Share of profit (loss) of associates - continuing operation | 9 | 2 | |
Share of profit of associates - discontinued operation | |||
Dividends and interest on own capital - continuing operation | |||
Dividends and interest on own capital - discontinued operation | |||
Share of other comprehensive income | 1 | ||
Capital increase | |||
Deconsolidation | |||
Spin off - Sendas | |||
Fair value adjustment | |||
Assets held for sale and discontinued operations | |||
Investments, ending | 12 | 2 | |
Other [member] | |||
Disclosure of associates [line items] | |||
Investments, beginning | (375) | (279) | |
Share of profit (loss) of associates - continuing operation | (47) | (99) | |
Share of profit of associates - discontinued operation | |||
Dividends and interest on own capital - continuing operation | |||
Dividends and interest on own capital - discontinued operation | |||
Share of other comprehensive income | (156) | (8) | |
Capital increase | |||
Deconsolidation | |||
Spin off - Sendas | |||
Fair value adjustment | |||
Investment acquisition | 11 | ||
Assets held for sale and discontinued operations | |||
Investments, ending | R$ 578 | R$ 375 | R$ 279 |
12. Investments (Details Narrat
12. Investments (Details Narrative) - BRL (R$) R$ / shares in Units, R$ in Millions | 1 Months Ended | 12 Months Ended | ||
Jun. 30, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of associates [line items] | ||||
Net of income tax | R$ 371 | R$ 249 | R$ 41 | |
Via Varejo S.A. ("VV'') [member] | ||||
Disclosure of associates [line items] | ||||
Gain from the sale | R$ 398 | |||
Net of income tax | R$ 199 | |||
Share price | R$ 4.9 | |||
Sale of subsidiary | R$ 2300 | |||
Corporate collaterals | Corporate collaterals granted by the Company to guarantee obligations in operational agreements under responsibility of Via Varejo, with maturities and performance terms to be met by that company over time, in the amount up to R$ 2 billion. | |||
FIC [member] | ||||
Disclosure of associates [line items] | ||||
Goodwill | 122 | |||
Tuya [member] | Almacenes Exito S.A. [member] | ||||
Disclosure of associates [line items] | ||||
Goodwill | 71 | |||
Cnova N.V. [member] | Almacenes Exito S.A. [member] | ||||
Disclosure of associates [line items] | ||||
Goodwill | R$ 11 |
13. Business Combinations (Deta
13. Business Combinations (Details) - Almacenes Exito S.A. [member] R$ in Millions | Dec. 31, 2019BRL (R$) |
Disclosure of detailed information about business combination [line items] | |
Total cash consideration transferred | R$ 9371 |
Cash flow hedges [member] | |
Disclosure of detailed information about business combination [line items] | |
Cash consideration | 9,268 |
Cash flow hedge effect | 145 |
Consideration transferred, gross | 9,413 |
Dividends related to 2018 | (42) |
Total cash consideration transferred | R$ 9371 |
13. Business Combinations (De_2
13. Business Combinations (Details 1) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Assets: | |||
Cash and cash equivalents | R$ 8711 | R$ 7954 | |
Trade receivables, net | 686 | 727 | |
Inventories, net | 6,536 | 8,631 | |
Recoverable taxes | 1,199 | 1,692 | |
Other current assets | 251 | 287 | |
Deferred income tax and social contribution | 337 | ||
Related parties | 154 | 104 | |
Other non-current assets | 208 | 177 | |
Investments in associates | 1,250 | 609 | |
Investment properties | 3,639 | 3,051 | R$ 20 |
Property and equipment, net | 19,888 | 24,290 | 14,052 |
Intangible assets, net | 6,164 | 6,236 | 2,818 |
Total assets | 53,511 | 58,475 | |
Liabilities: | |||
Payroll and related taxes | 897 | 980 | |
Trade payables, net | 11,424 | 14,887 | |
Taxes and contributions payables | 585 | 531 | |
Borrowings and financing | 2,309 | 3,488 | |
Other current liabilities | 677 | 703 | |
Non-current borrowings and financing | 6,842 | 10,706 | |
Deferred income tax and social contribution | 1,034 | 1,195 | |
Provisions for contingencies | 1,385 | 1,305 | 1,235 |
Non-current lease liabilities | 7,427 | 7,730 | |
Other non-current liabilities | 291 | 68 | |
(-) Attributed to non-controlling shareholders | 3,112 | 2,608 | |
Net assets | R$ 16807 | 13,548 | R$ 13159 |
Almacenes Exito S.A. [member] | |||
Assets: | |||
Cash and cash equivalents | 6,062 | ||
Trade receivables, net | 416 | ||
Inventories, net | 2,765 | ||
Recoverable taxes | 477 | ||
Other current assets | 349 | ||
Deferred income tax and social contribution | 1,353 | ||
Related parties | 137 | ||
Other non-current assets | 111 | ||
Investments in associates | 316 | ||
Investment properties | 2,972 | ||
Property and equipment, net | 8,496 | ||
Intangible assets, net | 3,009 | ||
Total assets | 26,463 | ||
Liabilities: | |||
Payroll and related taxes | 283 | ||
Trade payables, net | 4,545 | ||
Taxes and contributions payables | 219 | ||
Borrowings and financing | 2,546 | ||
Lease liabilities | 277 | ||
Other current liabilities | 998 | ||
Non-current borrowings and financing | 2,060 | ||
Deferred income tax and social contribution | 2,100 | ||
Provisions for contingencies | 103 | ||
Non-current lease liabilities | 1,540 | ||
Other non-current liabilities | 28 | ||
Total liabilities | 14,699 | ||
Net assets | 11,764 | ||
(-) Attributed to non-controlling shareholders | (2,558) | ||
Net assets | R$ 9206 |
13. Business Combinations (De_3
13. Business Combinations (Details 2) - Almacenes Exito S.A. [member] R$ in Millions | Dec. 31, 2019BRL (R$) |
Disclosure of detailed information about business combination [line items] | |
Total consideration transferred - 96.57% | R$ 9371 |
Fair value of the Company - 100% | 9,706 |
Non-controlling interest at fair value | R$ 335 |
13. Business Combinations (De_4
13. Business Combinations (Details 3) - Almacenes Exito S.A. [member] R$ in Millions | Dec. 31, 2019BRL (R$) |
Disclosure of detailed information about business combination [line items] | |
Fair value of net assets acquired | R$ 11764 |
(-) Attributed to non-controlling shareholders | (2,223) |
Total | 9,541 |
Remaining non-controlling interest | (335) |
Net assets | 9,206 |
Total consideration transferred for the acquisition of control of Exito | 9,371 |
Goodwill | R$ 165 |
13. Business Combinations (De_5
13. Business Combinations (Details Narrative) R$ / shares in Units, R$ in Millions | Feb. 10, 2021BRL (R$) | Dec. 02, 2019BRL (R$) | Nov. 27, 2019 | Jan. 02, 2019BRL (R$) | Dec. 31, 2020BRL (R$) | Dec. 31, 2019BRL (R$) | Dec. 31, 2018BRL (R$) | Dec. 01, 2019Store | Jul. 23, 2019R$ / shares | Jun. 26, 2019R$ / shares |
Disclosure of detailed information about business combination [line items] | ||||||||||
Net sales | R$ 51253 | R$ 28838 | R$ 26490 | |||||||
Acquisition-related costs | R$ 198 | |||||||||
Top of range [member] | ||||||||||
Disclosure of detailed information about business combination [line items] | ||||||||||
Percentage of capital stock owned | 95.00% | |||||||||
Exito [member] | ||||||||||
Disclosure of detailed information about business combination [line items] | ||||||||||
Business acquisition shares price | R$ / shares | R$ 21.68 | R$ 113 | ||||||||
Number of stores | Store | 650 | |||||||||
Net sales | R$ 2151 | |||||||||
Net income | R$ 71 | |||||||||
Goodwill residual value | R$ 165 | |||||||||
Exito [member] | Non-adjusting events after reporting period [member] | ||||||||||
Disclosure of detailed information about business combination [line items] | ||||||||||
Percentage of direct interest of capital stock | 91.57% | |||||||||
Exito [member] | Continuing Operations [member] | ||||||||||
Disclosure of detailed information about business combination [line items] | ||||||||||
Net sales | R$ 18388 | |||||||||
Net income | R$ 178 | |||||||||
Exito [member] | Colombia, Pesos | ||||||||||
Disclosure of detailed information about business combination [line items] | ||||||||||
Business acquisition shares price | R$ / shares | R$ 18000 | |||||||||
Description of tender offer settlement | shareholders representing 96.57% of Éxito's capital stock accepted the terms proposed. This adhesion represented a disbursement by Sendas of 7,780 billion Colombian pesos, amount equivalent to R$9.5 billion (taking into account the exchange rate of December 31, 2019). On the same date, previously to the settlement of the tender offer, subsidiaries of Casino acquired all of the shares of GPA held directly and indirectly by Éxito for the price, net of debt, of US$1,161 million (equivalent to R$4.9 billion based on the exchange rate on the date of the transaction). | |||||||||
GPA 2 Empreendimentos e Participacoes [member] | Non-adjusting events after reporting period [member] | ||||||||||
Disclosure of detailed information about business combination [line items] | ||||||||||
Percentage of equity interest | 100.00% | |||||||||
Goodwill residual value | R$ 165 | |||||||||
Percentage of transferred interest | 5.00% |
14. Investment properties (Deta
14. Investment properties (Details) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about investment property [line items] | ||
Balance at beginning | R$ 3051 | R$ 20 |
Additions | 14 | 12 |
Impairment | (22) | |
Depreciation | (63) | (4) |
Business combination | 2,972 | |
Exchange rate changes | 708 | 56 |
Transfers | (49) | (5) |
Balance at ending | 3,639 | 3,051 |
Land [member] | ||
Disclosure of detailed information about investment property [line items] | ||
Balance at beginning | 656 | 6 |
Additions | 2 | |
Impairment | (11) | |
Depreciation | ||
Business combination | 643 | |
Exchange rate changes | 149 | 11 |
Transfers | (32) | (6) |
Balance at ending | 762 | 656 |
Buildings [member] | ||
Disclosure of detailed information about investment property [line items] | ||
Balance at beginning | 2,385 | 10 |
Additions | 6 | 10 |
Impairment | (11) | |
Depreciation | (63) | (4) |
Business combination | 2,319 | |
Exchange rate changes | 557 | 45 |
Transfers | (15) | 5 |
Balance at ending | 2,859 | 2,385 |
Improvements [member] | ||
Disclosure of detailed information about investment property [line items] | ||
Balance at beginning | 4 | |
Additions | ||
Depreciation | ||
Business combination | ||
Exchange rate changes | ||
Transfers | (4) | |
Balance at ending | ||
Construction In Progress [member] | ||
Disclosure of detailed information about investment property [line items] | ||
Balance at beginning | 10 | |
Additions | 8 | |
Impairment | ||
Depreciation | ||
Business combination | 10 | |
Exchange rate changes | 2 | |
Transfers | (2) | |
Balance at ending | R$ 18 | R$ 10 |
14. Investment properties (De_2
14. Investment properties (Details 1) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of detailed information about investment property [line items] | |||
Cost | R$ 3701 | R$ 3066 | |
Accumulated depreciation | (62) | (15) | |
Net | 3,639 | 3,051 | R$ 20 |
Land [member] | |||
Disclosure of detailed information about investment property [line items] | |||
Cost | 762 | 656 | |
Accumulated depreciation | |||
Net | 762 | 656 | 6 |
Buildings [member] | |||
Disclosure of detailed information about investment property [line items] | |||
Cost | 2,921 | 2,400 | |
Accumulated depreciation | (62) | (15) | |
Net | 2,859 | 2,385 | 10 |
Construction In Progress [member] | |||
Disclosure of detailed information about investment property [line items] | |||
Cost | 18 | 10 | |
Accumulated depreciation | |||
Net | R$ 18 | R$ 10 |
14. Investment properties (De_3
14. Investment properties (Details 2) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Investment property [abstract] | ||
Lease revenue | R$ 368 | R$ 31 |
Operating expenses from investment properties that generate revenue | (78) | (4) |
Operating expenses from investment properties that do not generate revenue | (165) | (12) |
Net result generated by investment properties | R$ 125 | R$ 15 |
14. Investment properties (De_4
14. Investment properties (Details 3) | Dec. 31, 2020 |
Bottom of range [member] | |
InvestmentPropertLineItems [Line Items] | |
Discount rate | 10.00% |
Vacancy rate | 1.00% |
Terminal capitalization rate | 7.50% |
Top of range [member] | |
InvestmentPropertLineItems [Line Items] | |
Discount rate | 15.25% |
Vacancy rate | 10.00% |
Terminal capitalization rate | 8.50% |
14. Investment properties (De_5
14. Investment properties (Details Narrative) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Investment property [abstract] | ||
Fair value of investment properties | R$ 3926 | R$ 3047 |
15. Property and equipment (Det
15. Property and equipment (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Leasehold Improvements [member] | Bottom of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 24 years |
Leasehold Improvements [member] | Top of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 40 years |
Machinery and Equipment [member] | Bottom of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 10 years |
Machinery and Equipment [member] | Top of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 20 years |
Facilites [Member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 11 years |
Furniture and Fixtures [member] | Bottom of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 9 years |
Furniture and Fixtures [member] | Top of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 12 years |
Other property, plant and equipment [member] | Bottom of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 3 years |
Other property, plant and equipment [member] | Top of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 5 years |
Buildings [member] | Bottom of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 40 years |
Buildings [member] | Top of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life (in years) | 50 years |
15. Property and equipment (D_2
15. Property and equipment (Details 1) - BRL (R$) R$ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | |||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | R$ 24290 | R$ 14052 | ||
Additions | [1] | 4,207 | 3,268 | |
Business Combination | 8,496 | |||
Remeasurement | 1,396 | 832 | ||
Impairment | (23) | |||
