Document And Entity Information
Document And Entity Information | 12 Months Ended |
Dec. 31, 2022 shares | |
Document Information Line Items | |
Entity Registrant Name | Sendas Distributor S.A. |
Trading Symbol | ASAI |
Document Type | 20-F |
Current Fiscal Year End Date | --12-31 |
Entity Common Stock, Shares Outstanding | 1,349,165,394 |
Amendment Flag | false |
Entity Central Index Key | 0001834048 |
Entity Current Reporting Status | Yes |
Entity Voluntary Filers | No |
Entity Filer Category | Large Accelerated Filer |
Entity Well-known Seasoned Issuer | Yes |
Document Period End Date | Dec. 31, 2022 |
Document Fiscal Year Focus | 2022 |
Document Fiscal Period Focus | FY |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
ICFR Auditor Attestation Flag | true |
Document Registration Statement | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 001-39928 |
Entity Incorporation, State or Country Code | D5 |
Entity Address, Address Line One | Avenida Ayrton Senna, No. 6,000 |
Entity Address, Address Line Two | Lote 2, Pal 48959, Anexo A |
Entity Address, Address Line Three | Jacarepaguá |
Entity Address, Postal Zip Code | 22775-005 |
Entity Address, City or Town | Rio de Janeiro |
Entity Address, Country | BR |
Title of 12(b) Security | Common Shares, without par value |
Security Exchange Name | NYSE |
Entity Interactive Data Current | Yes |
Document Accounting Standard | International Financial Reporting Standards |
Auditor Firm ID | 1448 |
Auditor Name | ERNST & YOUNG |
Auditor Location | São Paulo, Brazil |
Business Contact | |
Document Information Line Items | |
Entity Address, Address Line One | Avenida Ayrton Senna, No. 6,000 |
Entity Address, Address Line Two | Lote 2, Pal 48959, Anexo A |
Entity Address, Address Line Three | Jacarepaguá |
Entity Address, Postal Zip Code | 22775-005 |
Entity Address, City or Town | Rio de Janeiro |
Entity Address, Country | BR |
Contact Personnel Name | Daniela Sabbag Papa |
City Area Code | 55 |
Local Phone Number | 11 3411 5042 |
Contact Personnel Email Address | ri.assai@assai.com.br |
Statement of Operations and Com
Statement of Operations and Comprehensive Income R$ in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 BRL (R$) R$ / shares | Dec. 31, 2021 BRL (R$) R$ / shares | Dec. 31, 2020 BRL (R$) R$ / shares | |
Profit or loss [abstract] | |||
Net operating revenue | R$ 54520 | R$ 41898 | R$ 36043 |
Cost of sales | (45,557) | (34,753) | (30,129) |
Gross profit | 8,963 | 7,145 | 5,914 |
Operating expenses, net | |||
Selling expenses | (4,379) | (3,334) | (2,811) |
General and administrative expenses | (787) | (588) | (435) |
Depreciation and amortization | (919) | (638) | (503) |
Share of profit of associates | 44 | 47 | |
Other operating expenses, net | (72) | (53) | (97) |
Operating profit | 2,850 | 2,579 | 2,068 |
Financial revenues | 394 | 188 | 343 |
Financial expenses | (1,909) | (918) | (786) |
Net financial result | (1,515) | (730) | (443) |
Income before income taxes from continuing operations | 1,335 | 1,849 | 1,625 |
Income tax and social contribution | (115) | (239) | (436) |
Net income from continuing operations | 1,220 | 1,610 | 1,189 |
Discontinued operations | |||
Net income from discontinued operations, net of taxes | 367 | ||
Net income for the year | 1,220 | 1,610 | 1,556 |
Items that may be subsequently reclassified to the statement of operations | |||
Fair value of receivables | (2) | (1) | |
Exchange rate differences on translation of foreign investments | 358 | ||
Income tax effect | 1 | ||
Other comprehensive income (loss) for the year | (1) | (1) | 358 |
Total comprehensive income for the year | 1,219 | 1,609 | 1,914 |
Net income for the year attributable to: | |||
Controlling shareholders | 1,220 | 1,610 | 1,398 |
Non-controlling shareholders | 158 | ||
Total net income for the year | 1,220 | 1,610 | 1,556 |
Total comprehensive income attributable to: | |||
Controlling shareholders | 1,219 | 1,609 | 1,165 |
Non-controlling shareholders | 749 | ||
Total comprehensive income | R$ 1219 | R$ 1609 | R$ 1914 |
Basic earnings per share for continuing operations attributable to controlling shareholders (in Reais - R$) (in Brazil Real per share) | R$ / shares | R$ 0.905322 | R$ 1.19802 | R$ 0.887313 |
Basic earnings per share attributable to controlling shareholders (in Reais - R$) (in Brazil Real per share) | R$ / shares | 0.905322 | 1.19802 | 1.043284 |
Diluted earnings per share for continuing operations attributable to controlling shareholders (in Reais - R$) (in Brazil Real per share) | R$ / shares | 0.901589 | 1.18852 | 0.887313 |
Diluted earnings per share attributable to controlling shareholders (in Reais - R$) (in Brazil Real per share) | R$ / shares | R$ 0.901589 | R$ 1.18852 | R$ 1.043284 |
Balance Sheet
Balance Sheet R$ in Millions, $ in Millions | Dec. 31, 2022 BRL (R$) | Dec. 31, 2021 BRL (R$) |
Current assets | ||
Cash and cash equivalents | R$ 5842 | R$ 2550 |
Trade receivables | 570 | 265 |
Inventories | 6,467 | 4,380 |
Recoverable taxes | 1,055 | 876 |
Derivative financial instruments | 27 | 4 |
Dividends receivable | 16 | |
Other accounts receivable | 52 | 59 |
Other current assets | 71 | 72 |
Current assets other than non-current assets or disposal groups classified as held for sale | 14,084 | 8,222 |
Assets held for sale | 95 | 550 |
Total current assets | 14,179 | 8,772 |
Non-current assets | ||
Recoverable taxes | 927 | 770 |
Deferred income tax and social contribution | 6 | 45 |
Derivative financial instruments | 155 | 28 |
Related parties | 252 | 114 |
Restricted deposits for legal proceedings | 56 | 119 |
Other non-current assets | 9 | 10 |
Investments | 833 | 789 |
Property, plant and equipment | 19,183 | 10,320 |
Intangible assets | 5,018 | 1,887 |
Total non-current assets | 26,439 | 14,082 |
Total assets | 40,618 | 22,854 |
Current liabilities | ||
Trade payables, net | 8,538 | 5,566 |
Trade payables – Agreements | 2,039 | 573 |
Trade payables – Agreements – Acquisition of Extra stores | 2,422 | |
Borrowings and financing | 829 | 433 |
Debentures and promissory notes | 431 | 180 |
Payroll and related taxes | 584 | 425 |
Lease liabilities | 435 | 244 |
Related parties | 201 | 368 |
Taxes payable | 265 | 158 |
Deferred revenues | 328 | 356 |
Dividends and interest on own capital payable | 111 | 168 |
Other current liabilities | 233 | 173 |
Total current liabilities | 16,416 | 8,644 |
Non-current liabilities | ||
Trade payables – Agreements – Acquisition of Extra stores | 780 | |
Borrowings and financing | 737 | 1,154 |
Debentures and promissory notes | 10,594 | 6,266 |
Provision for legal proceedings | 165 | 205 |
Related parties | 60 | |
Lease liabilities | 7,925 | 3,807 |
Deferred revenues | 31 | |
Other non-current liabilities | 14 | 12 |
Total non-current liabilities | 20,306 | 11,444 |
Shareholders´ equity | ||
Share capital | 1,263 | 788 |
Capital reserves | 36 | 18 |
Earnings reserves | 2,599 | 1,961 |
Other comprehensive income | (2) | (1) |
Total shareholders’ equity | 3,896 | 2,766 |
Total liabilities and shareholders´ equity | R$ 40618 | R$ 22854 |
Statements of Changes in Shareh
Statements of Changes in Shareholders´ Equity - BRL (R$) R$ in Millions | Share capital | Capital reserve | Legal reserve | Profit retention | Retained earnings | Accumulated other comprehensive income | Total | Non- controlling interest | Tax incentive reserve | Profit reserve | Expansion reserve | Total |
Balance beginning at Dec. 31, 2019 | R$ 18 | R$ 177 | R$ 2320 | R$ 162 | R$ 7098 | R$ 2603 | R$ 9701 | |||||
Balance beginning (in Shares) at Dec. 31, 2019 | 4,421 | |||||||||||
Other comprehensive income | ||||||||||||
Net income for the year | 1,398 | 1,398 | 158 | 1,556 | ||||||||
Foreign exchange rate variation of foreign investments | (233) | (233) | 591 | 358 | ||||||||
Equity on other comprehensive income | 1,945 | 1,945 | 15 | 1,960 | ||||||||
Comprehensive income for the year | 1,398 | 1,712 | 3,110 | 764 | 3,874 | |||||||
Capitalization credits – Spin-off | 140 | 140 | ||||||||||
Capitalization credits – Spin-off (in Shares) | 140 | |||||||||||
Capital increase – Bellamar | 769 | 769 | ||||||||||
Capital increase – Bellamar (in Shares) | 769 | |||||||||||
Capital increase – assets and liabilities indemnity | 127 | 127 | ||||||||||
Capital increase – assets and liabilities indemnity (in Shares) | 127 | |||||||||||
Corporate restructuring | (19) | (30) | (2,866) | (1,874) | (10,504) | (3,116) | (13,620) | |||||
Corporate restructuring (in Shares) | (5,715) | |||||||||||
Transactions with non-controlling shareholders | (22) | (22) | (22) | |||||||||
Valorization PUT subsidiary Disco | (102) | (102) | ||||||||||
Hyperinflationary economy effect | 5 | 5 | ||||||||||
Others | (11) | (11) | ||||||||||
Non-cash capital contribution | 369 | 369 | ||||||||||
Non-cash capital contribution (in Shares) | 369 | |||||||||||
Capital contribution | 650 | 650 | ||||||||||
Capital contribution (in Shares) | 650 | |||||||||||
Stock options granted | 5 | 5 | 5 | |||||||||
Interest on own capital | (310) | (310) | (310) | |||||||||
Dividends | (85) | (85) | (143) | (228) | ||||||||
Legal reserve | 5 | (5) | ||||||||||
Profit reserve | 1,393 | (1,393) | ||||||||||
Balance ending at Dec. 31, 2020 | 4 | 152 | R$ 430 | R$ 1347 | R$ 430 | 1,347 | ||||||
Balance ending (in Shares) at Dec. 31, 2020 | 761 | |||||||||||
Other comprehensive income | ||||||||||||
Net income for the year | 1,610 | 1,610 | ||||||||||
Fair value of receivables | (1) | (1) | ||||||||||
Comprehensive income for the year | 1,610 | (1) | 1,609 | |||||||||
Capital contribution | 27 | |||||||||||
Capital contribution (in Shares) | 27 | |||||||||||
Stock options granted | 14 | 14 | ||||||||||
Interest on own capital | (63) | (63) | ||||||||||
Dividends | (168) | (168) | ||||||||||
Tax incentive reserve | (279) | 709 | (430) | 709 | ||||||||
Legal reserve | 5 | (5) | ||||||||||
Profit reserve | (1,095) | 1,095 | ||||||||||
Balance ending at Dec. 31, 2021 | 18 | 157 | (1) | 709 | 1,095 | R$ 2766 | ||||||
Balance ending (in Shares) at Dec. 31, 2021 | 788 | 931,000 | ||||||||||
Other comprehensive income | ||||||||||||
Net income for the year | 1,220 | R$ 1220 | ||||||||||
Fair value of receivables | (2) | (2) | ||||||||||
Income tax effect | 1 | 1 | ||||||||||
Comprehensive income for the year | 1,220 | (1) | 1,219 | |||||||||
Capital contribution | 11 | |||||||||||
Capital contribution (in Shares) | 11 | |||||||||||
Capital increase – reserve capitalization (note 20.1) | (464) | |||||||||||
Capital increase – reserve capitalization (note 20.1) (in Shares) | 464 | |||||||||||
Stock options granted | 18 | 18 | ||||||||||
Interest on own capital | (50) | (50) | ||||||||||
Dividends | (68) | (68) | ||||||||||
Tax incentive reserve | (753) | 753 | 753 | |||||||||
Expansion reserve (note 20.5) | (632) | 632 | ||||||||||
Legal reserve | 23 | (23) | ||||||||||
Profit reserve | (326) | 326 | ||||||||||
Balance ending at Dec. 31, 2022 | R$ 36 | R$ 180 | R$ 2 | R$ 1462 | R$ 325 | R$ 632 | R$ 3896 | |||||
Balance ending (in Shares) at Dec. 31, 2022 | 1,263 | 525,000 |
Statements of Cash Flows
Statements of Cash Flows R$ in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 BRL (R$) | Dec. 31, 2021 BRL (R$) | Dec. 31, 2020 BRL (R$) | |
Statement of cash flows [abstract] | |||
Net income from continuing operations | R$ 1220 | R$ 1610 | R$ 1189 |
Profit from discontinued operation | 367 | ||
Net income for the year | 1,220 | 1,610 | 1,556 |
Adjustment to reconcile net income for the year to net cash flows | |||
Deferred income tax and social contribution | 40 | (127) | (372) |
Loss (gain) on disposal of property, plant and equipment and leasing write-off | 34 | (12) | 71 |
Depreciation and amortization | 990 | 687 | 1,372 |
Financial charges | 1,827 | 911 | 785 |
Share of profit of associate | (44) | (47) | (27) |
(Reversal of) provision for legal proceedings | (7) | (48) | 77 |
Provision write-off assets | 24 | ||
Provision for stock option | 18 | 14 | 5 |
Provision for allowance for inventory losses and damages | 418 | 302 | 13 |
Allowance for doubtful accounts | 7 | 2 | 51 |
Adjustments to reconcile profit (loss) | 4,503 | 3,292 | 3,555 |
Variations in operating assets and liabilities | |||
Trade receivables | (313) | (85) | (155) |
Inventories | (2,505) | (943) | (1,029) |
Recoverable taxes | (336) | (12) | (46) |
Restricted deposits for legal proceedings | 63 | 15 | (14) |
Other assets | 9 | (69) | (10) |
Trade payables, net | 3,175 | 884 | 877 |
Payroll and related taxes | 159 | 54 | 121 |
Related parties | 196 | 391 | (54) |
Provision for legal proceedings | (49) | (49) | (41) |
Taxes and social contributions payable | 101 | 4 | 556 |
Deferred revenue | 68 | 128 | (107) |
Dividends received | 16 | 11 | |
Other liabilities | 57 | 25 | (88) |
Income tax and social contribution, paid | (374) | (67) | |
Cash flows from (used in) operations | 641 | (20) | (57) |
Net cash generated by operating activities | 5,144 | 3,272 | 3,498 |
Cash flow investment activities | |||
Capital contribution in associates | (31) | ||
Purchase of property, plant and equipment | (3,524) | (2,231) | (1,562) |
Purchase of intangible assets | (636) | (854) | (82) |
Proceeds from the sale of property, plant and equipment | 3 | 604 | |
Proceeds from the sale of assets held for sale | 620 | 209 | |
Purchase of investment property | (15) | ||
Purchase of assets held for sale | (250) | (403) | |
Subsidiary spin-off | (3,687) | ||
Net cash from corporate reorganization | (14) | ||
Net cash used in investment activities | (3,790) | (3,276) | (4,787) |
Cash flow financing activities | |||
Capital contribution | 11 | 27 | 650 |
Proceeds from borrowings and financing | 3,959 | 6,090 | 2,852 |
Payment of borrowings and financing | (183) | (6,073) | (2,543) |
Payment of interest on borrowings and financing | (783) | (406) | (549) |
Dividends and interest on own capital paid | (168) | (148) | (489) |
Payment of lease liabilities | (856) | (460) | (751) |
Payment of interest on lease liabilities | (42) | (8) | (5) |
Transaction with non-controlling interest | 2 | ||
Net cash generated by (used in) financing activities | 1,938 | (978) | (793) |
Net increase (decrease) in cash and cash equivalents | 3,292 | (982) | (2,082) |
Exchange rate variation on cash and cash equivalents | 588 | ||
Cash and cash equivalents at the beginning of the year | 2,550 | 3,532 | 5,026 |
Cash and cash equivalents at the end of the year | R$ 5842 | R$ 2550 | R$ 3532 |
Corporate Information
Corporate Information | 12 Months Ended |
Dec. 31, 2022 | |
Corporate Information [Abstract] | |
Corporate information | 1 Corporate information Sendas Distribuidora S.A. (“Sendas Distribuidora” or the “Company”) is a publicly listed company under the Novo Mercado segment of B3 S.A. – Brasil, Bolsa, Balcão (B3), under the ticker symbol “ASAI3” and on the New York Stock Exchange (NYSE), under the ticker symbol “ASAI”. The Company is mainly engaged in the retail and wholesale sale of food, bazar, and other products through its stores chain, operated under “ASSAÍ” banner. Sendas Distribuidora is based in the State of Rio de Janeiro, at Avenida Ayrton Senna, 6.000, Lote 2 – Anexo A, Jacarepaguá/RJ. As of December 31, 2022, the Company operated 263 stores and 12 Distribution Centers in 23 states and in the Federal District in Brazil. On December 31, 2020, the Company completed a corporate reorganization (the “Transaction”) that resulted in the separation of the Company’s cash and carry business under the ASSAÍ banner from the traditional retail business of Companhia Brasileira de Distribuição (“GPA”). As a result of the Transaction, the Company ceased to be a wholly-owned subsidiary of GPA and became a direct subsidiary of Wilkes Participações S.A. (“Wilkes”), whose parent company is Casino, Guichard-Perrachon (“Casino”), a French company listed in the Paris Stock Exchange. As part of the Transaction, on December 31, 2020, the Company transferred all shares of Almacenes Éxito S.A. (“Éxito”) to GPA (see note 1.3). 1.1 Acquisition and subsequent distribution of Almacenes Éxito S.A On November 27, 2019, the Sendas Distribuidora completed a public offering in Colombia to acquire the shares of Éxito from the public including those owned by Casino. Éxito is a Colombian company that operates the Éxito, Carulla, Super Inter, Surtimax and Surtimayorista supermarket and hypermarket banners 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. Éxito is listed on the Colombian Securities Exchange. On December 31, 2020, as part of the Transaction, the Company distributed, to GPA, all of the shares of Éxito. As a result, Éxito and its subsidiaries (collectively, the “Éxito Group”) have been presented as discontinued operation. See notes 1.3, 1.3.1 and 29. 1.2 Listing of Sendas Distribuidora The Transaction contemplated the listing of the Company’s common shares on the B3 and the Company’s American Depositary Shares (“ADSs”) on the NYSE. On December 11, 2020, the Company became a publicly held company in Brazil, registered with the Brazilian Securities and Exchange Commission (“CVM”) under category “A”. On February 10, 2021, the Company’s request to list its common shares to trade on the Novo Mercado segment of the B3 was approved, and the Company’s common shares started trading on the B3 on March 1, 2021, under the ticker symbol “ASAI3”. On February 12, 2021, the Company’s request to list its ADSs representing common shares on the NYSE was approved, and the Company’s ADSs started trading on the NYSE on March 8, 2021, under the ticker symbol “ASAI”. In connection with the Transaction, holders of GPA’s common shares received one common share issued by the Company for each common share of GPA held at the close of trading on February 26, 2021. In addition, holders of GPA’s ADSs received one ADS (each representing one common share of the Company) for each ADS of GPA held at the close of trading on March 2, 2021. 1.3 Corporate Reorganization The initial study to segregate Sendas Distribuidora through a partial spin-off from its parent company GPA was approved, by the Board of Directors meeting, held on September 9, 2020. On November 19, 2020, the Company obtained from its creditors all the necessary consents to undertake the Transaction including holders of the Company’s debentures and promissory notes, as the case may be, agreed to, among other things, amend the interest rates charged for each series of debentures, release GPA as guarantor of the Company’s debentures and promissory notes, and amend certain financial covenants upon the conclusion of the Transaction. The total amount of the renegotiated debt was R$6,644, representing 85% of the Company’s gross debt on December 31, 2020. In addition, the Company obtained a “waiver” for the compliance of the financial covenants for the period from December 31, 2020 through December 31, 2023 and as a result, the amount of R$71 was recognized in the financial result, which is recorded under cost of debt. At meetings held on December 12, 2020 and disclosed to the market on December 14, 2020, the Board of Directors of the Company and GPA approved the Transaction to separate the cash and carry business under the ASSAÍ banner from the traditional retail business of GPA. At the Extraordinary Shareholders’ Meeting held on December 31, 2020, shareholders of the Company and GPA approved the Transaction, as described below: ● The Company engaged in an exchange transaction with GPA (the “Exchange Transaction”) in which certain assets of GPA were transferred to the Company in exchange for an equivalent value of the shares of Éxito held by the Company (corresponding to 9.07% of the total outstanding shares of Éxito). The assets of GPA transferred to the Company consisted of: ● 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. – Crédito, Financiamento e Investimento (“FIC”), in the amount of R$769 (see note 11); and ● five parcels of real estate (the “Real Estate Assets”), in the aggregate amount of R$146, which may be developed as sites for new stores in the future. ● Following and contemporaneously with the Exchange Transaction, the Company distributed to GPA the remaining shares of Éxito held by the Company (corresponding to 87.80% of the total outstanding shares of Éxito). ● The Company distributed certain assets to GPA in the net amount of R$20. GPA conducted the following capital contributions: ● GPA transferred to the Company the net assets of stores that may be developed by the Company in the future, with a residual value of R$45; ● GPA contributed intercompany receivables to Company for an amount of R$140; and ● GPA contributed R$500 in cash to the Company. In addition, on December 12, 2020, the Company entered into a Separation Agreement with GPA, which provides a framework for the Company’s relationship with GPA following the Transaction. Pursuant to the Separation Agreement, the Company recognized certain assets and liabilities related to contingencies and their related judicial deposits for which the parties have agreed to be responsible following the Transaction, in a net amount of R$127. 1.3.1 Derecognition of Éxito subsidiary As mentioned in note 1.1, the following is Éxito’s balance sheets as of December 31, 2020, which were derecognized in the Company’s consolidated balance sheet as a result of the Transaction described above. Upon the derecognition Éxito, which was the Company’s only subsidiary, the Company no longer presents consolidated financial statements. As of December 31, 2020 (Transaction date) Current assets Cash and cash equivalents 3,687 Trade receivables 384 Other accounts receivables 220 Inventories 2,993 Recoverable taxes 570 Other current assets 130 7,984 Assets held for sale 30 Total current assets 8,014 Non-current assets Related parties 82 Restricted deposits for legal proceedings 3 Other non-current assets 171 Investments 480 Investment properties 3,639 Property, plant and equipment 10,504 Intangible assets 4,051 Total non-current assets 18,930 Total assets 26,944 Current liabilities Trade payable 6,449 Borrowings and financing 1,051 Payroll and related taxes 375 Lease liabilities 377 Related parties 77 Taxes and social contributions payable 288 Acquisition of non-controlling interest 636 Deferred revenues 200 Dividends payable 40 Other current liabilities 236 Total current liabilities 9,729 Non-current liabilities Borrowings and financing 520 Deferred income tax and social contribution 883 Provision for legal proceedings 139 Lease liabilities 2,039 Other non-current liabilities 39 Total non-current liabilities 3,620 Shareholders´ equity Total shareholders´ equity 13,595 Total Liabilities and Shareholders´ equity 26,944 1.4 Sale and Leaseback Transaction On July 19, 2021, the Company entered into the “Private Instrument of Commitment of Real Estate Investment, Commitment of Purchase and Sale of Real Estate and Incorporation of Real Right of Surface, Under Suspensive Conditions and Other Covenants” (the “Instrument”) with an investment fund managed by BRL Trust Distribuidora de Títulos e Valores Mobiliários S.A. and managed by TRX Gestora de Recursos Ltda. The purpose of the Instrument is the sale, development and lease of five properties of the Company located in the States of São Paulo, Rio de Janeiro and Rondônia. The transaction includes the sale of five properties, over which construction and real estate development project should be carried out. The total sales price to be received by the Company is R$364. The sales price and cost amount of the construction of the properties will be the basis for defining the final amount of the properties’ monthly rents. The assets transferred to “assets held for sale” was in amount of R$349 (see note 12.3). The Company concluded the sale of three of these properties during 2021 in a total amount of R$209. In December 2022, the Company concluded the sale of the remaining properties in the total amount of R$165. 1.5 Conversion of Extra Hiper stores into ASSAÍ stores On October 14, 2021, the Board of Directors of the Company and GPA approved a transaction involving the conversion of Extra Hiper stores, operated by GPA, into cash & carry stores which will be operated by the Company under the ASSAÍ banner (“Extra Transaction”). On December 16, 2021, the Company and GPA signed the “Agreement for Onerous Assignment of Exploration Rights of Commercial Points and Other Agreements” (the “Agreement”), governing the transfer to the Company the exploitation rights of up to 70 commercial points located in several states in Brazil and the Federal District (17 properties owned by GPA and 53 properties owned by third parties), currently operated by GPA for a total amount of up to R$3,973, to be paid by the Company, in installments between December 2021 and January 2024, adjusted by CDI + 1.2% per year, which may also involve the acquisition by the Company of some store equipment. On December 29, 2021, following the completion of the necessary conditions precedent, the Company and GPA signed an agreement for the purchase and sale of 20 commercial rights (6 properties owned by GPA and 14 properties owned by third parties) and property, plant and equipment (lands and buildings) of 6 properties owned by GPA in the total amount of R$1,201, located in the states of Paraná, São Paulo, Rio de Janeiro, Minas Gerais, Bahia, Pernambuco and the Federal District, (see notes 10.1 and 15). At the same date the Company paid the amount of R$1,000 to GPA related to these acquisitions. The 6 properties owned by GPA were classified as held for sale, for an amount of R$403 (see note 27) as of December 31, 2021. On February 25, 2022, GPA and the Company sold the 17 GPA owned properties (11 properties not transferred yet to the Company and 6 properties already acquired by the Company) with a total sale price of up to R$1,200, to a real estate investment fund Barzel Properties (“Fund”) with the intervention and guarantee by the Company. On April 13, 2022, the Brazilian antitrust agency (“CADE”) issued a favorable opinion without restrictions on the sale of the 17 properties owned by GPA to the Fund. The closing of the Extra Transaction was subject to the fulfillment of certain conditions, including, but not limited to, obtaining the consent of the property owners and demobilization of the stores by GPA. This transaction is not subject to the approval by the antitrust authorities (except the sale of the 17 stores to the Fund, as described below). On August 17, 2022, the Board of Directors of GPA approved GPA’s management to enter into a credit assignment agreements with a financial institution, with Company’s consent, to anticipate the installments between 2023 and 2024 due by the Company, see note 14.3. On December 23, 2022, the Board of Directors of the Company and GPA approved the postponement of the installment that would be paid on December 29, 2022, to GPA in the amount of R$956 to October 23, 2023. This postponement occurred for operational reasons, as the payment schedule of the installment to GPA considered the delivery of stores on certain dates and compliance with certain preconditions, such as obtaining consent from property owners and demobilization of stores by GPA. For this installment, a new credit assignment agreement with a financial institution was entered into by GPA, with the same characteristics as the previously entered into agreement and with the Company’s consent, see note 14.3. On December 26, 2022, the Board of Directors of the Company and GPA confirmed that 4 properties were not the subject of the Extra Transaction, so in the conclusion remained with 66 properties, with adjustment in the purchase price from R$3,973 to R$3,928. As of December 31, 2022, the Company and GPA completed the transfer of 46 commercial points in the amount of R$3,130 (20 commercial points as of December 31, 2021 in the amount of R$798) totaling 66 properties, including the 17 properties owned by GPA in the amount of R$1,200, located in the Southeast, North, Northeast and Midwest regions and in the Federal District, which had fulfilled the conditions precedent, see notes 10, 13 and 14. The Company made the total payment of R$1,850 (R$850 as of March 31, 2022 and R$1,000 as of December 31, 2021) to GPA related to these acquisitions. Of the 17 properties owned by GPA that were recorded under “Assets held for sale”, 16 properties were sold to the Fund. The remaining balance related to 1 property is R$95 (R$403 as of December 31, 2021), see note 27. The Company incurred expenses with legal fees, appraisal reports and due diligence, related to the operation, and these expenses were recorded in “Other operating income and expenses, net” in the statement of operations, see note 23. 1.6 Going concern analysis The management has assessed the Company’s ability to continue operating in a foreseeable future and concluded that Company has ability to maintain its operations and systems working regularly. Therefore, the management is not aware of any material uncertainty that could indicates significant doubts about its ability to continue operating. The financial statements have been prepared based on the assumption of business continuity. |
Basis of preparation
Basis of preparation | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of Basis of Preparation of Financial Statements Text Block [Abstract] | |
Basis of preparation | 2 Basis of preparation The financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). The financial statements have been prepared on a historical cost basis except for (i) certain financial instruments; and (ii) assets and liabilities arising from business combinations measured at their fair values, when applicable. All relevant information in the financial statements is being evidenced by and corresponds to that used by Management in the administration of the Company. The financial statements are presented in millions of Brazilian Reais (R$), which is the functional currency of the Company. The balance sheet as of December 31, 2022 and 2021 and related statements of operations and comprehensive income, shareholders equity and cash flows for the three years ended December 31, 2022, including related notes, were approved by the Board of Directors on March 13, 2023. |
Significant accounting policies
Significant accounting policies | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Significant Accounting Policies Text Block Abstract | |
Significant accounting policies | 3 Significant accounting policies The main 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 Company´s financial statements. 3.1 Foreign currency transactions Foreign currency transactions are initially recognized at the exchange rate of the corresponding currencies at the date the transactions qualify for recognition and, subsequently, 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 revenue or expense. 3.2 Classification of assets and liabilities as current and non-current Assets (with the exception of deferred income tax and social contribution) that are expected to be realized or that are intended to be sold or consumed within twelve months, as of the financial position dates, are classified as current assets. Liabilities (with the exception of deferred income tax and social contribution) expected to be settled within twelve months from the financial position dates are classified as current. All other assets and liabilities (including deferred tax taxes) are classified as “non-current”. Long-term assets and liabilities are not adjusted to present value at initial recognition as their effects are immaterial. Deferred tax assets and liabilities are classified as “non-current”, net by legal entity, as provided for in accounting pronouncement IAS 12 - Income Taxes. 3.3 Joint Venture A joint venture is a type of joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the joint venture. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control. The considerations made in determining significant influence or joint control are similar to those necessary to determine control over subsidiaries. The Company’s joint venture is accounted for using the equity method. Under the equity method, the investment in a joint venture is initially recognized at cost (see note 11). 3.4 Tax incentive reserve Tax incentive reserve is recognized when there is reasonable assurance that the entity will comply with all conditions established and related to the grant and that the grant will be received. When the benefit relates to an expense item, it is recognized as revenue over the period of the benefit systematically in relation to the respective expenses for whose benefit it is intended to offset. When the benefit relates to an asset, it is recognized as deferred revenue in liabilities and on a systematic and rational basis over the useful life of the asset. 3.5 Discontinued operation A discontinued operation is a component of an entity that either has been disposed of, or is classified as held for sale, and: i) represents a separate major line of business or geographical area of operations; ii) is part of a single coordinated plan to dispose of a separate major line of business or geographical area of operations; or iii) is a subsidiary acquired exclusively with a view to resale. Discontinued operations are excluded from the results of continuing operations, being presented as a single amount in the result after taxes from discontinued operations in the statement of operations (see note 29). All other notes to the financial statements include amounts for continuing operations, unless otherwise mentioned. 3.6 Dividends The distribution of dividends to the Company’s shareholders is recognized as a liability at the end of the year, based on the minimum mandatory dividends prescribed in the bylaws. Any amount exceeding this minimum is recorded only on the date on which such additional dividends are approved by the Company’s shareholders (see note 20.2). 3.7 Cash flow, interest payments The interest payments on borrowing and finance and lease settled by the Company are being disclosed in the financing activities in conjunction with payments on related borrowing and finance, and lease. The total of interest payment as of December 31, 2022 was R$783 (R$406 as of December 31, 2021 and R$549 as of December 31, 2020). |
Adoption of New Procedures, Ame
Adoption of New Procedures, Amendments to and Interpretations of Existing Standards Issued by the Iasb and Published Standards Effective from 2020 | 12 Months Ended |
Dec. 31, 2022 | |
Adoption Of New Procedures Amendments To And Interpretations Abstract | |
Adoption of new procedures, amendments to and interpretations of existing standards issued by the IASB and published standards effective from 2020 | 4 Adoption of new procedures, amendments to and interpretations of existing standards issued by the IASB and published standards effective from 2022 4.1 Amendments to IFRSs and new interpretations of mandatory application starting at 2022 The Company evaluated the amendments and new interpretations to IFRS as issued by IASB, which were effective for accounting periods beginning on or after January 1, 2022. The main new standards adopted are the following: Statement Description Effective date Changes to IAS 16: Property - Resources Before Intended Use The amendments to Pronouncement IAS 16 prohibit deducting from the cost of an item of property, plant and equipment any proceeds from the sale of items produced before the asset is available for use, i.e., funds to bring the asset to the location and condition necessary for it to be capable of operating. in the manner intended by the Management. Consequently, the entity recognizes these proceeds from the sale and related costs in the statement of operations. 01/01/2022 Improvements to IFRS 9: Financial Instruments The amendments clarify the rates that an entity includes when assessing whether the terms of a new or modified financial liability are materially different from the terms of the original financial liability. These fees include only fees paid or received between the borrower and the lender, including fees paid or received by the borrower or the lender on behalf of the other. 01/01/2022 Improvements to IFRS16: Leasing The amendments exclude the concept of reimbursement for improvements in third-party properties. 01/01/2022 The adoption of these standards did not result in a material impact on the Company’s financial statements. 4.2 New standards, amendments and interpretations issued but not yet effective The Company evaluated all new and revised IFRSs, already issued and not yet effective, however did not adopt them in advance, the main are: Accounting pronouncement Description Effective for annual periods beginning on or after Amendments to IAS1: Classification of liabilities as current and non-current and disclosure of accounting policies 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; and 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 are to help entities disclose accounting policies that are more useful by replacing the requirement for disclosure of significant accounting policies for material accounting policies. 01/01/2023 Amendments to IAS8: Definition of accounting estimates Introduce the definition of ‘accounting estimate’. The amendments clarify the distinction between changes in accounting estimates and changes in accounting policies and correction of errors. In addition, they clarify how entities use measurement and input techniques to develop accounting estimates. 01/01/2023 It is not expected that the adoption of these standards will result in significant impacts on the financial statements. According to Management, there are no other standards and interpretations issued and not yet adopted that may have a significant impact on the financial statements. |
Significant Accounting Judgment
Significant Accounting Judgments, Estimates, and Assumptions | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Accounting Judgements And Estimates Text Block Abstract | |
Significant accounting judgments, estimates, and assumptions | 5 Significant accounting judgments, estimates, and assumptions The preparation of the financial statements requires Management to makes judgments estimates and assumptions that impact the reported amounts of revenues, expenses, assets and liabilities, and the disclosure of contingent liabilities at the end of the year, however, the uncertainty about these assumptions and estimates could result in substantial adjustments to the carrying amount of 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 financial statements, as disclosed in the following notes to these financial statements: ● Impairment: Notes 7.3,11.1, 13.1 and 13.2. ● Inventories: inventory allowance: Note 8. ● Recoverable taxes: Expected realization of tax credits: Note 9. ● Fair value of derivatives and other financial instruments: Measurement of fair value of derivatives: Note 15.10. ● Provision for legal proceedings: Record of provision for claims with likelihood assessed as probable loss, estimated with a certain degree of reasonability: Note 16. ● Leasing operations: determination of the lease term, and incremental interest rate: Note 17. ● Income tax and social contribution: Provisions based on reasonable estimates: Note 19. ● Share-based payments: Estimate of fair value of operations based on a valuation model: Note 20.5. |
Cash and cash equivalents
Cash and cash equivalents | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Cash And Cash Equivalents Text Block Abstract | |
Cash and cash equivalents | 6 Cash and cash equivalents Cash and cash equivalents comprise the bank accounts, short-term, highly liquid investments, immediately convertible into known cash amounts, and subject to an insignificant risk of change in value, with intention and possibility to be redeemed in the short term, within 90 days, as of the date of investment. As of December 31, 2022 2021 2020 Cash and bank accounts – Brazil 213 74 64 Cash and bank accounts – Abroad (*) 24 25 29 Financial investments – Brazil (**) 5,605 2,451 3,439 5,842 2,550 3,532 (*) As of December 31, 2022, the Company had funds held abroad, being R$24 in US Dollars (R$25 in US dollars as of December 31, 2021 and R$29 in US dollars as of December 31, 2020). (**) As of December 31, 2022, the financial investments correspond to repurchase and resale agreements, with a weighted average interest rate of 92.80% of CDI – Interbank Deposit Certificate (109.64% of CDI as of December 31, 2021 and 96.96% of CDI as of December 31, 2020). |
Trade Receivables
Trade Receivables | 12 Months Ended |
Dec. 31, 2022 | |
Trade Receivables [Abstract] | |
Trade receivables | 7 Trade receivables Trade receivables are initially recorded at the transaction amount, which corresponds to the sales price, and are subsequently measured as follows: (i) fair value through other comprehensive income, in the case of receivables from credit card companies and (ii) amortized cost, for other customer portfolio. As of December 31, Note 2022 2021 Credit card companies 7.1 241 75 Credit card companies with related parties 10.1 49 24 Sales ticket and payment slips 7.2 249 118 Trade receivables with related parties 10.1 24 31 Trade receivables with suppliers/payment slips 18 23 581 271 Provision for expected credit losses 7.3 (11 ) (6 ) 570 265 Set forth below the breakdown of trade receivables by their gross amount by maturity period: Overdue Total Due Less than Less than Less than > 90 days 2022 581 576 4 - - 1 2021 271 269 1 - - 1 7.1 Credit card companies The Company, through its cash management strategy, anticipates the amount receivable with credit card companies, without any right of recourse or related obligation and derecognizes the balance of trade receivables. 7.2 Sales ticket and payment slips Refers to amounts arising from transactions through receipts: (i) tickets and meal vouchers R$134 (R$56 as of December 31, 2021); and (ii) payment slips R$115 (R$62 as of December 31, 2021). 7.3 Provision for expected credit losses All portfolios consider estimated losses, which are recorded based on quantitative and qualitative analysis, the track record of effective losses in the last 24 months, the credit assessment, and considering information on assumptions and projections relating to macroeconomic events, such as unemployment index and consumer confidence index, as well as the volume of credits overdue of trade receivable portfolio. The Company opted for measuring provisions for trade receivable losses by an amount equal to the expected credit loss for the entire life, by adopting a matrix of losses for each level of maturity. The balance of trade receivables is disclosed net of the provision for expected losses in the balance sheet. For the year ended December 31, 2022 2021 2020 At the beginning of the year (6 ) (4 ) (32 ) Additions (36 ) (15 ) (56 ) Reversals 31 13 5 Write off trade receivables - - 42 Discontinued operations - - 43 Foreign currency translation adjustment - - (6 ) At the end of the year (11 ) (6 ) (4 ) |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2022 | |
