EL PUERTO DE LIVERPOOL, S.A.B. DE C.V.
FIRST QUARTER 2013 PRESS RELEASE
Mexico's economic activity was the result of a mixed behavior in its principal indicators during the
first quarter of 2013, attributable primarily to the moderation observed in the pace of growth during
the second half of 2012, specifically during fourth quarter. This situation was reflected in a less
favorable business environment and in a sluggish performance in the retail sector.
El Puerto de Liverpool, S.A.B. de C.V. (“Liverpool” or “the Company) presents the following results
for the period from January 1 through March 31, 2013:

Total income grew by 11.6%.

Operating income increased by 4.6%.

EBITDA grew by 7.9%.

Net profit increased by 1.0%.
Financial Highlights
(Figures in millions of Mexican pesos from January 1 through March 31, 2013 and 2012)
2013
2012
Var%
Total income
14,100
12,638
11.6%
Retail
11,948
10,761
11.0%
Credit
1,593
1,398
14.0%
559
479
16.7%
Cost of sales
8,474
7,687
10.2%
S,G & A
4,398
3,747
17.4%
Operating income
1,273
1,217
4.6%
965
955
1.0%
1,688
1,564
7.9%
Real estate
Net profit
EBITDA
OPERATIONS
Total income obtained during first quarter 2013 amounted to $14,100 million pesos, representing an
increase of 11.6% with respect to first quarter 2012. Behavior by line of business is described as
follows:
1. Retail Sales
During first quarter 2013, income obtained from retail sales amounted to $11,948 million pesos.
Same store sales grew 5.0% compared to the same period of the prior year and by 11.0% for total
sales.
It is important to mention that during first quarter 2012, sales were strengthened by an intense
advertising campaign designed to mark down fall and winter merchandise that stayed behind in the
inventory as a result of a winter that was both shorter and milder than expected. This situation did
not repeat itself in 2013, thanks to better planning of inventories.
2. Interest
Income related to the Liverpool credit cards amounted to $1,593 million pesos during first quarter
2013.
This was 14.0% higher than the income obtained during the same period in 2012.
Additionally, more than 32,600 new accounts were added during the quarter, reaching a total of
3.15 million cards issued.
At the end of first quarter 2013, payments made with the Liverpool credit card comprised 45.9% of
total sales, 2.8 percentage points higher than in 2012.
3. Leasing
Leasing income from the shopping malls owned by the Company amounted to $559 million pesos
during the first three months of 2013, representing an increase of 16.7% in comparison to the same
period in the prior year. This growth was generated primarily by the incorporation of three shopping
malls (opened during 2012) into the portfolio, as well as by key money paid by the new tenants.
It is important to mention that the demand for new retail spaces continues to grow, and that the
average occupancy rate remains steady at levels of 97% at the end of first quarter 2013, which is
three percentage points higher than during the same period in 2012.
Cost of Sales and Gross Margin
Cost of sales increased by 10.2% in the first quarter of 2013, while the gross margin was 39.9%, 70
bps higher than the margin recorded in the period from January through March of 2012. This
improvement in margin was achieved by better planning of inventories, as mentioned in the
section,Retail Sales.
S, G & A
In comparison with the same period in 2012, operating expenses increased by 17.4% during the
first three months of 2013, primarily as the result of a higher level of expenses related to the 2012
expansion plan, which contemplated the opening of nine new stores and three shopping malls, and
also because of an increase in the reserve for bad debts.
Operating Income
In the first quarter of 2013, operating income was $1,273 million, which was 4.6% more than the
one obtained during the same period in 2012. The operating margin for this period was 9.0%.
Financing Expenses
During the first quarter of 2013, net financing expenses were 34.5% higher than the amount
recorded in the same period in the prior year. This behavior is attributed primarily to the increase in
the caption of interest paid on the issues of debt certificates on March 29, 2012.
EBITDA
EBITDA amounted to $1,688 million pesos in the quarter, which is 7.9% higher than the prior year.
EBITDA margin was 12.0% for the quarter. In perspective, last twelve months EBITDA was $11,893
million, and the margin for the same period was 17.6%.
Net Profit
As a result of all of the foregoing, net profit reached during the first quarter of 2013 amounted to .
$965 million, which is 1.0% higher than the income obtained during the same period in the prior
year.
BALANCESHEET
Cash and Short-term Investments
The balance of this account at the end of the quarter amounted to $2,341 million pesos, which is
