Almacenes Exito SA (EXTO) 2022 Q1 法說會逐字稿

Welcome to the Grupo Exito's First Quarter 2022 Results Conference Call. My name is Sylvia, and I'll be operator for today's call. (Operator Instructions) Please note that this conference is being recorded. I will now turn the call over to Maria Fernanda Moreno, Investor Relations Manager. Ms. Moreno, you may begin.

Thank you, Sylvia, and good morning to everyone. Thank you for joining us today for Grupo Exito's First Quarter's Call. At this time, I'm pleased to present, our Chief Executive Officer, Mr. Carlos Mario Giraldo; and Chief Financial Officer, Mr. Ruy Souza.

Now please move to Slide #3 to see the agenda. We will cover Grupo Exito's financial and operating highlights, performance by country and consolidated financial results for the first quarter operations in Colombia, Uruguay and Argentina. The call will conclude with the Q&A session. Thank you for your attention. I will now turn the call over to Mr. Carlos Maria Giraldo.

Yes. Thank you very much to you all for being present for this call about our Q1 results. I will go to Slide #4 and speak about the main highlights of the quarter. Definitely, it was a historic retail growth in the sales of Grupo Exito with a total same-store sales growth of 20.6%, driven by innovation in our formats by omnichannel, a penetration of double digit even with open stores, it maintains a top LATAM double-digit share and by the contribution of our complementary businesses.

Our EBITDA grew by 15.8% with a margin of 7.7%. If we adjust this EBITDA by the development fees and sale of real state property and exclude from the base and from this first quarter, the increase in the EBITDA will be 35%, which maintains a very good trend of profitable growth for the organization as we have seen in the previous quarters of last year.

If we go to Slide #5, we speak about our ESG initiatives, our environmental, social and governance. First, speaking about our social initiatives I would highlight that we continue to work in the zero malnutrition vision for Colombia supporting the first of children in Colombia in Nutrition.

This first quarter, we supported 24,000 children with a total investment of COP 3,800 million. Also in the social part, we were granted with the gold field of Equipares which is a program by the Ministry of Works, which recognizes the company which are leading the trend in the equality of gender in Colombia, not only in their policy, but also in the practice in the company.

We launched jointly with the Colombian Government, a brand which is called Paissana which was developed by Exito but has been donated to the Colombian state so that it will be an umbrella brand for all the products that come from the territories of reincorporation in Colombia. Exito will lead this brand with corners in the most important stores of the country, but it will be available for any other retailer and even for export in the future.

We tried to give value to this production coming from the Campesinos in the different reincorporated areas of Colombia. In the environmental side, I would highlight that we continue to lead recycling in Colombia with almost 5,000 tonnes in this first quarter, both of carton and of plastics and that we launched with the Ministry of Environment and with Celsia, a program to be able to introduce 1 million trees into different areas, of course, in Colombia.

This is open to our customers, and we are inviting our customers to redeem directly trees. And in the first 1.5 weeks, more than 50,000 trees have already been redeemed. This is important because it gives (inaudible) the visibility to this environmental importance of Colombia within the country goal of having more than 180,000 trees in the following 4 years.

In the government's part, the main point is our buyback share program, which has been already announced and will be executed in the following months where the main governance highlight is that all shareholders will receive equal treatment and that the evaluation to establish the price of the buyback will be done with the support of our third party independent valuator.

Going to Slide #6. We speak about the Colombian commercial performance and the strong dynamics that we are living in our sales in Colombia. Sales in Colombia increased by 20% in same-store sales. And even if there's an important inflation in the country, our volumes went up 7.4%, which shows the strength of the commercial strategy of the company.

This comes in the middle also of same-store sales market share gain during the first quarter. It is important to highlight that while the country has until March 12-month food inflation a little above 25%, the inflation of Exito to the market is 15.9%. This is more than 9 points below the Colombian food inflation.

This makes us competitive in pricing. But at the same time, it takes us to protect the acquisitive capacity of our customers. In the 12 months, we have opened 57 stores. And as we said, we will be opening near to 60 stores during the year including 6 stores that we will operate and that belonged to (inaudible) region in the past.

Going to Slide #7. We will be looking in detail to the growth in the different segments and brands of the company. The interesting thing is that we see a very stable growth in the three segments, and there's no segment that underperforms. For example, in the premium segment, Carulla had a growth of 15.7%. In the mid-market segment, our Exito brand showed growth of 20.4% and a low-cost segment that includes our brands Cash & Carry, Surtimax, Super Inter and Aliados has shown a growth of 23%, a little above the rest of the segment and probably entering to market trends.

