Hornbach-Baumarkt-AG Group

108 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Segment Report
Segment Report
Segment reporting is consistent with the accounting policies applied in the consolidated financial statements
(IFRS). Sales to external third parties represent net sales. Transfer prices between the segments are
equivalent to those applied to external third parties.
Segment delineation
The allocation of business fields (segments) corresponds to the internal reporting system used by the Board
of Management of the HORNBACH-Baumarkt-AG Group for managing the company. The “DIY store” segment
includes the 138 (2011/2012: 134) DIY megastores and garden centers grouped together in the HORNBACH-
Baumarkt-AG Group. The “Real estate” segment includes the retail properties owned by companies in the
HORNBACH-Baumarkt-AG Group, which let and charge the properties to the respective DIY stores with garden
centers within the Group at normal market conditions. The “Headquarters and consolidation” reconciliation
column includes administration and consolidation items not attributable to the individual segments.
Segment earnings
Earnings before interest and taxes (EBIT) have been taken to represent the segment earnings.
Segment assets and liabilities
Apart from income tax receivables, income tax liabilities and deferred taxes, asset and liability items in the
consolidated balance sheet have been directly allocated to the individual segments as far as possible. Remaining
assets and liabilities have been allocated as appropriate. Liabilities in the consolidated balance
sheet have been increased by liabilities to group companies in the individual segments and have been allocated
to the individual segments in line with their causation. The resultant adjustments have been eliminated
in the “Headquarters and consolidation” reconciliation column. Investments relate to the non-current
assets allocable to the respective segment.