Exchange rate fluctuations do not generate operational risks, because each subsidiary bills its revenues and incurs its expenses in the same currency.
| €1= | AVERAGE RATE FY 2024 | AVERAGE RATE FY 2023 | AVERAGE RATE FY 2024 VS. FY 2023 | CLOSING RATE AT 08/31/2024 | CLOSING RATE AT 08/31/2023 | CLOSING RATE 08/31/2024 VS. 08/31/2023 |
|---|---|---|---|---|---|---|
| U.S. dollar | U.S. dollarAVERAGE RATE FY 2024 1.082 |
U.S. dollarAVERAGE RATE FY 2023 1.059 |
U.S. dollarAVERAGE RATE FY 2024 VS. FY 2023 -2.1% |
U.S. dollarCLOSING RATE AT 08/31/2024 1.109 |
U.S. dollarCLOSING RATE AT 08/31/2023 1.087 |
U.S. dollarCLOSING RATE 08/31/2024 VS. 08/31/2023 -2.0% |
| Pound Sterling | Pound SterlingAVERAGE RATE FY 2024 0.857 |
Pound SterlingAVERAGE RATE FY 2023 0.871 |
Pound SterlingAVERAGE RATE FY 2024 VS. FY 2023 +1.6% |
Pound SterlingCLOSING RATE AT 08/31/2024 0.841 |
Pound SterlingCLOSING RATE AT 08/31/2023 0.857 |
Pound SterlingCLOSING RATE 08/31/2024 VS. 08/31/2023 +1.9% |
| Brazilian real | Brazilian realAVERAGE RATE FY 2024 5.543 |
Brazilian realAVERAGE RATE FY 2023 5.403 |
Brazilian realAVERAGE RATE FY 2024 VS. FY 2023 -2.5% |
Brazilian realCLOSING RATE AT 08/31/2024 6.216 |
Brazilian realCLOSING RATE AT 08/31/2023 5.308 |
Brazilian realCLOSING RATE 08/31/2024 VS. 08/31/2023 -14.6% |
The 1.8% negative impact of currencies Fiscal 2024 revenues is linked to the appreciation of the euro, notably against the U.S. dollar during the first half of the fiscal year. The euro has been stable since the end of the first half Fiscal 2024 and therefore the currency impact remains negative for the entire year. On the other hand, the Brazilian real weakened in the last quarter, explaining a negative impact in the second half. The impact of currency mix on the Underlying operating margin was negligible.
The Group operates in 45 countries. The percentage of total revenues and Underlying operating profit denominated in the main currencies are as follows:
| FISCAL 2024 | % OF REVENUES | % OF UNDERLYING OPERATING PROFIT |
|---|---|---|
| U.S. dollar | U.S. dollar% OF REVENUES 44% |
U.S. dollar% OF UNDERLYING OPERATING PROFIT 60% |
| Euro | Euro % OF REVENUES23% |
Euro % OF UNDERLYING OPERATING PROFIT2% |
| UK pound Sterling | UK pound Sterling% OF REVENUES 8% |
UK pound Sterling% OF UNDERLYING OPERATING PROFIT 8% |
| Brazilian real | Brazilian real% OF REVENUES 4% |
Brazilian real% OF UNDERLYING OPERATING PROFIT 6% |
The currency effect is determined by applying the previous year's average exchange rates to the current year figures.
Looking ahead to Fiscal Year 2025, we anticipate sustained growth and continued margin improvement.
Growth will be driven by:
We will drive further efficiencies and support margin improvement by our disciplined commercial approach, investments in data and digital, supply management optimization, deployment of our branded offers, and scaling of new production and distribution models, combined with rigorous cost control and reinforced efficiency of our support services.
As a result, the Group guidance for Fiscal 2025 is as follows:
No major events have occurred since the closing of Fiscal year 2024.
The blended cost of debt is calculated at period end and is the weighted blended financing rate on borrowings (including derivative financial instruments and commercial papers) and cash pooling balances at period end.
Please refer to Chapter 4, note 4.3.1.
Please refer to the section entitled Consolidated financial position.