Surtimayorista, within this low segment, has the highest growth with a very strong 41% same-store sales that we believe will go forward at least during the next months. If we go to Slide #8, we speak about our innovation formats. As you know, we have been consistent in the last years by doing a WOW innovation in the hypermarket, which is one of the scarce and important innovation for hypermarkets in the world, an innovation for our premium Carulla brand through the Fresh Market and for Super Inter to the Vecino, very popular supermarket proposition.

As a whole, our innovation formats now account for 1/3 of the total sales of the company that is after this year, it has become absolutely material. Looking at Exito WOW, now the Exito WOW stores sum up 29.5% of the share of the Exito sales. They grow those stores that have been opened for more than 24 months, have a growth which is 30 percentage points above the rest of the Exito stores, so it has a high impact in growth and an ROI of 31%, so it's a very profitable growth proposition.

Looking forward, we have a potential in the next 5 years to take into the WOW concept a potential 131 stores, that is 32 stores with a full WOW concept for big hypermarkets and 99 stores with a midsized economic but very aspirational proposition in other hypermarket of Exito.

Looking at Carulla FreshMarket, it now accounts for near to 46% of the share of Carulla, so it will be the first brand and format to arrive to more than half of the sales under the innovation format. It has a potential in the following years, 5 years of conversion of 58 stores, 16 full site Carullas and 42 midsized Carulla. Those Carulla FreshMarket that have been opened for more than 24 months have a growth of 12.6% percentage points above the rest of the Carulla stores.

And as a whole, the FreshMarket has an ROI of 10%. Our Super Inter Vecino has now a 47% share of all Super Inter sales. We have a potential of 40 more Super Inter of then 30 new Super Inter stores in the following years, and it has also a growth of 12.9 percentage points of those stores under the Vecino concept, if we compare the first quarter of 2022 against the first quarter of 2021.

We still do not have Super Inter stores with more than 2 years because it was the newest of our innovation proposition. It's also important to speak about Cash & Carry. Cash & Carry is now arriving to its fifth year performance in the company, and our Surtimayorista Cash & Carry is accounting now to near to 5% of the total Exito sales.

Really, it will be one of the most important expansion format for the company, given the good success it is having both with end consumer and with professional hotel, restaurants and mom-and-pop customers. We have a potential of 75 cash and carries, as we see it today in the following 5 years. And as a whole, this cash and carries, those that were converted from other brands have 2.1x the sales per square meter that they had against the previous brand, if we look at period of 24 months.

The ROI of cash & carry is very positive with a 13.7% given especially that it is a format with a low investment per dfor square meters. If we go to Slide #9. We speak about omnichannel, omni customers...

Okay, I will continue. I hope you're hearing me. So in this omichannel strategy, what I was saying is that the growth of 8.8% is very interesting. If we understand now that it comes in a moment where all the stores -- the typical store sales are open.

We had a total of 2.6 million deliveries for the quarter, and the share of sales in omnichannel were 9.6% in food and 16% in nonfood. The food chair is in the top of the Latin American format for food sales in omnichannel alternatives that is last mile e-commerce and Click & Collect as we combine all these forms of alternatives for our customers.

In Slide #10, we see some of the initiatives in omnichannel strategy. Our app of Exito and Carulla now have 1.7 million downloads and they are absolutely a priority for us. Our marketplace has a share of 22% of nonfood that Click & Collect service that is when we have a command or when we have the services from our customers in any of the different means e-commerce, marketplace, over the app or WhatsApp, et cetera, and it's delivered at the store that the customer selects, which is a real competitive advantage against pure-player of e-commerce, both in food and nonfood. And our click and carry now account for 1/4 of the total sales in omnichannel for the company.

The last mile initiative with our partner is service (inaudible) We call it (inaudible) It is (inaudible) service now accounted 30% of the total sales that we do in allaince with Rappi in food.

On to Slide #11. We speak about the monetization that is how we profit from our square meters of stores and also from the visit of our customers, both off and online. Here, what is important to say is that Tuya, our financial service, our financial business accounts 2.8 million in credit cards and loan portfolio accounts COP 4.1 billion with an increase -- a very dynamic increase of 36% or the Tuya (inaudible) which will be turned into (inaudible) in the near future now has near to 1 million customers, and it is the (inaudible) wallet, digital wallet coming from our (inaudible).