Inventories [Abstract] | |
Inventories | 8 Inventories Inventories are carried at average cost, including the storage and handling costs, to the extent these costs are necessary to bring inventories to their sale condition at stores, less bonuses received from suppliers or net realizable value, whichever is lower. Net realizable value is the selling price in the ordinary course of business, less the estimated costs necessary to make the sale, such as (i) taxes levied on sales; (ii) personnel expenses directly linked to sales; (iii) cost of sales; and (iv) other costs required to make goods available for sale. 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. As of December 31, Note 2022 2021 Stores 5,914 3,955 Distribution centers 1,139 878 Commercial agreements 8.1 (518 ) (416 ) Allowance for loss on inventory obsolescence and damages 8.2 (68 ) (37 ) 6,467 4,380 8.1 Commercial agreements The Company records rebates from vendors and the storage costs in the statement of operations as the inventories that gave rise to the bonuses and the stored costs are realized. As of December 31, 2022, the amount of unrealized bonus, as a reduction of inventory balance, totaled R$518 (R$416 as of December 31, 2021). 8.2 Allowance for loss on inventory (obsolescence and damages) Inventories are adjusted by an allowance for losses and damages, which is periodically reviewed and evaluated as appropriate. For the year ended December 31, 2022 2021 2020 At the beginning of the year (37 ) (51 ) (61 ) Additions (435 ) (315 ) (16 ) Reversals 17 13 3 Discontinued operations - - 28 Foreign currency translation adjustment - - (5 ) Write-offs 387 316 - At the end of the year (68 ) (37 ) (51 ) |
Recoverable taxes
Recoverable taxes | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Tax Receivables Explanatory [Abstract] | |
Recoverable taxes | 9 Recoverable taxes The Company records tax credits incurred in the operation and when it is entitled to these credits. The Company pays tax on services and sales, known as ICMS, which is a state level value-added tax levied on the sale of goods and the provision of services at each phase of production and sales. In the Brazilian states where the Company operates, and for most of the products in our sales mix, the ICMS tax substitution regime applies. Under the tax substitution regime, the responsibility for paying upfront taxes due on the entire production and sales chain for certain products is primarily that of the manufacturers and, in some cases (depending on the tax system applicable in each state and for each product) can be our responsibility. In the tax substitution regime, the tax is collected on the sale of the products and transferred to the government. The Company records the taxes paid upfront under the tax substitution regime in accordance with the accrual basis in the cost of goods sold. PIS (Programa de Integração Social) and COFINS (Contribuição para o Financiamento da Seguridade Social) (federal taxes on gross revenues) is recognized as a credit in the same account at which the credits are calculated. During 2022, the Company recorded monetary correction credits in the amount of R$109, resulting from the existence of a judicial discussion regarding the reimbursement of ICMS-ST. The estimate of future recoverability of these tax credits is made based on growth projections, operational matters and the consumption of the credits in the operation. As of December 31, Note 2022 2021 State tax credits – ICMS 9.1 1,210 1,153 Social Integration Program and Contribution for Social Security Financing - PIS/COFINS 9.2 587 370 Social Security Contribution - INSS 90 54 Income tax and social contribution 74 61 Others 21 8 Total 1,982 1,646 Current 1,055 876 Non-current 927 770 9.1 ICMS - State VAT tax credits Since 2008, the Brazilian States have been substantially amending their local laws aiming at implementing and broadening the ICMS tax replacement system. The referred system implies the prepayment of ICMS throughout the commercial chain, upon goods outflow from a manufacturer or importer or their inflow into the State. The expansion of such system to a wider range of products traded at retail is based on the assumption that the trading cycle of these products will end in the State, such that ICMS is fully owed to such State. To supply its stores, the Company maintains distribution centers strategically located in certain states and the Federal District, which receive goods with the ICMS of the entire commercial chain already prepaid (by force of tax replacement) by suppliers or the Company, and then, goods are sent to locations in other States. This interstate remittance entitles the Company to a refund reimbursement of prepaid ICMS, the ICMS of commercial chain paid upon acquisition is converted into a tax credit to be refunded, pursuant to each State’s laws. The refund process requires evidence through tax documents and digital files of transactions made, entitling the Company to such a refund. Only after ratification by State tax authorities and/or the compliance with specific ancillary obligations aiming to support such evidence that credits can be used by the Company, which occur in periods after these are generated. Since the number of items traded at the retail subject to tax replacement has been continuously increasing, the tax credit to be refunded by the Company has also grown. The Company has been realizing referred credits with authorization for immediate offset with those credits due in view of its operations, through the special regime, also other procedures regulated by state rules. With respect to credits that cannot yet be immediately offset, the Company’s management, based on a technical recovery study, based on the future expectation of growth and consequent compensation with taxes payable arising from its operations, believes that its future compensation is viable. The studies mentioned are prepared and periodically reviewed based on information extracted from the strategic planning previously approved by the Company’s Board of Directors. As of December 31, 2022, the Company’s management has monitoring controls over adherence to the annually established plan, reassessing and including new elements that contribute to the realization of the ICMS balance to be recovered, as shown in the table below. Year Amounts In 1 year 543 From 1 to 2 years 298 From 2 to 3 years 93 From 3 to 4 years 77 From 4 to 5 years 61 More than 5 years 138 Total 1,210 9.2 PIS and COFINS credit On March 15, 2017, the Federal Supreme Court (“STF”) recognized the unconstitutionality of the inclusion of ICMS in the PIS and COFINS calculation base. On May 13, 2021, the STF judged the Declaration Embargoes in relation to the amount to be excluded from the calculation basis of the contributions, which should only be the ICMS paid, or if the entire ICMS, as shown in the respective invoices. The STF decided to modulate the effects of the decision, providing those taxpayers who distributed lawsuits before March 15, 2017, or who had administrative proceedings in progress before that same date, would have right to take advantage of the past period. As the decision was rendered in a process with recognized general repercussions, the understanding reached is binding on all judges and courts. The Company filed a lawsuit on October 31, 2013, having obtained a favorable decision and a final and unappealable decision on July 16, 2021, thus allowing the recognition of the credit for the period covered by the lawsuit. In 2021, in line with the final decision, the Company processed the calculation in accordance with the rules defined by the STF and definitively recorded its right in the amount of R$216 (R$175 in net revenue and R$41 in financial result, arising from monetary correction), contemplating the period covered by the lawsuit from 2008 to 2016. Currently, the Company, based on the favorable judgment of the STF, has been recognizing the exclusion of ICMS from the PIS and COFINS calculation basis based on the same assumptions mentioned above. Expected realization of PIS and COFINS credits In related to the recoverable PIS and COFINS credits, the Company’s management, based on a technical recovery study, considering future growth expectations and consequent offset against debts from its operations, projects its future realization. The mentioned studies are prepared and periodically reviewed based on information obtained from the strategic planning previously approved by the Company’s Board of Directors. For the financial statements as of December 31, 2022, the Company’s management has monitoring controls over the adherence to the annually established plan, reassessing and including new elements that contribute to the realization of the recoverable PIS and COFINS balance, as shown in the table below: Year Amounts In 1 year 366 From 1 to 2 years 221 Total 587 |
Related Parties
Related Parties | 12 Months Ended |
Dec. 31, 2022 | |
Related Parties [Abstract] | |
Related Parties | 10 Related Parties 10.1 Balances and related party transactions Assets balance Liabilities balance Clients Other assets Suppliers Other liabilities 2022 2021 2022 2021 2022 2021 2022 2021 Controlling shareholder Wilkes Participações S.A. (i) - - - - - - 2 2 Euris (ii) - - - - - - 1 1 Casino Guichard Perrachon (iii) - 13 - - - - 21 - - 13 - - - - 24 3 Other related parties GPA (iv) 24 18 234 100 8 8 237 365 Joint venture Financeira Itaú CBD S.A. Crédito, Financiamento e Investimento (“FIC”) (vi) 49 24 18 14 25 14 - - 73 42 252 114 33 22 237 365 Total 73 55 252 114 33 22 261 368 Current 73 55 - - 33 22 201 368 Non-current - - 252 114 - - 60 - Transactions Purchases Revenue (Expenses) 2022 2021 2020 2022 2021 2020 Controlling shareholder Wilkes Participações S.A. (i) - - - (8 ) (6 ) - Euris (ii) - - - (3 ) (1 ) - Casino Guichard Perrachon (iii) - - - (60 ) (35 ) (19 ) - - - (71 ) (42 ) (19 ) Other related parties GPA (iv) - - - (310 ) (137 ) (183 ) Compre Bem - - 1 - (1 ) 3 Greenyellow (v) - - - (33 ) (26 ) (47 ) Puntos Colombia - - - - - (114 ) Tuya - - - - - 24 Others - - - - - (2 ) Joint venture Financeira Itaú CBD S.A. Crédito, Financiamento e Investimento (“FIC”) (vi) - - - 25 15 - - - 1 (318 ) (149 ) (319 ) Total - - 1 (389 ) (191 ) (338 ) The related-party transactions are carried out according to prices, terms and conditions agreed upon the parties and are measured substantially at market value, namely: (i) Wilkes Participações S.A.: reimbursement of personnel expenses, equipment rental and maintenance. (ii) Euris: reimbursement of expenses according to cost sharing contracts (expenses with personnel, expatriates, maintenance, marketing and rent). (iii) Casino, Guichard-Perrachon: (i) Agency agreement entered into between GPA, the Company, and Groupe Casino Limited on July 25, 2016, as amended, to regulate the rendering of global sourcing services (global suppliers prospecting and purchasing intermediation) by Casino and reimbursed by Groupe Casino Limited to the Company to recover the reduced gain margins due to Company’s promotions at its stores; (ii) Agency agreement: entered into between GPA, the Company, and Casino International S.A. on December 20, 2004, as amended, for the Company’s representation in the business negotiation of products to be acquired by the Company with international suppliers. (iii) Cost sharing: entered into between Casino, Guichard-Perrachon, Euris, Helicco, Wilkes, GPA, Casino Service and the Company, on August 1, 2014, as amended, to reimburse costs incurred by Casino Group companies in activities of its personnel involving the transfer of know-how; and (iv) Cyber risk agreement: entered into on February 1, 2022 to provide insurance services against cyber risks. (iv) GPA: (i) Separation agreement: entered into between the Company and GPA on December 14, 2020, in which the companies undertake to indemnify each other for events that may arise as a result of the corporate reorganization (see note 1.3); (ii) Agreement for onerous assignment of exploration rights of commercial points and other agreements: entered into between the Company and GPA on December 16, 2021 for the acquisition of commercial rights; (iii) Non-residential lease agreements: entered into as of January 31, 2022, due to the acquisition of the Extra Hiper stores; (iv) Purchase and sale of real estate: entered into between GPA, Barzel Retail Fundo de Investimento Imobiliário, on February 23, 2022, for the sale of up to 17 properties owned and owned by GPA to the real estate fund, with the intervention of the Company; and (v) Advertising agreement: entered into between GPA, Editora Globo and the Company, on February 14, 2022, to provide for the provision of advertising services by Editora Globo through the provision of Multicash Cards for the acquisition of various goods in the establishments of the Advertisers (Company and GPA). As of December 31, 2022, the amount recorded in other assets is substantially composed by R$150 referring to the balance receivable from the sale of 16 Extra Hiper stores and R$82 referring to the indemnification process signed in the separation agreement between the companies that occurred on December 14, 2020. The amount recorded in other liabilities is substantially composed by R$187 referring to the indemnification process and refunds signed in the separation agreement between the parties. As of December 31, 2021, the Company recorded and intercompany liability for an amount of R$201 referring to the acquisition of 20 commercial points. (v) Greenyellow: agreement with the Company to set the rules for the lease and maintenance of photovoltaic system equipment by Greenyellow at ASSAÍ stores; and contracts with the Company for the purchase of energy sold on the free market. (vi) FIC: execution of business agreements to regulate the rules that promote and sell financial services offered by FIC at the Company’s stores to implement a financial partnership between the Company and Itaú Unibanco Holding S.A. (“Itaú”) in the partnership agreement, namely: (i) banking correspondent services in Brazil; (ii) indemnification agreement in which FIC undertook to hold the Company harmless from losses incurred due to services; FIC and the Company mutually undertook to indemnify each other due to legal proceeding under their responsibility; and (iii) agreement concerning the Company’s provision of information and access to systems to FIC, and vice-versa, in order to offer services. 10.2 Management compensation Expenses related to the executive board compensation recorded in the Company’s statement of operations is as follows (amounts expressed in thousands reais): Base salary (i) Variable compensation (i) Stock option plan Total 2022 2021 2020 2022 2021 2020 2022 2021 2020 2022 2021 2020 Board of director 31,971 25,533 - - - - 7,103 7,111 - 39,074 32,644 - Directors and executive officers 56,241 20,241 12,963 26,310 14,485 7,027 19,785 7,632 4,877 102,337 42,358 24,867 Fiscal council 584 331 - - - - - - - 584 331 - 88,796 46,105 12,963 26,310 14,485 7,027 26,888 14,743 4,877 141,995 75,333 24,867 (i) Short-term benefit. The stock option plan, fully in shares, refers to the Company’s executives and this plan has been recognized in the Company’s statement of operations. The related expenses are allocated to the Company and recorded in the statement of operations against capital reserve – stock options in shareholders’ equity. There are no other short-term or long-term benefits granted to the members of the Company’s management. |
Investment in Joint Venture
Investment in Joint Venture | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Joint Ventures Text Block Abstract | |
Investment in joint venture | 11 Investment in joint venture The carrying amount of the investment is adjusted to recognize changes in the Company’s share of net assets of the joint venture since the acquisition date. Goodwill relating to the joint venture is included in the carrying amount of the investment and is not tested for impairment separately. The financial statements of the joint venture are prepared for the same reporting period as the Company. When necessary, adjustments are made to bring the accounting policies in line with those of the Company. The details of the Company’s joint venture are shown below: Participation in investments - % 2022 2021 Group Company Country Direct participation Financeira Itaú CBD S.A. Bellamar Empreendimento e Participação S.A. Brazil 50.00 50.00 As described in note 1.3, the Company engaged in the Exchange Transaction in which the Company received 50% interest in Bellamar, an entity that holds 35.76% of FIC’s capital stock. As a result, the Company holds 17.88% indirect interest in FIC. FIC is a Brazilian company that operates financial services in the Company stores and GPA’s stores with exclusive rights to offer credit cards, financial services and insurance policies, except for extended warranties. FIC has been operating for more than ten years. The FIC is operated by Itaú Unibanco that hold 50% of the shares of FIC. The Company initially accounted for the investment in Bellamar at its fair value of R$769 which included the investment in FIC also at fair value. The fair value of investment in FIC was determined by an independent appraisal. Financial information of joint venture As of December 31, 2022 2021 Current assets 1 33 Non-current assets 519 433 Current liabilities - 33 Shareholders equity 520 433 Net income for the year 86 95 Breakdown Amount As of December 31, 2019 320 Equity accounting 27 Capital Increase 51 Equity on other comprehensive income 82 Discontinued operations (note 1.3) (480 ) Corporate restructuring (note 1.3) 769 As of December 31, 2020 769 Share of profit of associates 47 Dividends received (11 ) Dividends receivable (16 ) As of December 31, 2021 789 Share of profit of associates 44 As of December 31, 2022 833 |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Property Plant And Equipmenttext Block Abstract | |
Property, plant and equipment | 12 Property, plant and equipment Property, plant and equipment is stated at cost, net of accumulated depreciation and/or impairment losses, if any. The cost includes the acquisition amount of equipment and borrowing costs for long-term construction projects if recognition criteria are observed. When significant components of property, plant and equipment are replaced, these components 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 Average annual depreciation rate in % Buildings 2.78 Leasehold improvements 6.42 Machinery and equipments 14.29 Facilities 6.64 Furniture and appliances 10.72 Others 20.00 Property, plant and equipment items and eventual significant amounts are written-off upon sale or when there is no expectation of future economic benefits deriving from their use or sale. Any gains or losses resulting from disposals of assets are included in the statement of operations for the year. The residual value, the useful life of assets, and methods of depreciation are reviewed at the end of each fiscal year, and adjusted prospectively, where applicable. The Company reviewed the useful life of property, plant and equipment in 2022 and no significant changes were deemed necessary. Interest on borrowings and financing directly attributable to the acquisition, construction of an assets, 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 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. 12.1 Impairment of non-financial assets The Company tests its non-financial assets for impairment annually or whenever there is internal or external evidence that they may be impaired. An asset’s or cash-generating unit’s (“CGU”) recoverable amount is defined as the asset’s fair value less cost to sell or its value in use, whichever is higher. If the carrying amount of an asset or cash-generating units exceeds its recoverable value, the asset is considered impaired, and an impairment loss is recorded to adjust the carrying amount of the asset or cash-generating unit to its recoverable value. When assessing the recoverable value, the estimated future cash flow is discounted to the present value, using a nominal discount pre-tax rate, which represents the Company’s weighted average cost of capital to reflect current market valuations as to the time value of money and asset’s specific risks. The impairment test of intangible assets’ useful life including goodwill is described in notes 13.1 and 13.2. Impairment losses are recognized in the statement of operations in categories of expenses consistent with the function of the respective impaired asset. The impairment loss previously recognized is only reversed if there has been a changed in the assumptions used to determine the recoverable amount since the last impairment loss was recognized. 12.2 Impairment test of stores operating assets An impairment assessment is performed on operating assets (property, plant and equipment) and intangible assets (commercial rights) directly attributable to stores, as follows: ● Step 1: the carrying amounts of properties in rented stores was compared to a sales multiple (35%) representing transactions between retail companies. Stores for which the multiple of sales was lower than their carrying amount and owned stores, a more detailed test is made, as described in Step 2 below. ● Step 2: The Company considered the highest value between: a) the discounted cash flows of stores using sales growth average of 4.40% in 2022 (6.60% in 2021) for period exceeding the next five years and a discount rate of 12.20% in 2022(10.40% in 2021) and; b) appraisal reports drawn up by independent experts for own stores. The Company assessed if any of its long-lived assets were impaired as of December 31, 2022, 2021 and 2020 and concluded that the recognition of an impairment loss was not needed. 12.3 Property, plant and equipment rollforward As of December 31, Additions (i) Lease modification Write-off Depreciation Transfer and others (ii) As of December 31, Land 570 48 - (18 ) - - 600 Buildings 656 117 - - (17 ) (26 ) 730 Improvements 3,596 3,451 - (27 ) (284 ) 129 6,865 Machinery and equipment 828 708 - (4 ) (184 ) 92 1,440 Facilities 362 258 - (7 ) (35 ) 7 585 Furniture and appliances 416 279 - (2 ) (70 ) 132 755 Constructions in progress 235 582 - (1 ) - (273 ) 543 Others 37 24 - - (16 ) 19 64 Subtotal 6,700 5,467 - (59 ) (606 ) 80 11,582 Lease - right of use: Buildings 3,604 3,810 695 (70 ) (351 ) (95 ) 7,593 Equipment 16 - - - (6 ) (2 ) 8 Subtotal 3,620 3,810 695 (70 ) (357 ) (97 ) 7,601 Total 10,320 9,277 695 (129 ) (963 ) (17 ) 19,183 (i) In 2022, presents the capitalized borrowing costs, in amount of R$774, see note 12.5. (ii) In 2022, presents the transfer between fixed assets to “assets held for sale”, in amount of R$17 (see note 1.4). As of December 31, Additions (iii) Lease modification Write-off Depreciation Transfer and others (iv) As of December 31, Land 481 207 - (2 ) - (116 ) 570 Buildings 609 258 - (4 ) (15 ) (192 ) 656 Improvements 2,598 1,161 - (1 ) (182 ) 20 3,596 Machinery and equipment 635 307 - (1 ) (128 ) 15 828 Facilities 269 118 - (1 ) (25 ) 1 362 Furniture and appliances 340 110 - (2 ) (53 ) 21 416 Constructions in progress 78 266 - - - (109 ) 235 Others 37 6 - - (14 ) 8 37 Subtotal 5,047 2,433 - (11 ) (417 ) (352 ) 6,700 Lease - right of use: Buildings 2,423 885 628 (92 ) (244 ) 4 3,604 Equipment 6 16 - - (5 ) (1 ) 16 Subtotal 2,429 901 628 (92 ) (249 ) 3 3,620 Total 7,476 3,334 628 (103 ) (666 ) (349 ) 10,320 (iii) In 2021, presents the capitalized borrowing costs, in amount of R$38, see note 12.5. (iv) In 2021, presents the transfer between fixed assets to “assets held for sale”, in amount of R$349 (see note 1.4). As of December 31, Additions Lease modification Write-off Depreciation Transfer and others Conversion adjustment to reporting currency Corporate restructuring (Note 1.3) Discontinued operation As of December 31, Land 2,766 61 - (32 ) - (70 ) 541 146 (2,931 ) 481 Buildings 3,829 78 - (85 ) (121 ) (139 ) 704 - (3,657 ) 609 Improvements 2,207 694 - (71 ) (189 ) 293 70 (4 ) (402 ) 2,598 Equipment 1,242 227 - (28 ) (260 ) 84 151 (1 ) (780 ) 635 Facilities 330 58 - (6 ) (32 ) (16 ) 8 - (73 ) 269 Furniture and appliances 601 78 - (15 ) (128 ) 58 66 - (320 ) 340 Constructions in progress 140 344 - (7 ) - (318 ) 18 - (99 ) 78 Others 42 8 - - (16 ) 12 - (2 ) (7 ) 37 Subtotal 11,157 1,548 - (244 ) (746 ) (96 ) 1,558 139 (8,269 ) 5,047 Lease - right of use: Buildings 3,449 1,217 628 (588 ) (501 ) 2 403 (4 ) (2,183 ) 2,423 Equipment 43 23 (7 ) (1 ) (15 ) 3 9 - (49 ) 6 Land 3 - - - - - - - (3 ) - Subtotal 3,495 1,240 621 (589 ) (516 ) 5 412 (4 ) (2,235 ) 2,429 Total 14,652 2,788 621 (833 ) (1,262 ) (91 ) 1,970 135 (10,504 ) 7,476 (v) In 2020, presents: (a) the capital contribution through GPA’s real state in the amount of R$223; and (b) the transfer of fixed assets to “assets held for sale” in amount of R$380. 12.4 Breakdown As of December 31, 2022 2021 Historical cost Accumulated depreciation Net amount Historical cost Accumulated depreciation Net amount Land 600 - 600 570 - 570 Buildings 859 (129 ) 730 767 (111 ) 656 Improvements 7,933 (1,068 ) 6,865 4,387 (791 ) 3,596 Equipment 2,160 (720 ) 1,440 1,373 (545 ) 828 Facilities 729 (144 ) 585 472 (110 ) 362 Furniture and appliances 1,043 (288 ) 755 635 (219 ) 416 Construction in progress 543 - 543 235 - 235 Others 157 (93 ) 64 115 (78 ) 37 14,024 (2,442 ) 11,582 8,554 (1,854 ) 6,700 Lease – right of use: - - Buildings 8,924 (1,331 ) 7,593 4,566 (962 ) 3,604 Equipment 57 (49 ) 8 61 (45 ) 16 8,981 (1,380 ) 7,601 4,627 (1,007 ) 3,620 Total Property, plant and equipment 23,005 (3,822 ) 19,183 13,181 (2,861 ) 10,320 12.5 Capitalized borrowing and leases costs Borrowing costs directly attributable to the acquisition, construction or production and interest of lease liabilities related to assets that necessarily takes a substantial period of time to get ready for its intended use or sale are capitalized as part of the cost of the asset, amounted to R$774 (R$38 as of December 31, 2021). The rate adopted to calculate the borrowing costs eligible for capitalization was 112.16% (117.70% as of December 31, 2021) of the CDI, corresponding to the effective interest rate of the borrowings obtained by the Company. 12.6 Additions to property, plant and equipment for cash flow presentation purpose are as follows: 2022 2021 2020 Additions 9,277 3,334 2,788 Leases (3,810 ) (901 ) (1,241 ) Capitalized borrowing costs (774 ) (38 ) (12 ) Financing of property, plant and equipment – Additions (5,080 ) (2,284 ) (1,437 ) Financing of property, plant and equipment – Payments 3,911 2,120 1,464 Total 3,524 2,231 1,562 Additions relate to the acquisition of operating assets, purchase of land and buildings to expansion activities, building of new stores, improvements of existing distribution centers and stores and investments in equipment and information technology. The additions to property, plant 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. 12.7 Other information As of December 31, 2022, the Company recorded in the cost of sales and services the amount of R$71 (R$49 as of December 31, 2021 and R$34 as of December 31, 2020), relating to the depreciation of machinery, building and facilities of distribution centers. |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Intangible Assets Text Block Abstract | |
Intangible Assets | 13 Intangible Assets Intangible assets acquired separately are measured at cost upon initial recognition, less amortization, and eventual impairment losses, if any. Internally generated intangible assets, excluding capitalized software development costs, are recognized as expenses when incurred. Intangible assets mainly consist of software acquired from third parties and software developed for internal use and commercial rights (stores rights of use), customer list and brands. Intangible assets with definite useful lives are amortized using 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 defined useful life (5 to 10 years). The weighted average rate is 14.04%, and amortization starts when they 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. Intangible assets other than goodwill with indefinite useful live include tradenames and commercial rights. 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. As of December 31, Additions Lease modification Amortization As of December 31, Goodwill 618 - - - 618 Software 75 18 - (17 ) 76 Commercial rights (i) 1,136 3,139 - (8 ) 4,267 Tradename 39 - - - 39 Subtotal 1,868 3,157 - (25 ) 5,000 Lease - right of use: Assets and rights 19 - 1 (2 ) 18 Subtotal 19 - 1 (2 ) 18 1,887 3,157 1 (27 ) 5,018 (i) Includes commercial rights related to 46 commercial points sold by GPA to the Company as a result of the Transaction for an amount of R$3,130 (see note 1.5). As of December 31, Additions Amortizations Write-off Transfers As of December 31, Goodwill 618 - - - - 618 Software 70 21 (14 ) (1 ) (1 ) 75 Commercial rights (i) 310 833 (7 ) - - 1,136 Tradename 39 - - - - 39 Subtotal 1,037 854 (21 ) (1 ) 1 1,868 Lease - right of use: Assets and rights - 18 - - 1 19 Subtotal - 18 - - 1 19 1,037 872 (21 ) (1 ) - 1,887 (i) Includes commercial rights related to 20 commercial points sold by GPA to the Company as a result of the Transaction for an amount of R$798 (see note 1.5). As of December 31, Additions Amortizations Write-off Conversion adjustment to reporting currency Transfers Discontinued operation As of December 31, Goodwill 787 - - - 38 1 (208 ) 618 Software 134 72 (40 ) (1 ) 20 - (115 ) 70 Commercial rights 313 6 (8 ) - (1 ) - - 310 Tradename 3,054 - - - 713 - (3,728 ) 39 4,288 78 (48 ) (1 ) 770 1 (4,051 ) 1,037 As of December 31, 2022 2021 Historical cost Accumulated amortization Net amount Historical cost Accumulated amortization Net amount Goodwill 871 (253 ) 618 871 (253 ) 618 Software 151 (75 ) 76 133 (58 ) 75 Commercial rights 4,299 (32 ) 4,267 1,160 (24 ) 1,136 Tradename 39 - 39 39 - 39 5,360 (360 ) 5,000 2,203 (335 ) 1,868 Lease - right of use: Assets and rights 29 (11 ) 18 28 (9 ) 19 Total of intangible assets 5,389 (371 ) 5,018 2,231 (344 ) 1,887 13.1 Impairment test of intangible assets with an indefinite useful life, including goodwill The impairment test of intangible assets uses the same practices described in note 12.1. Annually, the Company uses the Business Plan approved by the Board of Director to assess impairment for Cash Generating Units (CGUs). The Company calculated the value in use, based on cash projections from financial budgets, which were reviewed and approved by Management for the next three years, considering the assumptions updated as of December 31, 2022. The discount rate applied to cash flow projections was 12.20% as of December 31, 2022 (10.40% at December 31, 2021), and cash flows that exceed the three years period are extrapolated using a growth rate of 4.40% at December 31, 2022 (6.60% at December 31, 2021). As a result, there was no need to record a provision for impairment. 13.2 Commercial rights Commercial rights are the right to operate stores. As of December 31, 2022, management concluded that commercial rights are recoverable, either through the expected cash flows of the related store or the sale to third parties. Commercial rights with a define useful life are tested for impairment using the same assumptions for the Company’s impairment test (see note 12.2), following the lease agreement terms. The amount of commercial rights recorded in 2022 is mainly related to the acquisition of Extra Hiper stores. The Company used a single CGU for the impairment test with all the stores acquired, considering the maturation period of the stores (2 years). 13.3 Additions to intangible assets for cash flow presentation purpose are as follows 2022 2021 2020 Additions 3,157 872 25 Lease - (18 ) - Financing of intangible assets – Additions (3,130 ) - - Financing of intangible assets – Payments 609 - - Total 636 854 25 |
Trade payables and trade payabl
Trade payables and trade payables - Agreements | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Trade And Other Payables Text Block Abstract | |
Trade payables and trade payables - Agreements | 14 Trade payables and trade payables - Agreements As of December 31, Note 2022 2021 Trade payables Product suppliers 9,196 5,849 Suppliers – Acquisition of property, plant and equipment 140 197 Service providers 129 74 Service providers - related parties 10.1 33 22 Bonuses from suppliers 14.2 (960 ) (576 ) Total trade payables 8,538 5,566 Trade payables - Agreements Product suppliers 14.1 813 573 Suppliers –Acquisition of property, plant and equipment 14.1 1,226 - Suppliers – Agreements – Acquisition of Extra stores 14.3 3,202 - Total trade payables – Agreements 5,241 573 Total 13,779 6,139 Current 12,999 6,139 Non-current 780 - 14.1 Agreements among suppliers, the Company, and banks The Company maintains agreements signed with financial institutions, through which, suppliers of products, capital goods and services, have the possibility of structuring operations of anticipation of receipt of securities related to commercial operations between the parties. Management assessed that the economic substance of the transaction is operational, considering that the anticipation is an exclusive decision of the supplier and, for the Company, there are no changes in the original term negotiated with the supplier, nor changes in the contracted amounts. Management evaluated the potential effects of adjusting these operations to present value and concluded that the effects are immaterial for measurement and disclosure. Additionally, there is no exposure to any financial institution individually related to these operations and these resulting liabilities are not considered net debt and do not have restrictive covenants (financial or non-financial) related. These balances are classified as “trade payables - agreements” and payments are made to financial institutions under the same conditions as those originally agreed with the supplier. As a result, all cash flow from these operations is presented as operating in the statement of cash flows. As of December 31, 2022, the balance payable related to these operations is R$2,039 (R$573 as of December 31, 2021). 14.2 Bonuses from suppliers These include bonuses and discounts from suppliers. These amounts are defined in agreements and include amounts referring to discounts by volume of purchases, joint marketing programs, freight reimbursements, and other similar programs. Settlement occurs by offsetting payable to suppliers, according to conditions foreseen in the supply agreements. 14.3 Suppliers – Purchase of Extra stores As mentioned in note 1.5, on September and December, 2022, the GPA realized the assignment of its receivables on the sale of Extra stores to the Company with a financial institution corresponding to the installments due between 2023 and 2024. The Company’s management, as the consenting party of the operation, evaluated the contractual terms of the assignment of receivables and in accordance with IAS 1 - Presentation of financial statements, concluded that there was no modification in the conditions originally contracted with the GPA, maintaining the characteristic of the terms, and the payments of the installments will be made directly by the Company to the financial institution, maintaining the same due dates and interest previously agreed with GPA. Therefore, Management concluded that the characteristic of the operation was maintained as accounts payable for the acquisition of the commercial points of the Extra Hiper stores. As of December 31, 2022, the balance payable related to these operations is R$3,202 (there is no amount recorded as of December 31, 2021). |
Financial instruments
Financial instruments | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Financial Instruments Text Block Abstract | |
