Capital Expenditure

Capital expenditure not related to acquisitions amounted to €158 million (5.6% of revenue) in 2014, compared with €113 million(4.3% of revenue) in 2013. The majority of capital expenditure consisted of maintenance capital expenditure used to optimize the existing stores. The following table shows the capital expenditure (not related to acquisitions).

Capital expenditure

in millions of EUR

2014

2013

Capital expenditure (not related to acquisitions)

158

113

Store capital expenditure

117

84

Non-store capital expenditure

41

29

Store capital expenditure increased by €32 million (38.2%) in 2014 compared with 2013, which primarily reflects the optimization of existing stores through renovations, along with the implementation of the standardized commercial proposition and new store openings. During 2014, GrandVision began to focus on the standardization of the store format and procurement, as well as on the reduction of its average store footprint compared with historical levels.

Non-store capital expenditure increased by €13 million in 2014 compared with 2013. Key areas of investments where the two new TechCenters in the United Kingdom and Portugal as well as the development of the global ERP system. The two new TechCenter are further additions to GrandVision’s network of industrialized large-scale cutting, edging and fitting facilities in Europe. As of the end of the year, the new TechCenters became fully operational.