And the banking sector, becomes very important for Tuya. (inaudible) customers to be (inaudible) or redeem to Colombia and pay for that service. We have now, including Columbia, 5.7 million active customers (inaudible) and these customers (inaudible) against the cost per that we have in the same quarter last year.

(inaudible) low double case EBITDA margin, which is very positive at this point. I will turn the call out to Ruy De Souza, our CFO, and then come back for completion.

(inaudible) Thank you for being with us. (inaudible) business and how it is composed at the complete (inaudible) for our estate business (inaudible) One is regarding development fees and property commercialization and the other (inaudible) rentals and initiatives fees that we have within the business.

The total gross visible area for the whole business is 763,000 square meters with regards to shopping malls and commercial galleries. The occupancy rate for the Q1 (inaudible) Okay. So getting back to Slide 12, we're talking about the real estate business, maintaining that the total gross visible area for the whole business is 763,000 square meters, which regards shopping malls and commercial galleries.

The occupancy rate for the Q1 closing was 93%, almost reaching the pre-pandemic levels. And revenue from rentals and administrative fees grew 34% versus last year. And we also had, during the first quarter of 2022, COP 26,000 million of revenues from property sales and COP 33,000 million of development fees during this first quarter of the year.

As part of our real estate business, we have the investment vehicle called Viva Malls that accounts for 568,000 square meters within 18 assets. This is part of the total business which I was mentioning that has 763,000 square meters. For Viva Malls, we will begin to disclose the figures from now on. Viva Malls completed 5 years by the end of 2021. And now it is enough mature to start to speak about the main figures.

So beginning with 2021, just for you to have the full year perspective, Viva Malls had COP 289,000 million of revenues and COP 183,000 million of EBITDA, which is a comparable margin to the market of 79% when we adjust the billing of common areas expenses. Viva Malls, during 2021, represented almost 12% of the recurring EBITDA of the company.

For the first quarter, the performance of Viva Malls was very positive. Revenues grew 21.3% and EBITDA grew 51.2%. Here, it's important to mention that all the property taxes for the whole year is accounted and accrued on the Q1. This is why the Q1 margin is below the full year margin that we expect actually that this year will be comparable or above 2021.

Now moving on to Slide 13 to review our main highlights in terms of financial performance in Colombia. I would like to highlight that the EBITDA grew 8.4% or a strong 31.7% when we adjust the development fees and property sales from both years. In Colombia, during the Q1, the sales performance was once again boosted by the innovative formats together with the contribution of omnichannel, which persists even with the reopening of brick-and-mortar stores to full potential.

The Colombian perimeter posted 20.8% of net sales growth and an impressive 7.4% of volume growth. The gross margin evolution was minus 162 basis points. This is explained by a roughly stable margin in (inaudible) segment and the lower income from the real estate development that (inaudible) you can see that the evolution, the growth was below the sales evolution, which leads to an improvement of 130 bps in terms of rates, leading EBITDA to 7.4% margin, [33] bps below 2021, but (inaudible) above 2020 and 80 bps above 2019, which is a very good long-term perspective.

When we see the evolution versus next year, it is explained by a positive profitability on the real (inaudible) retail basis COP [938,000] million, but from the ordinary (inaudible) on the real estate development activity, which is why we were talking about adjusting the EBITDA evolution in the first time.

So moving to Slide 14 now talking about Uruguay. The main highlight here is that EBITDA margin grew 84 basis points to a solid 11.4% margin, which is also above the fourth quarter of 2020. Uruguay net revenues grew [6%] in Colombian pesos, thanks to a same-store sales growth in local currency, up 11.8%, which is also above local inflation.

This was boosted by a better (inaudible) compared to last year, although this is still below pre-pandemic levels, and it was also boosted by the omnichannel evolution in Uruguay, which was a plus 10.5% growth and also by the consistent contribution of the Fresh Market stores in that country.

In terms of gross margin, you can see that it was pretty much stable and the top line performance contributed to the expense dilution and improvement in terms of rates by 87 bps that explains basically the evolution in terms of EBITDA. The EBITDA for the Uruguayan perimeter reached COP 86,000 million for the first quarter.

Now going on to Slide #15. We see that Argentina also posted a strong EBITDA margin evolution of 244 basis points from improved retail and real estate performance. EBITDA margin for the first quarter was also above 2020, which means that the business is fully recalled from the pandemic situation.