Financial instruments | 15 Financial instruments Financial assets are recognized when the Company assumes contractual rights of receiving cash or other financial assets of agreements to which it is a party. Financial assets are derecognized when the rights to receive cash linked to the financial asset expire or risks and benefits were substantially transferred to third parties. Assets and liabilities are recognized when rights and/or obligations are retained by the Company. Financial liabilities are recognized when the Company assume contractual liabilities for settlement in cash or assumption of third-party obligations through a contract to which it is a party. The financial liabilities are initially recognized at fair value and derecognized when settled, extinguished, or expired. Purchases or sales of financial assets requiring delivery of assets within a term defined by regulation or agreement in the market (negotiations under normal conditions) are recognized on the trade date, i.e., on the date the Company undertakes to buy or sell the asset. 15.1 Classification and measurement of financial assets and liabilities Pursuant to IFRS 9, on initial recognition, a financial asset is classified as measured: at amortized cost, at fair value through other comprehensive income or at fair value through income. The classification of financial assets pursuant to IFRS 9 is usually based on the business model in which a financial asset is managed and its contractual cash flow characteristics. Embedded derivatives in which the main contract is a financial asset within the scope of the standard are never split. Instead, the hybrid financial instrument is assessed for classification as a whole. A financial asset is measured at amortized cost if it meets both of the following conditions and is not designated as measured at fair value through income: ● it is maintained in a business model whose objective is to keep financial assets to receive contractual cash flows; and ● its contractual terms generate, on specific dates, cash flows related to the payment of principal and interest on the outstanding principal amount. A debt instrument is measured at fair value through other comprehensive income, if it meets both of the following conditions and is not designated as measured at fair value through income: ● it is maintained in a business model whose objective is achieved both by receipt of contractual cash flows and sale of financial assets; and ● its contractual terms generate, on specific dates, cash flows related to the payment of principal and interest on the outstanding principal amount. At the initial recognition of an investment in an equity instrument that is not held for trading, the Company may irrevocably opt to report subsequent alterations in the fair value of investment under other comprehensive income. This option is made on each individual investment. All financial assets not classified as measured at amortized cost or at fair value through other comprehensive income, as described above, are classified as fair value through income. This includes all derivative financial assets. At initial recognition, the Company may irrevocably designate a financial asset that otherwise meets the requirements to be measured at amortized cost, at fair value through other comprehensive income or fair value through income if this significantly eliminates or reduces an accounting mismatch that otherwise would arise (option of fair value available in IFRS 9). A financial asset (unless these are trade receivables without a significant financing component which is firstly measured by the price of the transaction) is initially measured by fair value, accrued, for an item not measured at fair value through income of transaction costs which are directly attributable to its acquisition. ● Financial assets measured at fair value through income ● Financial assets at amortized cost ● Financial assets at fair value through other comprehensive income The measurement of financial liabilities depends on their classification, as described below: ● Financial liabilities at fair value through income: ● Financial liabilities at amortized cost: 15.2 Derecognition of financial assets and liabilities A financial asset (or, where applicable, part of a financial asset or part of a group of similar financial assets) is derecognized when: ● The rights of cash flows receivables expire; and ● The Company transfers its rights to receive cash flows from an asset or assume an obligation of fully paying the cash flows received to a third party, under the terms of a transfer agreement; and (a) the Company substantially transferred all the risks and benefits related to the asset; or (b) the Company neither transferred nor substantially retained all the risks and benefits relating to the asset, but transferred its control. When the Company assigns its rights to receive cash flows from an asset or enters into a transfer agreement without having substantially transferred or retained all of the risks and benefits relating to the asset nor transferred the asset control, the asset is maintained and the related liability is recognized. The asset transferred and related liability are measured to reflect the rights and obligations retained by the Company. A financial liability is derecognized when the liability underlying obligation is settled, canceled, or expired. Purchases or sales of financial assets requiring delivery of assets within a term defined by regulation or agreement in the market (negotiations under normal conditions) are recognized on the trade date, i.e., on the date the Company undertakes to buy or sell the asset. When a financial liability is replaced by another of the same creditor, through substantially different terms, or terms of an existing liability are substantially modified, this replacement or modification is treated as the derecognition of original liability and recognition of a new liability, and the difference between respective carrying amounts is recognized in the statement of operations. 15.3 Offset of financial instruments The financial assets and liabilities are offset and reported net in financial statements, if, and only if, amounts recognized can be offset and with the intention of settlement on a net basis, or realize assets and settle liabilities, simultaneously. 15.4 Derivative financial instruments The Company uses derivative financial instruments to limit the exposure to variation unrelated to the local market, such as interest rate swaps and exchange rate variation swaps. These derivative financial instruments are initially recognized at fair value on the date on which the derivative contract is executed and subsequently re-measured at fair value at the end of the reporting period. Derivatives are recorded as financial assets when the fair value is positive and as financial liabilities when the fair value is negative. Gains or losses resulting from changes in the fair value of derivatives are directly recorded in the statement of operations. 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; and ● 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, 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. 15.5 Impairment of financial assets The impairment loss model applies to financial assets measured at amortized cost, contractual assets, and debt instruments measured at fair value through other comprehensive income but does not apply to investments in equity instruments (shares) or financial assets measured at fair value through income. Pursuant to IFRS 9, provisions for losses are measured at one of the following bases: ● Loan losses expected for 12 months (general model): these are loan losses resulting from possible default events within 12 months after the end of the reporting period, and subsequently, in case of a deterioration of credit risk for the entire life of the instrument. ● Loan losses expected for entire life (simplified model): these are loan losses resulting from all possible default events over the expected life of a financial instrument. ● Practical expedient: these are loan losses expected and consistent with reasonable and sustainable information available, at the end of the reporting period on past events, current conditions, and estimates of future economic conditions that allow verifying probable future loss based on the historical loan loss occurred in accordance with instruments maturity. The Company measures provisions for trade receivable losses and other receivables and contractual assets through an amount corresponding to the loan loss expected for the entire life, and for trade receivables, whose receivables portfolio is fragmented, rents receivable, the practical expedient is applied by adopting a matrix of losses for each maturity level. When determining whether the credit risk of a financial asset significantly increased from initial recognition, and when estimating the expected loan losses, the Company considers reasonable and sustainable information which is relevant and available without cost or excessive effort. This includes qualitative and quantitative information and analyses, based on the Company’s historical experience, the assessment of credit, and considering projection information. The Company assumes that the credit risk in a financial asset significantly increased if it is more than 90 days overdue. The Company considers a financial asset in default when: ● it is unlikely that the debtor will fully pay its loan obligations to the Company, without resorting to collateral (if any); or ● the financial asset is more than 90 days overdue. The Company determines the credit risk of a debt instrument by analyzing the payment history, financial, and current macroeconomic conditions of counterparty and assessment of rating agencies, where applicable, thereby evaluating each instrument, individually. The maximum period considered in the estimate of expected receivable loss is the maximum contractual period during which the Company is exposed to the credit risk. ● Measurement of expected loan losses Expected loan losses are discounted by the effective interest rate of a financial asset. ● Financial assets with credit recovery problems ● Reporting of impairment loss For financial instruments measured at fair value through other comprehensive income, the provision for losses is recognized in other comprehensive income, instead of reducing the asset’s carrying amount. Impairment losses related to trade receivables and other receivables, including contractual assets, are reported separately in the statement of operations and other comprehensive income. Losses of recoverable amounts from other financial assets are stated under “selling expenses”. ● Trade receivables and contractual assets: Positions within each group were segmented based on common characteristics of credit risk, such as: ● Level of credit risk and loss history for wholesale clients and property lease; and ● Status of default risk and loss history for credit card companies and other clients. The main financial instruments and their carrying amounts, by category, are as follows: Carrying amounts Notes 2022 2021 Financial assets (*) Amortized cost Related parties - assets 10.1 252 114 Accounts receivable and other accounts receivable 198 169 Fair value through income Gain of financial instruments at fair value 15.11.1 182 32 Fair value through other comprehensive income Accounts receivable with credit card companies and sales tickets 424 155 Financial liabilities Other financial liabilities - amortized cost Related parties – liabilities 10.1 (261 ) (368 ) Trade payables and trade payables - agreements 14 (13,779 ) (6,139 ) Borrowings and financing 15.11.1 (1,217 ) (1,210 ) Debentures and promissory notes 15.12 (11,025 ) (6,446 ) Lease liabilities 17.2 (8,360 ) (4,051 ) Fair value through income Borrowings and financing, including derivatives 15.11.1 (313 ) (341 ) Loss of financial instruments at fair value 15.11.1 (36 ) (36 ) Net exposure (33,935 ) (18,121 ) (*) Other than cash and cash equivalents in the amount of R$5,842 (R$2,550 as of December 31, 2021) The fair value of other financial instruments detailed in table above approximates the carrying amount based on the existing terms and conditions. The financial instruments measured at amortized cost, the related fair values of which differ from the carrying amounts, are disclosed in note 15.9. 15.6 Considerations on risk factors that may affect the businesses of the Company 15.6.1 Credit Risk ● Cash equivalents: In order to minimize credit risks, the Company adopts investments policies at financial institutions approved by the Company’s Financial Committee, also taking into consideration monetary limits and financial institution evaluations, which are regularly updated. ● Trade receivables: Credit risk related to trade receivables is minimized by the fact that a large portion of sales are paid with credit cards, and the Company 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 Company monitor the risk through the credit concession and by periodic analysis of the provision for losses. The Company also has counterparty risk related to derivative instruments, which is mitigated by the Company 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. 15.6.2 Interest rate risk The Company obtains borrowings and financing with major financial institutions for cash needs for investments. As a result, the Company is mainly exposed to relevant interest rates fluctuation risk, especially in view of derivatives liabilities (foreign currency exposure hedge) and CDI Indexed debts. The balance of cash and cash equivalents, indexed to CDI, partially offsets the interest rate risk. 15.6.3 Foreign currency exchange rate risk The Company is exposed to exchange rate fluctuations, which may increase outstanding balances of foreign currency-denominated borrowings. The Company 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. 15.6.4 Capital risk management The main objective of the Company’s capital management is to ensure that the Company maintains its credit rating and a well-balanced equity ratio, in order to support businesses and maximize shareholder value. The Company manages the capital structure and makes adjustments taking into account changes in the economic conditions. The Company’s capital structure is as follows: As of December 31, 2022 2021 Borrowings, financing, debentures and promissory notes (12,591 ) (8,033 ) (-) Cash and cash equivalents 5,842 2,550 (-) Derivative financial instruments 182 32 Net debt (6,567 ) (5,451 ) Shareholders´ equity 3,896 2,766 % Net debt over shareholders´ equity 169 % 197 % 15.6.5 Liquidity risk management The Company 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 Company’s financial liabilities as of December 31, 2022. Less than 1 1 to 5 years More than 5 Total Borrowings and financing 948 835 - 1,783 Debentures and promissory notes 1,142 11,362 3,671 16,175 Derivative financial instruments 214 219 (1,081 ) (648 ) Lease liabilities 1,356 5,828 13,494 20,678 Trade payables 8,538 - - 8,538 Trade payables – Agreements 2,039 - - 2,039 Trade payables – Agreements – Acquisition of Extra stores 2,422 780 - 3,202 Total 16,659 19,024 16,084 51,767 The table above was prepared considering the undiscounted cash flows of financial liabilities based on the earliest date the Company may be required to make a payment or be eligible to receive a payment. To the extent that interest rates are floating, the non-discounted amount is obtained based on interest rate curves as of December 31, 2022. Therefore, certain balances are not consistent with the balances reported in the balance sheets. 15.7 Derivative financial instruments Swap transactions are designated as fair value hedges, with the objective to hedge the exposure to changes in foreign exchange rates and fixed interest rates (U.S. dollars), converting the debt into domestic interest rates and currency. As of December 31, 2022, the notional amount of these contracts was R$2,360 (R$1,888 as of December 31, 2021). These transactions are usually contracted under the same term of amounts and carried out with a financial institution of the same economic group, observing the limits set by Management. According to the Company’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 Company’s internal controls were designed to ensure that transactions executed conform to the treasury policy. The Company calculates the effectiveness of hedge transactions at the inception date and on a continuing basis. Hedge transactions contracted in the year ended December 31, 2022 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 at fair value. Notional value Fair value 2022 2021 2022 2021 Swap of hedge Hedge purpose (debt) 2,360 1,888 2,542 1,869 Long position Fixed rate 106 106 109 60 USD + Fixed 282 282 282 281 Hedge - CRI 1,972 1,500 2,151 1,528 Short position (2,360 ) (1,888 ) (2,396 ) (1,873 ) Net hedge position - - 146 (4 ) Realized and unrealized gains and losses on these contracts during the year ended December 31, 2022, are recorded as financial revenues or expenses and the balance receivable at fair value is R$146 (balance payable of R$4 as of December 31, 2021). 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, 2022, resulted in a gain of R$29, recorded under debt of cost, note 24 (loss of R$4 as of December 31, 2021 and gain of R$68 as of December 31, 2020). 15.7.1 Fair values 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 values are calculated using projected future cash flow, using the CDI curves and discounting to present value, using CDI market rates for swap both disclosed by the B3. The fair value of exchange coupon swaps versus CDI rate was determined based on market exchange rates effective at the date of the financial statements and projected based on the 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. 15.8 Sensitivity analysis of financial instruments According to Management’s assessment, the most probable scenario is what the market has been estimating through market curves (currency and interest rates) of the 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 exclusive effect, a deterioration from 5% to 10% was taken into account, respectively, on risk variables, up to one year of financial instruments. For a probable scenario the interest rate weighted was 12.95% per year. In the 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 Company disclosed the net effect of derivative financial instruments, each of the scenarios mentioned above in the sensitivity analysis as follows: Market projections Transactions Notes Risk Balance at Scenario Scenario Scenario Borrowings and financing 15.11.1 CDI + 1.55% per year (1,223 ) (170 ) (178 ) (187 ) Borrowings and financing (fixed rate) 15.11.1 TR + 9.80% per year (48 ) (58 ) (62 ) (67 ) Borrowings and financing (foreign exchange) 15.11.1 USD + 1.06% per year (262 ) (6 ) (20 ) (33 ) Debentures and promissory notes 15.11.1 CDI + 1.44% per year (11,123 ) (1,534 ) (1,611 ) (1,688 ) Total net effect (loss) (12,656 ) (1,768 ) (1,871 ) (1,975 ) Cash equivalents 6 92.80% 5,605 734 771 808 Net exposure loss (7,051 ) (1,034 ) (1,100 ) (1,167 ) 15.9 Fair value measurement The Company discloses the fair value of financial instruments and other assets and liabilities measured or disclosed at fair value in accordance with IFRS 13. 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 is 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. In the case of financial instruments not actively negotiated, the fair value is based on valuation techniques defined by the Company and compatible with usual market practices. These techniques include the use of recent market operations between independent parties, the benchmarking of similar financial instruments’ fair value, the analysis of discounted cash flows, or other valuation models. The fair values of cash and cash equivalents, trade receivables and trade payables approximate their carrying amounts. The table below sets forth the fair value hierarchy of financial assets and liabilities measured at fair value of financial instruments measured at amortized cost, for which the fair value has been disclosed in the financial statements: Carrying amount Fair value 2022 2021 2022 2021 Level Trade receivables with credit cards companies and sales tickets 424 155 424 155 2 Swaps of annual rates between currencies (36 ) (11 ) (36 ) (11 ) 2 Interest rate swaps 2 4 2 4 2 Interest rate swaps - CRI 180 3 180 3 2 Borrowings and financing (fair value) (313 ) (341 ) (313 ) (341 ) 2 Borrowings and financing (amortized cost) (12,242 ) (7,656 ) (12,096 ) (7,372 ) 2 (11,985 ) (7,846 ) (11,839 ) (7,562 ) There was no change between the fair value measurements hierarchy levels during the year ended December 31, 2022. Cross-currency and interest rate swaps and borrowings and financing are classified as 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. 15.10 Position of operations with derivative financial instruments The Company has derivative contracts with the following financial institutions: Itaú BBA, Scotiabank, BR Partners, Santander and Banco XP. The outstanding derivative financial instruments are presented in the table below: Notional As of December 31, Description Risk (millions) Due date 2022 2021 Debt USD – BRL US$ 50 2023 (36 ) (11 ) Debt IPCA – BRL R$ 1,972 2028, 2029 and 2031 180 3 Interest rate swaps registered at CETIP Fixed rate x CDI R$ 54 2027 1 2 Fixed rate x CDI R$ 52 2027 1 2 Derivatives - Fair value hedge – Brazil 146 (4 ) 15.11 Borrowings and financing 15.11.1 Debt breakdown Weighted As of December 31, average rate 2022 2021 Current Debentures and promissory notes Debentures and promissory notes CDI + 1.46% per year 454 194 Borrowing costs (23 ) (14 ) Total debentures and promissory notes 431 180 Borrowings and financing in domestic currency Working capital TR + 9.80% 12 14 Working capital CDI + 1.15% per year 523 419 Borrowing costs (4 ) (4 ) Total domestic currency 531 429 In foreign currency Working capital USD + 1.06% per year 262 1 Total foreign currency 262 1 Total of borrowings and financing 793 430 Derivative financial instruments Swap contracts CDI + 0.84% per year (27 ) (4 ) Swap contracts CDI + 1.35% per year 36 3 Total derivative financial instruments 9 (1 ) Total current 1,233 609 Weighted As of December 31, average rate 2022 2021 Non-current Debentures and promissory notes Debentures and promissory notes CDI + 1.44% per year 10,669 6,329 Borrowing costs (75 ) (63 ) Total debentures and promissory notes 10,594 6,266 Borrowings and financing in domestic currency Working capital TR + 9.80% 39 47 Working capital CDI + 1.84% per year 700 800 Borrowing costs (2 ) (5 ) Total domestic currency 737 842 In foreign currency Working capital USD + 1.06% per year - 279 Total foreign currency - 279 Total of borrowings and financing 737 1,121 Derivative financial instruments Swap contracts CDI + 0.84% per year (155 ) (28 ) Swap contracts CDI + 1.35% per year - 33 Total derivative financial instruments (155 ) 5 Total non-current 11,176 7,392 Total 12,409 8,001 Current assets 27 4 Non-current assets 155 28 Current liabilities 1,260 613 Non-current liabilities 11,331 7,420 15.11.2 Rollforward Amounts Balance as of January 1, 2020 8,781 Funding - working capital 2,852 Interest provision 486 Swap contracts (60 ) Mark-to-market 12 Exchange rate and monetary variation 57 Debt modification impact 71 Borrowing costs 42 Interest amortization (549 ) Principal amortization (2,543 ) Swap amortization 13 Conversion adjustment to reporting currency 172 Discontinued operations (1,571 ) Balance as of December 31, 2020 7,763 Funding - working capital 6,090 Interest provision 559 Swap contracts 39 Mark-to-market 31 Exchange rate and monetary variation 5 Debt modification impact (71 ) Borrowing costs 64 Interest amortization (406 ) Principal amortization (6,075 ) Swap amortization 2 Balance as of December 31, 2021 8,001 Funding - working capital 3,959 Interest provision 1,436 Swap contracts 82 Mark-to-market (111 ) Exchange rate and monetary variation (18 ) Borrowing costs 26 Interest amortization (783 ) Principal amortization (61 ) Swap amortization (122 ) Balance as of December 31, 2022 12,409 15.11.3 Schedule of non-current maturities Maturity Amounts From 1 to 2 years 2,150 From 2 to 3 years 3,872 From 3 to 4 years 548 From 4 to 5 years 2,389 More than 5 years 2,294 Total 11,253 Borrowing Cost (77 ) Total 11,176 15.12 Debentures and promissory notes Issue Outstanding Date Annual Unit price As of Type amount (units) Issuance Maturity charges (in Reais) 2022 2021 First Issue of Promissory Notes – 3 rd non-preemptive right 50 1 7/4/2019 7/4/2022 CDI + 0.72% per year - - 57 First Issue of Promissory Notes – 4 th non-preemptive right 250 5 7/4/2019 7/4/2023 CDI + 0.72% per year 63,479,473 317 281 First Issue of Promissory Notes – 5 th non-preemptive right 200 4 7/4/2019 7/4/2024 CDI + 0.72% per year 63,479,473 254 225 First Issue of Promissory Notes – 6 th non-preemptive right 200 4 7/4/2019 7/4/2025 CDI + 0.72% per year 63,479,473 254 225 Second Issue of Debentures – 1 st non-preemptive right 940,000 940,000 6/1/2021 5/20/2026 CDI + 1.70% per year 1,017 957 951 Second Issue of Debentures – 2 nd non-preemptive right 660,000 660,000 6/1/2021 5/22/2028 CDI + 1.95% per year 1,017 672 668 Second Issue of Promissory Notes – 1 st non-preemptive right 1,250,000 1,250,000 8/27/2021 8/27/2024 CDI + 1.47% per year 1,173 1,467 1,285 Second Issue of Promissory Notes – 2 nd non-preemptive right 1,250,000 1,250,000 8/27/2021 2/27/2025 CDI + 1.53% per year 1,173 1,468 1,286 Third Issue of Debentures – 1 st non-preemptive right 982,526 982,526 10/15/2021 10/16/2028 IPCA + 5.15% per year 1,091 1,072 1,012 Third Issue of Debentures – 2 nd non-preemptive right 517,474 517,474 10/15/2021 10/15/2031 IPCA + 5.27% per year 1,092 565 533 Fourth Issue of Debentures - single series non-preemptive right 2,000,000 2,000,000 1/7/2022 11/26/2027 CDI + 1.75% per year 1,014 2,028 - First Issue of Commercial Paper Notes - single series non-preemptive right 750,000 750,000 2/10/2022 2/9/2025 CDI + 1.70% per year 1,058 793 - Fifth Issue of Debentures - single series - CRI non-preemptive right 250,000 250,000 4/5/2022 3/28/2025 CDI + 0.75% per year 1,034 258 - Sixth Issue of Debentures - 1st series - CRI non-preemptive right 72,962 72,962 9/28/2022 9/11/2026 CDI + 0,60% per year 1,035 75 - Sixth Issue of Debentures - 2nd series - CRI non-preemptive right 55,245 55,245 9/28/2022 9/13/2027 CDI + 0.70% per year 1,035 57 - Sixth Issue of Debentures - 3rd series – CRI non-preemptive right 471,793 471,793 9/28/2022 9/13/2029 IPCA + 6.70% per year 1,027 485 - Second Issue of Commercial Paper Notes - single series non-preemptive right 400,000 400,000 12/26/2022 12/26/2025 CDI + 0.93% per year 1,002 401 - Borrowing Cost (98 ) (77 ) 11,025 6,446 Current 431 180 Non-current 10,594 6,266 The Company issues debentures to strengthen its working capital, maintain its cash strategy, lengthen its debt profile and make investments. The debentures issued are unsecured, without renegotiation clauses and not convertible into shares. 15.13 Borrowings in foreign currencies As of December 31, 2022, the Company has loans in foreign currencies (US dollar) to strengthen its the working capital, maintaining its cash strategy, lengthening its indebtedness profile and make investments. 15.14 Guarantees The Company has signed a promissory note for a loan agreement with Scotiabank in the amount of USD50 million, which can be executed upon failure of payment of the related loan. 15.15 Swap contracts The Company uses swap operations for 100% of its borrowings denominated in US dollars and fixed interest rates, exchanging these liabilities for Real linked 15.16 Financial covenants In connection with the debentures and promissory notes issued and part of loan operations denominated in foreign currencies, the Company is required to maintain certain financial ratios. These ratios are calculated quarterly based on the Company’s financial statements d |
Provision for Legal Proceedings
Provision for Legal Proceedings | 12 Months Ended |
Dec. 31, 2022 | |
Provision for Legal Proceedings [Abstract] | |
Provision for legal proceedings | 16 Provision for legal proceedings Provisions are recognized when the Company has a present obligation (legal or not formalized) 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 any provision is recognized in statement of operations for the year, net of any reimbursement. The Company’s policy is to record attorney’s fees upon success. In the explanatory notes, the amounts involved are disclosed for cases not yet concluded and with a possible chance of success. In order to assess the outcome’s probability the Company 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 legal proceedings is estimated by the Company and supported by its legal counsel, for an amount considered sufficient to cover probable losses. Tax claims Social Civil Total Balance as of December 31, 2021 109 69 27 205 Additions 14 74 13 101 Reversals (73 ) (31 ) (4 ) (108 ) Payments - (33 ) (16 ) (49 ) Monetary correction 5 7 4 16 Balance as of December 31, 2022 55 86 24 165 Restricted deposits for legal proceedings (7 ) (29 ) (8 ) (44 ) Net provision of judicial deposits 48 57 16 121 Tax claims Social Civil Total Balance as of December 31, 2020 169 64 49 282 Additions 39 44 8 91 Reversals (106 ) (23 ) (10 ) (139 ) Payments - (21 ) (28 ) (49 ) Monetary correction 7 5 8 20 Balance as of December 31, 2021 109 69 27 205 Restricted deposits for legal proceedings (65 ) (45 ) (2 ) (112 ) Net provision of judicial deposits 44 24 25 93 Tax claims Social Civil Total Balance as of December 31, 2019 221 75 53 349 Additions 27 42 79 148 Reversals (9 ) (43 ) (19 ) (71 ) Payments (1 ) (5 ) (35 ) (41 ) Monetary correction 1 8 3 12 Conversion adjustment to reporting currency 18 2 4 24 Discontinued operation (88 ) (15 ) (36 ) (139 ) Balance as of December 31, 2020 169 64 49 282 16.1 Tax claims Tax claims are subject by law to the monthly monetary correction, which refers to an adjustment to the provision based on indexing rates adopted by each tax jurisdiction. Both interest rates charges and fines, where applicable, were calculated and provisioned with respect to unpaid amounts. The main tax claims provisioned are as follows: The Company has other tax claims, which according to its legal counsels’ analysis, were provisioned, namely: (i) discussions on the non-application of Prevention Accident Factor (FAP); (ii) discussions with State tax authorities on ICMS tax rate calculated in electricity bills; (iii) staple basket; and (iv) other matters. The provisioned amount as of December 31, 2022, for these matters is R$55 (R$109 as of December 31, 2021). 16.2 Social security and labor The Company is a party to various labor proceedings, especially due to dismissals in the regular course of business. As of December 31, 2022, the Company recorded a provision of R$86 (R$69 as of December 31, 2021), referring to a potential risk of loss relating to labor claims. Management, with the assistance of its legal counsels, assesses these claims and recording provisions for losses when reasonably estimated, considering previous experiences in relation to amounts claimed. 16.3 Civil The Company is party to civil proceedings (indemnifications, collections, among others) in different procedural phases and various central courts. Management records provisions in amounts considered sufficient to cover unfavorable court decisions when its internal and external legal counsel assess the losses to be probable. Among these proceedings, we highlight the following: The Company is party to various lawsuits requesting the renewal of rental agreements and the review of the current rent paid. The Company records a provision for the difference between the amount originally paid by stores and the amounts claimed by the adverse party in the lawsuit when internal and external legal counsels consider the probability of changing the lease amount paid by the entity. As of December 31, 2022, the provision for these lawsuits amounted to R$19 (R$21 as of December 31, 2021), for which there are no judicial deposits for legal proceedings. The Company is party to certain lawsuits relating to the fines applied by inspection bodies of direct and indirect administration of the federal government, states, and municipalities, including consumer defense bodies (PROCONs, INMETRO, and local governments). The Company, assisted by its legal counsel, assesses these claims recording provisions for probable cash disbursements, according to the probability of loss. As of December 31, 2022, the provision for these lawsuits is R$5 (R$6 as of December 31, 2021). The Company’s total civil, regulatory and property claims as of December 31, 2022, is R$24 (R$27 as of December 31, 2021). 16.4 Possible contingent liabilities The Company is party to other litigations for which the probability of loss was deemed by its legal counsel to be possible, but not probable, therefore, not accrued, totaling an updated amount of R$2,443 as of December 31, 2022 (R$2,346 as of December 31, 2021), out of this amount, R$1,352, of which R$1,309 are tax and R$43 civil and others, is subject of reimbursement from its former controlling shareholders, under the separation agreement mentioned in note 1.3. Accordingly, no provisions were recorded in connection with these proceedings, which are mainly related to: IRPJ (corporate income tax), IRRF (withholding income tax), CSLL (social contribution on net income) – The Company received several tax assessment notices relating to tax offsetting proceedings, goodwill disallowance, disagreements regarding payments and overpayments, fines due to non-compliance with ancillary obligation, among other less relevant issues. The amount involved corresponds to R$612 as of December 31, 2022 (R$478 as of December 31, 2021). COFINS, PIS (federal taxes on gross revenues) – The Company has been questioned about discrepancies in payments and overpayments; fine due to non-compliance with ancillary obligation, disallowance of COFINS and PIS credits, among other issues. These proceedings are pending judgment at the administrative and judicial levels. The amount involved in these tax assessments is R$650 as of December 31, 2022(R$609 as of December 31, 2021). Regarding the IPI assessments, there was a judgment in August 2020 in the STF that decided against taxpayers. However, in the analysis of the specific cases by our legal advisors, we consider that the risk of loss remained as possible. ICMS (State VAT) – The Company received tax assessment notices from State tax authorities in connection with credits from purchases from supplier’s acquisitions considered unqualified by the registry of the State Revenue Service, among others matters. These tax assessments amount to R$1,084 as of December 31, 2022 (R$1,128 as of December 31, 2021). These proceedings are pending final judgment at the administrative and judicial levels. ISS (services tax), IPTU (urban property tax), Fees and other – The Company has received tax assessments relating to discrepancies in payments of IPTU, fines due to non-compliance with ancillary obligations, ISS – refund of advertising expenses and various fees, totaling R$16 as of December 31, 2022 (R$13 as of December 31, 2021). These proceedings are pending judgment at the administrative and judicial levels. INSS (National Institute of Social Security) – The Company was assessed due to the levy of payroll charges over benefits granted to its employees, among other issues, with possible losses of R$23 as of December 31, 2022 (R$56 as of December 31, 2021). Proceedings have been discussed in the administrative and judicial levels. On August 28, 2020, the STF, in general repercussion, recognized the incidence of social security contributions on the constitutional third of vacations as constitutional. The Company has been monitoring the development of these issues, and together with its legal advisors, concluded that the elements so far do not require a provision to be made. Other litigation– These proceedings refer to real estate lawsuits in which the Company claims the renewal of lease agreements and rents according to market prices. These lawsuits involve proceedings litigated in civil court, and special civil court, as well as administrative proceedings filed by inspection bodies, such as the consumer defense body (PROCONs), the National Institute of Metrology, Standardization and Industrial Quality– INMETRO, the National Agency of Sanitary Surveillance - ANVISA, among others, totaling R$44 as of December 31, 2022(R$47 as of December 31, 2021). Three collective proceedings were opened due to an approach to a customer, in August 2021 at the store in Limeira - SP, in which claim supposed racial issues. All cases were satisfactorily answered and are still in the initial phase awaiting regular progress by the judiciary. As of December 31, 2022, there are two collective proceedings in current, it is still not possible to reasonably estimate the amounts involved, due to the subjectivity of the matter and the absence of precedent in the jurisprudence in collective proceedings on the subject. No significant impact on financial statement is expected. The Company engages external legal counsel to represent it in the tax assessments, whose fees are contingent on the final outcome of the lawsuits. Percentages may vary according to qualitative and quantitative factors of each proceeding, as of December 31, 2022, the estimated amount, in case of success of all lawsuits, was approximately R$14 (R$15 as of December 31, 2021). 16.5 Guarantees The Company presented bank guarantees and insurance guarantees to judicial process related a civil, tax and labor nature, described below: Lawsuits Letter of guarantees Tax 700 Labor 91 Civil and others 505 Total 1,296 The cost of guarantees is approximately 0.29% per year of the amount of the lawsuits and is recorded as a financial expense. 16.6 Restricted deposits for legal proceedings The Company is challenging the payment of certain taxes, contributions, and labor liabilities and made judicial deposits in the corresponding amounts, as well as escrow deposits related to the provision for legal proceedings. The Company recorded amounts referring to judicial deposits in its assets as follows: As of December 31, Lawsuits 2022 2021 Tax 12 65 Labor 34 50 Civil and others 10 4 Total 56 119 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Leases | 17 Leases 17.1 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 assets 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 between 5 and 25 years. The Company as a lessee The Company applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-value assets, which are recognized as an expense on a straight-line basis over the lease term. The Company recognizes lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying assets. At the commencement of the lease, the Company records a lease liability (see notes 12 and 13). The lease liability is calculated based on the present value of minimum lease payments, using the incremental borrowing rate, except when the interest rate implicit in the lease is readily determinable. The Company determines the lease term as the non-cancellable term of the lease, together with any periods covered by an option to extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain not to be exercised. 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 expense for the period. The Company recognises right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any lease modification of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease payments made at or before the commencement date less any lease incentives received. Right-of-use assets, lease improvements and renovations carried out in stores are depreciated on a straight-line basis over the shorter of the lease term and the estimated useful lives. Variable rents are recognized as expenses in the years in which they are incurred. The Company as lessor Leases in which the Company does not substantially transfer all the risks and benefits of ownership of the asset are classified as operating leases. The initial direct initial costs of negotiating operating leases are added to the book value of the leased asset and recognized over the term of the contractual, on the same basis as rental income. Variable rentals are recognized as income in the years in which they are earned. 17.2 Minimum future payments Lease liabilities totaled R$8,360 as of December 31, 2022 (R$4,051 as of December 31, 2021). The minimum future payments, by leases term and with the fair value of minimum lease payments, are as follows: As of December 31, 2022 2021 Lease liabilities - minimum payments Less than 1 year 435 244 1 to 5 years 1,646 1,231 More than 5 years 6,279 2,576 Present value of lease liabilities 8,360 4,051 Current 435 244 Non-current 7,925 3,807 Future financing charges 12,318 4,042 Future lease payments 20,678 8,093 PIS and COFINS embedded in the present value of lease agreements 508 246 PIS and COFINS embedded in the gross value of lease agreements 1,257 492 Lease liabilities interest expense is stated in note 24. The incremental borrowing used to calculate lease liabilities was 12.20% in the fiscal year ended December 31, 2022 (10.53% at December 31, 2021). 17.3 Lease liability rollforward Amounts As of December 31, 2019 3,751 Addition – Lease 1,240 Lease modification 621 Interest provision 415 Exchange rate and monetary variation 1 Principal amortizations (751 ) Interest amortizations (5 ) Write-off due to early termination of agreement (518 ) Transfer to parent company 9 Conversion currency adjustment 433 Discontinued operation (2,416 ) Corporate restructuring (4 ) As of December 31, 2020 2,776 Addition – Lease 919 Lease modification 628 Interest provision 302 Principal amortizations (460 ) Interest amortizations (8 ) Write-off due to early termination of agreement (106 ) As of December 31, 2021 4,051 Addition – Lease 3,810 Lease modification 696 Interest provision 781 Principal amortizations (856 ) Interest amortizations (42 ) Write-off due to early termination of agreement (80 ) As of December 31, 2022 8,360 17.4 Lease expense on variable rents, low-value, and short-term assets As of December 31, 2022 2021 2020 (Expenses) revenues for the year: Variables (1% to 2% of sales) (31 ) (6 ) (16 ) Subleases (*) 55 31 22 (*) Refers mainly to revenue from lease agreements receivable from commercial galleries. |
Deferred revenues
Deferred revenues | 12 Months Ended |
Dec. 31, 2022 | |
Deferred revenues [Abstract] | |
Deferred revenues | 18 Deferred revenues Deferred revenues are recognized by the Company as a liability due to anticipation of amounts received from business partners. These are recognized in the statement of operations in the periods when the services are rendered to these business partners. As of December 31, Note 2022 2021 Sale and Leaseback 1.4 3 68 Rental of spaces in stores (i) 259 233 Checkstand (ii) 45 41 Commercial agreement – payroll (iii) 39 - Gift card and others 1 2 Marketing 12 12 Total 359 356 Current 328 356 Non-current 31 - (i) Rental of backlight panels. (ii) Supplier product exhibition modules, or check stands, rental of POS displays, and front-fee anticipation with credit card operators. (iii) Commercial agreement with a financial institution for exclusivity in payroll processing. |
Income tax and social contribut
Income tax and social contribution | 12 Months Ended |
Dec. 31, 2022 | |
Major components of tax expense (income) [abstract] | |
Income tax and social contribution | 19 Income tax and social contribution Current income tax and social contribution Current income tax and social contribution assets and liabilities are measured by the amount expected to be refunded or paid to the tax authorities. The tax rates and laws adopted to calculate tax are those effective or substantially effective, at the balance sheet dates. Income taxes in Brazil consist of 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 for IRPJ, and 9% for CSLL. Deferred income tax and social contribution Deferred income tax and social contribution are generated by temporary differences, at the end of the reporting periods, between the tax bases of assets and liabilities, carrying amounts and all unused tax losses, to the extent it is probable that taxable income will occur from which temporary differences and unused tax losses can be deducted; except when deferred income tax and social contribution referring to the deductible temporary difference results from the initial recognition of an asset or liability in an operation which is not a business combination and, at the moment of operation, neither affects the accounting profit nor the tax income or loss. With respect to deductible temporary differences associated with investments in subsidiaries, deferred income tax, and social contribution are recognized only if temporary differences can be reversed in the foreseeable future and taxable income will be available from which temporary differences can be used. The carrying amount of deferred income tax and social contribution assets is reviewed at the end of each reporting period and reduced since it is no longer probable that taxable income will be sufficient to allow the use of total or part of deferred income tax and social contribution. Non-recognized deferred income tax and social contribution assets are re-assessed at the end of the reporting period and again recognized, since it is probable that future taxable income will allow the recovery of these assets. Accumulated loss carryforwards from deferred income tax and social contribution do not expire, but their utilization, as provided for by laws, is restricted to 30% of taxable income of each year for Brazilian legal entities and refer to their subsidiaries which have tax planning to use these balances. Deferred taxes relating to items directly recognized in shareholders’ equity are also recognized in shareholders’ equity, and not in the statement of operations. Deferred income tax and social contribution assets and liabilities are offset if there is any legal or contractual right to offset the tax assets against the income tax liabilities, and deferred assets refer to the same taxpayer entity and the same tax authority. Due to the nature and complexity of the Company’s businesses, differences between effective results and assumptions adopted or future alterations of these assumptions may result in future adjustments to tax revenue and expenses already recorded. The Company 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 different interpretation of tax regulation by taxpayer entity and related tax authority. These different interpretations can refer to a wide variety of issues, depending on the conditions in force at the home of the respective entity. 19.1 Reconciliation of income tax and social contribution expense For the year ended December 31, 2022 2021 2020 Earnings before income tax and social contribution 1,335 1,849 1,625 Expense of income tax and social contribution (454 ) (629 ) (553 ) Adjustments to reflect the effective rate Tax fines (2 ) (1 ) (1 ) Share of profits 15 16 105 Interest on Equity 17 22 - ICMS subsidy - tax incentives (i) 248 241 - Interest Selic credits (ii) - 81 - Credits of monetary corrections 64 11 - Tax benefits 3 22 29 Other permanent differences (6 ) (2 ) (16 ) Effective income tax (115 ) (239 ) (436 ) Income tax and social contribution for the year Current (75 ) (366 ) (704 ) Deferred (40 ) 127 268 Income tax and social contribution expenses (115 ) (239 ) (436 ) Effective rate 8.6 % 12.9 % 26.8 % (i) The Company has tax benefits that are characterized as investment subsidies as provided for in Complementary Law n° 160/17 and Law n°. 12,973/14. At the year ended December 31, 2022, the Company excluded the IRPJ and CSLL calculation bases from the amount constituted in the tax incentive reserve (see note 20.4). (ii) The credit refers to the decision general repercussion of STF which understood that the SELIC interest arising from the repetition of undue payment, have the nature of emergent damage. Therefore, there is no incidence of IRPJ and CSLL on the interest portion. 19.2 Breakdown of deferred income tax and social contribution Key components of deferred income tax and social contribution in the balance sheets are the following: As of December 31, 2022 2021 Assets Liabilities Net Assets Liabilities Net Deferred income tax and social contribution Tax losses 213 - 213 167 - 167 Provision for legal proceedings 44 - 44 59 - 59 Exchange rate variation - (28 ) (28 ) - (7 ) (7 ) Goodwill tax amortization - (317 ) (317 ) - (317 ) (317 ) Fair value adjustment - (29 ) (29 ) 1 - 1 Property, plant and equipment, intangible and investment properties 30 - 30 33 - 33 Unrealized losses with tax credits - (6 ) (6 ) - (28 ) (28 ) Provision for restructuring 12 - 12 - - - Borrowings costs - (35 ) (35 ) - (30 ) (30 ) Lease net of right of use 101 - 101 150 - 150 Provision of inventory 26 - 26 15 - 15 Others - (5 ) (5 ) 2 - 2 Gross deferred income tax and social contribution assets (liabilities) 426 (420 ) 6 427 (382 ) 45 Compensation (420 ) 420 - (382 ) 382 - Net deferred income tax and social contribution assets (liabilities), net 6 - 6 45 - 45 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 Board of Directors of Sendas Distribuidora. The Company estimates the recovery of the deferred tax assets as of December 31, 2022, as follows: Years Amounts Up to 1 year 47 From 1 year to 2 years 44 From 2 year to 3 years 213 From 4 years to 5 years 5 More than 5 years 117 426 19.3 Rollforward For the year ended December 31, 2022 2021 2020 At the beginning of the year 45 (82 ) (1,191 ) Benefits (expenses) in the year (40 ) 127 372 Corporate reorganization - - 45 Deconsolidation - - 883 Income tax effect 1 - - Exchange variation - - (193 ) Others - - 2 At the end of the year 6 45 (82 ) |