Depreciation | (2,253) | (1,376) | ||
Write-offs | (1,460) | (674) | ||
Merger | 121 | |||
Transfers | (884) | [2] | (212) | |
Exchange rate changes | 1,971 | 141 | ||
Deconsolidation | (7,477) | (237) | ||
Property and equipment, ending | 19,888 | 24,290 | ||
Lease [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 7,071 | 4,431 | ||
Additions | 2,025 | 807 | ||
Business Combination | 1,755 | |||
Remeasurement | 1,396 | 832 | ||
Depreciation | (943) | (530) | ||
Write-offs | (1,006) | (152) | ||
Transfers | (3) | 52 | ||
Exchange rate changes | 411 | 33 | ||
Deconsolidation | (2,434) | (157) | ||
Property and equipment, ending | 6,517 | 7,071 | ||
Land [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 3,692 | 1,366 | ||
Additions | 61 | 75 | ||
Business Combination | 2,277 | |||
Remeasurement | ||||
Impairment | ||||
Depreciation | ||||
Write-offs | (87) | (30) | ||
Merger | 121 | |||
Transfers | (308) | [2] | (36) | |
Exchange rate changes | 542 | 40 | ||
Deconsolidation | (481) | |||
Property and equipment, ending | 3,540 | 3,692 | ||
Land [member] | Lease [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 3 | |||
Additions | ||||
Business Combination | 3 | |||
Remeasurement | ||||
Impairment | ||||
Depreciation | ||||
Write-offs | ||||
Merger | ||||
Transfers | [2] | |||
Exchange rate changes | ||||
Deconsolidation | ||||
Property and equipment, ending | 3 | 3 | ||
Buildings [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 4,869 | 1,773 | ||
Additions | 80 | 237 | ||
Business Combination | 2,934 | |||
Remeasurement | ||||
Impairment | (23) | |||
Depreciation | (156) | (67) | ||
Write-offs | (145) | (29) | ||
Merger | ||||
Transfers | (308) | [2] | (29) | |
Exchange rate changes | 705 | 51 | ||
Deconsolidation | (608) | (1) | ||
Property and equipment, ending | 4,414 | 4,869 | ||
Buildings [member] | Lease [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 7,023 | 4,422 | ||
Additions | 2,001 | 792 | ||
Business Combination | 1,727 | |||
Remeasurement | 1,403 | 832 | ||
Impairment | ||||
Depreciation | (928) | (525) | ||
Write-offs | (1,005) | (152) | ||
Merger | ||||
Transfers | (3) | [2] | 52 | |
Exchange rate changes | 402 | 32 | ||
Deconsolidation | (2,428) | (157) | ||
Property and equipment, ending | 6,465 | 7,023 | ||
Construction In Progress [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 275 | 176 | ||
Additions | 746 | 789 | ||
Business Combination | 154 | |||
Remeasurement | ||||
Impairment | ||||
Depreciation | ||||
Write-offs | (7) | (6) | ||
Merger | ||||
Transfers | (750) | [2] | (903) | |
Exchange rate changes | 17 | 3 | ||
Deconsolidation | (68) | 62 | ||
Property and equipment, ending | 213 | 275 | ||
Equipment [member] | Lease [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 45 | 9 | ||
Additions | 24 | 15 | ||
Business Combination | 25 | |||
Remeasurement | (7) | |||
Impairment | ||||
Depreciation | (15) | (5) | ||
Write-offs | (1) | |||
Merger | ||||
Transfers | [2] | |||
Exchange rate changes | 9 | 1 | ||
Deconsolidation | (6) | |||
Property and equipment, ending | 49 | 45 | ||
Total Property and Equipment [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 17,219 | 9,621 | ||
Additions | 2,182 | 2,461 | ||
Business Combination | 6,741 | |||
Remeasurement | ||||
Impairment | (23) | |||
Depreciation | (1,310) | (846) | ||
Write-offs | (454) | (522) | ||
Merger | 121 | |||
Transfers | (881) | [2] | (264) | |
Exchange rate changes | 1,560 | 108 | ||
Deconsolidation | (5,043) | (80) | ||
Property and equipment, ending | 13,371 | 17,219 | ||
Leasehold Improvements [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 4,441 | 3,843 | ||
Additions | 788 | 634 | ||
Business Combination | 334 | |||
Remeasurement | ||||
Impairment | ||||
Depreciation | (429) | (332) | ||
Write-offs | (429) | (382) | ||
Merger | ||||
Transfers | 262 | [2] | 407 | |
Exchange rate changes | 70 | |||
Deconsolidation | (2,601) | (63) | ||
Property and equipment, ending | 2,412 | 4,441 | ||
Machinery and Equipment [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 2,281 | 1,308 | ||
Additions | 308 | 445 | ||
Business Combination | 672 | |||
Remeasurement | ||||
Impairment | ||||
Depreciation | (437) | (264) | ||
Write-offs | (69) | (36) | ||
Merger | ||||
Transfers | 172 | [2] | 180 | |
Exchange rate changes | 151 | 10 | ||
Deconsolidation | (637) | (34) | ||
Property and equipment, ending | 1,769 | 2,281 | ||
Furniture and Fixtures [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 1,007 | 595 | ||
Additions | 120 | 163 | ||
Business Combination | 300 | |||
Remeasurement | ||||
Impairment | ||||
Depreciation | (193) | (100) | ||
Write-offs | (16) | (21) | ||
Merger | ||||
Transfers | 62 | [2] | 80 | |
Exchange rate changes | 66 | 6 | ||
Deconsolidation | (340) | (16) | ||
Property and equipment, ending | 706 | 1,007 | ||
Other [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 74 | 59 | ||
Additions | 18 | 32 | ||
Business Combination | 6 | |||
Remeasurement | ||||
Impairment | ||||
Depreciation | (28) | (24) | ||
Write-offs | (2) | |||
Merger | ||||
Transfers | 7 | [2] | 7 | |
Exchange rate changes | 1 | |||
Deconsolidation | (38) | (4) | ||
Property and equipment, ending | 34 | 74 | ||
Facilities [member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Property and equipment, beginning | 580 | 501 | ||
Additions | 61 | 86 | ||
Business Combination | 64 | |||
Remeasurement | ||||
Impairment | ||||
Depreciation | (67) | (59) | ||
Write-offs | (11) | (16) | ||
Merger | ||||
Transfers | (18) | [2] | 30 | |
Exchange rate changes | 8 | (2) | ||
Deconsolidation | (270) | (24) | ||
Property and equipment, ending | R$ 283 | R$ 580 | ||
[1] | The additions are related to the purchase of operating assets, acquisition of land and buildings to expand activities, building of new stores, improvements of existing distribution centers and stores and investments in equipment and information technology. | |||
[2] | The main effects are R$722 for transfers to held for sale and R$198 for intangibles and (R$49) for investment properties |
15. Property and equipment (D_3
15. Property and equipment (Details 2) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | R$ 31241 | R$ 35914 | |
Property and equipment, accumulated depreciation | (11,353) | (11,624) | |
Property and equipment, net | 19,888 | 24,290 | R$ 14052 |
Lease [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 10,181 | 10,789 | |
Property and equipment, accumulated depreciation | (3,664) | (3,718) | |
Property and equipment, net | 6,517 | 7,071 | 4,431 |
Facilities [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 725 | 1,065 | |
Property and equipment, accumulated depreciation | (442) | (485) | |
Property and equipment, net | 283 | 580 | 501 |
Land [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 3,540 | 3,692 | |
Property and equipment, accumulated depreciation | |||
Property and equipment, net | 3,540 | 3,692 | 1,366 |
Land [member] | Lease [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 7 | 6 | |
Property and equipment, accumulated depreciation | (4) | (3) | |
Property and equipment, net | 3 | 3 | |
Equipment [member] | Lease [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 105 | 128 | |
Property and equipment, accumulated depreciation | (56) | (83) | |
Property and equipment, net | 49 | 45 | 9 |
Buildings [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 5,219 | 5,712 | |
Property and equipment, accumulated depreciation | (805) | (843) | |
Property and equipment, net | 4,414 | 4,869 | 1,773 |
Buildings [member] | Lease [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 10,069 | 10,655 | |
Property and equipment, accumulated depreciation | (3,604) | (3,632) | |
Property and equipment, net | 6,465 | 7,023 | 4,422 |
Total Property and Equipment [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 21,060 | 25,125 | |
Property and equipment, accumulated depreciation | (7,689) | (7,906) | |
Property and equipment, net | 13,371 | 17,219 | 9,621 |
Construction In Progress [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 213 | 275 | |
Property and equipment, accumulated depreciation | |||
Property and equipment, net | 213 | 275 | 176 |
Leasehold Improvements [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 4,778 | 7,065 | |
Property and equipment, accumulated depreciation | (2,366) | (2,624) | |
Property and equipment, net | 2,412 | 4,441 | 3,843 |
Furniture and Fixtures [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 1,966 | 2,196 | |
Property and equipment, accumulated depreciation | (1,260) | (1,189) | |
Property and equipment, net | 706 | 1,007 | 595 |
Machinery and Equipment [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 4,438 | 4,864 | |
Property and equipment, accumulated depreciation | (2,669) | (2,583) | |
Property and equipment, net | 1,769 | 2,281 | 1,308 |
Other [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property and equipment, cost | 181 | 256 | |
Property and equipment, accumulated depreciation | (147) | (182) | |
Property and equipment, net | R$ 34 | R$ 74 | R$ 59 |
15. Property and equipment (D_4
15. Property and equipment (Details 3) - BRL (R$) R$ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Reconciliation of changes in property, plant and equipment | ||||
Additions | [1] | R$ 4207 | R$ 3268 | |
Lease | (2,025) | (806) | ||
Capitalized borrowing costs | (15) | (26) | ||
Property and equipment financing - Additions | [2] | (2,001) | (2,116) | |
Property and equipment financing - Payments | [2] | 2,123 | 2,142 | |
Total | R$ 2289 | R$ 2462 | R$ 1649 | |
[1] | The additions are related to the purchase of operating assets, acquisition of land and buildings to expand activities, building of new stores, improvements of existing distribution centers and stores and investments in equipment and information technology. | |||
[2] | The additions to property and equipment above are presented to reconcile the acquisitions during the year with the amounts presented in the statement of cash flows net of items that did not impact cash flow. |
15. Property and equipment (D_5
15. Property and equipment (Details Narrative) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Property, plant and equipment [abstract] | ||
Capitalized borrowing costs | R$ 15 | R$ 26 |
Borrowing costs eligible for capitalization rate | 150.67% | 136.11% |
Effective interest rate | 3.96% | 6.06% |
Cost of goods and services sold | R$ 232 | R$ 120 |
16. Intangible assets (Details)
16. Intangible assets (Details) - BRL (R$) R$ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, beginning | R$ 6236 | R$ 2818 | ||
Additions | 198 | 298 | ||
Business combination | [1],[2] | 3,174 | ||
Amortization | (248) | (179) | ||
Write-off | (2) | (8) | ||
Remeasurement | 49 | 6 | ||
Exchange rate changes | 771 | 70 | ||
Transfers | 198 | 131 | ||
Deconsolidation Via Varejo | (74) | |||
Deconsolidation Sendas | 4 | (19) | ||
Intangible assets, ending | 6,164 | 6,236 | 2,818 | |
Lease [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, beginning | 836 | 899 | ||
Additions | 1 | |||
Business combination | [1],[2] | |||
Amortization | (68) | (69) | ||
Write-off | (1) | |||
Remeasurement | 49 | 6 | ||
Exchange rate changes | ||||
Transfers | ||||
Deconsolidation Via Varejo | 1 | |||
Deconsolidation Sendas | (215) | |||
Intangible assets, ending | 603 | 836 | 899 | |
Right Of Use Paes Mendonca [member] | Lease [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, beginning | [3] | 780 | 819 | |
Additions | [3] | |||
Business combination | [1],[2],[3] | |||
Amortization | [3] | (47) | (45) | |
Write-off | [3] | |||
Remeasurement | [3] | 49 | 6 | |
Exchange rate changes | [3] | |||
Transfers | [3] | |||
Deconsolidation Sendas | [3] | (215) | ||
Intangible assets, ending | [3] | 567 | 780 | 819 |
Commercial Rights [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, beginning | 136 | 111 | ||
Additions | 6 | 24 | ||
Business combination | [1],[2] | |||
Amortization | ||||
Write-off | ||||
Remeasurement | ||||
Exchange rate changes | ||||
Transfers | ||||
Deconsolidation Sendas | (95) | |||
Intangible assets, ending | 47 | 136 | 111 | |
Software [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, beginning | 888 | 621 | ||
Additions | 191 | 274 | ||
Business combination | [1],[2] | 60 | ||
Amortization | (179) | (110) | ||
Write-off | (2) | (7) | ||
Remeasurement | ||||
Exchange rate changes | 19 | 1 | ||
Transfers | 183 | 124 | ||
Deconsolidation Via Varejo | (75) | |||
Deconsolidation Sendas | (70) | |||
Intangible assets, ending | 1,030 | 888 | 621 | |
Software [member] | Lease [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, beginning | 56 | 80 | ||
Additions | 1 | |||
Business combination | [1],[2] | |||
Amortization | (21) | (24) | ||
Write-off | (1) | |||
Remeasurement | ||||
Exchange rate changes | ||||
Transfers | ||||
Deconsolidation Via Varejo | 1 | |||
Deconsolidation Sendas | ||||
Intangible assets, ending | 36 | 56 | 80 | |
Total Intangible Assets [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, beginning | 5,400 | 1,919 | ||
Additions | 197 | 298 | ||
Business combination | [1],[2] | 3,174 | ||
Amortization | (180) | (110) | ||
Write-off | (2) | (7) | ||
Remeasurement | ||||
Exchange rate changes | 771 | 70 | ||
Transfers | 198 | 131 | ||
Deconsolidation Via Varejo | (75) | |||
Deconsolidation Sendas | (823) | |||
Intangible assets, ending | 5,561 | 5,400 | 1,919 | |
Goodwill [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, beginning | 1,314 | 1,148 | ||
Additions | ||||
Business combination | [1],[2] | 165 | ||
Amortization | ||||
Write-off | ||||
Remeasurement | ||||
Exchange rate changes | 39 | 3 | ||
Transfers | 15 | (1) | ||
Deconsolidation Sendas | (618) | |||
Intangible assets, ending | 750 | 1,314 | 1,148 | |
Tradename [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, beginning | 3,062 | 39 | ||
Additions | ||||
Business combination | [1],[2] | 2,949 | ||
Amortization | (1) | |||
Write-off | ||||