$2,667 million pesos less than the $5,008 million pesos recorded at 1Q12. These proceeds will be
added to the resources utilized to continue with the Company's expansion program for 2013.
Loan Book
The total portfolio amounted to $22,303 million at the end of the quarter, for a growth of 20.6% with
respect to the same date the prior year. The percentage of non-performing loans was 3.0% of the
total portfolio.
Inventories
The balance of inventories as of 1Q13 was $11,704 million pesos, which is 5.8% higher than the
one recorded for the same period in the prior year. This increase is due primarily to the inventory
required for the operation of the stores opened in 2012.
Suppliers
The suppliers account amounted to $9,700 million, which is 19.1% higher than the same period the
prior year, improving the working capital by growing at a quicker rhythm than inventories did. At the
end of the quarter, some 82.9% of the inventories were financed by the payables, as compared to
the 73.6% recorded in the prior year.
Debt
As of March 31, 2013, the Company's cost-bearing debt remained at $12,921 million pesos,
representing a debt to EBITDA ratio of 1.1 for thet last twelve months.
Expansion and Recent Events
During the quarter to which this report refers, a Liverpool store was opened in the city of Mazatlan,
Sinaloa, while one Fabricas de Francia store was closed, keeping the number of stores in operation
at 99. The Company's expansion plan for the remainder of 2013 contemplates the opening of four
more stores and of three more shopping malls.
The General Stockholders' Meeting held on March 7, 2013 declared a dividend of $0.73 pesos on
the 1,342,196,100 outstanding shares representing the Company's capital stock. The dividend
totaled $980 million pesos and will be paid in two installments, the first being May 3, 2013.
Analysts' Coverage
In compliance with the Mexican Securities Market Act, the Company hereby discloses the list of
institutions and financial groups that analyze Liverpool's shares:
Actinver
BBVA Bancomer
Bx+
Deutsche Bank
GBM
Itaú BBA
Santander
Company Profile
El Puerto de Liverpool, S.A.B. de C.V. is the largest full-scale department store Company in Mexico,
with 99 units in operation, under three different brand names: Liverpool; Fábricas de Francia; and
Liverpool Duty Free.
The Company has more than 1.3 million square meters of sales floor space and is present in 56
cities throughout the Mexican Republic.
Its real estate operations are supported by 19 shopping malls in 13 different Mexican cities, in which
Liverpool has more than 336 thousand square meters of rentable space.
Liverpool is Mexico's third-largest issuer of credit cards, with more than 3.15 million cards in
circulation.
Contacts
Investor Relations Department:
José Antonio Diego M.
[email protected]
5268 3262
Alberto Bercowsky G.
[email protected]
5268 3475
Address: Mario Pani 200, Col. Santa Fe, México D.F. 05109
CONSOLIDATED INCOME STATEMENT
(MILLIONS OF PESOS)
REVENUES
2013
1 QTR
2012
%
1 QTR
%
14,100
100.0
12,638
100.0
11,936
84.7
10,741
85.0
1,593
11.3
1,398
11.1
559
4.0
479
3.8
12
0.1
19
0.2
COST OF SALES
8,474
60.1
7,687
60.8
GENERAL EXPENSES
4,398
31.2
3,747
29.6
PROFIT (LOSS) BEFORE OTHER INCOME (EXPENSE), NET
1,229
8.7
1,204
9.5
44
0.3
13
0.1
1,273
9.0
1,217
9.6
-187
-1.3
-139
-1.1
143
1.0
138
1.1
1,228
8.7
1,216
9.6
264
1.9
261
2.1
965
6.8
955
7.6
1,688
12.0
1,564
12.4
SALE OF GOODS
INTERESTS
LEASES
SERVICES
OTHER INCOME (EXPENSE), NET
OPERATING PROFIT (LOSS)
FINANCE INCOME (COSTS), NET
SHARE OF PROFIT (LOSS) OF ASSOCIATES AND JOINT VENTURES
PROFIT (LOSS) BEFORE INCOME TAX
INCOME TAX EXPENSE
PROFIT (LOSS), ATTRIBUTABLE TO NON-CONTROLLING INTERESTS
PROFIT (LOSS), ATTRIBUTABLE TO OWNERS OF PARENT
EARNINGS BEFORE INTERESTS, TAXES, DEPRECIATION AND AMORTIZATION
BALANCE SHEET
0.4
1Q 2013
0.8
1Q 2012
(MILLIONS OF PESOS)
TOTAL ASSETS
85,057
75,701
TOTAL CURRENT ASSETS
33,205
32,056
CASH AND CASH EQUIVALENTS & SHORT-TERM INVESTMENTS
2,341
5,008
TRADE RECEIVABLES (NET)
16,842
14,060
INVENTORIES
11,704
11,061
2,318
1,926
51,852
43,645
OTHER CURRENT ASSETS
TOTAL NON-CURRENT ASSETS
ACCOUNTS RECEIVABLE, NET
5,654
4,592
PROPERTY, PLANT AND EQUIPMENT, NET
26,911
23,253
INVESTMENT PROPERTY
12,642
10,315
INTANGIBLE ASSETS,NET
1,560
1,009
INVESTMENTS IN ASSOCIATES AND JOINT VENTURES
3,666
3,246
OTHER INVESTMENTS
645
614
OTHER NON-CURRENT ASSETS
774
616
TOTAL LIABILITIES
35,535
32,366
TOTAL CURRENT LIABILITIES
17,559
15,108
TRADE PAYABLES
9,700
8,145
OTHER CURRENT LIABILITIES
7,859
6,963
TOTAL NON-CURRENT LIABILITIES
17,977
17,258
LONG TERM DEBT
12,921
12,921
4,277
3,706
779
631
TOTAL EQUITY
49,522
43,335
EQUITY ATTRIBUTABLE TO OWNERS OF PARENT
49,520
43,333
2.4
2.1
DEFERRED TAX LIABILITIES
OTHER NON-CURRENT LIABILITIES
NON-CONTROLLING INTERESTS