In terms of same-store sales in Argentina, we posted a 63.1% growth in local currency, which is above inflation. And for the third consecutive quarter, in real estate, we also had a good performance during the first quarter and the occupancy rate reached almost 90%. The gross margin for the quarter improved 84 basis points, thanks to higher volumes and higher contribution from the real estate and expenses grew below sales and improved 149 basis points in terms of [price]. In terms of EBITDA, the result for the quarter was a positive COP 7,000 million compared to 0 last year.

To review our consolidated results, let's move on to Slide #16. The main highlight is obviously the EBITDA evolution. EBITDA grew 15.8% or 35% when we adjust from the real estate development fees from both years. The EBITDA evolution is explained as I was mentioning in the Colombian perimeter by a positive COP 57,000 million contribution from the -- sorry, from the retail business, a positive COP 24,000 million from the ordinary activity of the complementary businesses and a COP 33,000 million reductions from the real estate development activities.

This is how we explain evolution from COP [306,000] last year to COP 355,000 million this year. It is also important to mention, we compare EBITDA to the previous 3 years, the margin for the first quarter of 2022 was 7.7%, 30 bps below last year. However, 120 above 2020 and 70 bps above 2019.

As I mentioned before, net revenues grew above inflation in all 3 countries to a consolidated growth of 20.5% and gross margin presented a decrease of 109 bps due to the reduction on the development fees, while in expenses, we see an improvement of 110 basis points. Finally, the net group share results reached a solid COP 65,000 million for the first quarter, boosted by a positive operational performance and impacted by a few elements that we will review on the next slide.

So please move on to Slide #17. Okay. So the net result evolution from the COP 85,000 million last year to the COP 65,000 million this year is mainly explained by, first, the positive contribution from the operational results amounting COP 36,000 million. The second, a reduction in terms of nonrecurring expenses amounting COP 7,000 million versus last year. Third, a roughly stable financial expenses despite the higher repo rates, thanks to negotiation efforts -- for higher income tax related both to the operational improvements and to the tax reform impact.

And lastly, temporary effects on 2 different regions that are impacting our income associates. This is explained by a strong loan portfolio growth that Carlos Mario showed us being plus 36%. Even with a low level of nonperforming loans, this is why we believe this is just a temporary effect on the P&L.

Finally, on Slide 18, regarding our cash and debt situation at holding level, I'd like to mention that the financial debt position improved by COP 57,000 million even with the anticipation of the dividend payments of COP 531 per share when compared to last period. And that the cash flow generation to shareholders improved from COP 397,000 million regarding LTM of December 2021 to COP 467,000 million into regarding the LTM of March 2022.

Now before turning the call back to Carlos Mario, I would like to give you a few updates on the share buyback proposal that a little bit more than 1 month ago, the general shareholders meeting instructed the Board to regulate. So at this moment, the Board is elaborating the procedure and coordinating the process. The process is very important to mention that involves a valuation by an independent third party with widely accepted methodologies.

The buyback will also guarantee equal conditions for our shareholders in terms of price, term and procedures regardless of their state of the company and the process, if approved by the General Shareholders' Meeting will take approximately 20 days from the approval in this moment. I would like to give floor to Carlos Mario to go on with our main conclusions for the first quarter. Thank you.

Thank you. If we go finally to Slide #20, we have the conclusions for the quarter. As you can see, it's a quarter which has a solid retail performance with operating efficiencies in our cost and an EBITDA growth of 15.8% from a consistent customer center strategy.

This growth would be 35% if we do not take into consideration the nonrecurrent real estate income. At the consolidated level, we have profitable sales of plus 21.9% and same-store sales of plus 20.6% above CPI levels across all countries and with volume expansion.

We have a consistent contribution to sales coming from our strategies of innovation improvement, omnichannel penetration and traffic monetization. The solid recurring EBITDA growth of 15.8% comes from the solid top line growth, our operating efficiencies and the real state contribution. It is 35% growth in EBITDA, as I said before, when adjusting by development fees of real estate and property sales in both periods. The net result contribution from retail is adjusted by the effect of tax rates and a higher provision of Tuya from improved commercial performance from the growth that Tuya had and from also it's impacted the net result by the interest rates hike.

Viva Malls continues to be a key lever for the company's results, contributing 11.9% in [recurring EBITDA] 2020 quarter and 8.4% in 2022 in the first quarter. And clearly, we see a consistent advance in all our ESG strategic pillars. If we go to Colombia, sales are boosted by a share of innovation, 33.5% omnichannel penetration; 11.8% share in sales; and volume gains of 7.4%.