Remeasurement | ||||
Exchange rate changes | 713 | 66 | ||
Transfers | 8 | |||
Deconsolidation Sendas | (40) | |||
Intangible assets, ending | R$ 3734 | R$ 3062 | R$ 39 | |
[1] | As result of the Sendas' spin-off, the balances of provisions for legal demands totaling R$ 292 were deconsolidated, of which R$179 of tax contingencies, R$64 of labor contingencies, and R$49 of civil contingencies and others. | |||
[2] | See note 13.1 | |||
[3] | Correspond to the premium paid for the renewal of the agreement with Paes Mendonca to operate certain stores by 30-year term |
16. Intangible assets (Details
16. Intangible assets (Details 1) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, cost | R$ 9046 | R$ 8494 | ||
Intangible assets, accumulated depreciation | (2,882) | (2,258) | ||
Intangible assets, net | 6,164 | 6,236 | R$ 2818 | |
Lease [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, cost | 773 | 1,157 | ||
Intangible assets, accumulated depreciation | (170) | (321) | ||
Intangible assets, net | 603 | 836 | 899 | |
Right Of Use Paes Mendonca [member] | Lease [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, cost | [1] | 653 | 836 | |
Intangible assets, accumulated depreciation | [1] | (86) | (56) | |
Intangible assets, net | [1] | 567 | 780 | 819 |
Software [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, cost | 2,012 | 1,715 | ||
Intangible assets, accumulated depreciation | (982) | (827) | ||
Intangible assets, net | 1,030 | 888 | 621 | |
Software [member] | Lease [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, cost | 120 | 321 | ||
Intangible assets, accumulated depreciation | (84) | (265) | ||
Intangible assets, net | 36 | 56 | 80 | |
Goodwill [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, cost | 2,478 | 2,425 | ||
Intangible assets, accumulated depreciation | (1,728) | (1,111) | ||
Intangible assets, net | 750 | 1,314 | 1,148 | |
Total Intangible Assets [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, cost | 8,273 | 7,337 | ||
Intangible assets, accumulated depreciation | (2,712) | (1,937) | ||
Intangible assets, net | 5,561 | 5,400 | 1,919 | |
Commercial Rights [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, cost | 47 | 135 | ||
Intangible assets, accumulated depreciation | 1 | |||
Intangible assets, net | 47 | 136 | 111 | |
Tradename [member] | ||||
Disclosure of detailed information about intangible assets [line items] | ||||
Intangible assets, cost | 3,736 | 3,062 | ||
Intangible assets, accumulated depreciation | (2) | |||
Intangible assets, net | R$ 3734 | R$ 3062 | R$ 39 | |
[1] | Correspond to the premium paid for the renewal of the agreement with Paes Mendonca to operate certain stores by 30-year term |
16. Intangible assets (Detail_2
16. Intangible assets (Details 2) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Reconciliation of changes in intangible assets and goodwill | |||
Additions | R$ 198 | R$ 298 | |
Lease | (1) | ||
Intangible assets financing - Addition | (1) | (23) | |
Intangible assets financing - Payments | 4 | 46 | |
Total | R$ 201 | R$ 320 | R$ 715 |
16. Intangible assets (Detail_3
16. Intangible assets (Details Narrative) | 12 Months Ended |
Dec. 31, 2020 | |
Bottom of range [member] | |
Disclosure of detailed information about intangible assets [line items] | |
Useful life (in years) | 5 years |
Top of range [member] | |
Disclosure of detailed information about intangible assets [line items] | |
Useful life (in years) | 10 years |
Exito [member] | |
Disclosure of detailed information about intangible assets [line items] | |
Description of discount and growth rate | Discount rate applied to cash flow projections is 6.5% (and cash flows exceeding the three-year period are extrapolated using a growth rate of 3%) in Colombia. The discount rate applied to cash flow projections is 9.4% (and cash flows exceeding the three-year period are extrapolated using a growth rate of 6.3%) in Uruguay. The discount rate applied to cash flow projections is 58.1% for 2021, 47.9% for 2022, 38.9% for 2023, 33.5% para 2024, 30.2% for 2025, 27.8% for 2026, 26.4% for 2027, 25.3% for 2028, 22.1% for 2029 and 19.6% for 2030 onwards and growth rate is 5.0% in Argentina. Based on this analysis no impairment charges were recorded. |
Software [member] | |
Disclosure of detailed information about intangible assets [line items] | |
Amortization rate | 10.82% |
Description of discount and growth rate | The discount rate used on cash flow projections was 7.9% (8.4% in 2019), and the cash flows exceeding the three-year period are extrapolated using a 4.6% growth rate (4.8% on December 31, 2019). |
Description of sensitivity analysis | Sensitivity analysis was made for a 0.5 percentage points increase / decrease in the discount rate and growth rate. |
17. Trade payables, net (Detail
17. Trade payables, net (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
TradePayablesNetLineItems [Line Items] | ||
Trade payables | R$ 11424 | R$ 14887 |
Bonuses from Suppliers [member] | ||
TradePayablesNetLineItems [Line Items] | ||
Trade payables | (387) | (461) |
Product Suppliers [member] | ||
TradePayablesNetLineItems [Line Items] | ||
Trade payables | 10,907 | 14,371 |
Service Suppliers [member] | ||
TradePayablesNetLineItems [Line Items] | ||
Trade payables | R$ 904 | R$ 977 |
18. Borrowings and financing (D
18. Borrowings and financing (Details) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about borrowings [line items] | ||
Current assets | R$ 73 | |
Non-current assets | 11 | 13 |
Borrowings and financing, current liabilities | 2,309 | 3,488 |
Borrowings and financing, non-current liabilities | 6,842 | 10,706 |
Borrowings and financing | 9,140 | 14,108 |
Borrowings [member] | Foreign Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | 1,855 | 1,145 |
Borrowings [member] | Local Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | 2,687 | 1,100 |
Debentures Certificate Of Agribusiness Receivables And Promissory Notes [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing, current liabilities | 2,287 | |
Borrowings and financing, non-current liabilities | 9,576 | |
Borrowings and financing | R$ 4598 | 11,863 |
Weighted average rate | CDI + 1.27% per year | |
Working Capital [member] | Borrowings [member] | Foreign Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | R$ 271 | 846 |
Weighted average rate | USD + 2.27% per year | |
Working Capital [member] | Borrowings [member] | Local Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | R$ 13 | 99 |
Weighted average rate | TR + 9.80 % per year | |
Working Capital [member] | Borrowings [member] | Foreign Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | R$ 1534 | 323 |
Weighted average rate | IBR 3M + 3.8% | |
Working Capital [member] | Borrowings [member] | Local Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | R$ 2689 | 1,008 |
Weighted average rate | CDI + 2.37% per year | |
Swap Contracts [member] | Borrowings [member] | Foreign Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | R$ 12 | (15) |
Weighted average rate | CDI + 2.0% per year | |
Swap Contracts [member] | Borrowings [member] | Local Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | R$ 2 | (12) |
Weighted average rate | CDI – 0.02% per year | |
BNDES [member] | Borrowings [member] | Local Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | 27 | |
Weighted average rate | 4.07% per year | |
Swap contracts [member] | Borrowings [member] | Foreign Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | R$ 1 | (19) |
Weighted average rate | IBR 3M + 3.8% | |
Unamortized borrowing costs [Member] | Borrowings [member] | Foreign Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | R$ 1 | (1) |
Unamortized borrowing costs [Member] | Borrowings [member] | Local Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | (13) | (22) |
Credit Letter [Member] | Borrowings [member] | Foreign Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | 12 | 12 |
NDF Contracts - Derivatives [Member] | Borrowings [member] | Foreign Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | R$ 1 | |
Working capital Argentina [member] | Borrowings [member] | Foreign Currency [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings and financing | R$ 26 | |
Weighted average rate | Pré: 29.43% |
18. Borrowings and financing _2
18. Borrowings and financing (Details 1) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Borrowings [abstract] | ||
Borrowings and financing, beginning | R$ 14108 | R$ 5286 |
Additions | 7,262 | 13,604 |
Accrued interest | 755 | 678 |
Accrued swap | (343) | (11) |
Mark-to-market | 14 | (47) |
Adjustment to present value | 115 | |
Monetary and exchange rate changes | 331 | (13) |
Borrowing cost | 53 | 31 |
Interest paid | (774) | (504) |
Payments | (5,125) | (9,551) |
Swap paid | 333 | 103 |
Acquisition of company | 4,527 | |
Foreign currency translation adjustment | 173 | 80 |
Deconsolidation Via Varejo | (75) | |
Deconsolidation Sendas | (7,762) | |
Borrowings and financing, ending | R$ 9140 | R$ 14108 |
18. Borrowings and financing _3
18. Borrowings and financing (Details 2) R$ in Millions | 12 Months Ended |
Dec. 31, 2020BRL (R$) | |
Disclosure of detailed information about borrowings [line items] | |
Subtotal | R$ 6844 |
Unamortized borrowing costs | (13) |
Total | 6,831 |
From 1 To 2 Years [member] | |
Disclosure of detailed information about borrowings [line items] | |
Subtotal | 4,756 |
From 2 To 3 Years [member] | |
Disclosure of detailed information about borrowings [line items] | |
Subtotal | 1,426 |
From 3 To 4 Years [member] | |
Disclosure of detailed information about borrowings [line items] | |
Subtotal | 237 |
From 4 To 5 Years [member] | |
Disclosure of detailed information about borrowings [line items] | |
Subtotal | 230 |
After 5 Years [member] | |
Disclosure of detailed information about borrowings [line items] | |
Subtotal | R$ 195 |
18. Borrowings and financing _4
18. Borrowings and financing (Details 3) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about borrowings [line items] | ||
Borrowing costs | R$ 9 | R$ 82 |
Borrowings and financing, total | 9,140 | 14,108 |
Borrowings and financing, current liabilities | 2,309 | 3,488 |
Borrowings and financing, non-current liabilities | 6,842 | 10,706 |
14th Issue of Debentures - CBD [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 1,080 | |
Outstanding debentures | R$ 1080000 | |
Issue date | Apr. 17, 2017 | |
Maturity date | Apr. 13, 2020 | |
Borrowings and financing, total | 1,091 | |
15th Issue of Debentures - CBD [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 800 | |
Outstanding debentures | R$ 800000 | |
Issue date | Jan. 17, 2018 | |
Maturity date | Jan. 15, 2021 | |
Financial charges | 150.00% of CDI | |
Unit price | R$ 564 | |
Borrowings and financing, total | 451 | 821 |
16th Issue Of Debentures - CBD (1st series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 700 | |
Outstanding debentures | R$ 700000 | |
Issue date | Sep. 11, 2018 | |
Maturity date | Sep. 10, 2021 | |
Financial charges | 162.71% of CDI | |
Unit price | R$ 1015 | |
Borrowings and financing, total | 711 | 712 |
16th Issue Of Debentures - CBD (2st series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 500 | |
Outstanding debentures | R$ 500000 | |
Issue date | Sep. 11, 2018 | |
Maturity date | Sep. 12, 2022 | |
Financial charges | 163.56% of CDI | |
Unit price | R$ 1042 | |
Borrowings and financing, total | 521 | 508 |
17th Issue of Debentures - CBD [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 2,000 | |
Outstanding debentures | R$ 2000000 | |
Issue date | Jan. 6, 2020 | |
Maturity date | Jan. 6, 2023 | |
Financial charges | CDI + 1.45% per year | |
Unit price | R$ 1017 | |
Borrowings and financing, total | 2,033 | |
4th Issue Of Promissory Notes - CBD [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 800 | |
Outstanding debentures | R$ 800 | |
Issue date | Jan. 10, 2019 | |
Maturity date | Jan. 9, 2022 | |
Financial charges | 163.13% of CDI | |
Unit price | R$ 1113594 | |
Borrowings and financing, total | 891 | 849 |
1st Issue of Promissory Notes - Sendas (1st Series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 50 | |
Outstanding debentures | R$ 1 | |
Issue date | Jul. 4, 2019 | |
Maturity date | Jul. 3, 2020 | |
Financial charges | CDI + 0.72% per year | |
Borrowings and financing, total | 52 | |
1st Issue of Promissory Notes - Sendas (2nd Series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 50 | |
Outstanding debentures | R$ 1 | |
Issue date | Jul. 4, 2019 | |
Maturity date | Jul. 5, 2021 | |
Financial charges | CDI + 0.72% per year | |
Borrowings and financing, total | 52 | |
1st Issue of Promissory Notes - Sendas (3nd Series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 50 | |
Outstanding debentures | R$ 1 | |
Issue date | Jul. 4, 2019 | |
Maturity date | Jul. 4, 2022 | |
Financial charges | CDI + 0.72% per year | |
Borrowings and financing, total | 52 | |
1st Issue of Promissory Notes - Sendas (4nd Series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 250 | |
Outstanding debentures | R$ 5 | |
Issue date | Jul. 4, 2019 | |
Maturity date | Jul. 4, 2023 | |
Financial charges | CDI + 0.72% per year | |
Borrowings and financing, total | 258 | |
1st Issue of Promissory Notes - Sendas (5nd Series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 200 | |
Outstanding debentures | R$ 4 | |
Issue date | Jul. 4, 2019 | |
Maturity date | Jul. 4, 2024 | |
Financial charges | CDI + 0.72% per year | |
Borrowings and financing, total | 206 | |
1st Issue of Promissory Notes - Sendas (6nd Series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 200 | |
Outstanding debentures | R$ 4 | |
Issue date | Jul. 4, 2019 | |
Maturity date | Jul. 4, 2025 | |
Financial charges | CDI + 0.72% per year | |
Borrowings and financing, total | 206 | |
1st Issue Of Debentures - Sendas (1st series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 2,000 | |
Outstanding debentures | R$ 2000000 | |
Issue date | Sep. 4, 2019 | |