Shareholders' equity
Shareholders' equity | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Share Capital Reserves And Other Equity Interest Text Block Abstract | |
Shareholders’ equity | 20 Shareholders’ equity 20.1 Capital stock and stock rights The Extraordinary Shareholders’ Meeting held on March 31, 2020 approved: (i) the payment of capital through 3 real estate properties in the amount of R$ 57, by issuing 87 million new registered, common shares, with no par value; and (ii) the capital increase by capitalizing the Advance for Future Capital Increase - AFAC in the amount of R$ 150, without issuing new shares. The Extraordinary Shareholders’ Meeting held on September 30, 2020, approved: (i) the payment of capital through 4 real estate properties in the amount of R$ 121, by issuing 42 million new registered common shares, with no par value. The Extraordinary Shareholders’ Meeting held on December 12, 2020, approved the capital increase with certain assets in the amount of R$146. The Extraordinary Shareholders’ Meeting, held on December 31, 2020, approved: (i) the full payment of capital through 2 real estate properties in the amount of R$ 45; (ii) capital increase in cash in the amount of R$ 500; and (iii) capital increase through the capitalization of credits held by GPA in the amount of R$ 140, by issuing 19 million new registered common shares, with no par value. The Company’s share capital as of December 31, 2022, is R$1,263 (R$788 as of December 31, 2021), represented by 1,349,165,394 registered common shares, (1,346,674,477 as of December 31, 2021), all non-par and registered shares. According to the Company’s bylaws, the Company’s authorized share capital may be increased up to 2 billion common shares. On June 1, 2021, the Board of Directors approved a capital increase of R$18, corresponding to the issuance of 2,720 thousand common shares (or 544 thousand common shares considering the share split described below). On July 27, 2021, the Board of Directors approved a capital increase of R$8, corresponding to the issuance of 2,020 thousand common shares (or 404 thousand common shares considering the share split described below). On August 11, 2021, an Extraordinary Shareholders’ Meeting approved a one-to-five share split, whereby the Company’s 269,299,859 common shares were divided into 1,346,499,295 common shares, with no change in the Company’s total capital stock value. On December 7, 2021, the Board of Directors approved a capital increase of R$1, corresponding to the issuance of 175 thousand common shares. On February 21, 2022, the Board of Directors approved a capital contribution in the amount of R$1, through the issuance of 239,755 common shares. At the Extraordinary General Meeting held on April 28, 2022, the Company approved, observing the authorized capital limit, a capital contribution in the amount R$464 through the capitalization of profit reserves, without issuance new shares. On May 9, 2022, the Board of Directors approved a capital contribution in the amount of R$2, through the issuance of 298,919 common shares. On July 27, 2022, the Board of Directors approved a capital contribution in the amount of R$3, through the issuance of 1,119,515 common shares. On October 20, 2022, the Board of Directors approved a capital contribution in the amount of R$3, through the issuance of 650,808 common shares. On December 6, 2022, the Board of Directors approved a capital contribution in the amount of R$2, through the issuance of 181,920 common shares. The Company’s shareholding structure is shown as follows: For the year ended December 31, 2022 2021 2020 Number of shares Participation Number of shares Participation Number of shares Participation Controlling shareholders 411,582,865 30.51 % 557,857,105 41.42 % 1,341,757,835 100.00 % Outstanding shares 937,582,529 69.49 % 788,817,372 58.58 % - - Total 1,349,165,394 100.00 % 1,346,674,477 100.00 % 1,341,757,835 100.00 % 20.2 Distribution of dividends and interest on own capital Management proposed dividends to be distributed, considering the anticipation of interest on own capital to its shareholders, calculated as follows: For the year ended December 31, 2022 2021 2020 Net income for the year 1,220 1,610 1,398 Tax incentive reserve 753 709 - Base for legal reserve 467 901 1,398 % Legal reserve 5 % 5 % 5 % Legal reserve for the year 23 5 5 Minimum mandatory dividends - 25% 111 224 349 Interest on own capital paid/payable intermediaries (i) 43 56 264 Minimum mandatory dividends paid in the form of interest on shareholder´s equity 68 168 85 (i) At a meeting of the Board of Directors held on December 23, 2022, the advance payment of interest on own capital in the gross amount of R$50 was approved, pursuant to which the withholding tax was deducted in the amount of R$7, corresponding to the net amount of R$43. The effective payment occurred on February 17, 2023. Shareholders are entitled to receive a mandatory minimum annual dividend equivalent to 25% of the net income for each fiscal year, adjusted in accordance with the law, offsetting in annual dividends interest on own capital and dividends distributed in the year. The net profits or losses will be allocated by the shareholders, and their distribution, if any, will be made in the proportion established by them at the time. The Company may, at the discretion of the Administration, pay interest on own capital, the net amount of which will be imputed to the mandatory minimum dividends, as provided for in article 9 of Law 9249/95. Interest on own capital is calculated based on the balance of shareholders` equity, limited to the variation, pro rata day, of the Long-Term Interest Rate - TJLP. The actual payment or credit of interest on own capital is conditioned to the existence of profits (net profit for the year after deducting social contribution on net profit and before deducting the provision for income tax), computed before deducting interest on equity, or retained earnings and profit reserves equal to or greater than twice the interest to be paid or credited. Interest will be subject to income tax at source at the rate of 15%, on the date of payment or credit to the beneficiary. 20.3 Profit reserve Legal reserve: this is recorded by appropriating 5% of the net income of each fiscal year, observing the 20% limit of capital. As of December 31, 2022, the amount was R$180 (R$157 as of December 31, 2021). The legal reserve in the amount of R$23 as of December 31, 2022 (R$5 as of December 31, 2021) was constituted respecting the limit of 20% of the Company’s capital stock, as established by article 193 of Law No. 6,404/76. For the year ended December 31, 2022 2021 2020 Net income for the year 1,220 1,610 1,398 Tax incentive reserve 753 709 - Base for legal reserve 467 901 1,398 % Legal reserve 5 % 5 % 5 % Legal reserve for the year 23 5 5 20.4 Tax incentive reserve According to the legal basis mentioned in note 19.1, tax incentives granted by the States for a considered investment, deductible for the assessment of income tax and social contribution. Thus, at the end of December 31, 2022, the Company allocated the amount of R$753 to the tax incentive reserve (R$709 as of December 31, 2021). As provided for in article 30 of Law 12,973/14, the tax incentive reserve may be used to absorb losses, provided that the other profit reserves have already been fully absorbed, with the exception of the legal reserve, or for an increase in capital. Within the same legal provision, the tax incentive reserve and legal reserve are not part of the calculation basis for the minimum mandatory dividend, and the Company must subject it to taxation, in case of distribution. 20.5 Expansion Reserve At the Annual General Meeting held on April 28, 2022, the constitution of the expansion reserve in the amount of R$632 was approved, against the profit reserve of the year 2021. 20.6 Share-based payment 20.6.1 Recognized Options Granted The expenses associated to the Company’s executives’ share-based payments in accordance with IFRS 2 – Share-based payment, are recognized “Stock options granted”. The Company’s employees and executives of entities of their economic group may receive payment based on shares, when employees provide services in exchange for equity instruments (“transactions settled with shares”). The Company measures the transaction costs of employees eligible for share based compensation, based on the fair value of equity instruments on the grant date. Estimating the fair value of share-based payment transactions requires a definition 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 stock option life expectancy, volatility and dividend return, as well as the preparation of corresponding assumptions. The cost of operations settled with shares is recognized as an expense for the year, together with a corresponding increase in shareholders’ equity, during the year in which the performance and / or service provision conditions are met. Accumulated expenses recognized in relation to equity instruments on each base date, up to the acquisition date, reflect the extent to which the acquisition period has expired and the best estimate of the Company of the number of equity instruments that will be acquired. The expense or reversal of expenses for each year represents the movement in accumulated expenses recognized at the beginning and end of the year. Expenses related to services that have not completed their acquisition period are not recognized, except in the case of operations settled with shares in which the acquisition depends on a market condition or non-acquisition of rights, which are treated as acquired, regardless of whether the market condition or non-acquisition of rights is satisfied or not, 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 in the event of a change the total fair value of the share-based payment transaction or that otherwise benefits the employee, as measured on the date of the change. In case of cancellation of an equity instrument, it is treated as if it were fully acquired on the date of cancellation, and any expenses not yet recognized, referring to the premium, are recognized immediately in the income for the year. This includes any premium whose conditions of non-acquisition under the control of the Company or the employee are not met. However, if the canceled plan is replaced by a new plan and substitute grants are generated, on the date it is granted, the canceled grant and the new plan will be treated as if they were a modification of the original grant, as described in the previous paragraph. All cancellations for transactions settled with shares are treated in the same way. The dilutive effect of outstanding options is reflected as an additional dilution of shares in the calculation of diluted earnings per share. The following describes the stock option plan as of December 31, 2022. Company’s compensation plan The Company’s compensation plan (“Compensation Plan”) is managed by Company’s Board of Directors, which delegated to the Human Resources Committee the responsibility to grant options and advise on the management of the Compensation Plan. Members of the Human Resources Committee meet to grant options from the Compensation Plan series and whenever there are questions raised regarding the compensation plan. Each series of options granted are assigned the letter “B” followed by a number. For the year ended December 31, 2022, B8 and B9 series options were in effect. Options granted to a participant will not be exercisable for 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 37th (thirty-seventh) month from the date of grant, and ends on the last day of the 42nd (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 (“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 Company withholds any applicable tax under Brazilian tax law, less the number of shares delivered to the participant amount equivalent to taxes withheld. Company’s option plan The Company’s option plan (“Option Plan”) is managed by the Company’s Board of Directors, which delegated to the Human Resources Committee the responsibility to grant options and advise on the management of the Option Plan. Members of the Human Resources Committee meet to grant options from the Option Plan series and whenever there are questions raised regarding the Option Plan. Each series of options granted receive the letter “C” followed by a number. For the year ended December 31, 2022, the C8 and C9 series options granted were in effect. For each series of stock options granted under the Option Plan, the exercise price of each stock option shall be equivalent to 80% of the closing price of the average of the Company’s common shares traded in the prior twenty (20) days on the B3 prior to the date of the Human Resources Committee meeting that decides upon the granting of the options of that series (“exercise price”). Options granted to a participant shall be exercisable for a period of 36 (thirty six) months from the date of grant (“grace period”), and may only be exercised in the period beginning on the first day of the 37th (thirty-seventh) months as from the grant date, and ends on the last day of the 42nd (forty-second) month as of the grant date (“exercise period”), provided the exceptions included in the Compensation Plan. The participant may exercise their options in full or in part, in one or more times, if for each year the option exercise agreement is submitted during the exercise period. 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, provided that the payment deadline will always be the tenth (10th) day preceding the date to acquire the shares. Information relating to the Company’s option plan and compensation plan is summarized below: As of December 31, 2022 Number of shares (in thousands) Granted series Grant date 1st exercise date Strike price on the grant date Grantees Exercised Cancelled Current B8 5/31/2021 6/01/2024 0.01 363 (20 ) (29 ) 314 C8 5/31/2021 6/01/2024 13.39 363 (20 ) (29 ) 314 B9 5/31/2022 6/01/2025 0.01 2,163 (32 ) - 2,131 C9 5/31/2022 6/01/2025 12.53 1,924 (32 ) - 1,892 4,813 (104 ) (58 ) 4,651 20.6.2 Consolidated information of Company’s share-based payment plans According to the terms of the plans, each option offers its beneficiary the right to buy a share of the Company. In both plans, the grace period is 36 months, always measured from the date on which the Board of Directors approved the issuance of the respective series of options. The stock options may be exercised by their beneficiaries within 6 months after the end of the grace period of the respective grant date. To exercise their options, beneficiaries of the plans must be employees of the Company. The plans differ solely by exercise price of the options and in the existence or not of a restriction period for the sale of the shares acquired in the exercise of the option. According to the plans, the options granted in each of the series may represent maximum 2% of the total shares issued by the Company. The table below shows the maximum percentage of dilution to which current shareholders eventually being subject to in the event that all options granted are exercised until December 31, 2022: For the year ended (in thousands) Number of shares 1,349,165 Balance of effective stock options granted 4,651 Maximum percentage of dilution 0.34 % 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 B8, C8, B9 and C9 series: (a) expectation of dividends of 1.28% (series 8) and 1.20% (series 9); (b) expectation of volatility nearly 37.06% (series 8) and 37.29% (series 9); (c) the weighted average interest rate without risk of 7.66% (series 8) and 12.18% (series 9), and (d) exit rate of approximately 8.00% in both series. The expectation of remaining average life of the series outstanding as of December 31, 2022 is 17 months (series 8) and 29 months (series 9). The weighted average fair value of options granted as of December 31, 2022 was R$17.21 and R$7.69 (B8 and C8, respectively), and R$15.27 and R$7.35 (B9 and C9, respectively). Shares Weighted average of exercise price (R$) Weighted average of remaining contractual term As of December 31, 2020 - - - As of December 31, 2021 Granted in the year 726 6,70 Cancelled in the year (58 ) 6,70 Outstanding at year end 668 6,70 2,42 Total to be exercised as of December 31, 2021 668 6,70 2,42 Granted in the year 4,087 5.90 Exercised in the year (104 ) 6.01 Outstanding at year end 4,651 6.01 2.28 Total to be exercised as of December 31, 2022 4,651 6.01 2.28 The amount recorded for the year ended December 31, 2022, were R$14 (R$2 as of December 31, 2021). 20.6.3 GPA's share - based payment plans Prior to the Company's spin-off from GPA, certain Company executives received compensation in the form of GPA stock options. As of December 31, 2021 Number of shares (in thousands) Granted series Grant date 1st exercise date Strike Grantees Exercised Cancelled Outstanding Current B5 5/31/2018 5/31/2021 0.01 2,970 (2,640 ) (245 ) (85 ) - C5 5/31/2018 5/31/2021 47.19 2,970 (2,410 ) (300 ) (260 ) - B6 (i) 5/31/2019 5/31/2022 0.01 2,310 (645 ) (165 ) - 1,500 C6 (i) 5/31/2019 5/31/2022 53.23 1,795 (610 ) (210 ) - 975 B7 (ii) 1/31/2021 5/31/2023 0.01 3,365 (515 ) (115 ) - 2,735 C7 (ii) 1/31/2021 5/31/2023 38.58 2,485 (520 ) (115 ) - 1,850 15,895 (7,340 ) (1,150 ) (345 ) 7,060 As of December 31, 2022 Number of shares (in thousands) Granted series Grant date 1st exercise date Strike Grantees Exercised Cancelled Outstanding Current B6 (i) 5/31/2019 5/31/2022 0.01 2,310 (2,005 ) (174 ) (131 ) - C6 (i) 5/31/2019 5/31/2022 53.23 1,795 (952 ) (766 ) (77 ) - B7 (ii) 1/31/2021 5/31/2023 0.01 3,365 (1,726 ) (523 ) - 1,116 C7 (ii) 1/31/2021 5/31/2023 38.58 2,485 (806 ) (595 ) - 1,084 9,955 (5,489 ) (2,058 ) (208 ) 2,200 (i) From this total, 407 thousand are related to Company’s executives in 2021. (ii) From this total, 525 thousand are related to Company’s executives in 2022 and 2021. Sendas Distribuidora S.A. Notes to the Financial Statements For the years ended December 31, 2022, 2021 and 2020 (In millions of Brazilian Reais, unless otherwise stated) According to the terms of the plans, each option offers its beneficiary the right to buy a share of GPA and, specifically for our executives, shares of the Company. In both plans, the grace period is 36 months, always measured from the date on which the GPA’s Board of Directors approved the issuance of the respective series of options. The stock options may be exercised by their beneficiaries within 6 months after the end of the grace period of the respective grant date. To exercise their options, beneficiaries of the plans must be employees of GPA and, specifically for our executives, employees of the Company. The plans differ solely by the exercise price of the options and in the existence or not of a restriction period for the sale of the shares acquired in the exercise of the option. 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 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 B7 and C7 series: (a) dividend expectation of 1.61%, (b) volatility expectation of nearly 37.09% and (c) the weighted average interest rate of 5.47%. The expectation of remaining average life of the series outstanding at December 31, 2022 is 0.41 year (1.06 year at December 31, 2021 and 0.88 year at December 31, 2020). The weighted average fair value of options granted at December 31, 2021 was R$54.59 (R$58.78 at December 31, 2020). The movement of shares above refers to GPA shares and after the Company's spin-off, during the year of 2021, certain Company executives received compensation in GPA options shares until the date of exercise showed above. If the GPA plan for the Company's executives is thus extinguished, these plans will be recorded as an expense. The movement in the number of options granted, the weighted average of the exercise price and the weighted average of the remaining term are presented in the table below: Shares (in Weighted Weighted Total exercised on December 31, 2019 2,153 30.25 1.50 At December 31, 2020 Canceled in the year (70 ) 42.59 Exercised in the year (489 ) 23.93 Expired in the year (126 ) 42.44 Outstanding at year end 1,468 30.71 Total exercised on December 31, 2020 1,468 30.71 0.88 Total exercised on December 31, 2020 considering split effect 7,340 6.14 0.88 At December 31, 2021 Granted in the year 6,125 16.86 - Canceled in the year (270 ) 22.36 - Exercised in the year (5,785 ) 22.76 - Expired in the year (350 ) 35.30 - Outstanding at year end 7,060 17.45 1.06 Total to be exercised at December 31, 2021 (*) 7,060 17.45 1.06 At December 31, 2022 Canceled in the year (1,455 ) 33.14 Exercised in the year (3,199 ) 9.14 Expired in the year (206 ) 19.29 Outstanding at year end 2,200 18.97 0.41 Total to be exercised at December 31, 2022 (*) 2,200 18.97 0.41 (*) Out of total outstanding shares, 525 thousand refers to Company’s executives (931 shares in 2021) |
Net Operating Revenue
Net Operating Revenue | 12 Months Ended |
Dec. 31, 2022 | |
Net operating revenue [Abstract] | |
Net operating revenue | 21 Net operating revenue IFRS15 establishes a comprehensive framework to determine when and for how much revenue form contracts with customers should be recognized. Revenue a) Sale of goods Revenues from the sale of goods are recognized at their fair value when control over the products is transferred to the customer, the Company no longer has control or responsibility for the goods sold and the economic benefits generated for the Company are probable, which occurs substantially upon delivery of products to customers in stores, when the Company’s performance obligation is satisfied. Revenues are not recognized if their realization is uncertain. b) Revenue from services rendered The revenues earned are stated on a net basis and recognized in the statement of operations when it is probable that economic benefits will flow to the Company, and their amounts can be reliably measured. For the year ended December 31, 2022 2021 2020 Gross operating revenue Goods 59,510 45,550 39,436 Services rendered and others 174 111 100 59,684 45,661 39,536 (-) Revenue deductions Returns and sales cancellation (109 ) (76 ) (73 ) Taxes (5,055 ) (3,687 ) (3,420 ) (5,164 ) (3,763 ) (3,493 ) Net operating revenue 54,520 41,898 36,043 |
Expenses by nature
Expenses by nature | 12 Months Ended |
Dec. 31, 2022 | |
Expenses by nature [Abstract] | |
Expenses by nature | 22 Expenses by nature Cost of sales The cost of goods sold comprises the acquisition cost of inventory net of discounts and considerations received from suppliers and logistics costs. Commercial agreement received from suppliers is measured based on contracts and agreements signed between the parties. The cost of sales includes the cost of logistics operations managed or outsourced by the Company, comprising the storage costs, handling, depreciation and amortization and freight incurred until good is available for sale. Transportation costs are included in the acquisition costs. Selling expenses Selling expenses consists of all stores expenses, such as payroll, marketing, occupation, maintenance, and expenses related to credit card companies, among others. Marketing expenses refer to advertising campaigns. The Company’s principal means of communication are: radio, television, newspapers, and magazines, and the amounts of its commercial agreement are recognized in the statement of operations upon realization. General and administrative expenses General and administrative expenses correspond to indirect expenses and the cost of corporate units, including procurement and supplies, information technology, and financial activities. For the year ended December 31, 2022 2021 2020 Inventory cost (44,809 ) (34,163 ) (29,641 ) Personnel expenses (3,358 ) (2,512 ) (2,135 ) Outsourced services (264 ) (251 ) (224 ) Selling expenses (875 ) (646 ) (511 ) Functional expenses (883 ) (664 ) (600 ) Other expenses (534 ) (439 ) (264 ) (50,723 ) (38,675 ) (33,375 ) Cost of sales (45,557 ) (34,753 ) (30,129 ) Selling expenses (4,379 ) (3,334 ) (2,811 ) General and administrative expenses (787 ) (588 ) (435 ) (50,723 ) (38,675 ) (33,375 ) |
Other operating expenses, net
Other operating expenses, net | 12 Months Ended |
Dec. 31, 2022 | |
Other Operating Expenses, Net [Abstract] | |
Other operating expenses, net | 23 Other operating expenses, net Other operating revenue and expenses correspond to the effects of significant or unusual events during the fiscal year not classified into the definition of other items of the statement of operations. For the year ended December 31, 2022 2021 2020 Result with property, plant and equipment (34 ) 12 (42 ) (Provision) reversal for legal proceedings (19 ) 9 (18 ) Restructuring expenses and others (i) (33 ) (74 ) (71 ) Covid-19 spending on prevention - - (134 ) Indemnity assets 14 - 168 Total (72 ) (53 ) (97 ) (i) Refers primarily to expenses with the spin-off and acquisition of Extra Hiper stores with payments of legal fees, property appraisal and due diligence. |
Net financial result
Net financial result | 12 Months Ended |
Dec. 31, 2022 | |
Net financial result [Abstract] | |
Net financial result | 24 Net financial result Financial revenue includes income generated by cash and cash equivalents, court deposits, and gains relating to the measurement of derivatives by fair value. Interest income is recorded for all financial assets measured by amortized cost, adopting the effective interest rate, which corresponds to the discount rate of payments or future cash receivables over the estimated useful life of financial instrument – or shorter period, where applicable – to the net carrying amount of financial asset or liability. Financial expenses substantially include all expenses generated by net debt and cost of sales of receivables during the fiscal year, the losses relating to the measurement of derivatives by fair value, the losses with sales of financial assets, financial charges over litigations, taxes, and interest expenses over financial leasing, as well as adjustments referring to discounts. For the year ended December 31, 2022 2021 2020 Financial revenues Cash and cash equivalents interest 152 87 39 Monetary correction (assets) 227 93 299 Other financial revenues 15 8 5 Total financial revenues 394 188 343 Financial expenses Cost of debt (896 ) (543 ) (474 ) Cost and discount of receivables (97 ) (51 ) (31 ) Monetary correction (liabilities) (401 ) (13 ) (11 ) Interest on leasing liabilities (509 ) (292 ) (219 ) Other financial expenses (6 ) (19 ) (51 ) Total financial expenses (1,909 ) (918 ) (786 ) Total (1,515 ) (730 ) (443 ) |
Earnings per share
Earnings per share | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Earnings per share | 25 Earnings per share The Company calculates earnings per share by dividing the net income attributable to controlling shareholders, referring to each class of share, by the weighted average of the number of common shares during the fiscal year. Diluted earnings per share are calculated by dividing the net income attributed to holders of common shares (after adjusting for interest on preferred shares and on convertible securities, in both cases net of taxes) by the weighted average amount of common shares available during the year plus the weighted average number of common shares that would be issued upon conversion of all potential diluted common shares into common shares. On August 11, 2021, an Extraordinary Shareholders’ Meeting approved a one-to-five share split, whereby the Company’s 269,299,859 common shares were divided into 1,346,499,295 common shares, with no change in the Company’s total capital stock value. In accordance with accounting standard IAS 33 - Earnings per share, the balance as of December 31, 2020 were retrospectively presented. The table below sets forth the 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 year: For the year ended December 31, 2022 2021 2020 Basic number: Allocated basic earnings and not distributed – Continued operation 1,220 1,610 1,189 Allocated basic earnings and not distributed – Discontinued operation - - 209 Net income allocated available to common shareholders 1,220 1,610 1,398 Basic denominator (millions of shares) Weighted average of the number of shares 1,348 1,344 1,340 Basic earnings per million shares (R$) – Continued operation 0.905322 1.198020 0.887313 Basic earnings per million shares (R$) – Attributable to controlling shareholders 0.905322 1.198020 1.043284 For the year ended December 31, 2022 2021 2020 Diluted number: Allocated basic earnings and not distributed – Continued operation 1,220 1,610 1,189 Allocated basic earnings and not distributed – Discontinued operation - - 209 Net income allocated available to common shareholders 1,220 1,610 1,398 Diluted denominator (millions of shares) Weighted average of the number of shares 1,348 1,344 1,340 Stock option plan 6 11 - Diluted weighted average of shares 1,353 1,355 1,340 Diluted earnings per million shares (R$) – Continued operation 0.901589 1.188520 0.887313 Diluted earnings per million shares (R$) – Attributable to controlling shareholders 0.901589 1.188520 1.043284 |
Non-cash transactions
Non-cash transactions | 12 Months Ended |
Dec. 31, 2022 | |
Non Cash Transactions Abstract | |
Non-cash transactions | 26 Non-cash transactions The Company had transactions that did not represent cash disbursements, therefore, these were not reported in the Statement of Cash Flows, as follows: ● Purchase of intangibles with related parties and suppliers, in notes 10.1, 13.3 and 14.3; ● Purchase of property, plant and equipment and intangible assets not yet paid, in notes 12.6 and 13.3; ● Advance related to the sale of properties, recorded in assets held for sale, in note 18; ● Approval of interest on own capital payable to its shareholders, in note 20.2; and ● Purchase of assets held for sale with related parties, in note 27.1. |
Assets held for sale
Assets held for sale | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of Non Current Assets Held For Sale and Discontinued Operations Text Block [Abstract] | |
Assets held for sale | 27 Assets held for sale Non-current assets and groups of assets are classified as held for sale if the carrying amount will be recovered through a sale transaction, rather than continued use. This condition is considered to be met only when the asset is available for immediate sale in its present condition, subject only to terms that are customary for sales of such assets and their sale is highly probable. Management must be committed to effecting the sale, and the estimated time for the sale to be completed must be within one year. Non-current assets classified as held for sale are measured at the lower of carrying amount and market value less cost of sale. For the year ended 2022 2021 Sale and leaseback - 147 Extra Hiper stores (i) 95 403 95 550 (i) As of December 31, 2022, corresponds to 1 property owned by GPA, which is sold to the real estate investment fund Barzel Properties, see note 1.5. 27.1 Additions to assets held for sale for cash flow presentation purpose 2022 Additions 797 Financing of assets – Additions (797 ) Financing of assets – Payments 250 Total 250 |
Segment information
Segment information | 12 Months Ended |
Dec. 31, 2022 | |
Segment Information [Abstract] | |
Segment information | 28 Segment information The Company is involved in the operation of retail stores located in 23 Brazilian states and the Federal District. Operating segments are disclosed consistently with the internal report submitted to the main operating decision-maker, identified as the Chief Executive Officer. The chief operating decision-maker allocates resources and evaluates performance by reviewing results and other segment-related information. The Company 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. Before the Transaction, the Company operated in two operating segments: Cash & Carry, it includes the “ASSAÍ” banner and Éxito Group. As of December 31, 2022, 2021 and 2020 the Company operated in a single segment. Geographic distribution of stores Our stores are located throughout 23 Brazilian states and the Federal District. We operate mainly in the Southeast region of Brazil, in states of São Paulo, Rio de Janeiro and Minas Gerais. The Southeast region accounted for 55.2%, 56.6% and 56.3% of our net operating revenue for the years ended December 31, 2022, 2021 and 2020, respectively, while the other Brazilian regions (North, Northeast, Midwest and South), in the aggregate, accounted for 44.8%, 43.4% and 43.7% of our net operating revenue for the years ended December 31, 2022, 2021 and 2020, respectively. |
Discontinued Operation
Discontinued Operation | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of Discontinued Operations Text Block [Abstract] | |
Discontinued operation | 29 Discontinued operation At the Extraordinary Shareholders’ meeting held on December 31, 2020, shareholders of the Company and GPA approved the corporate restructuring proposal which consisted of the full spin-off of Éxito to GPA. Éxito is a Colombian company operating in Colombia under the banners of Éxito, Carulla, Super Inter, Surtimax, and Surtimayorista supermarkets and hypermarkets, in Argentina, under the Libertad banner, and in Uruguay under Disco and Devoto banners. Also, Éxito operates shopping malls in Colombia under the Viva banner. As of December 31, 2020, Éxito’s results were classified as a discontinued operation, as one single line item. See below the detailed statement of operation of Éxito and condensed statement of cash flows: 2020 Statement of operations Discontinued operation Net operating revenue 22,034 Cost of sales (16,526 ) Gross profit 5,508 Expenses, net Selling expenses (2,973 ) General and administrative expenses (848 ) Depreciation and amortization (729 ) Share of profit (loss) of associates 27 Other operating expenses, net (217 ) (4,740 ) Operating profit 768 Net financial result (340 ) Income before income taxes discontinued operation 428 Income tax and social contribution (60 ) Net income discontinued operation 368 Discontinued operation Net income for the year discontinued operation (1 ) Net income for the year 367 2020 Other comprehensive income: Net income for the year 367 Items that may be subsequently reclassified to statement of operations Exchange rate variation of foreign Investments (415 ) Benefit plan (1 ) Cash flow rate (1 ) Other comprehensive results 3 Comprehensive income for the year (47 ) 2020 Net cash flow: Operational activities 1,349 Investment activities (4,075 ) Financing activities (1,012 ) Exchange rate variation on cash and cash equivalents 587 Net cash (used) generated (3,151 ) 2020 Earnings per share: Diluted and Basic, discontinued operation 0.8214 2020 Discontinued operation segment: Net sales 22,034 Gross profit 5,508 Depreciation and amortization (729 ) Share of profit and loss of associate 27 Operating profit 768 Net financial result (340 ) Income before income taxes 428 Income taxes and social contribution (60 ) Profit continued operation 368 Loss (income) discontinued operation (1 ) Net income for the year 367 Current assets 8,014 Non-current assets 18,930 Current liabilities 9,729 Non-current liabilities 3,620 Shareholder´s equity 13,595 |
Subsequent events
Subsequent events | 12 Months Ended |
Dec. 31, 2022 | |
Subsequent Events [Abstract] | |
Subsequent events | 30 Subsequent events 30.1 Capital contribution At the meeting of the Board of Directors held on February 15, 2023, it was approved by the Board, observing the authorized capital limit, the capital contribution in the amount of R$1 through the issuance of 59,870 common shares. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Foreign currency transactions | 3.1 Foreign currency transactions Foreign currency transactions are initially recognized at the exchange rate of the corresponding currencies at the date the transactions qualify for recognition and, subsequently, 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 revenue or expense. |
Joint Venture | 3.2 Classification of assets and liabilities as current and non-current Assets (with the exception of deferred income tax and social contribution) that are expected to be realized or that are intended to be sold or consumed within twelve months, as of the financial position dates, are classified as current assets. Liabilities (with the exception of deferred income tax and social contribution) expected to be settled within twelve months from the financial position dates are classified as current. All other assets and liabilities (including deferred tax taxes) are classified as “non-current”. Long-term assets and liabilities are not adjusted to present value at initial recognition as their effects are immaterial. Deferred tax assets and liabilities are classified as “non-current”, net by legal entity, as provided for in accounting pronouncement IAS 12 - Income Taxes. |
Joint Venture | 3.3 Joint Venture A joint venture is a type of joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the joint venture. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control. The considerations made in determining significant influence or joint control are similar to those necessary to determine control over subsidiaries. The Company’s joint venture is accounted for using the equity method. Under the equity method, the investment in a joint venture is initially recognized at cost (see note 11). |
Tax incentive reserve | 3.4 Tax incentive reserve Tax incentive reserve is recognized when there is reasonable assurance that the entity will comply with all conditions established and related to the grant and that the grant will be received. When the benefit relates to an expense item, it is recognized as revenue over the period of the benefit systematically in relation to the respective expenses for whose benefit it is intended to offset. When the benefit relates to an asset, it is recognized as deferred revenue in liabilities and on a systematic and rational basis over the useful life of the asset. |
Discontinued operation | 3.5 Discontinued operation A discontinued operation is a component of an entity that either has been disposed of, or is classified as held for sale, and: i) represents a separate major line of business or geographical area of operations; ii) is part of a single coordinated plan to dispose of a separate major line of business or geographical area of operations; or iii) is a subsidiary acquired exclusively with a view to resale. Discontinued operations are excluded from the results of continuing operations, being presented as a single amount in the result after taxes from discontinued operations in the statement of operations (see note 29). All other notes to the financial statements include amounts for continuing operations, unless otherwise mentioned. |
Dividends | 3.6 Dividends The distribution of dividends to the Company’s shareholders is recognized as a liability at the end of the year, based on the minimum mandatory dividends prescribed in the bylaws. Any amount exceeding this minimum is recorded only on the date on which such additional dividends are approved by the Company’s shareholders (see note 20.2). |
Cash flow, interest payments | 3.7 Cash flow, interest payments The interest payments on borrowing and finance and lease settled by the Company are being disclosed in the financing activities in conjunction with payments on related borrowing and finance, and lease. The total of interest payment as of December 31, 2022 was R$783 (R$406 as of December 31, 2021 and R$549 as of December 31, 2020). |
