Presentación de PowerPoints2.q4cdn.com/740885614/files/doc_financials/2016/Q4/Earnings-Presentation-4Q16-ENG.pdfPerformance of Financial Services 4th Quarter LOAN PORTFOLIO1 PROVISIONS

Highlights

Performance by Business

Balance Sheet Financials

Closing Comments

AGENDA

3

Full Year Highlights

2015 2016

2015 2016

10,333,00110,991,338

REVENUES

-6.0%

ADJUSTED EBITDA

NET PROFIT

2015 2016

765,955

684,467 +11.9%

Mg 6.2% 7.4%

231,985

387,798

+67.2%

+7,8%

+27.9%

+119.0% 3.8%2.1%

Resilient revenue growth in Chile namely Department Stores,

Home Improvement and Supermarkets. In local currency, revenues

grew across all countries except Brazil and same store sales (SSS)

improved in most markets and businesses, compared to 2015.

Excluding FX effects, profitability in Chile, Argentina, Peru and

Colombia remained strong (up double digit YoY in Argentina and

Peru)

At a consolidated level, Financial Services and Department Stores

stood out in terms of revenues, up 7.2% YoY

In terms of Adjusted EBITDA, Cencosud reported a 11.9% growth

YoY reflecting currency depreciation and macroeconomic

slowdown and Adjusted EBITDA margin expanded 119 basis points

Proforma growth at constant Exchange Rate as of December 2015.

Figures denominated in CLP MM

4

4Q15 4Q16

4Q15 4Q16

4Q15 4Q16

Fourth Quarter Highlights

-6.5%3,048,854 2,850,956

REVENUES

284,403220,313

-22.5%

ADJUSTED EBITDA

187,536

157,453

NET PROFIT

Mg 9.3% 7.7%

+6.9%

-11.6%

+13.7%

-16.0%

5.5%6.2%Mg

Despite a challenging macro environment with FX headwinds and

particular events in some markets, Cencosud’s financial results

remained healthy year over year.

Chile and Colombia remain strong and healthy reporting revenue

growth driven by positive SSS in Supermarkets and Home

Improvement. In local currency we had positive revenue growth

in all businesses across the region

In local currency Home Improvement and Financial Services

divisions stood out in terms of profitability with double digit

improvement YoY

SG&A remained practically unchanged YoY due to currency

depreciation, wage increases and utility tariffs in Argentina, Peru

and Colombia, and the tax reform for Shopping Centers in Chile

Net debt to EBITDA of 3.2X times in FY16 from 3.3X in FY15



AGENDA

Highlights



Closing Comments

6+88.5%

4Q15 4Q16

4Q15 4Q164Q15 4Q164Q15 4Q16 4Q15 4Q164Q15 4Q16

46,961

Performance by Business 4th Quarter

+4.7%

SUPERMARKETS HOME IMPROVEMENT

DEPARTMENT STORES

SHOPPING CENTERS

FINANCIAL SERVICES

REV

ENU

ESA

DJU

STE

D

EBIT

DA

2,159,5782,013,544

422,258359,634

-14.8%

+14.3% +5.6% +11.2% +50.8%

343,414 361,161+5.2% -6.1%

72,290 67,905+4.8%

49,215

4Q15 4Q16

160,057

120,166

4Q15 4Q16

66,66650,778

4Q15 4Q16

27,893 27,475

4Q15 4Q16

67,17348,197

-21.1% +0.3% -1.9% -15.0%

17,91322,929

-23.8%-1.5%

-28.2% +28,0%

-6.8%

-24.9

6.0%7.4%

14.1%15.8%7.6%8.1% 71.0%92.9% 46.6%38.1%



7

Chile Argentina Brazil Peru Colombia

4Q15

4Q16

Performance of Supermarkets 4th QuarterR

EVEN

UES

AD

JUS

TED

EB

ITD

A

• Revenue growth in local currency in all countries except Brazil and Peru• Revenues in CLP declined due to devaluation of ARS (38.5%), PEN (6.7%) & COP (2.9%)• SSS accelerated YoY in Chile (3.8%), Argentina (18.5%) and Colombia (3.3%) despite the

deterioration in consumption. Peru posted a flat SSS of 0.0% and Brazil -6.5%.• Brazil impacted by the moratorium of Rio de Janeiro and Minas Gerais states

• Adjusted EBITDA decreased by 24.9% in CLP, taking into account a high comparison base• Profitability contraction in Chile, Argentina, Brazil and Colombia due to higher promotional activity,

wages increases and increased utility prices• Peru’s gross margin growth partially offset by higher wages and energy costs