Maturity date | Aug. 20, 2020 | |
Borrowings and financing, total | 1,001 | |
1st Issue Of Debentures - Sendas (2nd series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 2,000 | |
Outstanding debentures | R$ 2000000 | |
Issue date | Sep. 4, 2019 | |
Maturity date | Aug. 20, 2021 | |
Financial charges | CDI + 1.74% per year | |
Borrowings and financing, total | 2,044 | |
1st Issue Of Debentures - Sendas (3nd series) [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 2,000 | |
Outstanding debentures | R$ 2000000 | |
Issue date | Sep. 4, 2019 | |
Maturity date | Aug. 20, 2022 | |
Financial charges | CDI + 1.95% per year | |
Borrowings and financing, total | 2,046 | |
1st Issue Of Debentures - Sendas (4nd serie) [Member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Issue amount | 2,000 | |
Outstanding debentures | R$ 2000000 | |
Issue date | Sep. 4, 2019 | |
Maturity date | Aug. 20, 2023 | |
Financial charges | CDI + 2.20% per year | |
Borrowings and financing, total | R$ 2047 |
18. Borrowings and financing _5
18. Borrowings and financing (Details Narrative) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Jan. 06, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Apr. 17, 2019 | Dec. 31, 2018 | Dec. 17, 2018 | Sep. 11, 2018 | Jan. 17, 2018 |
Disclosure of detailed information about borrowings [line items] | |||||||||
Borrowing costs | R$ 9 | R$ 82 | |||||||
Interest rate | 9.41% | 10.73% | 12.61% | ||||||
1th Issue of Debentures - CDI (4th serie) [Member] | |||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||
Borrowing costs | R$ 8000 | ||||||||
Nominal value | R$ 2000 | ||||||||
Swap Contracts [Member] | |||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||
Weighted average annual rate of CDI | 2.76% | 5.96% | |||||||
1th Issue Of Commercial Promissory Notes Of Sendas - CDI (6th serie) [Member] | |||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||
Borrowing costs | R$ 800 | ||||||||
1th Issue of Debentures - CDI [Member] | |||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||
Borrowing costs | R$ 1080 | ||||||||
Interest rate | 96.00% | ||||||||
4th Issue Of Commercial Promissory Notes - CDI (1th serie) [Member] | |||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||
Borrowing costs | R$ 800 | ||||||||
Interest rate | 105.75% | ||||||||
16th Issue of Debentures - CDI (1nd serie) [Member] | |||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||
Borrowing costs | R$ 1200 | ||||||||
Interest rate | 106.00% | ||||||||
15th Issue of Debentures - CDI [Member] | |||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||
Borrowing costs | R$ 800 | ||||||||
Interest rate | 104.75% | ||||||||
17th Issue of Debentures - CDI (1nd serie) [member] | |||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||
Borrowing costs | R$ 2000 | ||||||||
Interest rate | 1.45% |
19. Financial instruments (Deta
19. Financial instruments (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
Loans and receivables [member] | Related parties - assets [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial assets | R$ 154 | R$ 104 | |
Loans and receivables [member] | Trade receivables and other receivables [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial assets | 1,614 | 924 | |
Loans and receivables [member] | Others assets [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial assets | 48 | 51 | |
Loans and receivables [member] | Cash and cash equivalents [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial assets | 8,711 | 7,954 | |
Loans and receivables [member] | Financial instruments - fair value hedge [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial assets | 11 | 86 | |
Loans and receivables [member] | Others assets [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial assets | 2 | 2 | |
Loans and receivables [member] | Trade receivables with credit card companies and sales vouchers [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial assets | 113 | 377 | |
Loans and receivables [member] | Others assets [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial assets | 28 | 19 | |
Loans and receivables [member] | Financial instruments about lease - fair value hedge [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial assets | 1 | ||
Financial liabilities - amortized cost [member] | Related parties - liabilities [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial liabilities | (194) | (215) | |
Financial liabilities - amortized cost [member] | Trade payables [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial liabilities | (11,424) | (14,887) | |
Financial liabilities - amortized cost [member] | Financing for purchase of assets [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial liabilities | (100) | (231) | |
Financial liabilities - amortized cost [member] | Debentures and promissory notes [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial liabilities | (4,598) | (11,863) | |
Financial liabilities - amortized cost [member] | Borrowings and financing [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial liabilities | (4,247) | (1,348) | |
Financial liabilities - amortized cost [member] | Lease [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial liabilities | (8,372) | (8,667) | |
Fair value through profit or loss [member] | Borrowings and financing (hedge accounting underlying) [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial liabilities | (284) | (944) | |
Fair value through profit or loss [member] | Financial instruments - fair value hedge - liabilities side [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial liabilities | (22) | (39) | |
Fair value through profit or loss [member] | Suppliers financial instruments - fair value hedge - liabilities side [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial liabilities | (25) | (8) | |
Fair value through profit or loss [member] | Disco group put option [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial liabilities | [1] | (636) | (466) |
Fair value through profit or loss [member] | Financial instruments about lease - fair value hedge - liabilities side [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Financial assets | R$ 2 | ||
[1] | See note 19.3. |
19. Financial instruments (De_2
19. Financial instruments (Details 1) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Financial Instruments | ||||
Cash and cash equivalents | R$ 8711 | R$ 7954 | ||
Financial instruments - Fair value hedge | (37) | 39 | ||
Borrowings, financing and debentures | (9,129) | (14,155) | ||
Other liabilities with related parties | [1] | (120) | (124) | |
Net financial debt | (575) | (6,286) | ||
Shareholders' equity | R$ 16807 | R$ 13548 | R$ 13159 | |
Net debt to equity ratio | 3.00% | 46.00% | ||
[1] | Represents amount payable to Greenyellow related to the purchase of equipment. |
19. Financial instruments (De_3
19. Financial instruments (Details 2) - Liquidity risk [member] R$ in Millions | Dec. 31, 2020BRL (R$) |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | R$ 36375 |
Up to 1 year [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 15,441 |
1 to 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 12,581 |
After 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 8,353 |
Borrowings and financing [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 5,116 |
Borrowings and financing [member] | Up to 1 year [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 1,174 |
Borrowings and financing [member] | 1 to 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 3,761 |
Borrowings and financing [member] | After 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 181 |
Debentures and promissory notes [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 4,810 |
Debentures and promissory notes [member] | Up to 1 year [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 1,259 |
Debentures and promissory notes [member] | 1 to 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 3,551 |
Debentures and promissory notes [member] | After 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | |
Derivative financial instruments [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 21 |
Derivative financial instruments [member] | Up to 1 year [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | (22) |
Derivative financial instruments [member] | 1 to 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 43 |
Derivative financial instruments [member] | After 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | |
Lease liabilities [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 15,004 |
Lease liabilities [member] | Up to 1 year [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 1,606 |
Lease liabilities [member] | 1 to 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 5,226 |
Lease liabilities [member] | After 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 8,172 |
Trade payables [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 11,424 |
Trade payables [member] | Up to 1 year [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | 11,424 |
Trade payables [member] | 1 to 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow | |
Trade payables [member] | After 5 years [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Total financial liabilities under undiscounted cash flow |
19. Financial instruments (De_4
19. Financial instruments (Details 3) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | ||
Fair value | (10) | 28 |
Long position (buy) [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | 301 | 955 |
Fair value | 284 | 945 |
Short position (sell) [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | (301) | (955) |
Fair value | (294) | (917) |
Hedge object (debt) [member] | Fair value hedge [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | 301 | 955 |
Prefixed rate [member] | Long position (buy) [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | 21 | 127 |
Fair value | 13 | 99 |
US$ + fixed [member] | Long position (buy) [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | 280 | 828 |
Fair value | 271 | 846 |
Hedge position - asset [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | ||
Fair value | 11 | 57 |
Hedge position - liability [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | ||
Fair value | R$ 21 | R$ 29 |
19. Financial instruments (De_5
19. Financial instruments (Details 4) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020BRL (R$) | ||
Fair value hedge (fixed rate) [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial risk (CDI variation) | CDI-0.02% per year | |
Financial Baseline | R$ 11 | |
Financial projected scenario 1 | (1) | |
Financial projected scenario 2 | (1) | |
Financial projected scenario 3 | R$ 1 | |
Fair value hedge (exchange rate) [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial risk (CDI variation) | CDI+2.00% per year | |
Financial Baseline | R$ 283 | |
Financial projected scenario 1 | (11) | |
Financial projected scenario 2 | (13) | |
Financial projected scenario 3 | R$ 16 | |
Debentures and promissory notes [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial risk (CDI variation) | CDI+1.27% per year | |
Financial Baseline | R$ 4607 | |
Financial projected scenario 1 | (133) | |
Financial projected scenario 2 | (166) | |
Financial projected scenario 3 | R$ 199 | |
Bank loans [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial risk (CDI variation) | CDI+2.37% per year | |
Financial Baseline | R$ 2689 | |
Financial projected scenario 1 | (82) | |
Financial projected scenario 2 | (103) | |
Financial projected scenario 3 | R$ 123 | |
Cash and cash equivalents [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial risk (CDI variation) | 96.93% of CDI | |
Financial Baseline | R$ 4784 | [1] |
Financial projected scenario 1 | 106 | [1] |
Financial projected scenario 2 | 133 | [1] |
Financial projected scenario 3 | 159 | [1] |
Total borrowings and financing exposure [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial Baseline | (7,590) | |
Financial projected scenario 1 | (227) | |
Financial projected scenario 2 | (283) | |
Financial projected scenario 3 | (339) | |
Net exposure [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial Baseline | (2,806) | |
Financial projected scenario 1 | (121) | |
Financial projected scenario 2 | (150) | |
Financial projected scenario 3 | R$ 180 | |
[1] | Weighted average |
19. Financial instruments (De_6
19. Financial instruments (Details 5) - Bank Loans and Swap [Member] R$ in Millions | Dec. 31, 2020BRL (R$) |
Disclosure of detailed information about financial instruments [line items] | |
Market projection Baseline | R$ 1599 |
Market projected scenario 1 | (13) |
Market projected scenario 2 | (44) |
Market projected scenario 3 | R$ 18 |
19. Financial instruments (De_7
19. Financial instruments (Details 6) R$ in Millions | Dec. 31, 2020BRL (R$) |
Disclosure of detailed information about financial instruments [line items] | |
Carrying amount | R$ 9689 |
Fair value | (9,085) |
Trade receibles with credit card companies and sales vouchers [member] | Level 2 [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Carrying amount | 113 |
Fair value | 113 |
Cross-currency interest rate swap [member] | Level 2 [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Carrying amount | (12) |
Fair value | (12) |
Interest rate swap [member] | Level 2 [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Carrying amount | (23) |
Fair value | (23) |
Forward between currencies [member] | Level 2 [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Carrying amount | (2) |
Fair value | (2) |
Borrowings and financing (FVPL) [member] | Level 2 [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Carrying amount | (284) |
Fair value | (284) |
Borrowings and financing and debentures (amortized cost) [member] | Level 2 [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Carrying amount | (8,845) |
Fair value | (8,241) |