Corporate Information (Tables)
Corporate Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Corporate Information [Abstract] | |
Schedule of consolidated financial statements | As of December 31, 2020 (Transaction date) Current assets Cash and cash equivalents 3,687 Trade receivables 384 Other accounts receivables 220 Inventories 2,993 Recoverable taxes 570 Other current assets 130 7,984 Assets held for sale 30 Total current assets 8,014 Non-current assets Related parties 82 Restricted deposits for legal proceedings 3 Other non-current assets 171 Investments 480 Investment properties 3,639 Property, plant and equipment 10,504 Intangible assets 4,051 Total non-current assets 18,930 Total assets 26,944 Current liabilities Trade payable 6,449 Borrowings and financing 1,051 Payroll and related taxes 375 Lease liabilities 377 Related parties 77 Taxes and social contributions payable 288 Acquisition of non-controlling interest 636 Deferred revenues 200 Dividends payable 40 Other current liabilities 236 Total current liabilities 9,729 Non-current liabilities Borrowings and financing 520 Deferred income tax and social contribution 883 Provision for legal proceedings 139 Lease liabilities 2,039 Other non-current liabilities 39 Total non-current liabilities 3,620 Shareholders´ equity Total shareholders´ equity 13,595 Total Liabilities and Shareholders´ equity 26,944 |
Adoption of New Procedures, A_2
Adoption of New Procedures, Amendments to and Interpretations of Existing Standards Issued by the Iasb and Published Standards Effective from 2020 (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Adoption Of New Procedures Amendments To And Interpretations Abstract | |
Schedule of evaluated the amendments and new interpretations to IFRS as issued by IASB | Statement Description Effective date Changes to IAS 16: Property - Resources Before Intended Use The amendments to Pronouncement IAS 16 prohibit deducting from the cost of an item of property, plant and equipment any proceeds from the sale of items produced before the asset is available for use, i.e., funds to bring the asset to the location and condition necessary for it to be capable of operating. in the manner intended by the Management. Consequently, the entity recognizes these proceeds from the sale and related costs in the statement of operations. 01/01/2022 Improvements to IFRS 9: Financial Instruments The amendments clarify the rates that an entity includes when assessing whether the terms of a new or modified financial liability are materially different from the terms of the original financial liability. These fees include only fees paid or received between the borrower and the lender, including fees paid or received by the borrower or the lender on behalf of the other. 01/01/2022 Improvements to IFRS16: Leasing The amendments exclude the concept of reimbursement for improvements in third-party properties. 01/01/2022 |
Schedule of evaluated all new and revised IFRSs | Accounting pronouncement Description Effective for annual periods beginning on or after Amendments to IAS1: Classification of liabilities as current and non-current and disclosure of accounting policies 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; and 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 are to help entities disclose accounting policies that are more useful by replacing the requirement for disclosure of significant accounting policies for material accounting policies. 01/01/2023 Amendments to IAS8: Definition of accounting estimates Introduce the definition of ‘accounting estimate’. The amendments clarify the distinction between changes in accounting estimates and changes in accounting policies and correction of errors. In addition, they clarify how entities use measurement and input techniques to develop accounting estimates. 01/01/2023 |
Cash and cash equivalents (Tabl
Cash and cash equivalents (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Cash And Cash Equivalents Text Block Abstract | |
Schedule of cash and cash equivalents | As of December 31, 2022 2021 2020 Cash and bank accounts – Brazil 213 74 64 Cash and bank accounts – Abroad (*) 24 25 29 Financial investments – Brazil (**) 5,605 2,451 3,439 5,842 2,550 3,532 (*) As of December 31, 2022, the Company had funds held abroad, being R$24 in US Dollars (R$25 in US dollars as of December 31, 2021 and R$29 in US dollars as of December 31, 2020). (**) As of December 31, 2022, the financial investments correspond to repurchase and resale agreements, with a weighted average interest rate of 92.80% of CDI – Interbank Deposit Certificate (109.64% of CDI as of December 31, 2021 and 96.96% of CDI as of December 31, 2020). |
Trade Receivables (Tables)
Trade Receivables (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Trade Receivables [Abstract] | |
Schedule of trade receivables | As of December 31, Note 2022 2021 Credit card companies 7.1 241 75 Credit card companies with related parties 10.1 49 24 Sales ticket and payment slips 7.2 249 118 Trade receivables with related parties 10.1 24 31 Trade receivables with suppliers/payment slips 18 23 581 271 Provision for expected credit losses 7.3 (11 ) (6 ) 570 265 |
Schedule of trade receivables by their gross amount by maturity period | Overdue Total Due Less than Less than Less than > 90 days 2022 581 576 4 - - 1 2021 271 269 1 - - 1 |
Schedule of provision for expected losses in the balance sheet | For the year ended December 31, 2022 2021 2020 At the beginning of the year (6 ) (4 ) (32 ) Additions (36 ) (15 ) (56 ) Reversals 31 13 5 Write off trade receivables - - 42 Discontinued operations - - 43 Foreign currency translation adjustment - - (6 ) At the end of the year (11 ) (6 ) (4 ) |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Inventories [Abstract] | |
Schedule of inventories | As of December 31, Note 2022 2021 Stores 5,914 3,955 Distribution centers 1,139 878 Commercial agreements 8.1 (518 ) (416 ) Allowance for loss on inventory obsolescence and damages 8.2 (68 ) (37 ) 6,467 4,380 |
Schedule of allowance for losses and damages | For the year ended December 31, 2022 2021 2020 At the beginning of the year (37 ) (51 ) (61 ) Additions (435 ) (315 ) (16 ) Reversals 17 13 3 Discontinued operations - - 28 Foreign currency translation adjustment - - (5 ) Write-offs 387 316 - At the end of the year (68 ) (37 ) (51 ) |
Recoverable taxes (Tables)
Recoverable taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Tax Receivables Explanatory [Abstract] | |
Schedule of tax credits | As of December 31, Note 2022 2021 State tax credits – ICMS 9.1 1,210 1,153 Social Integration Program and Contribution for Social Security Financing - PIS/COFINS 9.2 587 370 Social Security Contribution - INSS 90 54 Income tax and social contribution 74 61 Others 21 8 Total 1,982 1,646 Current 1,055 876 Non-current 927 770 |
Schedule of over adherence to the annually established plan | Year Amounts In 1 year 543 From 1 to 2 years 298 From 2 to 3 years 93 From 3 to 4 years 77 From 4 to 5 years 61 More than 5 years 138 Total 1,210 Year Amounts In 1 year 366 From 1 to 2 years 221 Total 587 |
Related Parties (Tables)
Related Parties (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Related Parties [Abstract] | |
Schedule of balances and related party transactions | Assets balance Liabilities balance Clients Other assets Suppliers Other liabilities 2022 2021 2022 2021 2022 2021 2022 2021 Controlling shareholder Wilkes Participações S.A. (i) - - - - - - 2 2 Euris (ii) - - - - - - 1 1 Casino Guichard Perrachon (iii) - 13 - - - - 21 - - 13 - - - - 24 3 Other related parties GPA (iv) 24 18 234 100 8 8 237 365 Joint venture Financeira Itaú CBD S.A. Crédito, Financiamento e Investimento (“FIC”) (vi) 49 24 18 14 25 14 - - 73 42 252 114 33 22 237 365 Total 73 55 252 114 33 22 261 368 Current 73 55 - - 33 22 201 368 Non-current - - 252 114 - - 60 - |
Schedule of related party transactions | Transactions Purchases Revenue (Expenses) 2022 2021 2020 2022 2021 2020 Controlling shareholder Wilkes Participações S.A. (i) - - - (8 ) (6 ) - Euris (ii) - - - (3 ) (1 ) - Casino Guichard Perrachon (iii) - - - (60 ) (35 ) (19 ) - - - (71 ) (42 ) (19 ) Other related parties GPA (iv) - - - (310 ) (137 ) (183 ) Compre Bem - - 1 - (1 ) 3 Greenyellow (v) - - - (33 ) (26 ) (47 ) Puntos Colombia - - - - - (114 ) Tuya - - - - - 24 Others - - - - - (2 ) Joint venture Financeira Itaú CBD S.A. Crédito, Financiamento e Investimento (“FIC”) (vi) - - - 25 15 - - - 1 (318 ) (149 ) (319 ) Total - - 1 (389 ) (191 ) (338 ) |
Schedule of statement of profit or loss | Base salary (i) Variable compensation (i) Stock option plan Total 2022 2021 2020 2022 2021 2020 2022 2021 2020 2022 2021 2020 Board of director 31,971 25,533 - - - - 7,103 7,111 - 39,074 32,644 - Directors and executive officers 56,241 20,241 12,963 26,310 14,485 7,027 19,785 7,632 4,877 102,337 42,358 24,867 Fiscal council 584 331 - - - - - - - 584 331 - 88,796 46,105 12,963 26,310 14,485 7,027 26,888 14,743 4,877 141,995 75,333 24,867 |
Investment in Joint Venture (Ta
Investment in Joint Venture (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Joint Ventures Text Block Abstract | |
Schedule of company’s joint venture | Participation in investments - % 2022 2021 Group Company Country Direct participation Financeira Itaú CBD S.A. Bellamar Empreendimento e Participação S.A. Brazil 50.00 50.00 |
Schedule of financial information of joint venture | As of December 31, 2022 2021 Current assets 1 33 Non-current assets 519 433 Current liabilities - 33 Shareholders equity 520 433 Net income for the year 86 95 |
Schedule of breakdown | Amount As of December 31, 2019 320 Equity accounting 27 Capital Increase 51 Equity on other comprehensive income 82 Discontinued operations (note 1.3) (480 ) Corporate restructuring (note 1.3) 769 As of December 31, 2020 769 Share of profit of associates 47 Dividends received (11 ) Dividends receivable (16 ) As of December 31, 2021 789 Share of profit of associates 44 As of December 31, 2022 833 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Property Plant And Equipmenttext Block Abstract | |
Schedule of property and equipment | Asset Category Average annual depreciation rate in % Buildings 2.78 Leasehold improvements 6.42 Machinery and equipments 14.29 Facilities 6.64 Furniture and appliances 10.72 Others 20.00 |
Schedule of property and equipment rollforward | As of December 31, Additions (i) Lease modification Write-off Depreciation Transfer and others (ii) As of December 31, Land 570 48 - (18 ) - - 600 Buildings 656 117 - - (17 ) (26 ) 730 Improvements 3,596 3,451 - (27 ) (284 ) 129 6,865 Machinery and equipment 828 708 - (4 ) (184 ) 92 1,440 Facilities 362 258 - (7 ) (35 ) 7 585 Furniture and appliances 416 279 - (2 ) (70 ) 132 755 Constructions in progress 235 582 - (1 ) - (273 ) 543 Others 37 24 - - (16 ) 19 64 Subtotal 6,700 5,467 - (59 ) (606 ) 80 11,582 Lease - right of use: Buildings 3,604 3,810 695 (70 ) (351 ) (95 ) 7,593 Equipment 16 - - - (6 ) (2 ) 8 Subtotal 3,620 3,810 695 (70 ) (357 ) (97 ) 7,601 Total 10,320 9,277 695 (129 ) (963 ) (17 ) 19,183 As of December 31, Additions (iii) Lease modification Write-off Depreciation Transfer and others (iv) As of December 31, Land 481 207 - (2 ) - (116 ) 570 Buildings 609 258 - (4 ) (15 ) (192 ) 656 Improvements 2,598 1,161 - (1 ) (182 ) 20 3,596 Machinery and equipment 635 307 - (1 ) (128 ) 15 828 Facilities 269 118 - (1 ) (25 ) 1 362 Furniture and appliances 340 110 - (2 ) (53 ) 21 416 Constructions in progress 78 266 - - - (109 ) 235 Others 37 6 - - (14 ) 8 37 Subtotal 5,047 2,433 - (11 ) (417 ) (352 ) 6,700 Lease - right of use: Buildings 2,423 885 628 (92 ) (244 ) 4 3,604 Equipment 6 16 - - (5 ) (1 ) 16 Subtotal 2,429 901 628 (92 ) (249 ) 3 3,620 Total 7,476 3,334 628 (103 ) (666 ) (349 ) 10,320 As of December 31, Additions Lease modification Write-off Depreciation Transfer and others Conversion adjustment to reporting currency Corporate restructuring (Note 1.3) Discontinued operation As of December 31, Land 2,766 61 - (32 ) - (70 ) 541 146 (2,931 ) 481 Buildings 3,829 78 - (85 ) (121 ) (139 ) 704 - (3,657 ) 609 Improvements 2,207 694 - (71 ) (189 ) 293 70 (4 ) (402 ) 2,598 Equipment 1,242 227 - (28 ) (260 ) 84 151 (1 ) (780 ) 635 Facilities 330 58 - (6 ) (32 ) (16 ) 8 - (73 ) 269 Furniture and appliances 601 78 - (15 ) (128 ) 58 66 - (320 ) 340 Constructions in progress 140 344 - (7 ) - (318 ) 18 - (99 ) 78 Others 42 8 - - (16 ) 12 - (2 ) (7 ) 37 Subtotal 11,157 1,548 - (244 ) (746 ) (96 ) 1,558 139 (8,269 ) 5,047 Lease - right of use: Buildings 3,449 1,217 628 (588 ) (501 ) 2 403 (4 ) (2,183 ) 2,423 Equipment 43 23 (7 ) (1 ) (15 ) 3 9 - (49 ) 6 Land 3 - - - - - - - (3 ) - Subtotal 3,495 1,240 621 (589 ) (516 ) 5 412 (4 ) (2,235 ) 2,429 Total 14,652 2,788 621 (833 ) (1,262 ) (91 ) 1,970 135 (10,504 ) 7,476 |
Schedule of additions to property and equipment for cash flow presentation | As of December 31, 2022 2021 Historical cost Accumulated depreciation Net amount Historical cost Accumulated depreciation Net amount Land 600 - 600 570 - 570 Buildings 859 (129 ) 730 767 (111 ) 656 Improvements 7,933 (1,068 ) 6,865 4,387 (791 ) 3,596 Equipment 2,160 (720 ) 1,440 1,373 (545 ) 828 Facilities 729 (144 ) 585 472 (110 ) 362 Furniture and appliances 1,043 (288 ) 755 635 (219 ) 416 Construction in progress 543 - 543 235 - 235 Others 157 (93 ) 64 115 (78 ) 37 14,024 (2,442 ) 11,582 8,554 (1,854 ) 6,700 Lease – right of use: - - Buildings 8,924 (1,331 ) 7,593 4,566 (962 ) 3,604 Equipment 57 (49 ) 8 61 (45 ) 16 8,981 (1,380 ) 7,601 4,627 (1,007 ) 3,620 Total Property, plant and equipment 23,005 (3,822 ) 19,183 13,181 (2,861 ) 10,320 |
Schedule of additions to property and equipment for cash flow presentation | 2022 2021 2020 Additions 9,277 3,334 2,788 Leases (3,810 ) (901 ) (1,241 ) Capitalized borrowing costs (774 ) (38 ) (12 ) Financing of property, plant and equipment – Additions (5,080 ) (2,284 ) (1,437 ) Financing of property, plant and equipment – Payments 3,911 2,120 1,464 Total 3,524 2,231 1,562 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Intangible Assets Text Block Abstract | |
Schedule of total intangible assets | As of December 31, Additions Lease modification Amortization As of December 31, Goodwill 618 - - - 618 Software 75 18 - (17 ) 76 Commercial rights (i) 1,136 3,139 - (8 ) 4,267 Tradename 39 - - - 39 Subtotal 1,868 3,157 - (25 ) 5,000 Lease - right of use: Assets and rights 19 - 1 (2 ) 18 Subtotal 19 - 1 (2 ) 18 1,887 3,157 1 (27 ) 5,018 As of December 31, Additions Amortizations Write-off Transfers As of December 31, Goodwill 618 - - - - 618 Software 70 21 (14 ) (1 ) (1 ) 75 Commercial rights (i) 310 833 (7 ) - - 1,136 Tradename 39 - - - - 39 Subtotal 1,037 854 (21 ) (1 ) 1 1,868 Lease - right of use: Assets and rights - 18 - - 1 19 Subtotal - 18 - - 1 19 1,037 872 (21 ) (1 ) - 1,887 As of December 31, Additions Amortizations Write-off Conversion adjustment to reporting currency Transfers Discontinued operation As of December 31, Goodwill 787 - - - 38 1 (208 ) 618 Software 134 72 (40 ) (1 ) 20 - (115 ) 70 Commercial rights 313 6 (8 ) - (1 ) - - 310 Tradename 3,054 - - - 713 - (3,728 ) 39 4,288 78 (48 ) (1 ) 770 1 (4,051 ) 1,037 |
Schedule of total intangible assets | As of December 31, 2022 2021 Historical cost Accumulated amortization Net amount Historical cost Accumulated amortization Net amount Goodwill 871 (253 ) 618 871 (253 ) 618 Software 151 (75 ) 76 133 (58 ) 75 Commercial rights 4,299 (32 ) 4,267 1,160 (24 ) 1,136 Tradename 39 - 39 39 - 39 5,360 (360 ) 5,000 2,203 (335 ) 1,868 Lease - right of use: Assets and rights 29 (11 ) 18 28 (9 ) 19 Total of intangible assets 5,389 (371 ) 5,018 2,231 (344 ) 1,887 |
Schedule of additions to intangible assets for cash flow presentation purpose | 2022 2021 2020 Additions 3,157 872 25 Lease - (18 ) - Financing of intangible assets – Additions (3,130 ) - - Financing of intangible assets – Payments 609 - - Total 636 854 25 |
Trade payables and trade paya_2
Trade payables and trade payables - Agreements (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Trade And Other Payables Text Block Abstract | |
Schedule of trade payables, net | As of December 31, Note 2022 2021 Trade payables Product suppliers 9,196 5,849 Suppliers – Acquisition of property, plant and equipment 140 197 Service providers 129 74 Service providers - related parties 10.1 33 22 Bonuses from suppliers 14.2 (960 ) (576 ) Total trade payables 8,538 5,566 Trade payables - Agreements Product suppliers 14.1 813 573 Suppliers –Acquisition of property, plant and equipment 14.1 1,226 - Suppliers – Agreements – Acquisition of Extra stores 14.3 3,202 - Total trade payables – Agreements 5,241 573 Total 13,779 6,139 Current 12,999 6,139 Non-current 780 - |
Financial instruments (Tables)
Financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Financial Instruments Text Block Abstract | |
Schedule of financial instruments and their carrying amounts | Carrying amounts Notes 2022 2021 Financial assets (*) Amortized cost Related parties - assets 10.1 252 114 Accounts receivable and other accounts receivable 198 169 Fair value through income Gain of financial instruments at fair value 15.11.1 182 32 Fair value through other comprehensive income Accounts receivable with credit card companies and sales tickets 424 155 Financial liabilities Other financial liabilities - amortized cost Related parties – liabilities 10.1 (261 ) (368 ) Trade payables and trade payables - agreements 14 (13,779 ) (6,139 ) Borrowings and financing 15.11.1 (1,217 ) (1,210 ) Debentures and promissory notes 15.12 (11,025 ) (6,446 ) Lease liabilities 17.2 (8,360 ) (4,051 ) Fair value through income Borrowings and financing, including derivatives 15.11.1 (313 ) (341 ) Loss of financial instruments at fair value 15.11.1 (36 ) (36 ) Net exposure (33,935 ) (18,121 ) (*) Other than cash and cash equivalents in the amount of R$5,842 (R$2,550 as of December 31, 2021) |
Schedule of capital structure | As of December 31, 2022 2021 Borrowings, financing, debentures and promissory notes (12,591 ) (8,033 ) (-) Cash and cash equivalents 5,842 2,550 (-) Derivative financial instruments 182 32 Net debt (6,567 ) (5,451 ) Shareholders´ equity 3,896 2,766 % Net debt over shareholders´ equity 169 % 197 % |
Schedule of aging profile of financial liabilities | Less than 1 1 to 5 years More than 5 Total Borrowings and financing 948 835 - 1,783 Debentures and promissory notes 1,142 11,362 3,671 16,175 Derivative financial instruments 214 219 (1,081 ) (648 ) Lease liabilities 1,356 5,828 13,494 20,678 Trade payables 8,538 - - 8,538 Trade payables – Agreements 2,039 - - 2,039 Trade payables – Agreements – Acquisition of Extra stores 2,422 780 - 3,202 Total 16,659 19,024 16,084 51,767 |
Schedule of derivative transactions that qualify as hedge accounting | Notional value Fair value 2022 2021 2022 2021 Swap of hedge Hedge purpose (debt) 2,360 1,888 2,542 1,869 Long position Fixed rate 106 106 109 60 USD + Fixed 282 282 282 281 Hedge - CRI 1,972 1,500 2,151 1,528 Short position (2,360 ) (1,888 ) (2,396 ) (1,873 ) Net hedge position - - 146 (4 ) |
Schedule of net exposure of derivative financial instruments | Market projections Transactions Notes Risk Balance at Scenario Scenario Scenario Borrowings and financing 15.11.1 CDI + 1.55% per year (1,223 ) (170 ) (178 ) (187 ) Borrowings and financing (fixed rate) 15.11.1 TR + 9.80% per year (48 ) (58 ) (62 ) (67 ) Borrowings and financing (foreign exchange) 15.11.1 USD + 1.06% per year (262 ) (6 ) (20 ) (33 ) Debentures and promissory notes 15.11.1 CDI + 1.44% per year (11,123 ) (1,534 ) (1,611 ) (1,688 ) Total net effect (loss) (12,656 ) (1,768 ) (1,871 ) (1,975 ) Cash equivalents 6 92.80% 5,605 734 771 808 Net exposure loss (7,051 ) (1,034 ) (1,100 ) (1,167 ) |
Schedule of fair value hierarchy of financial assets and liabilities | Carrying amount Fair value 2022 2021 2022 2021 Level Trade receivables with credit cards companies and sales tickets 424 155 424 155 2 Swaps of annual rates between currencies (36 ) (11 ) (36 ) (11 ) 2 Interest rate swaps 2 4 2 4 2 Interest rate swaps - CRI 180 3 180 3 2 Borrowings and financing (fair value) (313 ) (341 ) (313 ) (341 ) 2 Borrowings and financing (amortized cost) (12,242 ) (7,656 ) (12,096 ) (7,372 ) 2 (11,985 ) (7,846 ) (11,839 ) (7,562 ) |
Schedule of consolidated position of outstanding derivative transactions | Notional As of December 31, Description Risk (millions) Due date 2022 2021 Debt USD – BRL US$ 50 2023 (36 ) (11 ) Debt IPCA – BRL R$ 1,972 2028, 2029 and 2031 180 3 Interest rate swaps registered at CETIP Fixed rate x CDI R$ 54 2027 1 2 Fixed rate x CDI R$ 52 2027 1 2 Derivatives - Fair value hedge – Brazil 146 (4 ) |
Schedule of debt weighted average | Weighted As of December 31, average rate 2022 2021 Current Debentures and promissory notes Debentures and promissory notes CDI + 1.46% per year 454 194 Borrowing costs (23 ) (14 ) Total debentures and promissory notes 431 180 Borrowings and financing in domestic currency Working capital TR + 9.80% 12 14 Working capital CDI + 1.15% per year 523 419 Borrowing costs (4 ) (4 ) Total domestic currency 531 429 In foreign currency Working capital USD + 1.06% per year 262 1 Total foreign currency 262 1 Total of borrowings and financing 793 430 Derivative financial instruments Swap contracts CDI + 0.84% per year (27 ) (4 ) Swap contracts CDI + 1.35% per year 36 3 Total derivative financial instruments 9 (1 ) Total current 1,233 609 Weighted As of December 31, average rate 2022 2021 Non-current Debentures and promissory notes Debentures and promissory notes CDI + 1.44% per year 10,669 6,329 Borrowing costs (75 ) (63 ) Total debentures and promissory notes 10,594 6,266 Borrowings and financing in domestic currency Working capital TR + 9.80% 39 47 Working capital CDI + 1.84% per year 700 800 Borrowing costs (2 ) (5 ) Total domestic currency 737 842 In foreign currency Working capital USD + 1.06% per year - 279 Total foreign currency - 279 Total of borrowings and financing 737 1,121 Derivative financial instruments Swap contracts CDI + 0.84% per year (155 ) (28 ) Swap contracts CDI + 1.35% per year - 33 Total derivative financial instruments (155 ) 5 Total non-current 11,176 7,392 Total 12,409 8,001 Current assets 27 4 Non-current assets 155 28 Current liabilities 1,260 613 Non-current liabilities 11,331 7,420 |
Schedule of rollforward of financial instruments | Amounts Balance as of January 1, 2020 8,781 Funding - working capital 2,852 Interest provision 486 Swap contracts (60 ) Mark-to-market 12 Exchange rate and monetary variation 57 Debt modification impact 71 Borrowing costs 42 Interest amortization (549 ) Principal amortization (2,543 ) Swap amortization 13 Conversion adjustment to reporting currency 172 Discontinued operations (1,571 ) Balance as of December 31, 2020 7,763 Funding - working capital 6,090 Interest provision 559 Swap contracts 39 Mark-to-market 31 Exchange rate and monetary variation 5 Debt modification impact (71 ) Borrowing costs 64 Interest amortization (406 ) Principal amortization (6,075 ) Swap amortization 2 Balance as of December 31, 2021 8,001 Funding - working capital 3,959 Interest provision 1,436 Swap contracts 82 Mark-to-market (111 ) Exchange rate and monetary variation (18 ) Borrowing costs 26 Interest amortization (783 ) Principal amortization (61 ) Swap amortization (122 ) Balance as of December 31, 2022 12,409 |
Schedule of noncurrent maturities | Maturity Amounts From 1 to 2 years 2,150 From 2 to 3 years 3,872 From 3 to 4 years 548 From 4 to 5 years 2,389 More than 5 years 2,294 Total 11,253 Borrowing Cost (77 ) Total 11,176 |
Schedule of debentures and promissory notes | Issue Outstanding Date Annual Unit price As of Type amount (units) Issuance Maturity charges (in Reais) 2022 2021 First Issue of Promissory Notes – 3 rd non-preemptive right 50 1 7/4/2019 7/4/2022 CDI + 0.72% per year - - 57 First Issue of Promissory Notes – 4 th non-preemptive right 250 5 7/4/2019 7/4/2023 CDI + 0.72% per year 63,479,473 317 281 First Issue of Promissory Notes – 5 th non-preemptive right 200 4 7/4/2019 7/4/2024 CDI + 0.72% per year 63,479,473 254 225 First Issue of Promissory Notes – 6 th non-preemptive right 200 4 7/4/2019 7/4/2025 CDI + 0.72% per year 63,479,473 254 225 Second Issue of Debentures – 1 st non-preemptive right 940,000 940,000 6/1/2021 5/20/2026 CDI + 1.70% per year 1,017 957 951 Second Issue of Debentures – 2 nd non-preemptive right 660,000 660,000 6/1/2021 5/22/2028 CDI + 1.95% per year 1,017 672 668 Second Issue of Promissory Notes – 1 st non-preemptive right 1,250,000 1,250,000 8/27/2021 8/27/2024 CDI + 1.47% per year 1,173 1,467 1,285 Second Issue of Promissory Notes – 2 nd non-preemptive right 1,250,000 1,250,000 8/27/2021 2/27/2025 CDI + 1.53% per year 1,173 1,468 1,286 Third Issue of Debentures – 1 st non-preemptive right 982,526 982,526 10/15/2021 10/16/2028 IPCA + 5.15% per year 1,091 1,072 1,012 Third Issue of Debentures – 2 nd non-preemptive right 517,474 517,474 10/15/2021 10/15/2031 IPCA + 5.27% per year 1,092 565 533 Fourth Issue of Debentures - single series non-preemptive right 2,000,000 2,000,000 1/7/2022 11/26/2027 CDI + 1.75% per year 1,014 2,028 - First Issue of Commercial Paper Notes - single series non-preemptive right 750,000 750,000 2/10/2022 2/9/2025 CDI + 1.70% per year 1,058 793 - Fifth Issue of Debentures - single series - CRI non-preemptive right 250,000 250,000 4/5/2022 3/28/2025 CDI + 0.75% per year 1,034 258 - Sixth Issue of Debentures - 1st series - CRI non-preemptive right 72,962 72,962 9/28/2022 9/11/2026 CDI + 0,60% per year 1,035 75 - Sixth Issue of Debentures - 2nd series - CRI non-preemptive right 55,245 55,245 9/28/2022 9/13/2027 CDI + 0.70% per year 1,035 57 - Sixth Issue of Debentures - 3rd series – CRI non-preemptive right 471,793 471,793 9/28/2022 9/13/2029 IPCA + 6.70% per year 1,027 485 - Second Issue of Commercial Paper Notes - single series non-preemptive right 400,000 400,000 12/26/2022 12/26/2025 CDI + 0.93% per year 1,002 401 - Borrowing Cost (98 ) (77 ) 11,025 6,446 Current 431 180 Non-current 10,594 6,266 |
Provision for Legal Proceedin_2
Provision for Legal Proceedings (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Provision for Legal Proceedings [Abstract] | |
Schedule of provision for legal proceedings | Tax claims Social Civil Total Balance as of December 31, 2021 109 69 27 205 Additions 14 74 13 101 Reversals (73 ) (31 ) (4 ) (108 ) Payments - (33 ) (16 ) (49 ) Monetary correction 5 7 4 16 Balance as of December 31, 2022 55 86 24 165 Restricted deposits for legal proceedings (7 ) (29 ) (8 ) (44 ) Net provision of judicial deposits 48 57 16 121 Tax claims Social Civil Total Balance as of December 31, 2020 169 64 49 282 Additions 39 44 8 91 Reversals (106 ) (23 ) (10 ) (139 ) Payments - (21 ) (28 ) (49 ) Monetary correction 7 5 8 20 Balance as of December 31, 2021 109 69 27 205 Restricted deposits for legal proceedings (65 ) (45 ) (2 ) (112 ) Net provision of judicial deposits 44 24 25 93 Tax claims Social Civil Total Balance as of December 31, 2019 221 75 53 349 Additions 27 42 79 148 Reversals (9 ) (43 ) (19 ) (71 ) Payments (1 ) (5 ) (35 ) (41 ) Monetary correction 1 8 3 12 Conversion adjustment to reporting currency 18 2 4 24 Discontinued operation (88 ) (15 ) (36 ) (139 ) Balance as of December 31, 2020 169 64 49 282 |
Schedule of bank guarantees and insurance guarantees to judicial process | Lawsuits Letter of guarantees Tax 700 Labor 91 Civil and others 505 Total 1,296 |
Schedule of judicial deposits in its assets | As of December 31, Lawsuits 2022 2021 Tax 12 65 Labor 34 50 Civil and others 10 4 Total 56 119 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Leases Table [Abstract] | |
Schedule of minimum future payments, | As of December 31, 2022 2021 Lease liabilities - minimum payments Less than 1 year 435 244 1 to 5 years 1,646 1,231 More than 5 years 6,279 2,576 Present value of lease liabilities 8,360 4,051 Current 435 244 Non-current 7,925 3,807 Future financing charges 12,318 4,042 Future lease payments 20,678 8,093 PIS and COFINS embedded in the present value of lease agreements 508 246 PIS and COFINS embedded in the gross value of lease agreements 1,257 492 |
Schedule of lease liability rollforward | Amounts As of December 31, 2019 3,751 Addition – Lease 1,240 Lease modification 621 Interest provision 415 Exchange rate and monetary variation 1 Principal amortizations (751 ) Interest amortizations (5 ) Write-off due to early termination of agreement (518 ) Transfer to parent company 9 Conversion currency adjustment 433 Discontinued operation (2,416 ) Corporate restructuring (4 ) As of December 31, 2020 2,776 Addition – Lease 919 Lease modification 628 Interest provision 302 Principal amortizations (460 ) Interest amortizations (8 ) Write-off due to early termination of agreement (106 ) As of December 31, 2021 4,051 Addition – Lease 3,810 Lease modification 696 Interest provision 781 Principal amortizations (856 ) Interest amortizations (42 ) Write-off due to early termination of agreement (80 ) As of December 31, 2022 8,360 |
Schedule of lease expense on variable rents, low-value, and short-term assets | As of December 31, 2022 2021 2020 (Expenses) revenues for the year: Variables (1% to 2% of sales) (31 ) (6 ) (16 ) Subleases (*) 55 31 22 (*) Refers mainly to revenue from lease agreements receivable from commercial galleries. |
Deferred revenues (Tables)
Deferred revenues (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Deferred revenues [Abstract] | |
Schedule of liabilities related to assets held to sale | As of December 31, Note 2022 2021 Sale and Leaseback 1.4 3 68 Rental of spaces in stores (i) 259 233 Checkstand (ii) 45 41 Commercial agreement – payroll (iii) 39 - Gift card and others 1 2 Marketing 12 12 Total 359 356 Current 328 356 Non-current 31 - |
Income tax and social contrib_2
Income tax and social contribution (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Major components of tax expense (income) [abstract] | |
Schedule of reconciliation of income tax and social contribution expense | For the year ended December 31, 2022 2021 2020 Earnings before income tax and social contribution 1,335 1,849 1,625 Expense of income tax and social contribution (454 ) (629 ) (553 ) Adjustments to reflect the effective rate Tax fines (2 ) (1 ) (1 ) Share of profits 15 16 105 Interest on Equity 17 22 - ICMS subsidy - tax incentives (i) 248 241 - Interest Selic credits (ii) - 81 - Credits of monetary corrections 64 11 - Tax benefits 3 22 29 Other permanent differences (6 ) (2 ) (16 ) Effective income tax (115 ) (239 ) (436 ) Income tax and social contribution for the year Current (75 ) (366 ) (704 ) Deferred (40 ) 127 268 Income tax and social contribution expenses (115 ) (239 ) (436 ) Effective rate 8.6 % 12.9 % 26.8 % |
Schedule of key components of deferred income tax and social contribution in the balance sheets | As of December 31, 2022 2021 Assets Liabilities Net Assets Liabilities Net Deferred income tax and social contribution Tax losses 213 - 213 167 - 167 Provision for legal proceedings 44 - 44 59 - 59 Exchange rate variation - (28 ) (28 ) - (7 ) (7 ) Goodwill tax amortization - (317 ) (317 ) - (317 ) (317 ) Fair value adjustment - (29 ) (29 ) 1 - 1 Property, plant and equipment, intangible and investment properties 30 - 30 33 - 33 Unrealized losses with tax credits - (6 ) (6 ) - (28 ) (28 ) Provision for restructuring 12 - 12 - - - Borrowings costs - (35 ) (35 ) - (30 ) (30 ) Lease net of right of use 101 - 101 150 - 150 Provision of inventory 26 - 26 15 - 15 Others - (5 ) (5 ) 2 - 2 Gross deferred income tax and social contribution assets (liabilities) 426 (420 ) 6 427 (382 ) 45 Compensation (420 ) 420 - (382 ) 382 - Net deferred income tax and social contribution assets (liabilities), net 6 - 6 45 - 45 |
Schedule of estimates the recovery of the deferred tax assets | Years Amounts Up to 1 year 47 From 1 year to 2 years 44 From 2 year to 3 years 213 From 4 years to 5 years 5 More than 5 years 117 426 |
Schedule of changes in deferred income tax and social contribution | For the year ended December 31, 2022 2021 2020 At the beginning of the year 45 (82 ) (1,191 ) Benefits (expenses) in the year (40 ) 127 372 Corporate reorganization - - 45 Deconsolidation - - 883 Income tax effect 1 - - Exchange variation - - (193 ) Others - - 2 At the end of the year 6 45 (82 ) |
Shareholders' equity (Tables)
Shareholders' equity (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Share Capital Reserves And Other Equity Interest Text Block Abstract | |
Schedule of company’s shareholding structure is as follows | For the year ended December 31, 2022 2021 2020 Number of shares Participation Number of shares Participation Number of shares Participation Controlling shareholders 411,582,865 30.51 % 557,857,105 41.42 % 1,341,757,835 100.00 % Outstanding shares 937,582,529 69.49 % 788,817,372 58.58 % - - Total 1,349,165,394 100.00 % 1,346,674,477 100.00 % 1,341,757,835 100.00 % |
Schedule of management proposed dividends to be distributed, considering the anticipation of interest on own capital to its shareholders | For the year ended December 31, 2022 2021 2020 Net income for the year 1,220 1,610 1,398 Tax incentive reserve 753 709 - Base for legal reserve 467 901 1,398 % Legal reserve 5 % 5 % 5 % Legal reserve for the year 23 5 5 Minimum mandatory dividends - 25% 111 224 349 Interest on own capital paid/payable intermediaries (i) 43 56 264 Minimum mandatory dividends paid in the form of interest on shareholder´s equity 68 168 85 |
Schedule of profit reserve | For the year ended December 31, 2022 2021 2020 Net income for the year 1,220 1,610 1,398 Tax incentive reserve 753 709 - Base for legal reserve 467 901 1,398 % Legal reserve 5 % 5 % 5 % Legal reserve for the year 23 5 5 |
Schedule of option plan and compensation plan | As of December 31, 2022 Number of shares (in thousands) Granted series Grant date 1st exercise date Strike price on the grant date Grantees Exercised Cancelled Current B8 5/31/2021 6/01/2024 0.01 363 (20 ) (29 ) 314 C8 5/31/2021 6/01/2024 13.39 363 (20 ) (29 ) 314 B9 5/31/2022 6/01/2025 0.01 2,163 (32 ) - 2,131 C9 5/31/2022 6/01/2025 12.53 1,924 (32 ) - 1,892 4,813 (104 ) (58 ) 4,651 |
Schedule of dilutive effect on options granted | For the year ended (in thousands) Number of shares 1,349,165 Balance of effective stock options granted 4,651 Maximum percentage of dilution 0.34 % |
Schedule of weighted average fair value of options granted | Shares Weighted average of exercise price (R$) Weighted average of remaining contractual term As of December 31, 2020 - - - As of December 31, 2021 Granted in the year 726 6,70 Cancelled in the year (58 ) 6,70 Outstanding at year end 668 6,70 2,42 Total to be exercised as of December 31, 2021 668 6,70 2,42 Granted in the year 4,087 5.90 Exercised in the year (104 ) 6.01 Outstanding at year end 4,651 6.01 2.28 Total to be exercised as of December 31, 2022 4,651 6.01 2.28 |
Schedule of spin-off from GPA, certain company executives received compensation in the form of GPA stock options | As of December 31, 2021 Number of shares (in thousands) Granted series Grant date 1st exercise date Strike Grantees Exercised Cancelled Outstanding Current B5 5/31/2018 5/31/2021 0.01 2,970 (2,640 ) (245 ) (85 ) - C5 5/31/2018 5/31/2021 47.19 2,970 (2,410 ) (300 ) (260 ) - B6 (i) 5/31/2019 5/31/2022 0.01 2,310 (645 ) (165 ) - 1,500 C6 (i) 5/31/2019 5/31/2022 53.23 1,795 (610 ) (210 ) - 975 B7 (ii) 1/31/2021 5/31/2023 0.01 3,365 (515 ) (115 ) - 2,735 C7 (ii) 1/31/2021 5/31/2023 38.58 2,485 (520 ) (115 ) - 1,850 15,895 (7,340 ) (1,150 ) (345 ) 7,060 As of December 31, 2022 Number of shares (in thousands) Granted series Grant date 1st exercise date Strike Grantees Exercised Cancelled Outstanding Current B6 (i) 5/31/2019 5/31/2022 0.01 2,310 (2,005 ) (174 ) (131 ) - C6 (i) 5/31/2019 5/31/2022 53.23 1,795 (952 ) (766 ) (77 ) - B7 (ii) 1/31/2021 5/31/2023 0.01 3,365 (1,726 ) (523 ) - 1,116 C7 (ii) 1/31/2021 5/31/2023 38.58 2,485 (806 ) (595 ) - 1,084 9,955 (5,489 ) (2,058 ) (208 ) 2,200 (i) From this total, 407 thousand are related to Company’s executives in 2021. (ii) From this total, 525 thousand are related to Company’s executives in 2022 and 2021. |
Schedule of number of options granted, the weighted average of the exercise price and the weighted average of the remaining term | Shares (in Weighted Weighted Total exercised on December 31, 2019 2,153 30.25 1.50 At December 31, 2020 Canceled in the year (70 ) 42.59 Exercised in the year (489 ) 23.93 Expired in the year (126 ) 42.44 Outstanding at year end 1,468 30.71 Total exercised on December 31, 2020 1,468 30.71 0.88 Total exercised on December 31, 2020 considering split effect 7,340 6.14 0.88 At December 31, 2021 Granted in the year 6,125 16.86 - Canceled in the year (270 ) 22.36 - Exercised in the year (5,785 ) 22.76 - Expired in the year (350 ) 35.30 - Outstanding at year end 7,060 17.45 1.06 Total to be exercised at December 31, 2021 (*) 7,060 17.45 1.06 At December 31, 2022 Canceled in the year (1,455 ) 33.14 Exercised in the year (3,199 ) 9.14 Expired in the year (206 ) 19.29 Outstanding at year end 2,200 18.97 0.41 Total to be exercised at December 31, 2022 (*) 2,200 18.97 0.41 (*) Out of total outstanding shares, 525 thousand refers to Company’s executives (931 shares in 2021) |
Net Operating Revenue (Tables)
Net Operating Revenue (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Net operating revenue [Abstract] | |
Schedule of revenues earned are stated on a net basis | For the year ended December 31, 2022 2021 2020 Gross operating revenue Goods 59,510 45,550 39,436 Services rendered and others 174 111 100 59,684 45,661 39,536 (-) Revenue deductions Returns and sales cancellation (109 ) (76 ) (73 ) Taxes (5,055 ) (3,687 ) (3,420 ) (5,164 ) (3,763 ) (3,493 ) Net operating revenue 54,520 41,898 36,043 |
Expenses by nature (Tables)
Expenses by nature (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Expenses by nature [Abstract] | |
Schedule of general and administrative expenses | For the year ended December 31, 2022 2021 2020 Inventory cost (44,809 ) (34,163 ) (29,641 ) Personnel expenses (3,358 ) (2,512 ) (2,135 ) Outsourced services (264 ) (251 ) (224 ) Selling expenses (875 ) (646 ) (511 ) Functional expenses (883 ) (664 ) (600 ) Other expenses (534 ) (439 ) (264 ) (50,723 ) (38,675 ) (33,375 ) Cost of sales (45,557 ) (34,753 ) (30,129 ) Selling expenses (4,379 ) (3,334 ) (2,811 ) General and administrative expenses (787 ) (588 ) (435 ) (50,723 ) (38,675 ) (33,375 ) |
Other operating expenses, net (
Other operating expenses, net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Other Operating Expenses, Net Table [Abstract] | |
Schedule of other operating expenses, net | For the year ended December 31, 2022 2021 2020 Result with property, plant and equipment (34 ) 12 (42 ) (Provision) reversal for legal proceedings (19 ) 9 (18 ) Restructuring expenses and others (i) (33 ) (74 ) (71 ) Covid-19 spending on prevention - - (134 ) Indemnity assets 14 - 168 Total (72 ) (53 ) (97 ) (i) Refers primarily to expenses with the spin-off and acquisition of Extra Hiper stores with payments of legal fees, property appraisal and due diligence. |
Net financial result (Tables)
Net financial result (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Net financial result [Abstract] | |
Schedule of net financial result | For the year ended December 31, 2022 2021 2020 Financial revenues Cash and cash equivalents interest 152 87 39 Monetary correction (assets) 227 93 299 Other financial revenues 15 8 5 Total financial revenues 394 188 343 Financial expenses Cost of debt (896 ) (543 ) (474 ) Cost and discount of receivables (97 ) (51 ) (31 ) Monetary correction (liabilities) (401 ) (13 ) (11 ) Interest on leasing liabilities (509 ) (292 ) (219 ) Other financial expenses (6 ) (19 ) (51 ) Total financial expenses (1,909 ) (918 ) (786 ) Total (1,515 ) (730 ) (443 ) |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share Table [Abstract] | |
Schedule of basic and diluted earnings per share | For the year ended December 31, 2022 2021 2020 Basic number: Allocated basic earnings and not distributed – Continued operation 1,220 1,610 1,189 Allocated basic earnings and not distributed – Discontinued operation - - 209 Net income allocated available to common shareholders 1,220 1,610 1,398 Basic denominator (millions of shares) Weighted average of the number of shares 1,348 1,344 1,340 Basic earnings per million shares (R$) – Continued operation 0.905322 1.198020 0.887313 Basic earnings per million shares (R$) – Attributable to controlling shareholders 0.905322 1.198020 1.043284 For the year ended December 31, 2022 2021 2020 Diluted number: Allocated basic earnings and not distributed – Continued operation 1,220 1,610 1,189 Allocated basic earnings and not distributed – Discontinued operation - - 209 Net income allocated available to common shareholders 1,220 1,610 1,398 Diluted denominator (millions of shares) Weighted average of the number of shares 1,348 1,344 1,340 Stock option plan 6 11 - Diluted weighted average of shares 1,353 1,355 1,340 Diluted earnings per million shares (R$) – Continued operation 0.901589 1.188520 0.887313 Diluted earnings per million shares (R$) – Attributable to controlling shareholders 0.901589 1.188520 1.043284 |
Assets held for sale (Tables)
Assets held for sale (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of Non Current Assets Held For Sale and Discontinued Operations Text Block [Abstract] | |
Schedule of additions to assets held for sale for cash flow presentation purpose | For the year ended 2022 2021 Sale and leaseback - 147 Extra Hiper stores (i) 95 403 95 550 (i) As of December 31, 2022, corresponds to 1 property owned by GPA, which is sold to the real estate investment fund Barzel Properties, see note 1.5. |
Schedule of additions to assets held for sale for cash flow presentation purpose | 2022 Additions 797 Financing of assets – Additions (797 ) Financing of assets – Payments 250 Total 250 |
Discontinued Operation (Tables)
Discontinued Operation (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure of Discontinued Operations Text Block [Abstract] | |