4Q15 4Q16

+4.7%

2,159,5782,013,544

4Q15 4Q16

160,057

120,166

-21.1%

+16.6% -6.3% -3.5% +4.7%

683,793 709,006602,847

434,118 401,503 418,946

245,321221,247 226,113 230,226

Mg 7.4% 6.0%

-6.8% -28.0%+4.3%

-9.8% +1.8%

-24.9%

+3.7%

+3.7%



8

4Q15 4Q16

422,258

359,634

-14.8%

+14,3%

4Q15 4Q16

66,66650,778

+0.3%

133,993

271,898

16,367

146,014

196,891

16,729

Chile Argentina Colombia

4Q15

4Q16

• Revenue growth in local currency across all countries• Chile posted gradual acceleration driven by better Retail sales and double-digit online sales• Argentina grew in local currency, driven by 15.0% SSS and one store opening• Colombia achieves positive SSS for nineth consecutive quarter

• Adjusted EBITDA, excluding FX fluctuations, increased across all countries of operations• In Chile an increase in retail sales drives margin expansion• In Argentina, higher adjusted EBITDA reflects operating efficiencies, partially offset by higher wages• Colombia posted a positive adjusted EBITDA contribution

-23.8%

+17.5%

-27.6%

+2,2%

+5.4%

Mg 15.8% 14.1%

REV

ENU

ESA

DJU

STE

D

EBIT

DA

Performance Home Improvement 4th Quarter

+9.0%

+9.0%



9

Chile Peru

4Q15

4Q16

4Q15 4Q16

+5.6%

343,414 361,161

+5.2%

4Q15 4Q16

27,893 27,475

-1.9%

• Revenue growth in local currency, both in Chile and Peru• Chile achieved a better performance in apparel and online sales• Peru reported negative SSS partially explained by weaker consumption and a high comparison base in

4Q15 (21%).• Adjusted EBITDA declined 1.5%, reflecting start-up costs of Jockey Plaza Peru and Portal La Dehesa Chile

• In Chile, adjusted EBITDA expands driven by continued growth in apparel, partially offset by start-upcosts of Portal La Dehesa

• In Peru, Adjusted EBITDA in local currency declined due to pre-operating expenses of the new store

-1.5%

+7.4%

+14.7%

Mg 8.1% 7.6%

REV

ENU

ESA

DJU

STE

D

EBIT

DA

323,550 339,831

19,864 21,330

Performance Department Stores 4th Quarter

+5.0%

+5.0%



10

Chile Argentina Peru Colombia

4Q15

4Q16

4Q15 4Q16

4Q15 4Q16+11.2%

-6.1%

72,290 67,905

67,173

48,197

-15.0%

• In local currency revenues grew in all countries• Adjusted EBITDA declined 31.8%, affected by currency depreciation against CLP and other

particular effects:• Profitability in Chile affected by higher expenses related to the Tax Reform• In Argentina, Adjusted EBITDA impacted by FX, wage increases and higher utility costs• Lower profitability in Peru in local currency due to a high comparison base (reversal of

provisions in 4Q15)• In Colombia, adjusted EBITDA expands 107% in local currency due to land tax refund and higher

gross margin

-28.2%

+3.3%

-23.4%

+2.0% +8.3%

+23.7% +9.3% +11.6%

Mg92.9% 70.0%

REV

ENU

ESA

DJU

STE

D

EBIT

DA

39,44940,753

25,555

19,584

5,125 5,2282,160 2,340

Performance of Shopping Centers 4th Quarter

+3.3%



11


4Q15

4Q16

4Q15 4Q16

46,961

+50.8%

+4.8%

49,215

4Q15 4Q16

17,91322,929

+88.5%

• Local currency revenues grew in Argentina and Peru, due to loan portfolio expansion• Adjusted EBITDA margin up YoY, reflecting improved operating performance in

Argentina• Business profitability declined due to higher risk charges, reflecting the economic

slowdown and higher unemployment• In Peru, risk increased as a result of loan portfolio growth, partially offset by a

higher expense dilution

+28.0%

+80.7% -110.7% +12.6% -49.7%

+11.0%

N.A.