EBITDA growth by 8.4% reflected a solid retail performance and internal efficiencies the EBITDA is plus 31.7% when adjusting by development fees of real estate and property sales in both periods. In Uruguay, it remains as the most profitable operation at margin with 11.2% EBITDA margin, and it had an improved cost consumer trend and strict expense control.

And in Argentina, real estate and operating efficiencies led EBITDA margin to reach 2.4%, plus 244 basis points and to maintain a stable cash proposition. This will be our presentation for today, and we will open it now to the Q&A session.

(Operator Instructions) And the first question comes from Alonso Aramburú.

Alonso, I would suggest if you have a problem with the voice that you write the message, and we will take the question. In the meanwhile, we can go forward with those questions that we have received by writing.

Perfect. And the first question from the web is from Julian Felipe from Davivienda Corredores.

First question, could you give us more color about the advances on the share buyback plan? Second, can you explain a little bit more on the inflation pressure you had during the quarter? And what is your expectation to sense for the rest of the year? And how would you face those pressures? And lastly, what do you mean in presentation by GSA buyback program part?

Yes, I will take the first 2 questions. Thank you, (inaudible). In the share buy plan, what we would say is that we're in the process of ending the valuation done for us by a third independent party. This will be the support for the Board of Directors to make a recommendation to the general assembly to establish the price for the buyback. As you know, we have a reserve of around COP 314,000 million for this buyback and the process and the timing will be developed during the month of May and June very probably.

With respect to inflation pressures, we have inflation pressures at 2 levels, and I want to distinguish both. One is in the consumer inflation in prices, especially in food. Here, as I said before, as of March, 12-month food inflation in Colombia is the highest in the last years. It is at 25.3%.

However, the inflation of Exito to the market is at 15.9%. That is 9.5 points below the inflation in the country. This comes from a very important productivity effort of the company to protect the acquisitive capacity of our customers. And of course, the competitivity of our brands in the market in a moment where this is the main concern for customers. We do it through working with our embeddable product. There are low price, first price products and be very productive with those suppliers, which are mostly private brand suppliers.

We do it also by anticipating purchases before there are increases in prices. This takes our inventories a little bit high for the moment, but we think that it is worthwhile in this very important moment. And we do it also through the efficiency of our supply chain. Obviously, there's also an impact of inflation in our costs, especially coming from salaries, a 10% increase in Colombia.

Energy cost in double digit and supply -- internal supply costs, which are also high especially. But really, we have been able to cover them through productivity initiatives. Looking forward, we think that inflation in food will gradually go down especially when we compare in the second semester where inflation in food was all very high, so the comparative base will be different, but we will continue working to maintain our price position in a very competitive point. We think it is key in this historic moment of the country.

Those would be the questions -- the answers, excuse me.

Our next question comes from (inaudible) from JPMorgan. My first question on how the company is perceiving the competitive environment across the regions. It operates with special attention to Colombia? And the second question, is if there are new opportunities for consolidation, such acquisition of stores for competitors?

Could you repeat first -- the first question, please?

How the company is perceiving the competitive environment across the regions it operates with special attention to Colombia?

Okay. So first, let me make a comment about Uruguay, which is important. In Uruguay, the competition is very stable. We continue to have a market share of around 43% and our most important competitors continue to be the (inaudible) and we continue developing at the same reason of the market.

So our performance will be more a matter of the development that we will see in the local market. In Argentina, we have been at the level of competition with a stable market share. As you know, we are concentrated outside of Buenos Aires and our strategy, especially to strengthen our real estate business has been paying off.

In Colombia, as you know, the competitive scenario is very strong. The interesting thing is that both last year and in the first quarter of this year, we are gaining same-store sales market share. Of course, it has to do with the combination of innovation of omnichannel penetration through last mile service in food and at the same time, have a very competitive price position.

We believe that the company has a good proposition against even the important phenomenon of discounters in Colombia, through our unbeatable products through our Cash & Carry, our Aliados strategy going to mom-and-pops. And at the same time, the strength of our private brands, especially [Ekono] and Frescampo which go to this low-cost segment of the population. And we believe that by the massification of our last-mile service, we will be able to arrive to many, many places through our proximity, digital proposition, which is different from a proximity physical proposition.