Schedule of operations | 2020 Statement of operations Discontinued operation Net operating revenue 22,034 Cost of sales (16,526 ) Gross profit 5,508 Expenses, net Selling expenses (2,973 ) General and administrative expenses (848 ) Depreciation and amortization (729 ) Share of profit (loss) of associates 27 Other operating expenses, net (217 ) (4,740 ) Operating profit 768 Net financial result (340 ) Income before income taxes discontinued operation 428 Income tax and social contribution (60 ) Net income discontinued operation 368 Discontinued operation Net income for the year discontinued operation (1 ) Net income for the year 367 2020 Other comprehensive income: Net income for the year 367 Items that may be subsequently reclassified to statement of operations Exchange rate variation of foreign Investments (415 ) Benefit plan (1 ) Cash flow rate (1 ) Other comprehensive results 3 Comprehensive income for the year (47 ) |
Schedule of condensed statement of cash flows | 2020 Net cash flow: Operational activities 1,349 Investment activities (4,075 ) Financing activities (1,012 ) Exchange rate variation on cash and cash equivalents 587 Net cash (used) generated (3,151 ) 2020 Earnings per share: Diluted and Basic, discontinued operation 0.8214 2020 Discontinued operation segment: Net sales 22,034 Gross profit 5,508 Depreciation and amortization (729 ) Share of profit and loss of associate 27 Operating profit 768 Net financial result (340 ) Income before income taxes 428 Income taxes and social contribution (60 ) Profit continued operation 368 Loss (income) discontinued operation (1 ) Net income for the year 367 Current assets 8,014 Non-current assets 18,930 Current liabilities 9,729 Non-current liabilities 3,620 Shareholder´s equity 13,595 |
Corporate Information (Details)
Corporate Information (Details) - BRL (R$) R$ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||
Dec. 26, 2022 | Dec. 23, 2022 | Feb. 25, 2022 | Dec. 29, 2021 | Dec. 31, 2020 | Nov. 19, 2020 | Mar. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 16, 2021 | |
Corporate Information (Details) [Line Items] | ||||||||||
Renegotiated, description | The total amount of the renegotiated debt was R$6,644, representing 85% of the Company’s gross debt on December 31, 2020. In addition, the Company obtained a “waiver” for the compliance of the financial covenants for the period from December 31, 2020 through December 31, 2023 and as a result, the amount of R$71 was recognized in the financial result, which is recorded under cost of debt. | |||||||||
Corporate reorganization, description | The Company engaged in an exchange transaction with GPA (the “Exchange Transaction”) in which certain assets of GPA were transferred to the Company in exchange for an equivalent value of the shares of Éxito held by the Company (corresponding to 9.07% of the total outstanding shares of Éxito). The assets of GPA transferred to the Company consisted of: ●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. – Crédito, Financiamento e Investimento (“FIC”), in the amount of R$769 (see note 11); and ●five parcels of real estate (the “Real Estate Assets”), in the aggregate amount of R$146, which may be developed as sites for new stores in the future. ●Following and contemporaneously with the Exchange Transaction, the Company distributed to GPA the remaining shares of Éxito held by the Company (corresponding to 87.80% of the total outstanding shares of Éxito). ●The Company distributed certain assets to GPA in the net amount of R$20. GPA conducted the following capital contributions: ●GPA transferred to the Company the net assets of stores that may be developed by the Company in the future, with a residual value of R$45; ●GPA contributed intercompany receivables to Company for an amount of R$140; and ●GPA contributed R$500 in cash to the Company. In addition, on December 12, 2020, the Company entered into a Separation Agreement with GPA, which provides a framework for the Company’s relationship with GPA following the Transaction. Pursuant to the Separation Agreement, the Company recognized certain assets and liabilities related to contingencies and their related judicial deposits for which the parties have agreed to be responsible following the Transaction, in a net amount of R$127. | |||||||||
Sales price | R$ 364 | |||||||||
Assets held for sale | 349 | |||||||||
Sale of properties | R$ 209 | |||||||||
Remaining properties | 165 | |||||||||
Commercial amount | 3,130 | 798 | R$ 3973 | |||||||
Installments year percentage | 1.20% | |||||||||
Property, plant and equipment | R$ 1201 | |||||||||
Company paid | 1,000 | |||||||||
Sale amount | R$ 403 | |||||||||
Sale price | R$ 1200 | |||||||||
Installment amount | R$ 956 | |||||||||
Total payment | R$ 850 | 1,850 | 1,000 | |||||||
Remaining balance | 95 | R$ 403 | ||||||||
Maximum [Member] | ||||||||||
Corporate Information (Details) [Line Items] | ||||||||||
Purchase price | R$ 3973 | |||||||||
Minimum [Member] | ||||||||||
Corporate Information (Details) [Line Items] | ||||||||||
Purchase price | R$ 3928 | |||||||||
GPA [Member] | ||||||||||
Corporate Information (Details) [Line Items] | ||||||||||
Commercial amount | R$ 1200 |
Corporate Information (Detail_2
Corporate Information (Details) - Schedule of consolidated financial statements - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Current assets | |||
Cash and cash equivalents | R$ 3687 | ||
Trade receivables | 384 | ||
Other accounts receivables | 220 | ||
Inventories | 2,993 | ||
Recoverable taxes | 570 | ||
Other current assets | 130 | ||
Total other current assets | 7,984 | ||
Assets held for sale | 30 | ||
Total current assets | 8,014 | ||
Non-current assets | |||
Related parties | 82 | ||
Restricted deposits for legal proceedings | 3 | ||
Other non-current assets | 171 | ||
Investments | 480 | ||
Investment properties | 3,639 | ||
Property, plant and equipment | 10,504 | ||
Intangible assets | 4,051 | ||
Total non-current assets | 18,930 | ||
Total assets | 26,944 | ||
Current liabilities | |||
Trade payable | 6,449 | ||
Borrowings and financing | 1,051 | ||
Payroll and related taxes | 375 | ||
Lease liabilities | 377 | ||
Related parties | R$ 201 | R$ 368 | 77 |
Taxes and social contributions payable | 288 | ||
Acquisition of non-controlling interest | 636 | ||
Deferred revenues | 200 | ||
Dividends payable | 40 | ||
Other current liabilities | 236 | ||
Total current liabilities | 9,729 | ||
Non-current liabilities | |||
Borrowings and financing | 520 | ||
Deferred income tax and social contribution | 883 | ||
Provision for legal proceedings | 139 | ||
Lease liabilities | 2,039 | ||
Other non-current liabilities | 39 | ||
Total non-current liabilities | 3,620 | ||
Shareholders´ equity | |||
Total shareholders´ equity | 13,595 | ||
Total Liabilities and Shareholders´ equity | R$ 26944 |
Significant accounting polici_2
Significant accounting policies (Details) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure Of Significant Accounting Policies Text Block Abstract | |||
Interest payment | R$ 783 | R$ 406 | R$ 549 |
Adoption of New Procedures, A_3
Adoption of New Procedures, Amendments to and Interpretations of Existing Standards Issued by the Iasb and Published Standards Effective from 2020 (Details) - Schedule of evaluated the amendments and new interpretations to IFRS as issued by IASB | 12 Months Ended |
Dec. 31, 2022 | |
Changes to IAS 16: Property - Resources Before Intended Use [Member] | |
Adoption of New Procedures, Amendments to and Interpretations of Existing Standards Issued by the Iasb and Published Standards Effective from 2020 (Details) - Schedule of evaluated the amendments and new interpretations to IFRS as issued by IASB [Line Items] | |
Description | The amendments to Pronouncement IAS 16 prohibit deducting from the cost of an item of property, plant and equipment any proceeds from the sale of items produced before the asset is available for use, i.e., funds to bring the asset to the location and condition necessary for it to be capable of operating. in the manner intended by the Management. Consequently, the entity recognizes these proceeds from the sale and related costs in the statement of operations. |
Effective date | 01/01/2022 |
Improvements to IFRS 9: Financial Instruments [Member] | |
Adoption of New Procedures, Amendments to and Interpretations of Existing Standards Issued by the Iasb and Published Standards Effective from 2020 (Details) - Schedule of evaluated the amendments and new interpretations to IFRS as issued by IASB [Line Items] | |
Description | The amendments clarify the rates that an entity includes when assessing whether the terms of a new or modified financial liability are materially different from the terms of the original financial liability. These fees include only fees paid or received between the borrower and the lender, including fees paid or received by the borrower or the lender on behalf of the other. |
Effective date | 01/01/2022 |
Improvements to IFRS16: Leasing [Member] | |
Adoption of New Procedures, Amendments to and Interpretations of Existing Standards Issued by the Iasb and Published Standards Effective from 2020 (Details) - Schedule of evaluated the amendments and new interpretations to IFRS as issued by IASB [Line Items] | |
Description | The amendments exclude the concept of reimbursement for improvements in third-party properties. |
Effective date | 01/01/2022 |
Adoption of New Procedures, A_4
Adoption of New Procedures, Amendments to and Interpretations of Existing Standards Issued by the Iasb and Published Standards Effective from 2020 (Details) - Schedule of evaluated all new and revised IFRSs | 12 Months Ended |
Dec. 31, 2022 | |
Amendments to IAS1 [Member] | |
Adoption of New Procedures, Amendments to and Interpretations of Existing Standards Issued by the Iasb and Published Standards Effective from 2020 (Details) - Schedule of evaluated all new and revised IFRSs [Line Items] | |
Accounting pronouncement description | 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; and 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 are to help entities disclose accounting policies that are more useful by replacing the requirement for disclosure of significant accounting policies for material accounting policies. |
Effective for annual periods beginning on or after | Jan. 01, 2023 |
Amendments to IAS8 [Member] | |
Adoption of New Procedures, Amendments to and Interpretations of Existing Standards Issued by the Iasb and Published Standards Effective from 2020 (Details) - Schedule of evaluated all new and revised IFRSs [Line Items] | |
Accounting pronouncement description | Introduce the definition of ‘accounting estimate’. The amendments clarify the distinction between changes in accounting estimates and changes in accounting policies and correction of errors. In addition, they clarify how entities use measurement and input techniques to develop accounting estimates. |
Effective for annual periods beginning on or after | Jan. 01, 2023 |
Cash and cash equivalents (Deta
Cash and cash equivalents (Details) R$ in Millions | 11 Months Ended | 12 Months Ended | |
Dec. 31, 2020 USD ($) | Dec. 31, 2022 BRL (R$) | Dec. 31, 2021 BRL (R$) | |
Disclosure Of Cash And Cash Equivalents Text Block Abstract | |||
Funds held | $ 29 | R$ 24 | R$ 25 |
Weighted average interest rate | 96.96% | 92.80% | 109.64% |
Cash and cash equivalents (De_2
Cash and cash equivalents (Details) - Schedule of cash and cash equivalents - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Schedule Of Cash And Cash Equivalents Abstract | |||||
Cash and bank accounts – Brazil | R$ 213 | R$ 74 | R$ 64 | ||
Cash and bank accounts – Abroad | 24 | [1] | 25 | [1] | 29 |
Financial investments – Brazil | 5,605 | [2] | 2,451 | [2] | 3,439 |
Total cash and cash equivalents | R$ 5842 | R$ 2550 | R$ 3532 | ||
[1]As of December 31, 2022, the Company had funds held abroad, being R$24 in US Dollars (R$25 in US dollars as of December 31, 2021 and R$29 in US dollars as of December 31, 2020).[2]As of December 31, 2022, the financial investments correspond to repurchase and resale agreements, with a weighted average interest rate of 92.80% of CDI – Interbank Deposit Certificate (109.64% of CDI as of December 31, 2021 and 96.96% of CDI as of December 31, 2020). |
Trade Receivables (Details)
Trade Receivables (Details) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Trade Receivables [Abstract] | ||
Tickets and meal vouchers | R$ 134 | R$ 56 |
Payment slips | R$ 115 | R$ 62 |
Trade Receivables (Details) - S
Trade Receivables (Details) - Schedule of trade receivables - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Trade Receivables (Details) - Schedule of trade receivables [Line Items] | ||
Trade receivables | R$ 570 | R$ 265 |
Credit card companies [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables [Line Items] | ||
Trade receivables | 241 | 75 |
Credit card companies with related parties [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables [Line Items] | ||
Trade receivables | 49 | 24 |
Sales ticket and payment slips [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables [Line Items] | ||
Trade receivables | 249 | 118 |
Trade receivables with related parties [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables [Line Items] | ||
Trade receivables | 24 | 31 |
Trade receivables with suppliers/payment slips [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables [Line Items] | ||
Trade receivables | 18 | 23 |
Total Trade Receivables [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables [Line Items] | ||
Trade receivables | 581 | 271 |
Provision For Expected Credit Losses [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables [Line Items] | ||
Trade receivables | R$ 11 | R$ 6 |
Trade Receivables (Details) -_2
Trade Receivables (Details) - Schedule of trade receivables by their gross amount by maturity period - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Trade Receivables (Details) - Schedule of trade receivables by their gross amount by maturity period [Line Items] | ||
Trade receivables | R$ 581 | R$ 271 |
Due [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables by their gross amount by maturity period [Line Items] | ||
Trade receivables | 576 | 269 |
Overdue Less than 30 days [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables by their gross amount by maturity period [Line Items] | ||
Trade receivables | 4 | 1 |
Overdue Less than 60 days [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables by their gross amount by maturity period [Line Items] | ||
Trade receivables | ||
Overdue Less than 90 days [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables by their gross amount by maturity period [Line Items] | ||
Trade receivables | ||
> 90 days [Member] | ||
Trade Receivables (Details) - Schedule of trade receivables by their gross amount by maturity period [Line Items] | ||
Trade receivables | R$ 1 | R$ 1 |
Trade Receivables (Details) -_3
Trade Receivables (Details) - Schedule of provision for expected losses in the balance sheet - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Schedule Of Provision For Expected Losses In The Balance Sheet Abstract | |||
At the beginning of the year | R$ 6 | R$ 4 | R$ 32 |
Additions | (36) | (15) | (56) |
Reversals | 31 | 13 | 5 |
Write off trade receivables | 42 | ||
Discontinued operations | 43 | ||
Foreign currency translation adjustment | (6) | ||
At the end of the year | R$ 11 | R$ 6 | R$ 4 |
Inventories (Details)
Inventories (Details) - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Inventories [Abstract] | ||
Inventory amount | R$ 518 | R$ 416 |
Inventories (Details) - Schedul
Inventories (Details) - Schedule of inventories - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Inventories (Details) - Schedule of inventories [Line Items] | ||
Inventories, net | R$ 68 | R$ 37 |
Total | 6,467 | 4,380 |
Stores [Member] | ||
Inventories (Details) - Schedule of inventories [Line Items] | ||
Inventories, net | 5,914 | 3,955 |
Distribution centers [Member] | ||
Inventories (Details) - Schedule of inventories [Line Items] | ||
Inventories, net | 1,139 | 878 |
Commercial agreements [Member] | ||
Inventories (Details) - Schedule of inventories [Line Items] | ||
Inventories, net | R$ 518 | R$ 416 |
Inventories (Details) - Sched_2
Inventories (Details) - Schedule of allowance for losses and damages - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Schedule of allowance for losses and damages [Abstract] | |||
At the beginning of the year | R$ 37 | R$ 51 | R$ 61 |
Additions | (435) | (315) | (16) |
Reversals | 17 | 13 | 3 |
Discontinued operations | 28 | ||
Foreign currency translation adjustment | (5) | ||
Write-offs | 387 | 316 | |
At the end of the year | R$ 68 | R$ 37 | R$ 51 |
Recoverable taxes (Details)
Recoverable taxes (Details) R$ in Millions | Dec. 31, 2022 BRL (R$) |
Recoverable taxes (Details) [Line Items] | |
Credits recorded in the amount | R$ 109 |
Net revenue | 175 |
Monetary amount | 41 |
STF [Member] | |
Recoverable taxes (Details) [Line Items] | |
Net revenue | R$ 216 |
Recoverable taxes (Details) - S
Recoverable taxes (Details) - Schedule of tax credits - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Recoverable taxes (Details) - Schedule of tax credits [Line Items] | ||
Recoverable taxes | R$ 1982 | R$ 1646 |
Recoverable taxes, Current | 1,055 | 876 |
Recoverable taxes, Non-current | 927 | 770 |
State tax credits – ICMS [Member] | ||
Recoverable taxes (Details) - Schedule of tax credits [Line Items] | ||
Recoverable taxes | 1,210 | 1,153 |
Social Integration Program and Contribution for Social Security Financing - PIS/COFINS [Member] | ||
Recoverable taxes (Details) - Schedule of tax credits [Line Items] | ||
Recoverable taxes | 587 | 370 |
Social Security Contribution - INSS [Member] | ||
Recoverable taxes (Details) - Schedule of tax credits [Line Items] | ||
Recoverable taxes | 90 | 54 |
Income tax and social contribution [Member] | ||
Recoverable taxes (Details) - Schedule of tax credits [Line Items] | ||
Recoverable taxes | 74 | 61 |
Others [Member] | ||
Recoverable taxes (Details) - Schedule of tax credits [Line Items] | ||
Recoverable taxes | R$ 21 | R$ 8 |
Recoverable taxes (Details) -_2
Recoverable taxes (Details) - Schedule of over adherence to the annually established plan R$ in Millions | Dec. 31, 2022 BRL (R$) |
Recoverable taxes (Details) - Schedule of over adherence to the annually established plan [Line Items] | |
Realization of the recoverable ICMS balance | R$ 1210 |
Realization of the recoverable PIS and COFINS balance | 587 |
In 1 year [Member] | |
Recoverable taxes (Details) - Schedule of over adherence to the annually established plan [Line Items] | |
Realization of the recoverable ICMS balance | 543 |
Realization of the recoverable PIS and COFINS balance | 366 |
From 1 to 2 years [Member] | |
Recoverable taxes (Details) - Schedule of over adherence to the annually established plan [Line Items] | |
Realization of the recoverable ICMS balance | 298 |
Realization of the recoverable PIS and COFINS balance | 221 |
From 2 to 3 years [Member] | |
Recoverable taxes (Details) - Schedule of over adherence to the annually established plan [Line Items] | |
Realization of the recoverable PIS and COFINS balance | 93 |
From 3 to 4 years [Member] | |
Recoverable taxes (Details) - Schedule of over adherence to the annually established plan [Line Items] | |
Realization of the recoverable ICMS balance | 77 |
From 4 to 5 years [Member] | |
Recoverable taxes (Details) - Schedule of over adherence to the annually established plan [Line Items] | |
Realization of the recoverable ICMS balance | 61 |
More than 5 years [Member] | |
Recoverable taxes (Details) - Schedule of over adherence to the annually established plan [Line Items] | |
Realization of the recoverable ICMS balance | R$ 138 |
Related Parties (Details)
Related Parties (Details) - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 14, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Related Parties [Abstract] | |||
Related to balance receivable from the sale of assets | R$ 82 | R$ 150 | |
Other liabilities amount | R$ 187 | R$ 201 |
Related Parties (Details) - Sch
Related Parties (Details) - Schedule of balances and related party transactions - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Joint venture | ||
Assets balance clients current | R$ 73 | R$ 55 |
Assets balance other assets current | ||
Liabilities balance suppliers current | 33 | 22 |
Liabilities balance other liabilities current | 201 | 368 |
Assets balance clients non-current | ||
Assets balance other assets non-current | 252 | 114 |
Liabilities balance suppliers non-current | ||
Liabilities balance other liabilities non-current | 60 | |
Wilkes Participações S.A. [Member] | ||
Related Parties (Details) - Schedule of balances and related party transactions [Line Items] | ||
Assets balance Clients | ||
Assets balance other assets | ||
Liabilities balance suppliers | ||
Liabilities balance other liabilities | 2 | 2 |
Euris [Member] | ||
Related Parties (Details) - Schedule of balances and related party transactions [Line Items] | ||
Assets balance Clients | ||
Assets balance other assets | ||
Liabilities balance suppliers | ||
Liabilities balance other liabilities | 1 | 1 |
Casino Guichard Perrachon [Member] | ||
Related Parties (Details) - Schedule of balances and related party transactions [Line Items] | ||
Assets balance Clients | 13 | |
Assets balance other assets | ||
Liabilities balance suppliers | ||
Liabilities balance other liabilities | 21 | |
Controlling Shareholder [Member] | ||
Related Parties (Details) - Schedule of balances and related party transactions [Line Items] | ||
Assets balance Clients | 13 | |
Assets balance other assets | ||
Liabilities balance suppliers | ||
Liabilities balance other liabilities | 24 | 3 |
GPA [Member] | ||
Related Parties (Details) - Schedule of balances and related party transactions [Line Items] | ||
Assets balance Clients | 24 | 18 |
Assets balance other assets | 234 | 100 |
Liabilities balance suppliers | 8 | 8 |
Liabilities balance other liabilities | 237 | 365 |
Financeira Itaú CBD S.A. Crédito, Financiamento e Investimento (“FIC”) [member] | ||
Related Parties (Details) - Schedule of balances and related party transactions [Line Items] | ||
Assets balance Clients | 49 | 24 |
Assets balance other assets | 18 | 14 |
Liabilities balance suppliers | 25 | 14 |
Liabilities balance other liabilities | ||
Joint ventures [member] | ||
Related Parties (Details) - Schedule of balances and related party transactions [Line Items] | ||
Assets balance Clients | 73 | 42 |
Assets balance other assets | 252 | 114 |
Liabilities balance suppliers | 33 | 22 |
Liabilities balance other liabilities | 237 | 365 |
Other related parties [member] | ||
Related Parties (Details) - Schedule of balances and related party transactions [Line Items] | ||
Assets balance Clients | 73 | 55 |
Assets balance other assets | 252 | 114 |
Liabilities balance suppliers | 33 | 22 |
Liabilities balance other liabilities | R$ 261 | R$ 368 |
Related Parties (Details) - S_2
Related Parties (Details) - Schedule of related party transactions - BRL (R$) R$ in Millions | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Controlling shareholder | ||||
Purchases transactions | R$ 1 | |||
Transactions revenue (Expenses) | (389) | (191) | (338) | |
Wilkes Participações S.A. [Member] | ||||
Controlling shareholder | ||||
Purchases transactions | [1] | |||
Transactions revenue (Expenses) | [1] | (8) | (6) | |
Euris [Member] | ||||
Controlling shareholder | ||||
Purchases transactions | [2] | |||
Transactions revenue (Expenses) | [2] | (3) | (1) | |
Casino Guichard Perrachon [Member] | ||||
Controlling shareholder | ||||
Purchases transactions | [3] | |||
Transactions revenue (Expenses) | [3] | (60) | (35) | (19) |
Controlling Shareholder [Member] | ||||
Controlling shareholder | ||||
Purchases transactions | ||||
Transactions revenue (Expenses) | (71) | (42) | (19) | |
GPA [Member] | ||||
Controlling shareholder | ||||
Purchases transactions | [4] | |||
Transactions revenue (Expenses) | [4] | (310) | (137) | (183) |
Compre Bem [Member] | ||||
Controlling shareholder | ||||
Purchases transactions | 1 | |||
Transactions revenue (Expenses) | (1) | 3 | ||
Greenyellow [Member] | ||||
Controlling shareholder | ||||
Purchases transactions | [5] | |||
Transactions revenue (Expenses) | [5] | (33) | (26) | (47) |
PuntosColombia [Member] | ||||
Controlling shareholder | ||||
Purchases transactions | ||||
Transactions revenue (Expenses) | (114) | |||
Tuya [Member] | ||||
Controlling shareholder | ||||
Purchases transactions | ||||
Transactions revenue (Expenses) | 24 | |||
Other related parties [member] | ||||
Controlling shareholder | ||||
Purchases transactions | ||||
Transactions revenue (Expenses) | (2) | |||
Financeira Itaú CBD S.A. Crédito, Financiamento e Investimento (“FIC”) [member] | ||||
Controlling shareholder | ||||
Purchases transactions | [6] | |||
Transactions revenue (Expenses) | [6] | 25 | 15 | |
Joint ventures [member] | ||||
Controlling shareholder | ||||
Purchases transactions | 1 | |||
Transactions revenue (Expenses) | R$ 318 | R$ 149 | R$ 319 | |
[1]Wilkes Participações S.A.: reimbursement of personnel expenses, equipment rental and maintenance.[2]Euris: reimbursement of expenses according to cost sharing contracts (expenses with personnel, expatriates, maintenance, marketing and rent).[3]Casino, Guichard-Perrachon: (i) Agency agreement entered into between GPA, the Company, and Groupe Casino Limited on July 25, 2016, as amended, to regulate the rendering of global sourcing services (global suppliers prospecting and purchasing intermediation) by Casino and reimbursed by Groupe Casino Limited to the Company to recover the reduced gain margins due to Company’s promotions at its stores; (ii) Agency agreement: entered into between GPA, the Company, and Casino International S.A. on December 20, 2004, as amended, for the Company’s representation in the business negotiation of products to be acquired by the Company with international suppliers. (iii) Cost sharing: entered into between Casino, Guichard-Perrachon, Euris, Helicco, Wilkes, GPA, Casino Service and the Company, on August 1, 2014, as amended, to reimburse costs incurred by Casino Group companies in activities of its personnel involving the transfer of know-how; and (iv) Cyber risk agreement: entered into on February 1, 2022 to provide insurance services against cyber risks.[4]GPA: (i) Separation agreement: entered into between the Company and GPA on December 14, 2020, in which the companies undertake to indemnify each other for events that may arise as a result of the corporate reorganization (see note 1.3); (ii) Agreement for onerous assignment of exploration rights of commercial points and other agreements: entered into between the Company and GPA on December 16, 2021 for the acquisition of commercial rights; (iii) Non-residential lease agreements: entered into as of January 31, 2022, due to the acquisition of the Extra Hiper stores; (iv) Purchase and sale of real estate: entered into between GPA, Barzel Retail Fundo de Investimento Imobiliário, on February 23, 2022, for the sale of up to 17 properties owned and owned by GPA to the real estate fund, with the intervention of the Company; and (v) Advertising agreement: entered into between GPA, Editora Globo and the Company, on February 14, 2022, to provide for the provision of advertising services by Editora Globo through the provision of Multicash Cards for the acquisition of various goods in the establishments of the Advertisers (Company and GPA).As of December 31, 2022, the amount recorded in other assets is substantially composed by R$150 referring to the balance receivable from the sale of 16 Extra Hiper stores and R$82 referring to the indemnification process signed in the separation agreement between the companies that occurred on December 14, 2020. The amount recorded in other liabilities is substantially composed by R$187 referring to the indemnification process and refunds signed in the separation agreement between the parties.[5]Greenyellow: agreement with the Company to set the rules for the lease and maintenance of photovoltaic system equipment by Greenyellow at ASSAÍ stores; and contracts with the Company for the purchase of energy sold on the free market.[6]FIC: execution of business agreements to regulate the rules that promote and sell financial services offered by FIC at the Company’s stores to implement a financial partnership between the Company and Itaú Unibanco Holding S.A. (“Itaú”) in the partnership agreement, namely: (i) banking correspondent services in Brazil; (ii) indemnification agreement in which FIC undertook to hold the Company harmless from losses incurred due to services; FIC and the Company mutually undertook to indemnify each other due to legal proceeding under their responsibility; and (iii) agreement concerning the Company’s provision of information and access to systems to FIC, and vice-versa, in order to offer services. |
Related Parties (Details) - S_3
Related Parties (Details) - Schedule of statement of profit or loss - BRL (R$) R$ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Related Parties (Details) - Schedule of statement of profit or loss [Line Items] | |||
Base salary | R$ 88796 | R$ 46105 | R$ 12963 |
Variable compensation | 26,310 | 14,485 | 7,027 |
Stock option plan | 26,888 | 14,743 | 4,877 |
Total | 141,995 | 75,333 | 24,867 |
Board of director [member] | |||
Related Parties (Details) - Schedule of statement of profit or loss [Line Items] | |||
Base salary | 31,971 | 25,533 | |
Variable compensation | |||
Stock option plan | 7,103 | 7,111 | |
Total | 39,074 | 32,644 | |
Director and Executive officers [member] | |||
Related Parties (Details) - Schedule of statement of profit or loss [Line Items] | |||
Base salary | 56,241 | 20,241 | 12,963 |
Variable compensation | 26,310 | 14,485 | 7,027 |
Stock option plan | 19,785 | 7,632 | 4,877 |
Total | 102,337 | 42,358 | 24,867 |
Fiscal council [member] | |||
Related Parties (Details) - Schedule of statement of profit or loss [Line Items] | |||
Base salary | 584 | 331 | |
Variable compensation | |||
Stock option plan | |||
Total | R$ 584 | R$ 331 |
Investment in Joint Venture (De
Investment in Joint Venture (Details) R$ in Millions | 12 Months Ended |
Dec. 31, 2022 BRL (R$) | |
Investment in Joint Venture (Details) [Line Items] | |
Percentage of interest received | 50% |
Percentage of capital stock | 20% |
Percentage of shares | 1.61% |
FIC [Member] | |
Investment in Joint Venture (Details) [Line Items] | |
Percentage of capital stock | 35.76% |
Percentage of indirect interest | 17.88% |
Operating term | 10 years |
Percentage of shares | 50% |
Fair value (in Brazil Real) | R$ 769 |
Investment in Joint Venture (_2
Investment in Joint Venture (Details) - Schedule of company’s joint venture - Financeira Itaú CBD S.A. [Member] | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Investment in Joint Venture (Details) - Schedule of company’s joint venture [Line Items] | ||
Company | Bellamar Empreendimento e Participação S.A. | |
Country | Brazil | |
Participation in investments - % | 50% | 50% |
Investment in Joint Venture (_3
Investment in Joint Venture (Details) - Schedule of financial information of joint venture - FIC [Member] - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Investment in Joint Venture (Details) - Schedule of financial information of joint venture [Line Items] | ||
Current assets | R$ 1 | R$ 33 |
Non-current assets | 519 | 433 |
Current liabilities | 33 | |
Shareholders equity | 520 | 433 |
Net income for the year | R$ 86 | R$ 95 |
Investment in Joint Venture (_4
Investment in Joint Venture (Details) - Schedule of breakdown - BRL (R$) R$ in Millions | 11 Months Ended | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 30, 2020 | |
Schedule Of Breakdown Abstract | |||||
As of beginning balance | R$ 789 | R$ 769 | R$ 320 | ||
Share of profit of associates | 44 | 47 | |||
Dividends received | (11) | ||||
Dividends receivable | (16) | ||||
Equity accounting | 27 | ||||
Capital Increase | 51 | R$ 9 | |||
Equity on other comprehensive income | 82 | ||||
Discontinued operations (note 1.3) | R$ 4051 | (480) | R$ 2416 | ||
Corporate restructuring (note 1.3) | 769 | ||||
As of ending balance | R$ 769 | R$ 833 | R$ 789 | R$ 769 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) R$ in Millions | 12 Months Ended | ||||
Dec. 31, 2022 BRL (R$) | Dec. 31, 2021 BRL (R$) | Dec. 31, 2020 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Disclosure Of Property Plant And Equipmenttext Block Abstract | |||||
Transactions retail companies | 35% | ||||
Sales Growth Average | 4.40% | 6.60% | |||
Discount rate | 12.20% | 10.40% | |||
Capitalized borrowing costs | $ 223 | $ 774 | $ 38 | ||
Asset held for sale | 380 | $ 17 | 349 | ||
Leases amount | R$ 774 | $ 38 | |||
Borrowing costs eligible for capitalization rate | 112.16% | 117.70% | |||
Cost of goods and services sold | R$ 71 | R$ 49 | $ 34 |
Property, Plant and Equipment_3
Property, Plant and Equipment (Details) - Schedule of property and equipment | 12 Months Ended |
Dec. 31, 2022 | |
Buildings [Member] | |
Property, Plant and Equipment (Details) - Schedule of property and equipment [Line Items] | |
Average annual depreciation rate in % | 2.78% |
Leasehold improvements [Member] | |
Property, Plant and Equipment (Details) - Schedule of property and equipment [Line Items] | |
Average annual depreciation rate in % | 6.42% |
Machinery and equipments [Member] | |
Property, Plant and Equipment (Details) - Schedule of property and equipment [Line Items] | |
Average annual depreciation rate in % | 14.29% |
Facilities [Member] | |
Property, Plant and Equipment (Details) - Schedule of property and equipment [Line Items] | |
Average annual depreciation rate in % | 6.64% |
Furniture and appliances [Member] | |
Property, Plant and Equipment (Details) - Schedule of property and equipment [Line Items] | |
Average annual depreciation rate in % | 10.72% |
Others [Member] | |
Property, Plant and Equipment (Details) - Schedule of property and equipment [Line Items] | |
Average annual depreciation rate in % | 20% |
Property, Plant and Equipment_4
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward - BRL (R$) R$ in Millions | 12 Months Ended | |||||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 30, 2020 | |||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | R$ 10320 | R$ 7476 | R$ 14652 | |||||
Additions | 9,277 | [1] | 3,334 | [2] | 2,788 | |||
Lease modification | 695 | 628 | 621 | |||||
Write-off | (129) | (103) | (833) | |||||
Depreciation | (963) | (666) | (1,262) | |||||
Transfer and others | (17) | [3] | (349) | [4] | (91) | [5] | ||
Conversion adjustment to reporting currency | 1,970 | R$ 433 | ||||||
Corporate restructuring | 135 | R$ 4 | ||||||
Discontinued operation | (10,504) | |||||||
Property and equipment, ending | 19,183 | 10,320 | 7,476 | |||||
Land [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 570 | 481 | 2,766 | |||||
Additions | 48 | [1] | 207 | [2] | 61 | |||
Write-off | (18) | (2) | (32) | |||||
Transfer and others | (116) | [4] | (70) | [5] | ||||
Conversion adjustment to reporting currency | 541 | |||||||
Corporate restructuring | 146 | |||||||
Discontinued operation | (2,931) | |||||||
Property and equipment, ending | 600 | 570 | 481 | |||||
Buildings [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 656 | 609 | 3,829 | |||||
Additions | 117 | [1] | 258 | [2] | 78 | |||
Write-off | (4) | (85) | ||||||
Depreciation | (17) | (15) | (121) | |||||
Transfer and others | (26) | [3] | (192) | [4] | (139) | [5] | ||
Conversion adjustment to reporting currency | 704 | |||||||
Discontinued operation | (3,657) | |||||||
Property and equipment, ending | 730 | 656 | 609 | |||||
Improvements [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 3,596 | 2,598 | 2,207 | |||||
Additions | 3,451 | [1] | 1,161 | [2] | 694 | |||
Write-off | (27) | (1) | (71) | |||||
Depreciation | (284) | (182) | (189) | |||||
Transfer and others | 129 | [3] | 20 | [4] | 293 | [5] | ||
Conversion adjustment to reporting currency | 70 | |||||||
Corporate restructuring | (4) | |||||||
Discontinued operation | (402) | |||||||
Property and equipment, ending | 6,865 | 3,596 | 2,598 | |||||
Machinery and equipment [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 828 | 635 | ||||||
Additions | 708 | [1] | 307 | [2] | ||||
Write-off | (4) | (1) | ||||||
Depreciation | (184) | (128) | ||||||
Transfer and others | 92 | [3] | 15 | [4] | ||||
Property and equipment, ending | 1,440 | 828 | 635 | |||||
Facilities [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 362 | 269 | 330 | |||||
Additions | 258 | [1] | 118 | [2] | 58 | |||
Write-off | (7) | (1) | (6) | |||||
Depreciation | (35) | (25) | (32) | |||||
Transfer and others | 7 | [3] | 1 | [4] | (16) | [5] | ||
Conversion adjustment to reporting currency | 8 | |||||||
Discontinued operation | (73) | |||||||
Property and equipment, ending | 585 | 362 | 269 | |||||
Furnitures and appliances [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 416 | 340 | 601 | |||||
Additions | 279 | [1] | 110 | [2] | 78 | |||
Write-off | (2) | (2) | (15) | |||||
Depreciation | (70) | (53) | (128) | |||||
Transfer and others | 132 | [3] | 21 | [4] | 58 | [5] | ||
Conversion adjustment to reporting currency | 66 | |||||||
Discontinued operation | (320) | |||||||
Property and equipment, ending | 755 | 416 | 340 | |||||
Constructions in progress [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 235 | 78 | 140 | |||||
Additions | 582 | [1] | 266 | [2] | 344 | |||
Write-off | (1) | (7) | ||||||
Transfer and others | (273) | [3] | (109) | [4] | (318) | [5] | ||
Conversion adjustment to reporting currency | 18 | |||||||
Discontinued operation | (99) | |||||||
Property and equipment, ending | 543 | 235 | 78 | |||||
Others [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 37 | 37 | 42 | |||||
Additions | 24 | [1] | 6 | [2] | 8 | |||
Depreciation | (16) | (14) | (16) | |||||
Transfer and others | 19 | [3] | 8 | [4] | 12 | [5] | ||
Corporate restructuring | (2) | |||||||
Discontinued operation | (7) | |||||||
Property and equipment, ending | 64 | 37 | 37 | |||||
Property, plant and equipment not subject to operating leases [member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 6,700 | 5,047 | 11,157 | |||||
Additions | 5,467 | [1] | 2,433 | [2] | 1,548 | |||
Write-off | (59) | (11) | (244) | |||||
Depreciation | (606) | (417) | (746) | |||||
Transfer and others | 80 | [3] | (352) | [4] | (96) | [5] | ||
Conversion adjustment to reporting currency | 1,558 | |||||||
Corporate restructuring | 139 | |||||||
Discontinued operation | (8,269) | |||||||
Property and equipment, ending | 11,582 | 6,700 | 5,047 | |||||
Equipment [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 828 | 635 | 1,242 | |||||
Additions | 227 | |||||||
Write-off | (28) | |||||||
Depreciation | (260) | |||||||
Transfer and others | [5] | 84 | ||||||
Conversion adjustment to reporting currency | 151 | |||||||
Corporate restructuring | (1) | |||||||
Discontinued operation | (780) | |||||||
Property and equipment, ending | 1,440 | 828 | 635 | |||||
Lease [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 2,429 | 3,495 | ||||||
Additions | 1,240 | |||||||
Lease modification | 621 | |||||||
Write-off | (589) | |||||||
Depreciation | (516) | |||||||
Transfer and others | [5] | 5 | ||||||
Conversion adjustment to reporting currency | 412 | |||||||
Corporate restructuring | (4) | |||||||
Discontinued operation | (2,235) | |||||||
Property and equipment, ending | 2,429 | |||||||
Lease [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 3,620 | 2,429 | ||||||
Additions | 3,810 | [1] | 901 | [2] | ||||
Lease modification | 695 | 628 | ||||||
Write-off | (70) | (92) | ||||||
Depreciation | (357) | (249) | ||||||
Transfer and others | (97) | [3] | 3 | [4] | ||||
Property and equipment, ending | 7,601 | 3,620 | 2,429 | |||||
Lease [Member] | Land [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 3 | |||||||
Discontinued operation | (3) | |||||||
Lease [Member] | Buildings [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 3,604 | 2,423 | 3,449 | |||||
Additions | 3,810 | [1] | 885 | [2] | 1,217 | |||
Lease modification | 695 | 628 | 628 | |||||
Write-off | (70) | (92) | (588) | |||||
Depreciation | (351) | (244) | (501) | |||||
Transfer and others | (95) | [3] | 4 | [4] | 2 | [5] | ||
Conversion adjustment to reporting currency | 403 | |||||||
Corporate restructuring | (4) | |||||||
Discontinued operation | (2,183) | |||||||
Property and equipment, ending | 7,593 | 3,604 | 2,423 | |||||
Lease [Member] | Equipment [Member] | ||||||||
Property, Plant and Equipment (Details) - Schedule of property and equipment rollforward [Line Items] | ||||||||
Property and equipment, beginning | 16 | 6 | 43 | |||||
Additions | 16 | [2] | 23 | |||||
Lease modification | (7) | |||||||
Write-off | (1) | |||||||
Depreciation | (6) | (5) | (15) | |||||
Transfer and others | (2) | [3] | (1) | [4] | 3 | [5] | ||
Conversion adjustment to reporting currency | 9 | |||||||
Discontinued operation | (49) | |||||||
Property and equipment, ending | R$ 8 | R$ 16 | R$ 6 | |||||
[1]In 2022, presents the capitalized borrowing costs, in amount of R$774, see note 12.5.[2]In 2021, presents the capitalized borrowing costs, in amount of R$38, see note 12.5.[3]In 2022, presents the transfer between fixed assets to “assets held for sale”, in amount of R$17 (see note 1.4).[4]In 2021, presents the transfer between fixed assets to “assets held for sale”, in amount of R$349 (see note 1.4).[5]In 2020, presents: (a) the capital contribution through GPA’s real state in the amount of R$223; and (b) the transfer of fixed assets to “assets held for sale” in amount of R$380. |
Property, Plant and Equipment_5
Property, Plant and Equipment (Details) - Schedule of property plant breakdown - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | R$ 23005 | R$ 13181 | ||