+5.1%

-51.3%

REV

ENU

ESA

DJU

STE

D

EBIT

DA

826 740

29,39032,634

840

-108

14,550 15,290

1,356 660

Mg38.1% 46.6%

Performance of Financial Services 4th Quarter

-10.4%

-10.4%



12

Performance of Financial Services 4th Quarter

LOAN PORTFOLIO1

PROVISIONS OVER LOANS

6,3%

3,0%3,8%

6,4%7,4%

6,0%

3,3%4,0%

7,7%7,0%


4Q15

4Q16

676.641

4.877.469

492.146 459.547 679.146

781.461

7.820.670

511.964 531.078 765.216


4Q15

4Q16

1 Figures denominated in Local Currency MM

13

AGENDA

Highlights



Closing Comments

14

Debt Composition

4Q16

4Q15

DEBT BY CURRENCY(AFTER CCS)

DEBT BY INSTRUMENT DEBT BY RATE(AFTER CCS)

CLP + UF76.0%

Other LATAM6,9%

USD16,6%

Fixed76%

Floating24%

INTERNATIONAL BOND66,9%

LOCAL BOND13,9%

BANKS14,1%

OTHERS5,1%

INTERNATIONAL BOND63,9%

LOCAL BOND19,1%

BANKS12,7%

OTHER4,3%

Fixed67%

Floating33%

CLP + UF64,6%

Other LATAM4,9%

USD30,5%

15

214 230 210

52

638

57

991

34

714

51 40

217

40 15 81

197

350

20

17

20

18

20

19

20

20

20

21

20

22

20

23

20

24

20

25

20

26

20

27

20

28

20

29

20

30

20

31

20

41

20

45

Comfortable Debt Structure

6,3

4,7 4,3 3,2

3,7

2012 2013 2014 2015 2016

4,6

3,4 3,7 3,3 3,2

2012 2013 2014 2015 2016

NET FINANCIAL DEBT EVOLUTION1

(USD BN)NET LEVERAGE

(NFD/ADJUSTED EBITDA)

AMORTIZATION SCHEDULE (USD MN)2,3

1Figures translated to USD with end of period exchange rate. 4Q15 and 4Q16 translated using exchange rate as of December 2016.2These figures exclude overdrafts or Comex debt3These figures exclude MTM of Forwards

AGENDA

Highlights



Closing Comments

17

Continued Focus on Strategic Pillars

for Sustainable Profitable Growth

• Reinforce value proposition, shopping experience and customer loyalty• Continue store remodeling program• Standardization of operational processes• Enhance customer centric focus

• Omnichannel development, innovation and leadership in new trends • Upgrade e-commerce platforms• Implementation of Click&Collect and Drive Through in selected locations• Deepening focus on Health & Wellness, private label, exclusive brands

• Efficiency, productivity and financial discipline• Continued review of underperforming stores• Consolidation of purchase agreements• Further efficiency in logistics• Committed to prudent financial management

• Favorable outlook for 2017 with improved macro backdrops in Peru, Argentina and Brazil while in Chile and Colombia, markets remain healthy

The information contained in this document has been prepared by Cencosud SA ( "Cencosud") for informational purposes only and should

not be construed as a solicitation or an offer to buy or sell securities and should not be treated as giving investment advice or otherwise. No

representation or warranty, express or implied, is provided in relation to the accuracy, completeness or reliability of the information

contained herein. The views expressed in this presentation are subject to change without notice and Cencosud has no obligation to update or

keep current the information contained herein. The information contained in this document is not intended to be complete and is qualified in

its entirety by reference to more detailed information in the preliminary offering memorandum. Cencosud and their respective affiliates,

officers, directors, partners and employees accept liability for any loss or damage of any kind arising from the use of all or part of this

material.

This presentation may contain statements that are subject to risks and uncertainties and factors, which are based on current expectations

and projections about future events and trends that may affect the business of Cencosud. You are cautioned that such forward-looking

statements are not guarantees of future performance. There are several factors that can adversely affect the estimates and assumptions on

which these forward-looking statements are based, many of which are beyond our control.

Upcoming Events

11th Larrain Vial Andean ConferenceMarch 7th & 8th

Santiago, Chile

5th Itaú BBA Latam Consumer EventMarch 13th & 14th

London, UK

25th Citi Annual Latin American ConferenceMarch 15th & 16th

New York, USA

ContactsMarisol FernándezIRO

Phone: +562 2959 [email protected]

Natalia NacifIR Senior Analyst


Valentina KleinIR Analyst


Documents

Presentación de PowerPoints2.q4cdn.com/740885614/files/doc_financials/2016/Q4/Earnings-Presentation-4Q16-ENG.pdfPerformance of Financial Services 4th Quarter LOAN PORTFOLIO1 PROVISIONS