Disco group put option [member] | Level 3 [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Carrying amount | (636) |
Fair value | R$ 636 |
19. Financial instruments (De_8
19. Financial instruments (Details 7) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | ||
Exito group [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivatives | (27) | 20 |
Derivatives [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivatives | (2) | 20 |
Derivatives [member] | Fair value hedge [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivatives | (10) | 28 |
Derivatives [member] | USD - BRL [member] | 2020 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | R$ 160 | |
Due date | 2020 | |
Derivatives | 16 | |
Derivatives [member] | USD - BRL [member] | 2023 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | R$ 50 | |
Due date | 2023 | |
Derivatives | R$ 12 | |
Derivatives [member] | Interest rate - BRL [member] | 2026 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | R$ 21 | |
Due date | 2026 | |
Derivatives | R$ 2 | 2 |
Derivatives [member] | Interest rate - BRL [member] | 2027 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | R$ 106 | |
Due date | 2027 | |
Derivatives | 10 | |
Derivatives [member] | USD - COP [member] | 2020 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Due date | 2020 | |
Derivatives | 20 | |
Derivatives [member] | USD - COP [member] | 2022 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | R$ 2 | |
Due date | 2022 | |
Derivatives | R$ 1 | 1 |
Derivatives [member] | Interest rate - COP [member] | 2020 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | R$ 383235 | |
Due date | 2021 | |
Derivatives | R$ 2 | (1) |
Derivatives [member] | Interest rate - COP [member] | 2022 [Member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | R$ 132917 | |
Due date | 2022 | |
Derivatives | R$ 1 | |
Trade payables [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Derivatives | (25) | |
Trade payables [member] | USD - COP [member] | 2020 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | R$ 55 | |
Due date | 2021 | |
Derivatives | R$ 23 | |
Trade payables [member] | EUR - COP [member] | 2020 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Notional value | R$ 5 | |
Due date | 2021 | |
Derivatives | R$ 2 |
19. Financial instruments (De_9
19. Financial instruments (Details Narrative) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020BRL (R$)ExchangeRate | Dec. 31, 2019BRL (R$) | Dec. 31, 2018BRL (R$) | |
Disclosure of detailed information about financial instruments [line items] | |||
Notional value | |||
Fair value | (10) | 28 | |
Fair value hedge gain | R$ 282 | 24 | R$ 6 |
Weighted exchange rate | ExchangeRate | 5.28 | ||
weighted interest rate | 2.85% | ||
Fair value hedge [member] | Hedge object (debt) [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Notional value | R$ 301 | R$ 955 |
20. Taxes payable (Details)
20. Taxes payable (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |||
Taxes and contributions payable and taxes payable in installments | R$ 833 | R$ 907 | |
Taxes and contributions payable and taxes payable in installments, current | 585 | 531 | |
Taxes and contributions payable and taxes payable in installments, non-current | 248 | 376 | |
Taxes payable in installments - law 11,941/09 [member] | |||
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |||
Taxes and contributions payable and taxes payable in installments | [1] | 244 | 355 |
Taxes payable in installments - PERT [member] | |||
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |||
Taxes and contributions payable and taxes payable in installments | [2] | 151 | 162 |
ICMS [member] | |||
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |||
Taxes and contributions payable and taxes payable in installments | 99 | 96 | |
PIS and COFINS [member] | |||
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |||
Taxes and contributions payable and taxes payable in installments | 9 | 7 | |
Provision for income tax and social contribution [member] | |||
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |||
Taxes and contributions payable and taxes payable in installments | 13 | ||
Withholding income tax [member] | |||
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |||
Taxes and contributions payable and taxes payable in installments | 2 | 1 | |
INSS [member] | |||
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |||
Taxes and contributions payable and taxes payable in installments | 5 | 6 | |
Others [member] | |||
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |||
Taxes and contributions payable and taxes payable in installments | 25 | 60 | |
Taxes payable exito group [member] | |||
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |||
Taxes and contributions payable and taxes payable in installments | R$ 285 | R$ 220 | |
[1] | Federal tax installment payment program, Law 11,941/09 - The Law 11,941, was enacted on May 27, 2009, a special federal tax and social security debt installment program, for debts overdue until November 2008, which granted several benefits to its participants, such as reduction of fines, interest rates and penalties, the possibility of utilization of accumulated tax losses to settle penalties and interest and payment in 180 months, use of restricted deposits linked to the claim to reduce the balance. The program also allows the gains arising from reduction of fines and penalties not to be taxable for income taxes purposes. The Group is in compliance with the terms and conditions of these tax payment program. | ||
[2] | In 2017, the Group decided to include certain federal tax debts in the Special Program on Tax Settlements - PERT (''PERT Program. The program allows the payment of certain taxes in monthly installments, and granted discounts on interest and penalties. The Group included tax debts related to (i) tax assessments over purchase transactions, manufacturing and exports sales of soil beans (PIS/COFINS), (ii) non-validation of tax offsets (IRPJ, PIS/COFINS); and other tax debts previously classified as possible risks related mainly to CPMF(Contribuicao provisoria sobre movimentacao financeira) and other claims - (See note 22.2). The PERT liability is being settled in monthly installments up to 12 years. The Group is in compliance with the obligations assumed under the PERT Program. |
20. Taxes payable (Details 1)
20. Taxes payable (Details 1) R$ in Millions | Dec. 31, 2020BRL (R$) |
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |
Taxes payable in installments, noncurrent | R$ 248 |
From 1 to 2 years [Member] | |
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |
Taxes payable in installments, noncurrent | 87 |
From 2 to 3 years [member] | |
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |
Taxes payable in installments, noncurrent | 73 |
From 3 To 4 Years [member] | |
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |
Taxes payable in installments, noncurrent | 25 |
From 4 To 5 Years [member] | |
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |
Taxes payable in installments, noncurrent | 12 |
After 5 Years [member] | |
TaxesAndContributionsPayableAndTaxesPayableInInstallmentsLineItems [Line Items] | |
Taxes payable in installments, noncurrent | R$ 51 |
21. Income tax and social con_3
21. Income tax and social contribution (Details) - BRL (R$) R$ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Income Tax And Social Contribution | ||||
Income (loss) before income tax and social contribution (Continued operations) | R$ 1901 | R$ 368 | R$ 83 | |
Credit (expense) of Income tax and social contribution expense at the nominal rate | (542) | 105 | (28) | |
Tax penalties | (11) | (16) | (20) | |
Share of profit of associates | 19 | (2) | 15 | |
Interest on own capital | [1] | (78) | (4) | 54 |
Tax benefits | 12 | 6 | 15 | |
Sendas spin-off | (74) | |||
Other permanent differences | 12 | 6 | 5 | |
Effective income tax and social contribution expense | (662) | 95 | 41 | |
Credit (expense) income tax and social contribution expense for the year: | ||||
Current | (371) | 249 | (41) | |
Deferred | (291) | (154) | 82 | |
Credit (expense) income tax and social contribution expense | R$ 662 | R$ 95 | R$ 41 | |
Effective rate | 34.82% | 25.82% | (49.40%) | |
[1] | Effect of income tax on interest on own capital. |
21. Income tax and social con_4
21. Income tax and social contribution (Details 1) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | R$ 337 | |||
Deferred income tax and social contribution, liabilities | (1,034) | (1,195) | ||
Deferred income tax and social contribution, net | (1,034) | (858) | R$ 225 | R$ 95 |
Tax losses and negative basis of social contribution [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | 514 | 453 | ||
Deferred income tax and social contribution, liabilities | ||||
Deferred income tax and social contribution, net | 514 | 453 | ||
Provision for contingencies [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | 376 | 321 | ||
Deferred income tax and social contribution, liabilities | ||||
Deferred income tax and social contribution, net | 376 | 321 | ||
Goodwill tax amortization [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | ||||
Deferred income tax and social contribution, liabilities | (496) | (604) | ||
Deferred income tax and social contribution, net | (496) | (604) | ||
Mark-to-market adjustment [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | ||||
Deferred income tax and social contribution, liabilities | (6) | (7) | ||
Deferred income tax and social contribution, net | (6) | (7) | ||
Technological innovation - future realization [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | ||||
Deferred income tax and social contribution, liabilities | (5) | (7) | ||
Deferred income tax and social contribution, net | (5) | (7) | ||
Fixed assets, tradename and investment property [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | ||||
Deferred income tax and social contribution, liabilities | (1,681) | (1,359) | ||
Deferred income tax and social contribution, net | (1,681) | (1,359) | ||
Unrealized gains with tax credits [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | 82 | |||
Deferred income tax and social contribution, liabilities | (402) | (322) | ||
Deferred income tax and social contribution, net | (402) | (240) | ||
Net adjustments of IFRS 16 [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | 389 | 356 | ||
Deferred income tax and social contribution, liabilities | ||||
Deferred income tax and social contribution, net | 389 | 356 | ||
Cash flow hedge [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | 11 | |||
Deferred income tax and social contribution, liabilities | (80) | |||
Deferred income tax and social contribution, net | 11 | (80) | ||
Other [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | 29 | 117 | ||
Deferred income tax and social contribution, liabilities | ||||
Deferred income tax and social contribution, net | 29 | 117 | ||
Presumed profit on equity of exito [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | 237 | 192 | ||
Deferred income tax and social contribution, liabilities | ||||
Deferred income tax and social contribution, net | 237 | 192 | ||
Deferred income tax and social contribution assets (liabilities) [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | 1,556 | 1,521 | ||
Deferred income tax and social contribution, liabilities | (2,590) | (2,379) | ||
Deferred income tax and social contribution, net | (1,034) | (858) | ||
Off-set assets and liabilities [member] | ||||
IncomeTaxAndSocialContributionLineItems [Line Items] | ||||
Deferred income tax and social contribution, assets | (1,556) | (1,184) | ||
Deferred income tax and social contribution, liabilities | 1,556 | 1,184 | ||
Deferred income tax and social contribution, net |
21. Income tax and social con_5
21. Income tax and social contribution (Details 2) R$ in Millions | Dec. 31, 2020BRL (R$) |
IncomeTaxAndSocialContributionLineItems [Line Items] | |
Recovery of deferred tax assets | R$ 1556 |
Up to one year [member] | |
IncomeTaxAndSocialContributionLineItems [Line Items] | |
Recovery of deferred tax assets | 143 |
From 1 to 2 years [Member] | |
IncomeTaxAndSocialContributionLineItems [Line Items] | |
Recovery of deferred tax assets | 238 |
From 2 to 3 years [member] | |
IncomeTaxAndSocialContributionLineItems [Line Items] | |
Recovery of deferred tax assets | 211 |
From 3 To 4 Years [member] | |
IncomeTaxAndSocialContributionLineItems [Line Items] | |
Recovery of deferred tax assets | 218 |
From 4 To 5 Years [member] | |
IncomeTaxAndSocialContributionLineItems [Line Items] | |
Recovery of deferred tax assets | 225 |
After 5 Years [member] | |
IncomeTaxAndSocialContributionLineItems [Line Items] | |
Recovery of deferred tax assets | R$ 521 |
21. Income tax and social con_6
21. Income tax and social contribution (Details 3) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax And Social Contribution | |||
Opening balance | R$ 858 | R$ 225 | R$ 95 |
Credit (expense) for the year - Continuing operations | (291) | (154) | 82 |
Credit (expense) for the year - Discontinued operations | 214 | (122) | (87) |
Tax on discontinued operations | 314 | (61) | |
Income tax related to OCI - Continuing operations | 1 | (1) | |
Income tax related to OCI - Discontinued operations | (20) | 3 | |
Acquisition of companies | (747) | ||
Exchange rate changes | (188) | (18) | |
Assets held for sale and discontinued operations | 122 | (64) | |
Deconsolidation - Sendas | 91 | ||
Others | (2) | (7) | (2) |
At the end of the period | R$ 1034 | R$ 858 | R$ 225 |
21. Income tax and social con_7
21. Income tax and social contribution (Details Narrative) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
IncomeTaxAndSocialContributionLineItems [Line Items] | |||
Description of income taxes calculated based on taxable income | 15% on taxable income plus an additional 10% on annual taxable income exceeding R$240,000 for IRPJ, and 9% for CSLL, and it is paid by each legal entity. | ||