Accumulated depreciation | (3,822) | (2,861) | ||
Net amount | 19,183 | 10,320 | R$ 7476 | R$ 14652 |
Land [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 600 | 570 | ||
Accumulated depreciation | ||||
Net amount | 600 | 570 | 481 | 2,766 |
Buildings [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 859 | 767 | ||
Accumulated depreciation | (129) | (111) | ||
Net amount | 730 | 656 | 609 | 3,829 |
Improvements [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 7,933 | 4,387 | ||
Accumulated depreciation | (1,068) | (791) | ||
Net amount | 6,865 | 3,596 | 2,598 | 2,207 |
Equipment [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 2,160 | 1,373 | ||
Accumulated depreciation | (720) | (545) | ||
Net amount | 1,440 | 828 | 635 | 1,242 |
Facilities [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 729 | 472 | ||
Accumulated depreciation | (144) | (110) | ||
Net amount | 585 | 362 | 269 | 330 |
Furniture and appliances [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 1,043 | 635 | ||
Accumulated depreciation | (288) | (219) | ||
Net amount | 755 | 416 | 340 | 601 |
Construction in progress [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 543 | 235 | ||
Accumulated depreciation | ||||
Net amount | 543 | 235 | 78 | 140 |
Others [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 157 | 115 | ||
Accumulated depreciation | (93) | (78) | ||
Net amount | 64 | 37 | ||
Property, plant and equipment not subject to operating leases [member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 14,024 | 8,554 | ||
Accumulated depreciation | (2,442) | (1,854) | ||
Net amount | 11,582 | 6,700 | 5,047 | 11,157 |
Finance Lease [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 8,981 | 4,627 | ||
Accumulated depreciation | (1,380) | (1,007) | ||
Net amount | 7,601 | 3,620 | 2,429 | |
Finance Lease [Member] | Land [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Net amount | 3 | |||
Finance Lease [Member] | Buildings [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 8,924 | 4,566 | ||
Accumulated depreciation | (1,331) | (962) | ||
Net amount | 7,593 | 3,604 | 2,423 | 3,449 |
Finance Lease [Member] | Equipment [Member] | ||||
Property, Plant and Equipment (Details) - Schedule of property plant breakdown [Line Items] | ||||
Historical cost | 57 | 61 | ||
Accumulated depreciation | (49) | (45) | ||
Net amount | R$ 8 | R$ 16 | R$ 6 | R$ 43 |
Property, Plant and Equipment_6
Property, Plant and Equipment (Details) - Schedule of additions to property and equipment for cash flow presentation - BRL (R$) R$ in Millions | 12 Months Ended | ||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |||
Schedule Of Additions To Property And Equipment For Cash Flow Presentation Abstract | |||||
Additions | R$ 9277 | [1] | R$ 3334 | [2] | R$ 2788 |
Leases | (3,810) | (901) | (1,241) | ||
Capitalized borrowing costs | (774) | (38) | (12) | ||
Financing of property, plant and equipment – Additions | (5,080) | (2,284) | (1,437) | ||
Financing of property, plant and equipment – Payments | 3,911 | 2,120 | 1,464 | ||
Total | R$ 3524 | R$ 2231 | R$ 1562 | ||
[1]In 2022, presents the capitalized borrowing costs, in amount of R$774, see note 12.5.[2]In 2021, presents the capitalized borrowing costs, in amount of R$38, see note 12.5. |
Intangible Assets (Details)
Intangible Assets (Details) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Intangible Assets (Details) [Line Items] | ||
Weighted average rate | 14.04% | |
Transaction for an amount (in Brazil Real) | R$ 3130 | R$ 798 |
Discount rate applied to cash flow projections | 12.20% | 10.40% |
Growth rate applied to cash flow projections | 4.40% | 6.60% |
Bottom of range [member] | ||
Intangible Assets (Details) [Line Items] | ||
Amortized over defined useful life | 5 years | |
Top of range [member] | ||
Intangible Assets (Details) [Line Items] | ||
Amortized over defined useful life | 10 years |
Intangible Assets (Details) - S
Intangible Assets (Details) - Schedule of intangible assets - BRL (R$) R$ in Millions | 11 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 30, 2020 | ||||
Intangible Assets (Details) - Schedule of intangible assets [Line Items] | ||||||||
Intangible assets, beginning balance | R$ 4288 | |||||||
Additions | 78 | |||||||
Amortization | (48) | |||||||
Intangible assets, ending balance | 1,037 | |||||||
Write-off | (1) | |||||||
Transfers | 1 | |||||||
Discontinued operation | (4,051) | R$ 480 | R$ 2416 | |||||
Conversion adjustment to reporting currency | 770 | |||||||
Assets And Rights [Member] | ||||||||
Intangible Assets (Details) - Schedule of intangible assets [Line Items] | ||||||||
Intangible assets, beginning balance | R$ 19 | |||||||
Additions | R$ 18 | |||||||
Lease modification | 1 | |||||||
Amortization | (2) | |||||||
Intangible assets, ending balance | 18 | 19 | ||||||
Write-off | ||||||||
Transfers | 1 | |||||||
Subtotal [Member] | ||||||||
Intangible Assets (Details) - Schedule of intangible assets [Line Items] | ||||||||
Intangible assets, beginning balance | 19 | |||||||
Additions | 18 | |||||||
Lease modification | 1 | |||||||
Amortization | (2) | |||||||
Intangible assets, ending balance | 18 | 19 | ||||||
Write-off | ||||||||
Transfers | 1 | |||||||
Lease - right of use [Member] | ||||||||
Intangible Assets (Details) - Schedule of intangible assets [Line Items] | ||||||||
Intangible assets, beginning balance | 1,887 | 1,037 | ||||||
Additions | 3,157 | 872 | ||||||
Lease modification | 1 | |||||||
Amortization | (27) | (21) | ||||||
Intangible assets, ending balance | 5,018 | 1,887 | ||||||
Write-off | (1) | |||||||
Transfers | ||||||||
Goodwill [member] | ||||||||
Intangible Assets (Details) - Schedule of intangible assets [Line Items] | ||||||||
Intangible assets, beginning balance | 787 | 618 | 618 | |||||
Additions | ||||||||
Lease modification | ||||||||
Amortization | ||||||||
Intangible assets, ending balance | 618 | 618 | 618 | |||||
Write-off | ||||||||
Transfers | 1 | |||||||
Discontinued operation | (208) | |||||||
Conversion adjustment to reporting currency | 38 | |||||||
Software [Member] | ||||||||
Intangible Assets (Details) - Schedule of intangible assets [Line Items] | ||||||||
Intangible assets, beginning balance | 134 | 75 | 70 | |||||
Additions | 72 | 18 | 21 | |||||
Lease modification | ||||||||
Amortization | (40) | (17) | (14) | |||||
Intangible assets, ending balance | 70 | 76 | 75 | |||||
Write-off | (1) | (1) | ||||||
Transfers | (1) | |||||||
Discontinued operation | (115) | |||||||
Conversion adjustment to reporting currency | 20 | |||||||
Commercial Rights [Member] | ||||||||
Intangible Assets (Details) - Schedule of intangible assets [Line Items] | ||||||||
Intangible assets, beginning balance | 313 | 1,136 | [1] | 310 | [2] | |||
Additions | 6 | 3,139 | [1] | 833 | [2] | |||
Lease modification | [1] | |||||||
Amortization | (8) | (8) | [1] | (7) | [2] | |||
Intangible assets, ending balance | 310 | 4,267 | [1] | 1,136 | [2] | |||
Write-off | [2] | |||||||
Transfers | [2] | |||||||
Discontinued operation | ||||||||
Conversion adjustment to reporting currency | (1) | |||||||
Trade name [Member] | ||||||||
Intangible Assets (Details) - Schedule of intangible assets [Line Items] | ||||||||
Intangible assets, beginning balance | 3,054 | 39 | 39 | |||||
Additions | ||||||||
Lease modification | ||||||||
Amortization | ||||||||
Intangible assets, ending balance | 39 | 39 | 39 | |||||
Write-off | ||||||||
Transfers | ||||||||
Discontinued operation | (3,728) | |||||||
Conversion adjustment to reporting currency | R$ 713 | |||||||
Subtotal [Member] | ||||||||
Intangible Assets (Details) - Schedule of intangible assets [Line Items] | ||||||||
Intangible assets, beginning balance | 1,868 | 1,037 | ||||||
Additions | 3,157 | 854 | ||||||
Lease modification | ||||||||
Amortization | (25) | (21) | ||||||
Intangible assets, ending balance | R$ 5000 | 1,868 | ||||||
Write-off | (1) | |||||||
Transfers | R$ 1 | |||||||
[1]Includes commercial rights related to 46 commercial points sold by GPA to the Company as a result of the Transaction for an amount of R$3,130 (see note 1.5).[2]Includes commercial rights related to 20 commercial points sold by GPA to the Company as a result of the Transaction for an amount of R$798 (see note 1.5). |
Intangible Assets (Details) -_2
Intangible Assets (Details) - Schedule of total intangible assets - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Goodwill [member] | ||
Intangible Assets (Details) - Schedule of total intangible assets [Line Items] | ||
Historical cost | R$ 871 | R$ 871 |
Accumulated amortization | (253) | (253) |
Net amount | 618 | 618 |
Software [Member] | ||
Intangible Assets (Details) - Schedule of total intangible assets [Line Items] | ||
Historical cost | 151 | 133 |
Accumulated amortization | (75) | (58) |
Net amount | 76 | 75 |
Commercial Rights [Member] | ||
Intangible Assets (Details) - Schedule of total intangible assets [Line Items] | ||
Historical cost | 4,299 | 1,160 |
Accumulated amortization | (32) | (24) |
Net amount | 4,267 | 1,136 |
Trade name [Member] | ||
Intangible Assets (Details) - Schedule of total intangible assets [Line Items] | ||
Historical cost | 39 | 39 |
Accumulated amortization | ||
Net amount | 39 | 39 |
Intangible assets other than goodwill [member] | ||
Intangible Assets (Details) - Schedule of total intangible assets [Line Items] | ||
Historical cost | 5,360 | 2,203 |
Accumulated amortization | (360) | (335) |
Net amount | 5,000 | 1,868 |
Assets And Rights [Member] | Lease right of use [Member] | ||
Intangible Assets (Details) - Schedule of total intangible assets [Line Items] | ||
Historical cost | 29 | 28 |
Accumulated amortization | (11) | (9) |
Net amount | 18 | 19 |
Lease right of use [Member] | ||
Intangible Assets (Details) - Schedule of total intangible assets [Line Items] | ||
Historical cost | 5,389 | 2,231 |
Accumulated amortization | (371) | (344) |
Net amount | R$ 5018 | R$ 1887 |
Intangible Assets (Details) -_3
Intangible Assets (Details) - Schedule of additions to intangible assets for cash flow presentation purpose - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule Of Additions To Intangible Assets For Cash Flow Presentation Purpose Abstract | |||
Additions | R$ 3157 | R$ 872 | R$ 25 |
Lease | (18) | ||
Financing of intangible assets – Additions | (3,130) | ||
Financing of intangible assets – Payments | 609 | ||
Total | R$ 636 | R$ 854 | R$ 25 |
Trade payables and trade paya_3
Trade payables and trade payables - Agreements (Details) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Trade payables and trade payables - Agreements (Details) [Line Items] | ||
Balance payable | R$ 2039 | R$ 573 |
GPA [Member] | ||
Trade payables and trade payables - Agreements (Details) [Line Items] | ||
Balance payable | R$ 3202 |
Trade payables and trade paya_4
Trade payables and trade payables - Agreements (Details) - Schedule of trade payables, net - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Trade payables | ||
Trade Payables Total | R$ 8538 | R$ 5566 |
Trade payables - Agreements | ||
Trade Payables - Agreements Total | 13,779 | 6,139 |
Current | 12,999 | 6,139 |
Non-current | 780 | |
Product suppliers [member] | ||
Trade payables | ||
Trade Payables Total | 9,196 | 5,849 |
Trade payables - Agreements | ||
Trade Payables - Agreements Total | 813 | 573 |
Suppliers – Acquisition of property, plant and equipment [Member] | ||
Trade payables | ||
Trade Payables Total | 140 | 197 |
Trade payables - Agreements | ||
Trade Payables - Agreements Total | 1,226 | |
Service providers [member] | ||
Trade payables | ||
Trade Payables Total | 129 | 74 |
Service providers - related parties [member] | ||
Trade payables | ||
Trade Payables Total | 33 | 22 |
Bonuses from suppliers [member] | ||
Trade payables | ||
Trade Payables Total | (960) | (576) |
Suppliers – Agreements – Acquisition of Extra stores [Member] | ||
Trade payables - Agreements | ||
Trade Payables - Agreements Total | 3,202 | |
Total trade payables – Agreements [Member] | ||
Trade payables - Agreements | ||
Trade Payables - Agreements Total | R$ 5241 | R$ 573 |
Financial instruments (Details)
Financial instruments (Details) R$ in Millions, $ in Millions | 12 Months Ended | |||
Dec. 31, 2022 BRL (R$) | Dec. 31, 2021 BRL (R$) | Dec. 31, 2020 BRL (R$) | Dec. 31, 2022 USD ($) | |
Disclosure Of Financial Instruments Text Block Abstract | ||||
Risk limited percentage | 100% | |||
Cash and cash equivalents | R$ 5842 | R$ 2550 | $ 5,605 | |
Accounts receivable percentage | 5% | |||
Notional amount | R$ 2360 | 1,888 | ||
Fair value receivable | 146 | 4 | ||
Cost of debt | R$ 29 | R$ 4 | R$ 68 | |
According to management description | Therefore, in the probable scenario (I) there is no impact on the fair value of financial instruments. For scenarios (II) and (III), for the exclusive effect, a deterioration from 5% to 10% was taken into account, respectively, on risk variables, up to one year of financial instruments. | |||
Interest rate weighted per year | 12.95% | |||
Borrowings percentage | 100% | |||
Annual weighted average rate | 12.43% | 4.40% |
Financial instruments (Detail_2
Financial instruments (Details) - Schedule of financial instruments and their carrying amounts R$ in Millions, $ in Millions | Dec. 31, 2022 BRL (R$) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 BRL (R$) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 BRL (R$) | |
Other financial liabilities - amortized cost | ||||||
Financial liabilities | R$ | R$ 18 | |||||
Net exposure | $ (33,935) | $ (18,121) | ||||
Amortized Cost [Member] | Related Parties Assets [Member] | ||||||
Amortized cost | ||||||
Financial assets | [1] | 252 | 114 | |||
Amortized Cost [Member] | Trade receivables and other accounts receivable [Member] | ||||||
Amortized cost | ||||||
Financial assets | [1] | 198 | 169 | |||
Fair Value Through Income [Member] | ||||||
Amortized cost | ||||||
Financial assets | [1] | 182 | 32 | |||
Fair Value Through Income [Member] | Borrowings and Financing Including Derivatives [Member] | ||||||
Other financial liabilities - amortized cost | ||||||
Financial liabilities | (313) | (341) | ||||
Fair Value Through Income [Member] | Loss of financial instruments at fair value [Member] | ||||||
Other financial liabilities - amortized cost | ||||||
Financial liabilities | (36) | (36) | ||||
Fair Value Through Other Comprehensive Income [Member] | Accounts Receivable With Credit Card Companies And Sales Tickets [Member] | ||||||
Amortized cost | ||||||
Financial assets | [1] | 424 | 155 | |||
Other Financial Liabilities Amortized Cost [Member] | Related Parties Liabilities [Member] | ||||||
Other financial liabilities - amortized cost | ||||||
Financial liabilities | (261) | (368) | ||||
Other Financial Liabilities Amortized Cost [Member] | Trade payables and trade payables - agreements [Member] | ||||||
Other financial liabilities - amortized cost | ||||||
Financial liabilities | (13,779) | (6,139) | ||||
Other Financial Liabilities Amortized Cost [Member] | Borrowings and Financing [Member] | ||||||
Other financial liabilities - amortized cost | ||||||
Financial liabilities | (1,217) | (1,210) | ||||
Other Financial Liabilities Amortized Cost [Member] | Debentures and promissory notes [Member] | ||||||
Other financial liabilities - amortized cost | ||||||
Financial liabilities | (11,025) | (6,446) | ||||
Other Financial Liabilities Amortized Cost [Member] | Lease liabilities [member] | ||||||
Other financial liabilities - amortized cost | ||||||
Financial liabilities | $ (8,360) | $ (4,051) | ||||
[1]Other than cash and cash equivalents in the amount of R$5,842 (R$2,550 as of December 31, 2021) |
Financial instruments (Detail_3
Financial instruments (Details) - Schedule of capital structure R$ in Millions, $ in Millions | Dec. 31, 2022 BRL (R$) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 BRL (R$) | Dec. 31, 2020 BRL (R$) | Dec. 31, 2019 BRL (R$) |
Schedule Of Capital Structure Abstract | |||||
Borrowings, financing, debentures and promissory notes | R$ 12591 | R$ 8033 | |||
(-) Cash and cash equivalents | 5,842 | $ 5,605 | 2,550 | ||
(-) Derivative financial instruments | 182 | 32 | |||
Net debt | (6,567) | (5,451) | |||
Shareholders´ equity | R$ 3896 | R$ 2766 | R$ 1347 | R$ 9701 | |
% Net debt over shareholders´ equity | 169% | 169% | 197% |
Financial instruments (Detail_4
Financial instruments (Details) - Schedule of aging profile of financial liabilities R$ in Millions | Dec. 31, 2022 BRL (R$) |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | R$ 51767 |
Borrowings and Financing [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 1,783 |
Debentures and promissory notes [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 16,175 |
Derivative Financial Instruments [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | (648) |
Lease liabilities [member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 20,678 |
Trade Payables [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 8,538 |
Total trade payables – Agreements [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 2,039 |
Trade payables – Agreements – Acquisition of Extra stores [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 3,202 |
Less than 1 year [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 16,659 |
Less than 1 year [Member] | Borrowings and Financing [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 948 |
Less than 1 year [Member] | Debentures and promissory notes [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 1,142 |
Less than 1 year [Member] | Derivative Financial Instruments [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 214 |
Less than 1 year [Member] | Lease liabilities [member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 1,356 |
Less than 1 year [Member] | Trade Payables [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 8,538 |
Less than 1 year [Member] | Total trade payables – Agreements [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 2,039 |
Less than 1 year [Member] | Trade payables – Agreements – Acquisition of Extra stores [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 2,422 |
1 to 5 years [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 19,024 |
1 to 5 years [Member] | Borrowings and Financing [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 835 |
1 to 5 years [Member] | Debentures and promissory notes [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 11,362 |
1 to 5 years [Member] | Derivative Financial Instruments [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 219 |
1 to 5 years [Member] | Lease liabilities [member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 5,828 |
1 to 5 years [Member] | Trade Payables [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | |
1 to 5 years [Member] | Total trade payables – Agreements [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | |
1 to 5 years [Member] | Trade payables – Agreements – Acquisition of Extra stores [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 780 |
More than 5 years [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 16,084 |
More than 5 years [Member] | Borrowings and Financing [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | |
More than 5 years [Member] | Debentures and promissory notes [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 3,671 |
More than 5 years [Member] | Derivative Financial Instruments [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | (1,081) |
More than 5 years [Member] | Lease liabilities [member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | 13,494 |
More than 5 years [Member] | Trade Payables [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | |
More than 5 years [Member] | Total trade payables – Agreements [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing | |
More than 5 years [Member] | Trade payables – Agreements – Acquisition of Extra stores [Member] | |
Financial instruments (Details) - Schedule of aging profile of financial liabilities [Line Items] | |
Borrowings and financing |
Financial instruments (Detail_5
Financial instruments (Details) - Schedule of derivative transactions that qualify as hedge accounting - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Notional value [Member] | ||
Swap of hedge | ||
Hedge purpose (debt) | R$ 2360 | R$ 1888 |
Long position | ||
Short position | (2,360) | (1,888) |
Net hedge position | ||
Notional value [Member] | Fixed rate [Member] | ||
Long position | ||
Long position | 106 | 106 |
Notional value [Member] | USD + Fixed [Member] | ||
Long position | ||
Long position | 282 | 282 |
Notional value [Member] | Hedge - CRI [Member] | ||
Long position | ||
Long position | 1,972 | 1,500 |
Fair Value [Member] | ||
Swap of hedge | ||
Hedge purpose (debt) | 2,542 | 1,869 |
Long position | ||
Short position | (2,396) | (1,873) |
Net hedge position | 146 | (4) |
Fair Value [Member] | Fixed rate [Member] | ||
Long position | ||
Long position | 109 | 60 |
Fair Value [Member] | USD + Fixed [Member] | ||
Long position | ||
Long position | 282 | 281 |
Fair Value [Member] | Hedge - CRI [Member] | ||
Long position | ||
Long position | R$ 2151 | R$ 1528 |
Financial instruments (Detail_6
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments R$ in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 BRL (R$) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 BRL (R$) | |
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Financial instruments | R$ 12656 | ||
Market projections | R$ 1768 | ||
Risk cash equivalents | 92.80% | ||
Financial instruments cash equivalents (in Dollars) | R$ 5842 | $ 5,605 | R$ 2550 |
Market projections cash equivalents | 734 | ||
Financial instruments net exposure loss (in Dollars) | $ | $ (7,051) | ||
Market projections net exposure loss | R$ 1034 | ||
Borrowings and Financing [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Risk (CDI Increase) | CDI + 1.55% per year | ||
Financial instruments | R$ 1223 | ||
Market projections | R$ 170 | ||
Borrowings and financing (fixed rate) [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Risk (CDI Increase) | TR + 9.80% per year | ||
Financial instruments | R$ 48 | ||
Market projections | R$ 58 | ||
Borrowings and financing (foreign currency) [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Risk (CDI Increase) | USD + 1.06% per year | ||
Financial instruments | R$ 262 | ||
Market projections | R$ 6 | ||
Debentures and promissory notes [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Risk (CDI Increase) | CDI + 1.44% per year | ||
Financial instruments | R$ 11123 | ||
Market projections | (1,534) | ||
Scenario (I) [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Market projections | (1,871) | ||
Market projections cash equivalents | 771 | ||
Market projections net exposure loss | (1,100) | ||
Scenario (I) [Member] | Borrowings and Financing [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Market projections | (178) | ||
Scenario (I) [Member] | Borrowings and financing (fixed rate) [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Market projections | (62) | ||
Scenario (I) [Member] | Borrowings and financing (foreign currency) [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Market projections | (20) | ||
Scenario (I) [Member] | Debentures and promissory notes [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Market projections | (1,611) | ||
Scenario (II) [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Market projections | (1,975) | ||
Market projections cash equivalents | 808 | ||
Market projections net exposure loss | (1,167) | ||
Scenario (II) [Member] | Borrowings and Financing [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Market projections | (187) | ||
Scenario (II) [Member] | Borrowings and financing (fixed rate) [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Market projections | (67) | ||
Scenario (II) [Member] | Borrowings and financing (foreign currency) [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Market projections | (33) | ||
Scenario (II) [Member] | Debentures and promissory notes [Member] | |||
Financial instruments (Details) - Schedule of net exposure of derivative financial instruments [Line Items] | |||
Market projections | R$ 1688 |
Financial instruments (Detail_7
Financial instruments (Details) - Schedule of fair value hierarchy of financial assets and liabilities - Level 2 [Member] - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Financial instruments (Details) - Schedule of fair value hierarchy of financial assets and liabilities [Line Items] | ||
Carrying amount | R$ 11985 | R$ 7846 |
Fair value | (11,839) | (7,562) |
Trade receivables with credit cards companies and sales tickets [Member] | ||
Financial instruments (Details) - Schedule of fair value hierarchy of financial assets and liabilities [Line Items] | ||
Carrying amount | 424 | 155 |
Fair value | 424 | 155 |
Swaps of annual rates between currencies [Member] | ||
Financial instruments (Details) - Schedule of fair value hierarchy of financial assets and liabilities [Line Items] | ||
Carrying amount | (36) | (11) |
Fair value | (36) | (11) |
Interest rate swaps [Member] | ||
Financial instruments (Details) - Schedule of fair value hierarchy of financial assets and liabilities [Line Items] | ||
Carrying amount | 2 | 4 |
Fair value | 2 | 4 |
Interest rate swaps - CRI [Member] | ||
Financial instruments (Details) - Schedule of fair value hierarchy of financial assets and liabilities [Line Items] | ||
Carrying amount | 180 | 3 |
Fair value | 180 | 3 |
Borrowings and financing (fair value) [Member] | ||
Financial instruments (Details) - Schedule of fair value hierarchy of financial assets and liabilities [Line Items] | ||
Carrying amount | (313) | (341) |
Fair value | (313) | (341) |
Borrowings and financing (amortized cost) [Member] | ||
Financial instruments (Details) - Schedule of fair value hierarchy of financial assets and liabilities [Line Items] | ||
Carrying amount | (12,242) | (7,656) |
Fair value | R$ 12096 | R$ 7372 |
Financial instruments (Detail_8
Financial instruments (Details) - Schedule of consolidated position of outstanding derivative transactions - Derivatives [member] - BRL (R$) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
USD – BRL [Member] | ||
Debt | ||
Notional value | R$ 50 | |
Due date | 2023 | |
Outstanding derivative financial instruments | R$ 36000000 | R$ 11000000 |
IPCA – BRL [Member] | ||
Debt | ||
Notional value | R$ 1972 | |
Due date | 2028, 2029 and 2031 | |
Outstanding derivative financial instruments | R$ 180000000 | 3,000,000 |
Interest rate swaps registered at CETIP [Member] | ||
Debt | ||
Notional value | R$ 54 | |
Due date | 2027 | |
Outstanding derivative financial instruments | R$ 1000000 | 2,000,000 |
Fixed rate x CDI One [Member] | ||
Debt | ||
Notional value | R$ 52 | |
Due date | 2027 | |
Outstanding derivative financial instruments | R$ 1000000 | 2,000,000 |
Derivatives - Fair value hedge [Member] | ||
Debt | ||
Outstanding derivative financial instruments | R$ 146000000 | R$ 4000000 |
Financial instruments (Detail_9
Financial instruments (Details) - Schedule of debt weighted average - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Debentures and promissory notes | ||
Current assets | R$ 27 | R$ 4 |
Non-current assets | 155 | 28 |
Current liabilities | 1,260 | 613 |
Non-current liabilities | R$ 11331 | 7,420 |
Debentures and Promissory Notes [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | CDI + 1.46% per year | |
Total current | R$ 454 | 194 |
Debentures and promissory notes | ||
Weighted average rate | CDI + 1.44% per year | |
Total non-current | R$ 10669 | 6,329 |
Derivative Financial Instruments [Member] | ||
Debentures and promissory notes | ||
Total non-current | 11,176 | 7,392 |
Total | 12,409 | 8,001 |
Debentures and Promissory Notes [Member] | Borrowing Costs [Member] | ||
Debentures and promissory notes | ||
Total current | (23) | (14) |
Debentures and promissory notes | ||
Total non-current | (75) | (63) |
Debentures and Promissory Notes [Member] | Total Debentures and Promissory Notes [Member] | ||
Debentures and promissory notes | ||
Total current | 431 | 180 |
Debentures and promissory notes | ||
Total non-current | 10,594 | 6,266 |
Borrowings and Financing in Domestic Currency [Member] | Borrowing Costs [Member] | ||
Debentures and promissory notes | ||
Total current | R$ 4 | (4) |
Borrowings and Financing in Domestic Currency [Member] | Working Capital [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | TR + 9.80% | |
Total current | R$ 12 | 14 |
Borrowings and Financing in Domestic Currency [Member] | Working Capital One [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | CDI + 1.15% per year | |
Total current | R$ 523 | 419 |
Borrowings and Financing in Domestic Currency [Member] | Total Domestic Currency [Member] | ||
Debentures and promissory notes | ||
Total current | R$ 531 | 429 |
In Foreign Currency [Member] | Working Capital [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | USD + 1.06% per year | |
Total current | R$ 262 | 1 |
In Foreign Currency [Member] | Total Foreign Currency [Member] | ||
Debentures and promissory notes | ||
Total current | 262 | 1 |
In Foreign Currency [Member] | Total of Borrowings and Financing [Member] | ||
Debentures and promissory notes | ||
Total current | 793 | 430 |
Derivative Financial Instruments [Member] | ||
Debentures and promissory notes | ||
Total current | R$ 1233 | 609 |
Derivative Financial Instruments [Member] | Swap Contracts [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | CDI + 0.84% per year | |
Total current | R$ 27 | (4) |
Derivative Financial Instruments [Member] | Swap Contracts One [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | CDI + 1.35% per year | |
Total current | R$ 36 | 3 |
Derivative Financial Instruments [Member] | Total Derivative Financial Instruments [Member] | ||
Debentures and promissory notes | ||
Total current | R$ 9 | (1) |
Working Capital [Member] | Borrowings and Financing in Domestic Currency [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | TR + 9.80% | |
Total non-current | R$ 39 | 47 |
Working Capital [Member] | In Foreign Currency [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | USD + 1.06% per year | |
Total non-current | 279 | |
Working Capital One [Member] | Borrowings and Financing in Domestic Currency [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | CDI + 1.84% per year | |
Total non-current | R$ 700 | 800 |
Borrowing Costs [Member] | Borrowings and Financing in Domestic Currency [Member] | ||
Debentures and promissory notes | ||
Total non-current | (2) | (5) |
Total Domestic Currency [Member] | Borrowings and Financing in Domestic Currency [Member] | ||
Debentures and promissory notes | ||
Total non-current | 737 | 842 |
Total Foreign Currency [Member] | In Foreign Currency [Member] | ||
Debentures and promissory notes | ||
Total non-current | 279 | |
Total of Borrowings and Financing [Member] | In Foreign Currency [Member] | ||
Debentures and promissory notes | ||
Total non-current | R$ 737 | 1,121 |
Swap Contracts [Member] | Derivative Financial Instruments [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | CDI + 0.84% per year | |
Total non-current | R$ 155 | (28) |
Swap Contracts One [Member] | Derivative Financial Instruments [Member] | ||
Debentures and promissory notes | ||
Weighted average rate | CDI + 1.35% per year | |
Total non-current | 33 | |
Total Derivative Financial Instruments [Member] | Derivative Financial Instruments [Member] | ||
Debentures and promissory notes | ||
Total non-current | R$ 155 | R$ 5 |
Financial instruments (Detai_10
Financial instruments (Details) - Schedule of rollforward of financial instruments - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Schedule Of Rollforward Of Financial Instruments Abstract | |||
Borrowings and financing, beginning | R$ 8001 | R$ 7763 | R$ 8781 |
Borrowings and financing, Ending | 12,409 | 8,001 | 7,763 |
Funding - working capital | 3,959 | 6,090 | 2,852 |
Interest provision | 1,436 | 559 | 486 |
Swap contracts | 82 | 39 | (60) |
Mark-to-market | (111) | 31 | 12 |
Exchange rate and monetary variation | (18) | 5 | 57 |
Debt modification impact | (71) | 71 | |
Borrowing costs | 26 | 64 | 42 |
Interest amortization | (783) | (406) | (549) |
Principal amortization | (61) | (6,075) | (2,543) |
Swap amortization | R$ 122 | R$ 2 | 13 |
Conversion adjustment to reporting currency | 172 | ||
Discontinued operations | R$ 1571 |
Financial instruments (Detai_11
Financial instruments (Details) - Schedule of noncurrent maturities R$ in Millions | Dec. 31, 2022 BRL (R$) |
Financial instruments (Details) - Schedule of noncurrent maturities [Line Items] | |
Non-current maturities total | R$ 11253 |
Borrowing Cost | (77) |
Total | 11,176 |
From 1 to 2 years [Member] | |
Financial instruments (Details) - Schedule of noncurrent maturities [Line Items] | |
Non-current maturities total | 2,150 |
From 2 to 3 years [Member] | |
Financial instruments (Details) - Schedule of noncurrent maturities [Line Items] | |
Non-current maturities total | 3,872 |
From 3 to 4 years [Member] | |
Financial instruments (Details) - Schedule of noncurrent maturities [Line Items] | |
Non-current maturities total | 548 |
From 4 to 5 years [Member] | |
Financial instruments (Details) - Schedule of noncurrent maturities [Line Items] | |
Non-current maturities total | 2,389 |
More than 5 years [Member] | |
Financial instruments (Details) - Schedule of noncurrent maturities [Line Items] | |
Non-current maturities total | R$ 2294 |
Financial instruments (Detai_12
Financial instruments (Details) - Schedule of debentures and promissory notes - BRL (R$) R$ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | |
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Borrowing Cost | R$ 77000 | R$ 98000 |
Borrowings and financing, total | 6,446,000 | 11,025,000 |
Current liabilities | 180,000 | 431,000 |
Non-current liabilities | R$ 6266000 | 10,594,000 |
First Issue of Promissory Notes – 3rd series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 50 | |
Outstanding debentures | 1 | |
Date issuance | Jul. 04, 2019 | |
Date maturity | Jul. 04, 2022 | |
Annual financial charges | CDI + 0.72% per year | |
Borrowing Cost | R$ 57000 | |
First Issue of Promissory Notes – 4th series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 250 | |
Outstanding debentures | 5 | |
Date issuance | Jul. 04, 2019 | |
Date maturity | Jul. 04, 2023 | |
Annual financial charges | CDI + 0.72% per year | |
Unit price | R$ 63479473000 | |
Borrowing Cost | R$ 281000 | 317,000 |
First Issue of Promissory Notes – 5th series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 200 | |
Outstanding debentures | 4 | |
Date issuance | Jul. 04, 2019 | |
Date maturity | Jul. 04, 2024 | |
Annual financial charges | CDI + 0.72% per year | |
Unit price | R$ 63479473000 | |
Borrowing Cost | R$ 225000 | 254,000 |
First Issue of Promissory Notes – 6th series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 200 | |
Outstanding debentures | 4 | |
Date issuance | Jul. 04, 2019 | |
Date maturity | Jul. 04, 2025 | |
Annual financial charges | CDI + 0.72% per year | |
Unit price | R$ 63479473000 | |
Borrowing Cost | R$ 225000 | 254,000 |
Second Issue of Debentures – 1st series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 940000 | |
Outstanding debentures | 940,000 | |
Date issuance | Jun. 01, 2021 | |
Date maturity | May 20, 2026 | |
Annual financial charges | CDI + 1.70% per year | |
Unit price | R$ 1017000 | |
Borrowing Cost | R$ 951000 | 957,000 |
Second Issue of Debentures – 2nd series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 660000 | |
Outstanding debentures | 660,000 | |
Date issuance | Jun. 01, 2021 | |
Date maturity | May 22, 2028 | |
Annual financial charges | CDI + 1.95% per year | |
Unit price | R$ 1017000 | |
Borrowing Cost | R$ 668000 | 672,000 |
Second Issue of Promissory Notes – 1st series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 1250000 | |
Outstanding debentures | 1,250,000 | |
Date issuance | Aug. 27, 2021 | |
Date maturity | Aug. 27, 2024 | |
Annual financial charges | CDI + 1.47% per year | |
Unit price | R$ 1173000 | |
Borrowing Cost | R$ 1285000 | 1,467,000 |
Second Issue of Promissory Notes – 2nd series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 1250000 | |
Outstanding debentures | 1,250,000 | |
Date issuance | Aug. 27, 2021 | |
Date maturity | Feb. 27, 2025 | |
Annual financial charges | CDI + 1.53% per year | |
Unit price | R$ 1173000 | |
Borrowing Cost | R$ 1286000 | 1,468,000 |
Third Issue of Debentures – 1st series – CRI [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 982526 | |
Outstanding debentures | 982,526 | |
Date issuance | Oct. 15, 2021 | |
Date maturity | Oct. 16, 2028 | |
Annual financial charges | IPCA + 5.15% per year | |
Unit price | R$ 1091000 | |
Borrowing Cost | R$ 1012000 | 1,072,000 |
Third Issue of Debentures – 2nd series – CRI [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 517474 | |
Outstanding debentures | 517,474 | |
Date issuance | Oct. 15, 2021 | |
Date maturity | Oct. 15, 2031 | |
Annual financial charges | IPCA + 5.27% per year | |
Unit price | R$ 1092000 | |
Borrowing Cost | R$ 533000 | 565,000 |
Fourth Issue of Debentures – single series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 2000000 | |
Outstanding debentures | 2,000,000 | |
Date issuance | Jan. 07, 2022 | |
Date maturity | Nov. 26, 2027 | |
Annual financial charges | CDI + 1.75% per year | |
Unit price | R$ 1014000 | |
Borrowing Cost | 2,028,000 | |
First Issue of Commercial Paper Notes – single series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 750000 | |
Outstanding debentures | 750,000 | |
Date issuance | Feb. 10, 2022 | |
Date maturity | Feb. 09, 2025 | |
Annual financial charges | CDI + 1.70% per year | |
Unit price | R$ 1058000 | |
Borrowing Cost | 793,000 | |
Fifth Issue of Debentures – single series - CRI [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 250000 | |
Outstanding debentures | 250,000 | |
Date issuance | Apr. 05, 2022 | |
Date maturity | Mar. 28, 2025 | |
Annual financial charges | CDI + 0.75% per year | |
Unit price | R$ 1034000 | |
Borrowing Cost | 258,000 | |
Sixth Issue of Debentures – 1st series - CRI [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 72962 | |
Outstanding debentures | 72,962 | |
Date issuance | Sep. 28, 2022 | |
Date maturity | Sep. 11, 2026 | |
Annual financial charges | CDI + 0,60% per year | |
Unit price | R$ 1035000 | |
Borrowing Cost | 75,000 | |
Sixth Issue of Debentures – 2nd series - CRI [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 55245 | |
Outstanding debentures | 55,245 | |
Date issuance | Sep. 28, 2022 | |
Date maturity | Sep. 13, 2027 | |
Annual financial charges | CDI + 0.70% per year | |
Unit price | R$ 1035000 | |
Borrowing Cost | 57,000 | |
Sixth Issue of Debentures – 3rd series - CRI [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 471793 | |
Outstanding debentures | 471,793 | |
Date issuance | Sep. 28, 2022 | |
Date maturity | Sep. 13, 2029 | |
Annual financial charges | IPCA + 6.70% per year | |
Unit price | R$ 1027000 | |
Borrowing Cost | 485,000 | |
Second Issue of Commercial Paper Notes - single series [Member] | ||
Financial instruments (Details) - Schedule of debentures and promissory notes [Line Items] | ||
Type | non-preemptive right | |
Issue amount | R$ 400000 | |
Outstanding debentures | 400,000 | |
Date issuance | Dec. 26, 2022 | |
Date maturity | Dec. 26, 2025 | |
Annual financial charges | CDI + 0.93% per year | |
Unit price | R$ 1002000 | |
Borrowing Cost | R$ 401000 |
Provision for Legal Proceedin_3
Provision for Legal Proceedings (Details) R$ in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 BRL (R$) | Dec. 31, 2021 BRL (R$) | Dec. 31, 2022 USD ($) | |
Provision for Legal Proceedings (Details) [Line Items] | |||
Provision for lawsuits | R$ 19 | R$ 21 | |
Total contingent liabilities | 1,352 | ||
Tax [Member] | |||
Provision for Legal Proceedings (Details) [Line Items] | |||
Provisioned, amount | 55 | 109 | |
Total contingent liabilities | $ | $ 1,309 | ||
Social Security and Labor [Member] | |||
Provision for Legal Proceedings (Details) [Line Items] | |||
Provision of labor claims | 86 | 69 | |
Civil and others [Member] | |||
Provision for Legal Proceedings (Details) [Line Items] | |||
Provision for lawsuits | 5 | 6 | |
Total civil, regulatory and property | 24 | 27 | |
Total contingent liabilities | $ | $ 43 | ||
Possible Contingent Liabilities [Member] | |||
Provision for Legal Proceedings (Details) [Line Items] | |||
Total updating amount | 2,443 | 2,346 | |
Contingent liabilities corresponds, amount | 612 | 478 | |
Tax assessments, amount | 650 | 609 | |
Advertising expenses and various fees | 16 | 13 | |
Possible losses | 23 | 56 | |
Other litigation | 44 | 47 | |
Qualitative and quantitative factors | 14 | 15 | |
Possible Contingent Liabilities [Member] | ICMS [Member] | |||
Provision for Legal Proceedings (Details) [Line Items] | |||
Tax assessments, amount | R$ 1084 | R$ 1128 | |
Guarantees [Member] | |||
Provision for Legal Proceedings (Details) [Line Items] | |||
Cost of guarantees, percentage | 0.29% |
Provision for Legal Proceedin_4
Provision for Legal Proceedings (Details) - Schedule of provision for legal proceedings - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Provision for Legal Proceedings (Details) - Schedule of provision for legal proceedings [Line Items] | |||
Balance | R$ 205 | R$ 282 | R$ 349 |
Restricted deposits for legal proceedings | (44) | (112) | |
Net provision of judicial deposits | 121 | 93 | |
Additions | 101 | 91 | 148 |
Reversals | (108) | (139) | (71) |
Payments | (49) | (49) | (41) |
Monetary correction | 16 | 20 | 12 |
Conversion adjustment to reporting currency | 24 | ||
Discontinued operation | (139) | ||
Balance | 165 | 205 | 282 |
Tax Claims [Member] | |||
Provision for Legal Proceedings (Details) - Schedule of provision for legal proceedings [Line Items] | |||
Balance | 109 | 169 | 221 |
Restricted deposits for legal proceedings | (7) | (65) | |