In the competitive scenario in nonfood, Exito is performing very well, both in its textile business and it's digital. I would say, electro business. When we speak about consolidation alternatives, we are open to explore other consolidation alternatives. Of course, we cannot speak about that, but the financial position of the company permits to explore those consolidation alternatives -- of course, we want to be selective, and we want to make choices that add to our profitable growth as we have done with the 6 very important stores of La 14 which will begin to operate under our brands during the quarter 3 and quarter 4 of this a year, all of them converted into Exito WOW proposition.

And your next question, what about the repurchase program when MGPA will participate or it's going to be only for the rest of the stock minority stockholders. And what is the outlook of the perspective about income and EBITDA for the year?

I will take the first 1 and Ruy the second one. The buyback share proposition is directed throughout the shareholders of the company in equal price, equal conditions, equal terms. Obviously, we do not have any information about acceptance because it still has not been officialized the price and the period that will come in the future. So we have no special information about that different from saying that it is equal opportunity and it provides to all the shareholders of the company, majority shareholders and minority shareholders.

I will take this -- the second part of the question to Ruy.

Thanks for the question. I would like to start by mentioning in terms of revenues, the expectation for the second quarter is pretty much the same as we had during the first quarter in terms of commercial activity that will lead us to have a very strong first semester.

The second semester, will have such pressures -- some pressures in terms of inflation on the other side because we are forecasting a deceleration in terms of inflation. This could affect consumption. But nevertheless, with the strong first semester, we expect that we can have our sales and revenues evolution for the year close to double digit, maybe a little bit below.

In terms of EBITDA, if we take into account the evolution and the performance for the first quarter and adjust it for development fees, we can see that the growth in terms of cash and margin was very positive. We have the same level of [expected] development fees for the following quarters. And that will be probably a little bit below in terms of margin when comparing to 2021, but above 2020 and 2019 at final accounting figures for the 2022. This is pretty much the outlook that we gave a few months ago, and we are maintaining that.

And we have another question from Ian Gill, buyback program, it's 396.442 or 416.442 billion?

To put it in simple terms, it is around $82 million.

Our next question comes from (inaudible) could you please give more details over the advances made by the company on the buyback program? Do you have a set schedule?

The schedule will depend on the moment in which the Board has the valuation reach and takes the decision to make a recommendation to the shareholders meeting. We have a term also for -- between the moment we call the shareholders meeting and its real meeting and then the period that we give for the shareholder decision. We calculate that this will take probably all the month of May and an important part of the month of June, but we still do not have exact dates.

And our next question comes from Daniel (inaudible) from BTG Pactual. Can you please give us more color about your EBITDA and market expectations for 2022? Are we going to see levels similar to the ones in 2021? In addition, can you give us an update on the total CapEx expected for the year?

Daniel, this question is pretty much the same as Ian made. The expectation is that EBITDA margins for 2020 to will be close, but a little bit below last year due to this reduction on development fees. Nevertheless, the EBITDA margin expected for 2022 is above 2020 and 2019, which are more comparable.

And we, in terms of CapEx, the expectation for this year is to have around 60 to 70 refurbished or opened stores in Colombia and around 5 to 7 in Uruguay. This is an increase when we compare to last year of around 20% of additional projects that should be reflected in our CapEx in terms of cash.

We have no further questions at this time. I will now turn the call over to for final remarks.

Thank you very much to you all for being here and being so active with your questions. I would like to say and to recall that this is the highest historic growth for Q1 in many, many years of 20% in same-store sales, that is a result of clearly a high demand in the market, market share gain and a consistent (technical difficulty)

Excuse me, I lost the call for some seconds. So I will recall in the last remarks that this is the highest historic growth quarter in many years with more than 20% in same-store sales that it answers to a market share gain, to a strong market demand and to the consistency in innovation and participation of complementary businesses that we want to have done in our main purpose, the superior purpose of our company and our employees to leverage opportunities to Colombia, which is reflected in our social initiatives and our environmental initiatives, that customer is in the center, and this -- we cannot forget it, and it is in the center also of advancing with all these strategies I spoke about and that we see a positive vision looking forward with an acceleration of expansion for a total CapEx of around $120 million and more than 35,000 square meters of new retail that will be added this year and in addition to those stores that will go to the WOW, Fresh Market and the [Cine] propositions.

Thank you very much, and we thank you very much for your participation and look forward to the next call for the second quarter results.

Thank you, ladies and gentlemen. This concludes today's conference. Thank you for participating. You may now disconnect.