Income tax expense | R$ 371 | R$ 249 | R$ 41 |
Nominal rate for subsidiaries | 25.00% | ||
Brazil [member] | |||
IncomeTaxAndSocialContributionLineItems [Line Items] | |||
Nominal rate for subsidiaries | 34.00% | ||
Uruguay [member] | |||
IncomeTaxAndSocialContributionLineItems [Line Items] | |||
Nominal rate for subsidiaries | 25.00% | ||
Argentina [member] | |||
IncomeTaxAndSocialContributionLineItems [Line Items] | |||
Nominal rate for subsidiaries | 30.00% | ||
Colombia [member] | |||
IncomeTaxAndSocialContributionLineItems [Line Items] | |||
Nominal rate for subsidiaries | 32.00% | ||
Via Varejo S.A. ("VV'') [member] | |||
IncomeTaxAndSocialContributionLineItems [Line Items] | |||
Income tax expense | R$ 199 |
22. Provision for contingenci_3
22. Provision for contingencies (Details) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | ||
ProvisionForContingenciesLineItems [Line Items] | |||
Provision for contingencies, beginning | R$ 1305 | R$ 1235 | |
Additions | 663 | 760 | |
Payments | (161) | (453) | |
Reversals | (220) | (566) | |
Monetary adjustment | 56 | 79 | |
Business combination | 103 | ||
Exchange rate changes | 24 | 2 | |
Deconsolidation Sendas | [1] | (282) | |
Deconsolidation Via Varejo | 145 | ||
Provision for contingencies, ending | 1,385 | 1,305 | |
Tax [member] | |||
ProvisionForContingenciesLineItems [Line Items] | |||
Provision for contingencies, beginning | 841 | 828 | |
Additions | 331 | 149 | |
Payments | (13) | (41) | |
Reversals | (67) | (274) | |
Monetary adjustment | (3) | (10) | |
Business combination | 76 | ||
Exchange rate changes | 17 | 2 | |
Deconsolidation Sendas | [1] | (169) | |
Deconsolidation Via Varejo | 111 | ||
Provision for contingencies, ending | 937 | 841 | |
Social security and labor [member] | |||
ProvisionForContingenciesLineItems [Line Items] | |||
Provision for contingencies, beginning | 319 | 291 | |
Additions | 166 | 449 | |
Payments | (75) | (328) | |
Reversals | (83) | (200) | |
Monetary adjustment | 38 | 66 | |
Business combination | 13 | ||
Exchange rate changes | 2 | ||
Deconsolidation Sendas | [1] | (64) | |
Deconsolidation Via Varejo | 28 | ||
Provision for contingencies, ending | 303 | 319 | |
Civil and Regulatory [member] | |||
ProvisionForContingenciesLineItems [Line Items] | |||
Provision for contingencies, beginning | 145 | 116 | |
Additions | 166 | 162 | |
Payments | (73) | (84) | |
Reversals | (70) | (92) | |
Monetary adjustment | 21 | 23 | |
Business combination | 14 | ||
Exchange rate changes | 5 | ||
Deconsolidation Sendas | [1] | (49) | |
Deconsolidation Via Varejo | 6 | ||
Provision for contingencies, ending | R$ 145 | R$ 145 | |
[1] | As result of the Sendas' spin-off, the balances of provisions for legal demands totaling R$ 292 were deconsolidated, of which R$179 of tax contingencies, R$64 of labor contingencies, and R$49 of civil contingencies and others. |
22. Provision for contingenci_4
22. Provision for contingencies (Details 1) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
ProvisionForContingenciesLineItems [Line Items] | ||
Judicial deposits | R$ 563 | R$ 795 |
Tax [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Judicial deposits | 123 | 242 |
Labor [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Judicial deposits | 407 | 474 |
Civil and other [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Judicial deposits | R$ 33 | R$ 79 |
22. Provision for contingenci_5
22. Provision for contingencies (Details 2) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | R$ 11935 | R$ 11024 |
Tax [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | 10,755 | 10,005 |
Labor [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | 613 | 539 |
Civil and other [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | 567 | 480 |
Property and equipment [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | 742 | 854 |
Property and equipment [member] | Tax [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | 733 | 843 |
Property and equipment [member] | Labor [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | ||
Property and equipment [member] | Civil and other [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | 9 | 11 |
Letter of guarantee [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | 11,193 | 10,170 |
Letter of guarantee [member] | Tax [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | 10,022 | 9,162 |
Letter of guarantee [member] | Labor [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | 613 | 539 |
Letter of guarantee [member] | Civil and other [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Guarantees | R$ 558 | R$ 469 |
22. Provision for contingenci_6
22. Provision for contingencies (Details Narrative) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
ProvisionForContingenciesLineItems [Line Items] | ||
Provisions for legal demands | R$ 292 | |
Description of credit recognized in the net result of discontinued operations | CBD has already recognized as of September 30, 2020, R$231 of credit for the period it is legally entitled. The credit is recognized in the net result of discontinued operations. Pending a complete justification to be provided by Via Varejo on the credits underlying this right, today the Company still has a remaining unrecorded right of R$277. | |
Accrued amount of tax lawsuits | R$ 115 | R$ 104 |
Guarantee and insurance issued | 201 | |
Civil and other [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provision for contingencies | 42 | 1,382 |
Tax [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provision for contingencies | R$ 1420 | 1,378 |
Agreements [Member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Lease term | 20 years | |
Lease additional renewal term | 20 years | |
Tax contingent liability [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Contingent liabilities possible losses amount | R$ 10081 | 10,829 |
Contingent liabilities assessments prior amount | 1,432 | 1,409 |
Contingent liabilities tax proceedings | 456 | 484 |
Contingent liabilities estimate possible losses amount | 174 | 205 |
Tax contingent liability [member] | Tax claims [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Contingent liabilities possible losses amount | 4 | 72 |
Other litigations [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Contingent liabilities possible losses amount | 374 | 403 |
Municipal service tax [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Contingent liabilities possible losses amount | 143 | 123 |
ICMS | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Contingent liabilities possible losses amount | 5,572 | 6,773 |
COFINS, PIS and IPI [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Contingent liabilities possible losses amount | 2,940 | 2,022 |
IRPJ with holding income tax [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Contingent liabilities possible losses amount | 575 | 1,055 |
INSS social security contribution [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Contingent liabilities possible losses amount | R$ 473 | 453 |
Guarantees [Member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Percentage for cost of letter of guarantees | 0.49% | |
PIS/COFINS [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Unappeasable process recorded amount | R$ 382 | |
Estimated financial effect of contingent liabilities | 198 | |
Estimated financial effect of potential value | 1,609 | 613 |
Civil other tax claims [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provision for contingencies | 145 | 145 |
Civil and other [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provisions for legal demands | 49 | |
Provision for contingencies accrued amount | 34 | 68 |
Provision for contingencies | 40 | 24 |
Provision for contingencies remaining amount | 36 | 36 |
Civil and other [member] | Exito group [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provision for contingencies | 35 | 17 |
Labor and social security taxes [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provision for contingencies | 303 | 319 |
Tax claims [member] | Exito group [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provision for contingencies | 88 | 78 |
ICMS | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provision for contingencies accrued amount | 292 | 268 |
Provision for contingencies | 27 | 50 |
Supplementary law 110/2001 [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provision for contingencies accrued amount | 60 | 96 |
Tax contingencies [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provisions for legal demands | 179 | |
Labor contingencies [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provisions for legal demands | 64 | |
Other tax claim [member] | ||
ProvisionForContingenciesLineItems [Line Items] | ||
Provision for contingencies accrued amount | R$ 470 | R$ 345 |
23. Leases (Details)
23. Leases (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
DisclosureOfLeasesLineItems [Line Items] | ||
Present value of finance lease agreements | R$ 8374 | R$ 8667 |
Future financing charges | 6,630 | 8,007 |
Gross amount of finance lease agreements | 15,004 | 16,674 |
Up to 1 year [member] | ||
DisclosureOfLeasesLineItems [Line Items] | ||
Present value of finance lease agreements | 947 | 937 |
1 to 5 years [member] | ||
DisclosureOfLeasesLineItems [Line Items] | ||
Present value of finance lease agreements | 3,053 | 2,936 |
After 5 Years [member] | ||
DisclosureOfLeasesLineItems [Line Items] | ||
Present value of finance lease agreements | R$ 4374 | R$ 4794 |
23. Leases (Details 1)
23. Leases (Details 1) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Leases | ||
Movement of leasing obligation, balance at beginnning | R$ 8667 | R$ 5787 |
Additions | 2,025 | 807 |
Remeasurement | 1,445 | 838 |
Accrued interest | 958 | 862 |
Payments | (1,680) | (1,498) |
Anticipated lease contract termination | (698) | (116) |
Business combination (Exito) | 1,817 | |
Exchange rate changes | 433 | 33 |
Deconsolidation Via Varejo | (2,776) | 137 |
Movement of leasing obligation, balance at end | 8,374 | 8,667 |
Current | 947 | 937 |
Non-current | R$ 7427 | R$ 7730 |
23. Leases (Details 2)
23. Leases (Details 2) - BRL (R$) R$ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Variable [member] | ||||
DisclosureOfLeasesLineItems [Line Items] | ||||
Lease expenses (income) | R$ 40 | R$ 19 | R$ 11 | |
Sublease rentals [member] | ||||
DisclosureOfLeasesLineItems [Line Items] | ||||
Lease expenses (income) | [1] | R$ 196 | R$ 210 | R$ 191 |
[1] | Refers to revenues from lease agreements from commercial shopping malls and spaces rented in the stores. |
23. Leases (Details Narrative)
23. Leases (Details Narrative) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
DisclosureOfLeasesLineItems [Line Items] | |||
Leasing contracts | R$ 8374 | R$ 8667 | |
interest rate | 9.41% | 10.73% | 12.61% |
Individual asset value | R$ 5 | ||
Bottom of range [member] | |||
DisclosureOfLeasesLineItems [Line Items] | |||
Lease term | 5 years | ||
Top of range [member] | |||
DisclosureOfLeasesLineItems [Line Items] | |||
Lease term | 25 years |
24. Deferred revenues (Details)
24. Deferred revenues (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
DeferredRevenueLineItems [Line Items] | ||
Deferred revenue | R$ 316 | R$ 391 |
Deferred revenue, current | 297 | 365 |
Deferred revenue, non-current | 19 | 26 |
Deferred revenue in relation to sale of real estate property [member] | ||
DeferredRevenueLineItems [Line Items] | ||
Deferred revenue | 8 | 10 |
Additional or extended warranties [member] | ||
DeferredRevenueLineItems [Line Items] | ||
Deferred revenue | 12 | 16 |
Services rendering agreement - allpark [member] | ||
DeferredRevenueLineItems [Line Items] | ||
Deferred revenue | 8 | 9 |
Revenue from credit card operators and banks [member] | ||
DeferredRevenueLineItems [Line Items] | ||
Deferred revenue | 80 | 84 |
Back lights [member] | ||
DeferredRevenueLineItems [Line Items] | ||
Deferred revenue | 142 | |
Gift card [member] | ||
DeferredRevenueLineItems [Line Items] | ||
Deferred revenue | 131 | 99 |
Others [member] | ||
DeferredRevenueLineItems [Line Items] | ||
Deferred revenue | R$ 77 | R$ 31 |
25. Shareholders' equity (Detai
25. Shareholders' equity (Details) | 12 Months Ended | |
Dec. 31, 2020sharesR$ / shares | Dec. 31, 2019R$ / shares | |
Exercise price at the grant date | R$ / shares | R$ 30.55 | |
Option Plan [Member] | ||
Exercise price at the grant date | R$ / shares | R$ 0.01 | |
Granted | 3,027,000 | |
Number of options, Exercised | (1,144,000) | |
Number of options, Cancelled | (288,000) | |
Number of options, Expired | (127,000) | |
Number of options, Outstanding | 1,468,000 | |
Option Plan [Member] | Series B4 [Member] | ||
Grant date | May 31, 2017 | |
1st date of exercise | May 31, 2020 | |
Exercise price at the grant date | R$ / shares | R$ 0.01 | |
Granted | 537,000 | |
Number of options, Exercised | (450,000) | |
Number of options, Cancelled | (55,000) | |
Number of options, Expired | (32,000) | |
Number of options, Outstanding | ||
Option Plan [Member] | Series C4 [Member] | ||
Grant date | May 31, 2017 | |
1st date of exercise | May 31, 2020 | |
Exercise price at the grant date | R$ / shares | R$ 56.78 | |
Granted | 537,000 | |
Number of options, Exercised | (382,000) | |
Number of options, Cancelled | (60,000) | |
Number of options, Expired | (95,000) | |
Number of options, Outstanding | ||
Option Plan [Member] | Series B5 [Member] | ||
Grant date | May 31, 2018 | |
1st date of exercise | May 31, 2021 | |
Exercise price at the grant date | R$ / shares | R$ 0.01 | |
Granted | 594,000 | |
Number of options, Exercised | (152,000) | |
Number of options, Cancelled | (49,000) | |
Number of options, Expired | ||
Number of options, Outstanding | 393,000 | |
Option Plan [Member] | Series C5 [Member] | ||
Grant date | May 31, 2018 | |
1st date of exercise | May 31, 2021 | |
Exercise price at the grant date | R$ / shares | R$ 62.61 | |
Granted | 594,000 | |