Net provision of judicial deposits | 48 | 44 | |
Additions | 14 | 39 | 27 |
Reversals | (73) | (106) | (9) |
Payments | (1) | ||
Monetary correction | 5 | 7 | 1 |
Conversion adjustment to reporting currency | 18 | ||
Discontinued operation | (88) | ||
Balance | 55 | 109 | 169 |
Social Security and Labor [Member] | |||
Provision for Legal Proceedings (Details) - Schedule of provision for legal proceedings [Line Items] | |||
Balance | 69 | 64 | 75 |
Restricted deposits for legal proceedings | (29) | (45) | |
Net provision of judicial deposits | 57 | 24 | |
Additions | 74 | 44 | 42 |
Reversals | (31) | (23) | (43) |
Payments | (33) | (21) | (5) |
Monetary correction | 7 | 5 | 8 |
Conversion adjustment to reporting currency | 2 | ||
Discontinued operation | (15) | ||
Balance | 86 | 69 | 64 |
Civil [Member] | |||
Provision for Legal Proceedings (Details) - Schedule of provision for legal proceedings [Line Items] | |||
Balance | 27 | 49 | 53 |
Restricted deposits for legal proceedings | (8) | (2) | |
Net provision of judicial deposits | 16 | 25 | |
Additions | 13 | 8 | 79 |
Reversals | (4) | (10) | (19) |
Payments | (16) | (28) | (35) |
Monetary correction | 4 | 8 | 3 |
Conversion adjustment to reporting currency | 4 | ||
Discontinued operation | (36) | ||
Balance | R$ 24 | R$ 27 | R$ 49 |
Provision for Legal Proceedin_5
Provision for Legal Proceedings (Details) - Schedule of bank guarantees and insurance guarantees to judicial process R$ in Millions | 12 Months Ended |
Dec. 31, 2022 BRL (R$) | |
Provision for Legal Proceedings (Details) - Schedule of bank guarantees and insurance guarantees to judicial process [Line Items] | |
Total | R$ 1296 |
Tax [Member] | |
Provision for Legal Proceedings (Details) - Schedule of bank guarantees and insurance guarantees to judicial process [Line Items] | |
Total | 700 |
Labor [Member] | |
Provision for Legal Proceedings (Details) - Schedule of bank guarantees and insurance guarantees to judicial process [Line Items] | |
Total | 91 |
Civil and Others [Member] | |
Provision for Legal Proceedings (Details) - Schedule of bank guarantees and insurance guarantees to judicial process [Line Items] | |
Total | R$ 505 |
Provision for Legal Proceedin_6
Provision for Legal Proceedings (Details) - Schedule of judicial deposits in its assets - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Provision for Legal Proceedings (Details) - Schedule of judicial deposits in its assets [Line Items] | ||
Total | R$ 56 | R$ 119 |
Tax [Member] | ||
Provision for Legal Proceedings (Details) - Schedule of judicial deposits in its assets [Line Items] | ||
Total | 12 | 65 |
Labor [Member] | ||
Provision for Legal Proceedings (Details) - Schedule of judicial deposits in its assets [Line Items] | ||
Total | 34 | 50 |
Civil and Others [Member] | ||
Provision for Legal Proceedings (Details) - Schedule of judicial deposits in its assets [Line Items] | ||
Total | R$ 10 | R$ 4 |
Leases (Details)
Leases (Details) - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Leases (Details) [Abstract] | ||
Lease contracts | R$ 435 | R$ 244 |
Incremental interest rate | 12.20% | 10.53% |
Terms of the contracts | The terms of the contracts vary between 5 and 25 years. | |
Lease Agreements [Member] | ||
Leases (Details) [Abstract] | ||
Lease contracts | R$ 8360 | R$ 4051 |
Leases (Details) - Schedule of
Leases (Details) - Schedule of minimum future payments, - Lease liabilities [Member] - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Lease liabilities - minimum payments | ||
Present value of lease liabilities | R$ 8360 | R$ 4051 |
Current | 435 | 244 |
Non-current | 7,925 | 3,807 |
Future financing charges | 12,318 | 4,042 |
Future lease payments | 20,678 | 8,093 |
PIS and COFINS embedded in the present value of lease agreements | 508 | 246 |
PIS and COFINS embedded in the gross value of lease agreements | 1,257 | 492 |
Less than 1 year [Member] | ||
Lease liabilities - minimum payments | ||
Present value of lease liabilities | 435 | 244 |
1 to 5 years [Member] | ||
Lease liabilities - minimum payments | ||
Present value of lease liabilities | 1,646 | 1,231 |
More than 5 years [Member] | ||
Lease liabilities - minimum payments | ||
Present value of lease liabilities | R$ 6279 | R$ 2576 |
Leases (Details) - Schedule o_2
Leases (Details) - Schedule of lease liability rollforward - BRL (R$) R$ in Millions | 11 Months Ended | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 30, 2020 | |
Schedule of Lease Liability Rollforward [Abstract] | |||||
As of beginning | R$ 4051 | R$ 3751 | |||
As of ending | 8,360 | R$ 4051 | 2,776 | ||
Addition – Lease | 3,810 | 919 | 1,240 | ||
Lease modification | 696 | 628 | 621 | ||
Interest provision | 781 | 302 | 415 | ||
Exchange rate and monetary variation | 1 | ||||
Principal amortizations | (856) | (460) | (751) | ||
Interest amortizations | (42) | (8) | (5) | ||
Write-off due to early termination of agreement | R$ 80 | R$ 106 | (518) | ||
Transfer to parent company | R$ 51 | 9 | |||
Conversion currency adjustment | 1,970 | 433 | |||
Discontinued operation | R$ 4051 | (480) | (2,416) | ||
Corporate restructuring | R$ 135 | R$ 4 |
Leases (Details) - Schedule o_3
Leases (Details) - Schedule of lease expense on variable rents, low-value, and short-term assets - BRL (R$) R$ in Millions | 11 Months Ended | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |||
Variables (1% of sales) [Member] | |||||
Leases (Details) - Schedule of lease expense on variable rents, low-value, and short-term assets [Line Items] | |||||
(Expenses) revenues for the period | R$ 16 | R$ 31 | R$ 6 | ||
Subleases [Member] | |||||
Leases (Details) - Schedule of lease expense on variable rents, low-value, and short-term assets [Line Items] | |||||
(Expenses) revenues for the period | R$ 22 | R$ 55 | [1] | R$ 31 | [1] |
[1]Refers mainly to revenue from lease agreements receivable from commercial galleries. |
Leases (Details) - Schedule o_4
Leases (Details) - Schedule of lease expense on variable rents, low-value, and short-term assets (Parentheticals) | 11 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Bottom of range [member] | |||
Leases (Details) - Schedule of lease expense on variable rents, low-value, and short-term assets (Parentheticals) [Line Items] | |||
Variables revenues | 1% | 1% | 1% |
Top of range [member] | |||
Leases (Details) - Schedule of lease expense on variable rents, low-value, and short-term assets (Parentheticals) [Line Items] | |||
Variables revenues | 2% | 2% | 2% |
Deferred revenues (Details) - S
Deferred revenues (Details) - Schedule of liabilities related to assets held to sale - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | ||
Disclosure Of Deferred Income [Text Block Abstract] | |||
Sale and Leaseback | R$ 3 | R$ 68 | |
Rental of spaces in stores | [1] | 259 | 233 |
Checkstand | [2] | 45 | 41 |
Commercial agreement – payroll | [3] | 39 | |
Gift card and others | 1 | 2 | |
Marketing | 12 | 12 | |
Total | 359 | 356 | |
Current | 328 | 356 | |
Non-current | R$ 31 | ||
[1]Rental of backlight panels.[2]Supplier product exhibition modules, or check stands, rental of POS displays, and front-fee anticipation with credit card operators.[3]Commercial agreement with a financial institution for exclusivity in payroll processing. |
Income tax and social contrib_3
Income tax and social contribution (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Major components of tax expense (income) [abstract] | |
Income tax contribution description | Income taxes in Brazil consist of 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 for IRPJ, and 9% for CSLL. |
Taxable income rate | 30% |
Income tax and social contrib_4
Income tax and social contribution (Details) - Schedule of reconciliation of income tax and social contribution expense - BRL (R$) R$ in Millions | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Schedule Of Reconciliation Of Income Tax And Social Contribution Expense Abstract | ||||
Earnings before income tax and social contribution | R$ 1335 | R$ 1849 | R$ 1625 | |
Expense of income tax and social contribution | (454) | (629) | (553) | |
Adjustments to reflect the effective rate | ||||
Tax fines | (2) | (1) | (1) | |
Share of profits | 15 | 16 | 105 | |
Interest on Equity | 17 | 22 | ||
ICMS subsidy - tax incentives (i) | [1] | 248 | 241 | |
Interest Selic credits (ii) | [2] | 81 | ||
Credits of monetary corrections | 64 | 11 | ||
Tax benefits | 3 | 22 | 29 | |
Other permanent differences | (6) | (2) | (16) | |
Effective income tax | (115) | (239) | (436) | |
Income tax and social contribution for the year | ||||
Current | (75) | (366) | (704) | |
Deferred | (40) | 127 | 268 | |
Income tax and social contribution expenses | R$ 115 | R$ 239 | R$ 436 | |
Effective rate | 8.60% | 12.90% | 26.80% | |
[1]The Company has tax benefits that are characterized as investment subsidies as provided for in Complementary Law n° 160/17 and Law n°. 12,973/14. At the year ended December 31, 2022, the Company excluded the IRPJ and CSLL calculation bases from the amount constituted in the tax incentive reserve (see note 20.4).[2]The credit refers to the decision general repercussion of STF which understood that the SELIC interest arising from the repetition of undue payment, have the nature of emergent damage. Therefore, there is no incidence of IRPJ and CSLL on the interest portion. |
Income tax and social contrib_5
Income tax and social contribution (Details) - Schedule of key components of deferred income tax and social contribution in the balance sheets - BRL (R$) R$ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | R$ 6 | R$ 45 | |
Deferred income tax and social contribution, liabilities | |||
Deferred income tax and social contribution, net | 6 | 45 | R$ 82 |
Tax losses [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | 213 | 167 | |
Deferred income tax and social contribution, liabilities | |||
Deferred income tax and social contribution, net | 213 | 167 | |
Provision for legal proceedings [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | 44 | 59 | |
Deferred income tax and social contribution, liabilities | |||
Deferred income tax and social contribution, net | 44 | 59 | |
Exchange rate variation [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | |||
Deferred income tax and social contribution, liabilities | (28) | (7) | |
Deferred income tax and social contribution, net | (28) | (7) | |
Goodwill tax amortization [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | |||
Deferred income tax and social contribution, liabilities | (317) | (317) | |
Deferred income tax and social contribution, net | (317) | (317) | |
Fair value adjustment [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | 1 | ||
Deferred income tax and social contribution, liabilities | (29) | ||
Deferred income tax and social contribution, net | (29) | 1 | |
Property, plant and equipment, intangible and investment properties [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | 30 | 33 | |
Deferred income tax and social contribution, liabilities | |||
Deferred income tax and social contribution, net | 30 | 33 | |
Unrealized gains with tax credits [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | |||
Deferred income tax and social contribution, liabilities | (6) | (28) | |
Deferred income tax and social contribution, net | (6) | (28) | |
Provision for restructuring [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | 12 | ||
Deferred income tax and social contribution, liabilities | |||
Deferred income tax and social contribution, net | 12 | ||
Cash flow hedge [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | |||
Deferred income tax and social contribution, liabilities | (35) | (30) | |
Deferred income tax and social contribution, net | (35) | (30) | |
Lease net of right of use [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | 101 | 150 | |
Deferred income tax and social contribution, liabilities | |||
Deferred income tax and social contribution, net | 101 | 150 | |
Provision of inventory [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | 26 | 15 | |
Deferred income tax and social contribution, liabilities | |||
Deferred income tax and social contribution, net | 26 | 15 | |
Others [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | 2 | ||
Deferred income tax and social contribution, liabilities | (5) | ||
Deferred income tax and social contribution, net | (5) | 2 | |
Gross deferred income tax and social contribution assets (liabilities) [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | 426 | 427 | |
Deferred income tax and social contribution, liabilities | (420) | (382) | |
Deferred income tax and social contribution, net | 6 | 45 | |
Compensation [Member] | |||
Deferred income tax and social contribution | |||
Deferred income tax and social contribution, assets | (420) | (382) | |
Deferred income tax and social contribution, liabilities | 420 | 382 | |
Deferred income tax and social contribution, net |
Income tax and social contrib_6
Income tax and social contribution (Details) - Schedule of estimates the recovery of the deferred tax assets R$ in Millions | Dec. 31, 2022 BRL (R$) |
Income tax and social contribution (Details) - Schedule of estimates the recovery of the deferred tax assets [Line Items] | |
Recovery of deferred tax assets | R$ 426 |
Up to 1 year [Member] | |
Income tax and social contribution (Details) - Schedule of estimates the recovery of the deferred tax assets [Line Items] | |
Recovery of deferred tax assets | 47 |
From 1 year to 2 years [Member] | |
Income tax and social contribution (Details) - Schedule of estimates the recovery of the deferred tax assets [Line Items] | |
Recovery of deferred tax assets | 44 |
From 2 year to 3 years [Member] | |
Income tax and social contribution (Details) - Schedule of estimates the recovery of the deferred tax assets [Line Items] | |
Recovery of deferred tax assets | 213 |
From 4 years to 5 years [Member] | |
Income tax and social contribution (Details) - Schedule of estimates the recovery of the deferred tax assets [Line Items] | |
Recovery of deferred tax assets | 5 |
More than 5 years [Member] | |
Income tax and social contribution (Details) - Schedule of estimates the recovery of the deferred tax assets [Line Items] | |
Recovery of deferred tax assets | R$ 117 |
Income tax and social contrib_7
Income tax and social contribution (Details) - Schedule of changes in deferred income tax and social contribution - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Schedule Of Changes In Deferred Income Tax And Social Contribution Abstract | |||
At the beginning of the year | R$ 45 | R$ 82 | R$ 1191 |
Benefits (expenses) in the year | (40) | 127 | 372 |
Corporate reorganization | 45 | ||
Deconsolidation | 883 | ||
Income tax effect | 1 | ||
Exchange variation | (193) | ||
Others | 2 | ||
At the end of the year | R$ 6 | R$ 45 | R$ 82 |
Shareholders' equity (Details)
Shareholders' equity (Details) - BRL (R$) R$ / shares in Units, R$ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | ||||||||||||||
Jun. 01, 2022 | May 09, 2022 | Dec. 07, 2021 | Dec. 23, 2022 | Dec. 16, 2022 | Oct. 20, 2022 | Jul. 27, 2022 | Apr. 28, 2022 | Feb. 21, 2022 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | Aug. 11, 2021 | Dec. 12, 2020 | Sep. 30, 2020 | |
Shareholders' equity (Details) [Line Items] | |||||||||||||||||
Real estate property amount | R$ 57000 | ||||||||||||||||
Common shares (in Shares) | 19,000,000 | 87,000,000 | 19,000,000 | 42,000,000 | |||||||||||||
Amount of issuing new shares | R$ 45000 | R$ 150000 | R$ 45000 | R$ 121000 | |||||||||||||
Capital increase asset amount | R$ 146000 | ||||||||||||||||
Capital increase in cash amount | 500,000 | ||||||||||||||||
Capital increase capitalization credit GPA amount | 140,000 | ||||||||||||||||
Capital stock | R$ 1263000 | R$ 788000 | |||||||||||||||
Number of shares issued (in Shares) | 2,720,000 | 175,000 | 2,020,000 | 1,349,165,394 | 1,346,674,477 | ||||||||||||
Authorized share capital increased (in Shares) | 2,000,000,000 | ||||||||||||||||
Capital stock increase amount | R$ 18000 | R$ 1000 | R$ 8000 | R$ 464000 | |||||||||||||
Shares split common shares (in Shares) | 544,000 | 404,000 | |||||||||||||||
Common shares divided (in Shares) | 269,299,859 | ||||||||||||||||
Common shares (in Shares) | 1,346,499,295 | ||||||||||||||||
Board of directors meeting, description | At a meeting of the Board of Directors held on December 23, 2022, the advance payment of interest on own capital in the gross amount of R$50 was approved, pursuant to which the withholding tax was deducted in the amount of R$7, corresponding to the net amount of R$43 | ||||||||||||||||
Annual dividend percentage | 1.61% | ||||||||||||||||
Income tax percentage | 15% | ||||||||||||||||
Percentage of net income | 5% | ||||||||||||||||
Capital percentage | 20% | ||||||||||||||||
Limited capital | R$ 180000 | R$ 157000 | |||||||||||||||
Legal reserve | R$ 23000 | 5,000 | |||||||||||||||
Capital stock, percentage | 20% | ||||||||||||||||
Tax incentives reserve amount | R$ 753000 | 709,000 | |||||||||||||||
Reserve amount | R$ 632000 | R$ 36000 | 18,000 | ||||||||||||||
Exercise price (in Brazil Real per share) | R$ 0.01 | ||||||||||||||||
Percentage of closing price | 80% | ||||||||||||||||
Shares issued percentage | 2% | ||||||||||||||||
Description of options granted | 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 B8, C8, B9 and C9 series: (a) expectation of dividends of 1.28% (series 8) and 1.20% (series 9); (b) expectation of volatility nearly 37.06% (series 8) and 37.29% (series 9); (c) the weighted average interest rate without risk of 7.66% (series 8) and 12.18% (series 9), and (d) exit rate of approximately 8.00% in both series. The expectation of remaining average life of the series outstanding as of December 31, 2022 is 17 months (series 8) and 29 months (series 9). The weighted average fair value of options granted as of December 31, 2022 was R$17.21 and R$7.69 (B8 and C8, respectively), and R$15.27 and R$7.35 (B9 and C9, respectively). | ||||||||||||||||
Amounts recorded in statement of operation | R$ 14000 | 2,000 | |||||||||||||||
Related executives | R$ 525 | R$ 525 | |||||||||||||||
Volatility expectation percentage | 37.09% | ||||||||||||||||
Weighted average interest rate | 5.47% | ||||||||||||||||
Remaining average life | 10 months 17 days | 4 months 28 days | 1 year 21 days | ||||||||||||||
Weighted average fair value at measurement date, share options granted | R$ 58780 | R$ 58780 | R$ 54590 | ||||||||||||||
Number of shares outstanding (in Shares) | 525,000 | 931,000 | |||||||||||||||
Annual General Meeting [Member] | |||||||||||||||||
Shareholders' equity (Details) [Line Items] | |||||||||||||||||
Annual dividend percentage | 25% | ||||||||||||||||
Board of Directors [Member] | |||||||||||||||||
Shareholders' equity (Details) [Line Items] | |||||||||||||||||
Number of shares issued (in Shares) | 298,919 | 181,920 | 650,808 | 1,119,515 | 239,755 | ||||||||||||
Capital stock increase amount | R$ 2000 | R$ 2000 | R$ 3000 | R$ 3000 | R$ 1000 | ||||||||||||
Related Parties [Member] | |||||||||||||||||
Shareholders' equity (Details) [Line Items] | |||||||||||||||||
Related executives | R$ 407 | ||||||||||||||||
B6 and C6 Series [Member] | |||||||||||||||||
Shareholders' equity (Details) [Line Items] | |||||||||||||||||
Annual dividend percentage | 0.67% | ||||||||||||||||
Volatility expectation percentage | 32.74% | ||||||||||||||||
Weighted average interest rate | 7.32% |
Shareholders' equity (Details)
Shareholders' equity (Details) - Schedule of company’s shareholding structure is as follows - shares | 11 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Shareholders' equity (Details) - Schedule of company’s shareholding structure is as follows [Line Items] | |||
Number of shares | 1,341,757,835 | 1,349,165,394 | 1,346,674,477 |
Participation | 100% | 100% | 100% |
Controlling Shareholder [Member] | |||
Shareholders' equity (Details) - Schedule of company’s shareholding structure is as follows [Line Items] | |||
Number of shares | 1,341,757,835 | 411,582,865 | 557,857,105 |
Participation | 100% | 30.51% | 41.42% |
Outstanding Shares [Member] | |||
Shareholders' equity (Details) - Schedule of company’s shareholding structure is as follows [Line Items] | |||
Number of shares | 937,582,529 | 788,817,372 | |
Participation | 69.49% | 58.58% |
Shareholders' equity (Details_2
Shareholders' equity (Details) - Schedule of management proposed dividends to be distributed, considering the anticipation of interest on own capital to its shareholders R$ in Millions, $ in Millions | 11 Months Ended | 12 Months Ended | |||
Dec. 31, 2020 BRL (R$) | Dec. 31, 2020 USD ($) | Dec. 31, 2022 BRL (R$) | Dec. 31, 2021 BRL (R$) | Dec. 31, 2020 BRL (R$) | |
Schedule Of Management Proposed Dividends To Be Distributed Considering The Anticipation Of Interest On Own Capital To Its Shareholders Abstract | |||||
Net income for the year | R$ 1398 | $ 1,398 | R$ 1220 | R$ 1610 | R$ 1556 |
Tax incentive reserve | 753 | 709 | |||
Base for legal reserve | R$ 1398 | $ 1,398 | R$ 467 | R$ 901 | |
% Legal reserve | 5% | 5% | 5% | 5% | |
Legal reserve for the year | R$ 5 | $ 5 | R$ 23 | R$ 5 | |
Minimum mandatory dividends - 25% | 349 | 111 | 224 | ||
Interest on own capital paid/payable intermediaries (i) | 264 | 43 | 56 | 264 | |
Minimum mandatory dividends paid in the form of interest on shareholder´s equity | R$ 85 | R$ 68 | R$ 168 | R$ 85 |
Shareholders' equity (Details_3
Shareholders' equity (Details) - Schedule of management proposed dividends to be distributed, considering the anticipation of interest on own capital to its shareholders (Parentheticals) | 11 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule Of Management Proposed Dividends To Be Distributed Considering The Anticipation Of Interest On Own Capital To Its Shareholders Abstract | |||
Mandatory dividends | 25% | 25% | 25% |
Shareholders' equity (Details_4
Shareholders' equity (Details) - Schedule of profit reserve R$ in Millions, $ in Millions | 11 Months Ended | 12 Months Ended | |||
Dec. 31, 2020 BRL (R$) | Dec. 31, 2020 USD ($) | Dec. 31, 2022 BRL (R$) | Dec. 31, 2021 BRL (R$) | Dec. 31, 2020 BRL (R$) | |
Schedule Of Profit Reserve Abstract | |||||
Net income for the year | R$ 1398 | $ 1,398 | R$ 1220 | R$ 1610 | R$ 1556 |
Tax incentive reserve | 753 | 709 | |||
Base for legal reserve | R$ 1398 | $ 1,398 | R$ 467 | R$ 901 | |
% Legal reserve | 5% | 5% | 5% | 5% | |
Legal reserve for the year | R$ 5 | $ 5 | R$ 23 | R$ 5 |
Shareholders' equity (Details_5
Shareholders' equity (Details) - Schedule of option plan and compensation plan | 12 Months Ended |
Dec. 31, 2022 $ / shares shares | |
Shareholders' equity (Details) - Schedule of option plan and compensation plan [Line Items] | |
Grantees | 4,813 |
Exercised | (104) |
Cancelled | (58) |
Current | 4,651 |
B8 [Member] | |
Shareholders' equity (Details) - Schedule of option plan and compensation plan [Line Items] | |
Grant date | May 31, 2021 |
1st exercise date | Jun. 01, 2024 |
Strike price on the grant date (in reais) (in Dollars per share) | $ / shares | $ 0.01 |
Grantees | 363 |
Exercised | (20) |
Cancelled | (29) |
Current | 314 |
C8 [Member] | |
Shareholders' equity (Details) - Schedule of option plan and compensation plan [Line Items] | |
Grant date | May 31, 2021 |
1st exercise date | Jun. 01, 2024 |
Strike price on the grant date (in reais) (in Dollars per share) | $ / shares | $ 13.39 |
Grantees | 363 |
Exercised | (20) |
Cancelled | (29) |
Current | 314 |
B9 [Member] | |
Shareholders' equity (Details) - Schedule of option plan and compensation plan [Line Items] | |
Grant date | May 31, 2022 |
1st exercise date | Jun. 01, 2025 |
Strike price on the grant date (in reais) (in Dollars per share) | $ / shares | $ 0.01 |
Grantees | 2,163 |
Exercised | (32) |
Cancelled | |
Current | 2,131 |
C9 [Member] | |
Shareholders' equity (Details) - Schedule of option plan and compensation plan [Line Items] | |
Grant date | May 31, 2022 |
1st exercise date | Jun. 01, 2025 |
Strike price on the grant date (in reais) (in Dollars per share) | $ / shares | $ 12.53 |
Grantees | 1,924 |
Exercised | (32) |
Cancelled | |
Current | 1,892 |
Shareholders' equity (Details_6
Shareholders' equity (Details) - Schedule of dilutive effect on options granted | 12 Months Ended |
Dec. 31, 2022 shares | |
Schedule Of Dilutive Effect On Options Granted Abstract | |
Number of shares | 1,349,165 |
Balance of effective stock options granted | 4,651 |
Maximum percentage of dilution | 0.34% |
Shareholders' equity (Details_7
Shareholders' equity (Details) - Schedule of weighted average fair value of options granted - R$ / shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule Of Weighted Average Fair Value Of Options Granted Abstract | ||
Shares, As of beginning balance | 668,000 | |
Weighted average of exercise price, As of beginning balance | R$ 670 | |
Weighted average of remaining contractual term, As of beginning balance | ||
As of December 31, 2021 | ||
Shares, Granted in the year | 4,087,000 | 726,000 |
Weighted average of exercise price, Granted in the year | R$ 5.9 | R$ 670 |
Shares, Cancelled in the year | (58,000) | |
Weighted average of exercise price, Cancelled in the year | R$ 670 | |
Shares, Outstanding at year end | 4,651,000 | 668,000 |
Weighted average of exercise price, Outstanding at year end | R$ 6.01 | R$ 670 |
Weighted average of remaining contractual term, Outstanding at year end | 2 years 3 months 10 days | 242 years |
Shares, Total to be exercised as of ending balance | 4,651,000 | 668,000 |
Weighted average of exercise price, Total to be exercised as of ending balance | R$ 6.01 | R$ 670 |
Weighted average of remaining contractual term, Total to be exercised as of ending balance | 2 years 3 months 10 days | 242 years |
Shares, Exercised in the year | (104,000) | |
Weighted average of exercise price | R$ 6.01 |
Shareholders' equity (Details_8
Shareholders' equity (Details) - Schedule of spin-off from GPA, certain company executives received compensation in the form of GPA stock options - R$ / shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | ||
Shareholders' equity (Details) - Schedule of spin-off from GPA, certain company executives received compensation in the form of GPA stock options [Line Items] | |||
Grantees | 9,955,000 | 15,895,000 | |
Exercised | (5,489,000) | (7,340,000) | |
Cancelled | (2,058,000) | (1,150,000) | |
Outstanding | (208,000) | (345,000) | |
Current | 2,200,000 | 7,060,000 | |
B5 [Member] | |||
Shareholders' equity (Details) - Schedule of spin-off from GPA, certain company executives received compensation in the form of GPA stock options [Line Items] | |||
Grant date | May 31, 2018 | ||
1st exercise date | May 31, 2021 | ||
Strike price on the grant date (in Brazil Real per share) | R$ 0.01 | ||
Grantees | 2,970,000 | ||
Exercised | (2,640,000) | ||
Cancelled | (245,000) | ||
Outstanding | (85,000) | ||
Current | |||
C5 [Member] | |||
Shareholders' equity (Details) - Schedule of spin-off from GPA, certain company executives received compensation in the form of GPA stock options [Line Items] | |||
Grant date | May 31, 2018 | ||
1st exercise date | May 31, 2021 | ||
Strike price on the grant date (in Brazil Real per share) | R$ 47.19 | ||
Grantees | 2,970,000 | ||
Exercised | (2,410,000) | ||
Cancelled | (300,000) | ||
Outstanding | (260,000) | ||
Current | |||
B6 [Member] | |||
Shareholders' equity (Details) - Schedule of spin-off from GPA, certain company executives received compensation in the form of GPA stock options [Line Items] | |||
Grant date | [1] | May 31, 2019 | May 31, 2019 |
1st exercise date | [1] | May 31, 2022 | May 31, 2022 |
Strike price on the grant date (in Brazil Real per share) | [1] | R$ 0.01 | R$ 0.01 |
Grantees | [1] | 2,310,000 | 2,310,000 |
Exercised | [1] | (2,005,000) | (645,000) |
Cancelled | [1] | (174,000) | (165,000) |
Outstanding | [1] | (131,000) | |
Current | [1] | 1,500,000 | |
C6 [Member] | |||
Shareholders' equity (Details) - Schedule of spin-off from GPA, certain company executives received compensation in the form of GPA stock options [Line Items] | |||
Grant date | [1] | May 31, 2019 | May 31, 2019 |
1st exercise date | [1] | May 31, 2022 | May 31, 2022 |
Strike price on the grant date (in Brazil Real per share) | [1] | R$ 53.23 | R$ 53.23 |
Grantees | [1] | 1,795,000 | 1,795,000 |
Exercised | [1] | (952,000) | (610,000) |
Cancelled | [1] | (766,000) | (210,000) |
Outstanding | [1] | (77,000) | |
Current | [1] | 975,000 | |
B7 [Member] | |||
Shareholders' equity (Details) - Schedule of spin-off from GPA, certain company executives received compensation in the form of GPA stock options [Line Items] | |||
Grant date | [2] | Jan. 31, 2021 | Jan. 31, 2021 |
1st exercise date | [2] | May 31, 2023 | May 31, 2023 |
Strike price on the grant date (in Brazil Real per share) | [2] | R$ 0.01 | R$ 0.01 |
Grantees | [2] | 3,365,000 | 3,365,000 |
Exercised | [2] | (1,726,000) | (515,000) |
Cancelled | [2] | (523,000) | (115,000) |
Outstanding | [2] | ||
Current | [2] | 1,116,000 | 2,735,000 |
C7 [Member] | |||
Shareholders' equity (Details) - Schedule of spin-off from GPA, certain company executives received compensation in the form of GPA stock options [Line Items] | |||
Grant date | [2] | Jan. 31, 2021 | Jan. 31, 2021 |
1st exercise date | [2] | May 31, 2023 | May 31, 2023 |
Strike price on the grant date (in Brazil Real per share) | [2] | R$ 38.58 | R$ 38.58 |
Grantees | [2] | 2,485,000 | 2,485,000 |
Exercised | [2] | (806,000) | (520,000) |
Cancelled | [2] | (595,000) | (115,000) |
Outstanding | [2] | ||
Current | [2] | 1,084,000 | 1,850,000 |
[1]From this total, 407 thousand are related to Company’s executives in 2021.[2]From this total, 525 thousand are related to Company’s executives in 2022 and 2021. |
Shareholders' equity (Details_9
Shareholders' equity (Details) - Schedule of number of options granted, the weighted average of the exercise price and the weighted average of the remaining term - R$ / shares | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Schedule Of Number Of Options Granted The Weighted Average Of The Exercise Price And The Weighted Average Of The Remaining Term Abstract | ||||
Total to be exercised, Shares | 2,200,000 | 7,060,000 | 1,468,000 | 2,153,000 |
Total to be exercised, Weighted average exercise price | R$ 18.97 | R$ 17.45 | R$ 30.71 | R$ 30.25 |
Total to be exercised, Weighted average remaining term | 4 months 28 days | 1 year 21 days | 10 months 17 days | 1 year 6 months |
Total exercised on December 31, 2020 considering split effect, Shares | 7,340,000 | |||
Total exercised on December 31, 2020 considering split effect, Weighted average exercise price | R$ 6.14 | |||
Total exercised on December 31, 2020 considering split effect, Weighted average remaining term | 10 months 17 days | |||
Granted in the year, Shares | 6,125,000 | |||
Granted in the year, Weighted average exercise price | R$ 16.86 | |||
Granted in the year, Weighted average remaining term | ||||
Canceled in the year, Shares | (1,455,000) | (270,000) | (70,000) | |
Canceled in the year, Weighted average exercise price | R$ 33.14 | R$ 22.36 | R$ 42.59 | |
Canceled in the year, Weighted average remaining term | ||||
Exercised in the year, Shares | (3,199,000) | (5,785,000) | (489,000) | |
Exercised in the year, Weighted average exercise price | R$ 9.14 | R$ 22.76 | R$ 23.93 | |
Exercised in the year, Weighted average remaining term | ||||
Expired in the year, Shares | (206,000) | (350,000) | (126,000) | |
Expired in the year, Weighted average exercise price | R$ 19.29 | R$ 35.3 | R$ 42.44 | |
Expired in the year, Weighted average remaining term | ||||
Outstanding at year end, Shares | 2,200,000 | 7,060,000 | 1,468,000 | |
Outstanding at year end, Weighted average exercise price | R$ 18.97 | R$ 17.45 | R$ 30.71 | |
Outstanding at year end, Weighted average remaining term | 4 months 28 days | 1 year 21 days |
Net Operating Revenue (Details)
Net Operating Revenue (Details) - Schedule of revenues earned are stated on a net basis - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Gross operating revenue | |||
Goods | R$ 59510 | R$ 45550 | R$ 39436 |
Services rendered and others | 174 | 111 | 100 |
Total | 59,684 | 45,661 | 39,536 |
(-) Revenue deductions | |||
Returns and sales cancellation | (109) | (76) | (73) |
Taxes | (5,055) | (3,687) | (3,420) |
Total | (5,164) | (3,763) | (3,493) |
Net operating revenue | R$ 54520 | R$ 41898 | R$ 36043 |
Expenses by nature (Details) -
Expenses by nature (Details) - Schedule of general and administrative expenses - BRL (R$) R$ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Expenses by nature (Details) - Schedule of general and administrative expenses [Line Items] | |||
Operating expense | R$ 50723 | R$ 38675 | R$ 33375 |
Cost of sales | (45,557) | (34,753) | (30,129) |
Selling expenses | (4,379) | (3,334) | (2,811) |
General and administrative expenses | (787) | (588) | (435) |
Total operating expense | (50,723) | (38,675) | (33,375) |
Inventory cost [Member] | |||
Expenses by nature (Details) - Schedule of general and administrative expenses [Line Items] | |||
Operating expense | (44,809) | (34,163) | (29,641) |
Personnel expenses [Member] | |||
Expenses by nature (Details) - Schedule of general and administrative expenses [Line Items] | |||
Operating expense | (3,358) | (2,512) | (2,135) |
Outsourced services [Member] | |||
Expenses by nature (Details) - Schedule of general and administrative expenses [Line Items] | |||
Operating expense | (264) | (251) | (224) |
Selling expenses [Member] | |||
Expenses by nature (Details) - Schedule of general and administrative expenses [Line Items] | |||
Operating expense | (875) | (646) | (511) |
Functional expenses [Member] | |||
Expenses by nature (Details) - Schedule of general and administrative expenses [Line Items] | |||
Operating expense | (883) | (664) | (600) |
Other expenses [Member] | |||
Expenses by nature (Details) - Schedule of general and administrative expenses [Line Items] | |||
Operating expense | R$ 534 | R$ 439 | R$ 264 |
Other operating expenses, net_2
Other operating expenses, net (Details) - Schedule of other operating expenses, net - BRL (R$) R$ in Millions | 11 Months Ended | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Schedule Of Other Operating Expenses Net Abstract | |||||
Result with property, plant and equipment | R$ 42 | R$ 34 | R$ 12 | ||
(Provision) reversal for legal proceedings | (18) | (19) | 9 | ||
Restructuring expenses and others (i) | [1] | (71) | (33) | (74) | |
Covid-19 spending on prevention | (134) | ||||
Indemnity assets | 168 | 14 | |||
Total | R$ 97 | R$ 72 | R$ 53 | R$ 97 | |
[1] Refers primarily to expenses with the spin-off and acquisition of Extra Hiper stores with payments of legal fees, property appraisal and due diligence. |
Net financial result (Details)
Net financial result (Details) - Schedule of net financial result - BRL (R$) R$ in Millions | 11 Months Ended | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financial revenues | ||||
Total financial revenues | R$ 343 | R$ 394 | R$ 188 | R$ 343 |
Financial expenses | ||||
Total financial expenses | (786) | (1,909) | (918) | |
Total net financial result | (443) | (1,515) | (730) | |
Cash and cash equivalents interest [Member] | ||||
Financial revenues | ||||
Total financial revenues | 39 | 152 | 87 | |
Monetary correction (assets) [Member] | ||||
Financial revenues | ||||
Total financial revenues | 299 | 227 | 93 | |
Other financial revenues [Member] | ||||
Financial revenues | ||||
Total financial revenues | 5 | 15 | 8 | |
Cost of debt [Member] | ||||
Financial expenses | ||||
Total financial expenses | (474) | (896) | (543) | |
Cost and discount of receivables [Member] | ||||
Financial expenses | ||||
Total financial expenses | (31) | (97) | (51) | |
Monetary correction (liabilities) [Member] | ||||
Financial expenses | ||||
Total financial expenses | (11) | (401) | (13) | |
Interest on leasing liabilities [Member] | ||||
Financial expenses | ||||
Total financial expenses | (219) | (509) | (292) | |
Other financial expenses [Member] | ||||
Financial expenses | ||||
Total financial expenses | R$ 51 | R$ 6 | R$ 19 |
Earnings per share (Details)
Earnings per share (Details) | Aug. 11, 2021 shares |
Disclosure Of Earnings Per Share Text Block Abstract | |
Common shares | 269,299,859 |
Divided common shares | 1,346,499,295 |
Earnings per share (Details) -
Earnings per share (Details) - Schedule of basic and diluted earnings per share shares in Millions, R$ in Millions | 12 Months Ended | |||||
Dec. 31, 2022 BRL (R$) shares | Dec. 31, 2022 $ / shares shares | Dec. 31, 2021 BRL (R$) shares | Dec. 31, 2021 $ / shares shares | Dec. 31, 2020 BRL (R$) shares | Dec. 31, 2020 $ / shares shares | |
Basic number: | ||||||
Allocated basic earnings and not distributed – Continued operation | 1,220 | 1,220 | 1,610 | 1,610 | 1,189 | 1,189 |
Allocated basic earnings and not distributed – Discontinued operation | 209 | 209 | ||||
Net income allocated available to common shareholders | 1,220 | 1,220 | 1,610 | 1,610 | 1,398 | 1,398 |
Basic denominator (millions of shares) | ||||||
Weighted average of the number of shares | 1,348 | 1,344 | 1,340 | |||
Basic earnings per million shares (R$) – Continued operation (in Dollars per share) | $ / shares | $ 0.905322 | $ 1.19802 | $ 0.887313 | |||
Basic earnings per million shares (R$) – Attributable to controlling shareholders (in Dollars per share) | $ / shares | 0.905322 | 1.19802 | 1.043284 | |||
Diluted number: | ||||||
Allocated basic earnings and not distributed – Continued operation (in Brazil Real) | R$ | R$ 1220 | R$ 1610 | R$ 1189 | |||
Allocated basic earnings and not distributed – Discontinued operation (in Brazil Real) | R$ | 209 | |||||
Net income allocated available to common shareholders (in Brazil Real) | R$ | R$ 1220 | R$ 1610 | R$ 1398 | |||
Diluted denominator (millions of shares) | ||||||
Weighted average of the number of shares | 1,348 | 1,344 | 1,340 | |||
Stock option plan | 6 | 11 | ||||
Diluted weighted average of shares | 1,353 | 1,355 | 1,340 | |||
Diluted earnings per million shares (R$) – Continued operation (in Dollars per share) | $ / shares | 0.901589 | 1.18852 | 0.887313 | |||
Diluted earnings per million shares (R$) – Attributable to controlling shareholders (in Dollars per share) | $ / shares | $ 0.901589 | $ 1.18852 | $ 1.043284 |
Assets held for sale (Details)
Assets held for sale (Details) - Schedule of assets held for sale - BRL (R$) R$ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule of assets held for sale [Abstract] | ||
Sale and leaseback | R$ 147 | |
Extra Hiper stores | R$ 95 | 403 |
Total | R$ 95 | R$ 550 |
Assets held for sale (Details_2
Assets held for sale (Details) - Schedule of additions to assets held for sale for cash flow presentation purpose R$ in Millions | 12 Months Ended |
Dec. 31, 2022 BRL (R$) | |
Schedule of additions to assets held for sale for cash flow presentation purpose [Abstract] | |
Additions | R$ 797 |
Financing of assets – Additions | (797) |
Financing of assets – Payments | 250 |
Total | R$ 250 |
Segment information (Details)
Segment information (Details) | 11 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment information (Details) [Line Items] | |||
Number of operating segment | single | single | |
Net of revenue operating percentage | 56.30% | 55.20% | 56.60% |
Segment Information [Member] | |||
Segment information (Details) [Line Items] | |||
Number of operating segment | 2 | ||
Brazilian Regions [Member] | |||
Segment information (Details) [Line Items] | |||
Net of revenue operating percentage | 43.70% | 44.80% | 43.40% |
Discontinued Operation (Details
Discontinued Operation (Details) - Schedule of operations - Éxito [Member] R$ in Millions | 11 Months Ended |
Dec. 31, 2020 BRL (R$) | |
Discontinued operation | |
Net operating revenue | R$ 22034 |
Cost of sales | (16,526) |
Gross profit | 5,508 |
Expenses, net | |
Selling expenses | (2,973) |
General and administrative expenses | (848) |
Depreciation and amortization | (729) |
Share of profit (loss) of associates | 27 |
Other operating expenses, net | (217) |
Total expenses, net | (4,740) |
Operating profit | 768 |
Net financial result | (340) |
Income before income taxes discontinued operation | 428 |
Income tax and social contribution | (60) |
Net income discontinued operation | 368 |
Discontinued operation | |
Net income for the year discontinued operation | (1) |
Net income for the year | 367 |
Items that may be subsequently reclassified to statement of operations | |
Exchange rate variation of foreign Investments | (415) |
Benefit plan | (1) |
Cash flow rate | (1) |
Other comprehensive results | 3 |
Comprehensive income for the year | R$ 47 |
Discontinued Operation (Detai_2
Discontinued Operation (Details) - Schedule of condensed statement of cash flows - Éxito [Member] R$ / shares in Units, R$ in Millions | 11 Months Ended |
Dec. 31, 2020 BRL (R$) R$ / shares | |
Net cash flow: | |
Operational activities | R$ 1349 |
Investment activities | (4,075) |
Financing activities | (1,012) |
Exchange rate variation on cash and cash equivalents | 587 |
Net cash (used) generated | R$ 3151 |
Earnings per share: | |
Diluted and Basic, discontinued operation (in Brazil Real per share) | R$ / shares | R$ 0.8214 |
Discontinued operation segment: | |
Net sales | R$ 22034 |
Gross profit | 5,508 |
Depreciation and amortization | (729) |
Share of profit and loss of associate | 27 |
Operating profit | 768 |
Net financial result | (340) |
Income before income taxes | 428 |
Income taxes and social contribution | (60) |
Profit continued operation | 368 |
Loss (income) discontinued operation | (1) |
Net income for the year | 367 |
Current assets | 8,014 |
Non-current assets | 18,930 |
Current liabilities | 9,729 |
Non-current liabilities | 3,620 |
Shareholder´s equity | R$ 13595 |
Subsequent events (Details)
Subsequent events (Details) | 1 Months Ended |
Feb. 15, 2023 USD ($) shares | |
Disclosure Of Events After Reporting Period Text Block Abstract | |
Capital increase | $ | $ 1 |
Issuance common shares | shares | 59,870 |