Number of options, Exercised | (142,000) | |
Number of options, Cancelled | (58,000) | |
Number of options, Expired | ||
Number of options, Outstanding | 394,000 | |
Option Plan [Member] | Series B6 [Member] | ||
Grant date | May 31, 2019 | |
1st date of exercise | May 31, 2022 | |
Exercise price at the grant date | R$ / shares | R$ 0.01 | |
Granted | 434,000 | |
Number of options, Exercised | (13,000) | |
Number of options, Cancelled | (29,000) | |
Number of options, Expired | ||
Number of options, Outstanding | 392,000 | |
Option Plan [Member] | Series C6 [Member] | ||
Grant date | May 31, 2019 | |
1st date of exercise | May 31, 2022 | |
Exercise price at the grant date | R$ / shares | R$ 70.62 | |
Granted | 331,000 | |
Number of options, Exercised | (5,000) | |
Number of options, Cancelled | (37,000) | |
Number of options, Expired | ||
Number of options, Outstanding | 289,000 |
25. Shareholders' equity (Det_2
25. Shareholders' equity (Details 1) - shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Number of shares | 268,352 | 267,997 |
Share Based Payment Plan-GPA [Member] | ||
Number of shares | 268,352 | 267,997 |
Balance of effective stock options granted | 1,468,000 | 2,153,000 |
Maximum percentage of dilution | 0.55% | 0.80% |
25. Shareholders' equity (Det_3
25. Shareholders' equity (Details 2) | 12 Months Ended | |
Dec. 31, 2020sharesR$ / shares | Dec. 31, 2019sharesR$ / shares | |
ChangesInEquityLineItems [Line Items] | ||
Weighted average exercise price, granted | R$ 30.55 | |
Share Based Payment Plan-GPA [Member] | ||
ChangesInEquityLineItems [Line Items] | ||
Options, outstanding, beginning | shares | 2,153,000 | |
Options, granted | shares | 765,000 | |
Options, cancelled | shares | (69,000) | (126,000) |
Options, exercised | shares | (489,000) | (1,080,000) |
Options, expired | shares | (127,000) | (161,000) |
Options, outstanding, ending | shares | 1,468,000 | 2,153,000 |
Options, exercisable | shares | 1,468,000 | 2,153,000 |
Weighted average exercise price, outstanding, beginning | R$ 30.25 | |
Weighted average exercise price, granted | R$ 30.55 | |
Weighted average exercise price, cancelled | 42.59 | 31.75 |
Weighted average exercise price, exercised | 23.93 | 21.55 |
Weighted average exercise price, expired | 42.44 | 16.74 |
Weighted average exercise price, outstanding, ending | 30.71 | 30.25 |
Weighted average exercise price, exercisable | R$ 30.71 | R$ 30.25 |
Weighted average of remaining contractual term, ending | 10 months 17 days | 1 year 6 months |
Weighted average of remaining contractual term, exercisable | 10 months 17 days | 1 year 6 months |
25. Shareholders' equity (Det_4
25. Shareholders' equity (Details 3) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2008 | |
Changes in equity [abstract] | |||
Net income (loss) for the year | R$ 2179 | R$ 790 | |
Legal reserve | (109) | (39) | |
Governmental subsidy reserve | (9) | R$ 58 | |
Calculation basis of dividends | 2,061 | 751 | |
Mandatory minimum dividends - 25% | 515 | 188 | |
Payment of interim dividends as interest on own capital, net of withholding taxes | (32) | ||
Dividends payable | R$ 515 | R$ 156 |
25. Shareholders' equity (Det_5
25. Shareholders' equity (Details Narrative) - BRL (R$) R$ / shares in Units, R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2008 | |
Subscribed and paid-up capital | 268,352 | 267,997 | |
Capital reduction amount | R$ 1216 | ||
Authorized to increase capital stock | 400,000 | ||
Authorized share capital | R$ 5650 | R$ 6857 | |
Number of shares increase | 354,000 | 1,152,000 | |
Number of shares increase, value | R$ 9 | R$ 32 | |
Percentage of legal reserve corresponds of net income | 5.00% | ||
Business growth reserve | 100.00% | ||
Cumulative effect of exchange gains and losses | R$ 1570 | 151 | |
Governmental subsidy reserve | R$ 9 | R$ 58 | |
Minimum payment of profit percentage | 25.00% | ||
Description of management proposed dividends to be distributed | Management proposed dividends to be distributed in the amount of R$515 (R$1.9217 - one real and ninety-two cents per share), | ||
Exercise price per share | R$ 30.55 | ||
Right to dividends adjusted net profit | 25.00% | ||
Share-based payment | R$ 23 | R$ 27 | |
Dividend declared to the non-controlling interests | R$ 143 | ||
Share Based Payment Plan-GPA [Member] | |||
Subscribed and paid-up capital | 268,352 | 267,997 | |
Maximum percentage of total share issued | 0.70% | ||
Number of treasury preferred shares used upon exercised option | 239,000 | ||
Preferred share market price per share | R$ 75.05 | ||
Expectation of remaining average life of the series outstanding | 10 months 17 days | 1 year 6 months | |
Weighted average fair value of options granted | R$ 58.78 | R$ 56.41 | |
Exercise price per share | R$ 30.55 | ||
Share Based Payment Plan-GPA [Member] | B6 and C6 Series [Member] | |||
Expectation of dividends rate | 0.67% | ||
Expectation of volatility rate | 32.74% | ||
Weighted average interest rate | 7.32% | ||
Vesting requirement | The plans will be exercisable in until 6 months after the end of the vesting period | ||
Share Based Payment Plan-GPA [Member] | B5 and C5 Series [Member] | |||
Expectation of dividends rate | 0.41% | ||
Expectation of volatility rate | 36.52% | ||
Weighted average interest rate | 9.29% | ||
Share Based Payment Plan-GPA [Member] | B4 and C4 Series [Member] | |||
Expectation of dividends rate | 0.57% | ||
Expectation of volatility rate | 35.19% | ||
Vesting requirement | vesting period of 18 to 36 months | ||
Option Plan [Member] | |||
Option vesting period | 36 months | ||
Description of option exercise period | May only be exercised in the period beginning on the first day of the 37 (thirty-seventh) months as from the Grant Date, and ends on the last day of the 42 (forty-second) month as of the Grant Date ("Exercise Period"), provided the exceptions included in the Compensation Plan. | ||
Exercise price per share | R$ 0.01 | ||
Description of method of settlement | the exercise price of the option is equivalent to 80% of the closing average price of the Company's preferred shares traded during twenty (20) days in B3 - Securities | ||
Compensation Plan [Member] | |||
Option vesting period | 36 months | ||
Description of option exercise period | May only be exercised in the period beginning on the first day of the 37 (thirty-seventh) month from the date of grant, through the 42 (forty-second) month from the date of grant ("Exercise Period"). | ||
Top of range [member] | |||
Percentage of legal reserve corresponds of net income | 20.00% | ||
Top of range [member] | Share Based Payment Plan-GPA [Member] | B4 and C4 Series [Member] | |||
Weighted average interest rate | 10.07% | ||
Bottom of range [member] | Share Based Payment Plan-GPA [Member] | B4 and C4 Series [Member] | |||
Weighted average interest rate | 9.28% |
26. Revenue from the sale of _3
26. Revenue from the sale of goods and / or services (Details) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
RevenueLineItems [Line Items] | |||
Revenues | R$ 51253 | R$ 28838 | R$ 26490 |
Goods [member] | |||
RevenueLineItems [Line Items] | |||
Revenues | 54,466 | 30,826 | 28,686 |
Services rendered [member] | |||
RevenueLineItems [Line Items] | |||
Revenues | 1,608 | 555 | 440 |
Sales returns and cancellations [member] | |||
RevenueLineItems [Line Items] | |||
Revenues | (342) | (216) | (433) |
Taxes on sales [member] | |||
RevenueLineItems [Line Items] | |||
Revenues | (4,479) | (2,327) | (2,203) |
Gross sales [member] | |||
RevenueLineItems [Line Items] | |||
Revenues | R$ 55732 | R$ 31165 | R$ 28693 |
27. Expenses by nature (Details
27. Expenses by nature (Details) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
ExpenseByNatureLineItems [Line Items] | |||
Cost of sales | R$ 37504 | R$ 21225 | R$ 19046 |
Selling expenses | (7,755) | (5,166) | (4,655) |
General and administrative expenses | (1,588) | (532) | (741) |
Operating expense | (46,847) | (26,923) | (24,442) |
Cost of inventories [member] | |||
ExpenseByNatureLineItems [Line Items] | |||
Operating expense | (35,357) | (19,893) | (17,498) |
Personnel expenses [member] | |||
ExpenseByNatureLineItems [Line Items] | |||
Operating expense | (5,500) | (3,607) | (3,485) |
Outsourced services [member] | |||
ExpenseByNatureLineItems [Line Items] | |||
Operating expense | (838) | (438) | (485) |
Overhead expenses [member] | |||
ExpenseByNatureLineItems [Line Items] | |||
Operating expense | (2,214) | (1,361) | (1,086) |
Commercial expenses [member] | |||
ExpenseByNatureLineItems [Line Items] | |||
Operating expense | (1,690) | (1,074) | (1,003) |
Other expenses [member] | |||
ExpenseByNatureLineItems [Line Items] | |||
Operating expense | R$ 1248 | R$ 550 | R$ 635 |
28. Other operating expenses,_3
28. Other operating expenses, net (Details) - BRL (R$) R$ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
OtherOperatingExpensesNetLineItems [Line Items] | ||||
Other operating expenses, net | R$ 71 | R$ 386 | R$ 199 | |
Tax installments and other tax risks [member] | ||||
OtherOperatingExpensesNetLineItems [Line Items] | ||||
Other operating expenses, net | (374) | (158) | (217) | |
Restructuring expenses [member] | ||||
OtherOperatingExpensesNetLineItems [Line Items] | ||||
Other operating expenses, net | [1] | (454) | (267) | (142) |
Gain on disposal of property and equipment [member] | ||||
OtherOperatingExpensesNetLineItems [Line Items] | ||||
Other operating expenses, net | [2] | 378 | 39 | 160 |
Corporate reorganization [member] | ||||
OtherOperatingExpensesNetLineItems [Line Items] | ||||
Other operating expenses, net | [3] | 513 | ||
Prevention spending - covid-19 [member] | ||||
OtherOperatingExpensesNetLineItems [Line Items] | ||||
Other operating expenses, net | [4] | R$ 134 | ||
[1] | amounts related to restructuring expenses in the Brazilian operations and those incurred in connection with the acquisition of Exito Group. | |||
[2] | The net gain on disposal of fixed assets was mainly impacted by Sale and Leaseback operations in the amount of R$187 (see note 1.3), disposal of 3 stores in the city of Curitiba in the amount of R$68 and the disposal of 2 non-core properties in the city of Sao Paulo in the amount of R$190 (see note 32), R$45 in 2019. | |||
[3] | Impacts related to the spin-off of Sendas totaled revenue of R$513 including (i) revaluation of the remaining held in FIC by IFRS10 (50% of the interest held in GPA was transferred to Sendas at fair value price) in the amount of R$573 (see note 1.1) and (ii) costs related to the spin-off (expenses of R$60). | |||
[4] | The expenses incurred as a consequence of the pandemic refer to the purchase of individual protection items and adaptation of the stores, expenses with overtime, expenses with internal and external communication, incremental expenses with transportation and with cleaning and sanitation services. |
28. Other operating expenses,_4
28. Other operating expenses, net (Details Narrative) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
OtherOperatingExpensesNetLineItems [Line Items] | |||
Sale lease | R$ 190 | R$ 45 | |
Net gain on disposal of fixed assets | R$ 187 | R$ 68 | |
Interest rate | 9.41% | 10.73% | 12.61% |
Costs related to expenses | R$ 37504 | R$ 21225 | R$ 19046 |
Sendas [member] | |||
OtherOperatingExpensesNetLineItems [Line Items] | |||
Sale lease | R$ 513 | ||
Interest rate | 50.00% | ||
Costs related to expenses | R$ 60 |
29. Financial income (expense_3
29. Financial income (expenses), net (Details) - BRL (R$) R$ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
FinancialIncomeExpensesNetLineItems [Line Items] | ||||
Total financial expenses | R$ 1637 | R$ 1224 | R$ 1095 | |
Total financial income | 909 | 353 | 193 | |
Financial results, net | (728) | (871) | (902) | |
Cost of debt [member] | ||||
FinancialIncomeExpensesNetLineItems [Line Items] | ||||
Total financial expenses | (387) | (337) | (327) | |
Cost of the discounting receivables [member] | ||||
FinancialIncomeExpensesNetLineItems [Line Items] | ||||
Total financial expenses | (58) | (101) | (114) | |
Monetary restatement loss [member] | ||||
FinancialIncomeExpensesNetLineItems [Line Items] | ||||
Total financial expenses | (265) | (151) | (89) | |
Interest on lease liabilities [member] | ||||
FinancialIncomeExpensesNetLineItems [Line Items] | ||||
Total financial expenses | (729) | (528) | (494) | |
Other finance expenses [member] | ||||
FinancialIncomeExpensesNetLineItems [Line Items] | ||||
Total financial expenses | (198) | (107) | (71) | |
Income from short term instruments [member] | ||||
FinancialIncomeExpensesNetLineItems [Line Items] | ||||
Total financial income | 152 | 111 | 23 | |
Monetary restatement gain [member] | ||||
FinancialIncomeExpensesNetLineItems [Line Items] | ||||
Total financial income | [1] | 749 | 234 | 162 |
Other financial income [member] | ||||
FinancialIncomeExpensesNetLineItems [Line Items] | ||||
Total financial income | R$ 8 | R$ 8 | R$ 8 | |
[1] | On October 29, 2020, the lawsuit had an unappeasable decision in favor of the Company, granting a tax credit in the amount of R$ 1,609, net of the provisions for portions considered unrealizable being R$613 in the financial result. |
29. Financial income (expense_4
29. Financial income (expenses), net (Details Narrative) R$ in Millions | Oct. 29, 2020BRL (R$) |
Financial Income Expenses Net Details Narrative Abstract | |
Granting tax credit | R$ 1609 |
Provisions for portions considered unrealizable | R$ 613 |
30. Earnings per share (Details
30. Earnings per share (Details) - BRL (R$) R$ / shares in Units, R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Basic numerator | |||
Net income (loss) allocated to controlling shareholder - continuing operations | R$ 1092 | R$ 287 | R$ 124 |
Net income allocated to controlling shareholder - discontinued operations | 1,087 | 1,077 | 1,025 |
Net income allocated to controlling shareholder | R$ 2179 | R$ 790 | R$ 1149 |
Basic denominator (millions of shares) | |||
Weighted average of shares | 268 | 267 | 266 |
Basic earnings per share (R$) - continuing operations | R$ 4.07575 | R$ 1.07463 | R$ 0.46546 |
Basic earnings per share (R$) - discontinued operations | 4.05709 | 4.03267 | 3.84673 |
Basic earnings per share (R$) - total | R$ 8.13283 | R$ 2.95804 | R$ 4.31209 |
Diluted numerator | |||
Net income (loss) allocated to ordinary controlling shareholders - continuing operations | R$ 1092 | R$ 287 | R$ 124 |
Net income allocated to ordinary controlling shareholders - discontinued operations | 1,087 | 1,077 | 1,025 |
Net income allocated to ordinary controlling shareholders | R$ 2179 | R$ 790 | R$ 1149 |
Diluted denominator | |||
Weighted average of shares (in millions) | 268 | 267 | 266 |
Stock option (in millions) | 1 | 1 | 1 |
Diluted weighted average of shares (millions) | 269 | 268 | 267 |
Diluted earnings per share (R$) - continuing operations (in R$ per shares) | R$ 4.06984 | R$ 1.07337 | R$ 0.46337 |
Diluted earnings per share (R$) - discontinued operations (in R$ per shares) | 4.0512 | 4.02728 | 3.83024 |
Diluted earnings per share (R$) - total (in R$ per shares) | R$ 8.12104 | R$ 2.95391 | R$ 4.29361 |
31. Segment information (Detail
31. Segment information (Details) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of operating segments [line items] | |||
Net operating revenue | R$ 51253 | R$ 28838 | R$ 26490 |
Gross profit | 13,749 | 7,613 | 7,444 |
Depreciation and amortization | (1,804) | (1,028) | (892) |
Operating income | 2,531 | 501 | 957 |
Net financial expenses | (728) | (871) | (902) |
Profit(loss) before income tax and social contribution | 1,901 | (368) | 83 |
Share of profit of associates | 98 | 2 | 28 |
Income tax and social contribution | (662) | 95 | 41 |
Net income (loss) for continuing operations | 1,239 | (273) | 124 |
Net income (loss) from discontinued operations | 1,087 | 1,109 | 1,160 |
Net income (loss) of year end | 2,326 | 836 | 1,284 |
Current assets | 17,857 | 19,968 | 40,518 |
Non-current assets | 35,654 | 38,507 | 21,139 |
Current liabilities | 18,699 | 23,135 | 37,256 |
Non-current liabilities | 18,005 | 21,792 | 11,242 |
Shareholders' equity | 16,807 | 13,548 | 13,159 |
Retail [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | 29,170 | 26,654 | 26,490 |
Gross profit | 8,219 | 7,005 | 7,444 |
Depreciation and amortization | (1,069) | (967) | (892) |
Operating income | 2,016 | 467 | 957 |
Net financial expenses | (386) | (815) | (902) |
Profit(loss) before income tax and social contribution | 1,748 | (241) | 134 |
Share of profit of associates | 118 | 107 | 79 |
Income tax and social contribution | (559) | 121 | 41 |
Net income (loss) for continuing operations | 1,189 | (120) | 175 |
Net income (loss) from discontinued operations | 85 | 312 | (73) |
Net income (loss) of year end | 1,274 | 192 | 102 |
Current assets | 9,747 | 8,002 | 7,529 |
Non-current assets | 16,672 | 15,568 | 15,138 |
Current liabilities | 8,789 | 11,557 | 8,358 |
Non-current liabilities | 14,390 | 9,810 | 9,834 |
Shareholders' equity | 3,240 | 2,203 | 4,475 |
Exito group [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | 22,034 | 2,151 | |
Gross profit | 5,508 | 609 | |
Depreciation and amortization | (729) | (60) | |
Operating income | 652 | 90 | |
Net financial expenses | (340) | (57) | |
Profit(loss) before income tax and social contribution | 339 | 27 | |
Share of profit of associates | 27 | (6) | |
Income tax and social contribution | (110) | (28) | |
Net income (loss) for continuing operations | 229 | (1) | |
Net income (loss) from discontinued operations | (1) | ||
Net income (loss) of year end | 228 | (1) | |
Current assets | 8,015 | 6,664 | |
Non-current assets | 18,930 | 15,438 | |
Current liabilities | 9,729 | 7,252 | |
Non-current liabilities | 3,620 | 9,686 | |
Shareholders' equity | 13,596 | 5,164 | |
Others Business [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | 49 | 33 | |
Gross profit | 22 | (1) | |
Depreciation and amortization | (6) | (1) | |
Operating income | (137) | (56) | |
Net financial expenses | (2) | 1 | |
Profit(loss) before income tax and social contribution | (186) | (154) | (51) |
Share of profit of associates | (47) | (99) | (51) |
Income tax and social contribution | 7 | 2 | |
Net income (loss) for continuing operations | (179) | (152) | (51) |
Net income (loss) from discontinued operations | |||
Net income (loss) of year end | (179) | (152) | (51) |
Current assets | 95 | 10 | |
Non-current assets | 52 | 26 | |
Current liabilities | 181 | 9 | |
Non-current liabilities | (5) | 1 | |
Shareholders' equity | (29) | 26 | |
Discontinued operations [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | |||
Net income (loss) for continuing operations | |||
Net income (loss) from discontinued operations | 1,003 | 797 | 1,233 |
Net income (loss) of year end | 1,003 | 797 | 1,233 |
Current assets | 5,292 | 28,813 | |
Non-current assets | 7,475 | ||
Current liabilities | 4,317 | 23,602 | |
Non-current liabilities | 2,295 | ||
Shareholders' equity | R$ 6155 | R$ 5211 |
31. Segment information (Deta_2
31. Segment information (Details 1) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of operating segments [line items] | |||
Net operating revenue | R$ 51253 | R$ 28838 | R$ 26490 |
Exito group [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | 22,034 | 2,151 | |
Brazil [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | 29,219 | 26,687 | 26,490 |
Retail [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | 29,170 | 26,654 | 26,490 |
Others Business [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | 49 | 33 | |
Colombia [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | 17,062 | 1,694 | |
Uruguay [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | 3,746 | 350 | |
Argentina [member] | |||
Disclosure of operating segments [line items] | |||
Net operating revenue | R$ 1226 | R$ 107 |
33. Non-current assets held f_3
33. Non-current assets held for sale and discontinued operations (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
NonCurrentAssetsHeldForSaleAndDiscontinuedOperationsLineItems [Line Items] | ||
Total non-current assets classified as held for sale | R$ 109 | R$ 223 |
Properties / lands held for sale [member] | ||
NonCurrentAssetsHeldForSaleAndDiscontinuedOperationsLineItems [Line Items] | ||
Total non-current assets classified as held for sale | 78 | 171 |
Real estate developments held for sale - exito [member] | ||
NonCurrentAssetsHeldForSaleAndDiscontinuedOperationsLineItems [Line Items] | ||
Total non-current assets classified as held for sale | R$ 31 | R$ 52 |
34. Discontinued operations (De
34. Discontinued operations (Details) - BRL (R$) R$ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | May 31, 2019 | Dec. 31, 2018 | |
Current Assets | |||||
Total current assets | R$ 17857 | R$ 19968 | R$ 40518 | ||
Noncurrent | |||||
Total noncurrent assets | 35,654 | 38,507 | 21,139 | ||
Total assets | 53,511 | 58,475 | |||
Current | |||||
Total current liabilities | 18,699 | 23,135 | 37,256 | ||
Noncurrent | |||||
Total noncurrent liabilities | 18,005 | 21,792 | 11,242 | ||
Shareholders' equity | 16,807 | 13,548 | R$ 13159 | ||
Total liabilities and shareholders' equity | R$ 53511 | R$ 58475 | |||
Discontinued operations [member] | Via Varejo S.A. ("VV'') [member] | |||||
Current Assets | |||||
Total current assets | [1] | R$ 9871 | |||
Noncurrent | |||||
Total noncurrent assets | [1] | 16,266 | |||
Total assets | [1] | 26,137 | |||
Current | |||||
Total current liabilities | [1] | 13,484 | |||
Noncurrent | |||||
Total noncurrent liabilities | [1] | 7,375 | |||
Shareholders' equity | [1] | 5,278 | |||
Total liabilities and shareholders' equity | [1] | R$ 26137 | |||
[1] | Prior to elimination of GPA related party balances. |
34. Discontinued operations (_2
34. Discontinued operations (Details 1) - BRL (R$) R$ in Millions | 5 Months Ended | 12 Months Ended | ||
May 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of analysis of single amount of discontinued operations [line items] | ||||
Cash flow provided by (used in) operating activities | R$ 4742 | R$ 1135 | R$ 4267 | |
Net cash provided by (used in) investing activities | (4,291) | (3,266) | (1,897) | |
Net cash provided by (used in) financing activities | (281) | 1,894 | (1,641) | |
Cash variation in the period | 170 | (237) | 729 | |
Discontinued operations [member] | Via Varejo S.A. ("VV'') [member] | ||||
Disclosure of analysis of single amount of discontinued operations [line items] | ||||
Cash flow provided by (used in) operating activities | R$ 2640 | 1,609 | ||
Net cash provided by (used in) investing activities | (234) | (590) | ||
Net cash provided by (used in) financing activities | (651) | (867) | ||
Cash variation in the period | R$ 3525 | 152 | ||
Discontinued operations [member] | Sendas [member] | ||||
Disclosure of analysis of single amount of discontinued operations [line items] | ||||
Cash flow provided by (used in) operating activities | 4,191 | (5,560) | 1,548 | |
Net cash provided by (used in) investing activities | (695) | (965) | (925) | |
Net cash provided by (used in) financing activities | (1,827) | 6,986 | (97) | |
Cash variation in the period | R$ 1669 | R$ 461 | R$ 526 |
34. Discontinued operations (_3
34. Discontinued operations (Details 2) - BRL (R$) R$ in Millions | 5 Months Ended | 12 Months Ended | ||
May 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of analysis of single amount of discontinued operations [line items] | ||||
Net operating revenue | R$ 51253 | R$ 28838 | R$ 26490 | |
Net income before income tax and social contribution | 1,901 | (368) | 83 | |
Income tax and social contribution | 662 | (95) | (41) | |
Net income for the year | 2,326 | 836 | 1,284 | |
Net income from discontinued operations presented in the consolidated income statement of the Company | 1,087 | 1,109 | 1,160 | |
Attributable to: | ||||
Participation of non-controlling shareholders | 32 | 135 | ||
Discontinued operations [member] | Via Varejo S.A. ("VV'') [member] | ||||
Disclosure of analysis of single amount of discontinued operations [line items] | ||||
Net operating revenue | R$ 10527 | 26,928 | ||
Net income before income tax and social contribution | 169 | 341 | ||
Income tax and social contribution | (119) | (101) | ||
Net income for the year | R$ 50 | 50 | 240 | |
Discontinued operations [member] | Sendas [member] | ||||
Disclosure of analysis of single amount of discontinued operations [line items] | ||||
Net operating revenue | 35,950 | 27,806 | 22,900 | |
Net income before income tax and social contribution | 1,315 | 1,128 | 1,487 | |
Income tax and social contribution | (312) | (367) | (455) | |
Net income for the year | 1,003 | 761 | 1,032 | |
Other results from discontinued operations | 84 | (100) | (112) | |
Gain on the sale of discontinued operations (note 12.4) | 398 | |||
Net income from discontinued operations presented in the consolidated income statement of the Company | 1,087 | 1,109 | 1,160 | |
Attributable to: | ||||
Controlling shareholders of the Company | 1,087 | 1,077 | 1,025 | |
Participation of non-controlling shareholders | R$ 32 | R$ 135 |
34. Discontinued operations (_4
34. Discontinued operations (Details Narrative) - Discontinued operations [member] - Sendas [member] - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of analysis of single amount of discontinued operations [line items] | |||
Other results from discontinued operations | R$ 84 | R$ 100 | R$ 112 |
Gain on discontinued operation | 231 | ||
Discontinued operation, net | R$ 173 |
35. Insurance coverage (Details
35. Insurance coverage (Details) R$ in Millions | 12 Months Ended | |
Dec. 31, 2020BRL (R$) | ||
Property and equipment and inventories [member] | ||
Disclosure of types of insurance contracts [line items] | ||
Covered risks | Operating risks | |
Amount insured | R$ 16438 | |
Business interruption [member] | ||
Disclosure of types of insurance contracts [line items] | ||
Covered risks | Loss of profits | |
Amount insured | R$ 13110 | |
Cars and others [member] | ||
Disclosure of types of insurance contracts [line items] | ||
Covered risks | Damages | [1] |
Amount insured | R$ 337 | [1] |
[1] | The value reported above does not include coverage of the hulls, which are insured by the value of 100% of the Foundation Institute of Economic Research - FIPE table. |
35. Insurance coverage (Detai_2
35. Insurance coverage (Details Narrative) R$ in Millions | 12 Months Ended |
Dec. 31, 2020BRL (R$) | |
Disclosure of types of insurance contracts [line items] | |
Insurance policies | R$ 315 |
General civil liability [member] | |
Disclosure of types of insurance contracts [line items] | |
Insurance policies | 100 |
Civil responsibility [member] | |
Disclosure of types of insurance contracts [line items] | |
Insurance policies | 134 |
Fraud and risk (criminal) [member] | |
Disclosure of types of insurance contracts [line items] | |
Insurance policies | 44 |
Damage protection and cybersecurity responsibility (cyber) [member] | |
Disclosure of types of insurance contracts [line items] | |
Insurance policies | R$ 37 |
36. Subsequent events (Details
36. Subsequent events (Details Narrative) | Apr. 28, 2021 |
Events After Reporting Period [Member] | |
IfrsStatementLineItems [Line Items] | |
Disclosure of Annual and Extraordinary General Meeting | At the Annual and Extraordinary General Meeting held on April 28, 2021, it was approved the distribution of dividends and interest on equity (“EI”) in the amount of R$584 for the fiscal year ended December 31, 2020, as follows: (i) the amount of R$ 128, corresponding to R$ 0.475788964 per share, to be paid as dividends; (ii) the gross amount of R$ 456, corresponding to R$1.701093954 per share, to be paid as EI. From such gross amount, it will be deducted the amount related to withhold taxes (“IRRF” - “Imposto de Renda Retido na Fonte”), pursuant to the law in force, with the exception of the shareholders that are immune and/or exempt. |