CHARGEURS Financial Report
Year ended December 2015
CONTENT
Annual Activity Report
Consolidated Statement of Financial Position
Consolidated Income Statement
Consolidated Statement of Comprehensive Income
Consolidated Statement of Changes in Equity
Consolidated Statement of Cash Flow
Paris - March 10, 2016
2015 ANNUAL RESULTS
PRESS RELEASE
Once again exceeding its performance targets, Chargeurs has confirmed the strength of its fundamentals:
- Excellent operating momentum, driving a robust 34% increase in recurring operating profit
- A balanced geographic footprint and positive earnings contributions by all of the Group's businesses
- A stronger financial position, representing a solid base for significant future growth.
The Board of Directors of Chargeurs met on March 9, 2016 under the chairmanship of Michaël Fribourg to approve the 2015 consolidated financial statements.
"2015 was a year of consolidation and successful transition for Chargeurs. The Group gained new stature, thanks to sharply improved manufacturing and financial performance and the long-term engagement of its new reference shareholder. Driven by a three-pronged commitment to performance, discipline and ambition, Chargeurs is now in good shape to deploy its strategy of operational excellence, succeed in what promises to be a challenging year and, in this way, consolidate its global leadership positions over the longer term," said Michaël Fribourg, Chairman and Chief Executive Officer.
2015 | 2014 | % change |
498.7 | 478.3 | +4.3% |
40.3 8.1% | 31.8 6.6% | +26.7% 1.4 pt |
30.6 6.1% | 22.9 4.8% | +33.6% 1.3 pt |
15.3 | 10.8 | +41.7% |
(in euro millions)
Revenue |
EBITDA As a % of revenue |
Recurring operating profit As a % of revenue |
Attributable net profit |
Attributable equity
Attributable net cash
Dec. 31, 2015 | Dec. 31, 2014 |
219.3 23.3 | 182.6 9.3 |
Strong business growth momentum
In 2015, Chargeurs' revenue grew by 4.3%, helped by an improved product mix and the competitive exchange rate of the euro. Excluding wool trading, revenue was up 1.7% at constant scope and exchange rates, reflecting the positive effects of a more selective marketing strategy focused on the most profitable customers, particularly at Chargeurs Fashion Technologies. The Chargeurs Protective Films and Chargeurs Technical Substrates segments enjoyed strong growth, with revenues up 3.6% and 22.3% respectively at constant exchange rates.
Sharply improved operating performance and net profit
At €30.6 million, recurring operating profit was up by a strong 33.6% compared with 2014, led by product mix improvements across all business segments. The Group improved its competitivity over the year, thanks to its innovation- led strategy and strict application of its selective marketing policy.
This was reflected in the 42% increase in net profit to €15.3 million, and the sharp rise in free cash flow1 to €19.5 million.
1 Free Cash Flow: Cash Generated by Operations + Dividends from equity-accounted companies + Variation in working capital - Net Capex
A PERFORMANCE DRIVEN BY ALL SEGMENTS Chargeurs Protective Films: a record high performance2015 | 2014 | % change |
(in euro millions)
Revenue At constant scope and exchange rates |
EBITDA As a % of revenue |
Recurring operating profit As a % of revenue |
227.2 | 206.6 | +10% +3.6% |
26.8 11.8% | 21.4 10.4% | +25.2% |
21.8 9.6% | 16.8 8.1% | +29.8% |
Chargeurs Protective Films' innovation-led strategy, underpinned by its technological differentiation and service-minded expertise, helped to drive a 10% increase in revenue to €227.2 million in 2015. This represented a record high performance for the segment, sustained by effective management of the product mix and a global footprint that enabled the segment to benefit from favorable exchange rates.
Revenue growth contributed to an even faster increase in recurring operating profit, which rose by 30% to €21.8 million in 2015 from €16.8 million the previous year.
Chargeurs Interlining has been renamed Chargeurs Fashion Technologies to underscore the Group's experience and technical expertise in global manufacturing of high value-added interlinings
2015 | 2014 * | % change |
(in euro millions)
Revenue At constant scope and exchange rates |
EBITDA As a % of revenue |
Recurring operating profit As a % of revenue |
157.5 | 150.9 | 4.4% (3,5)% |
9.6 6.1% | 7.7 5.1% | 24.7% |
5.5 3.5% | 4.0 2.7% | 37.5% |
* Restated to reflect separation out of Chargeurs Technical Substrates
In 2015, Chargeurs Fashion Technologies reported revenue up 4% at €157.5 million. The increase was attributable to an assertive marketing focus on the most profitable business, which drove an improvement in the product mix, and to the favorable overall currency effect resulting from its global presence.
Selective marketing combined with a strategy to reduce fixed costs led to a sharp 38% rise in the segment's recurring operating profit to €5.5 million.
Chargeurs Technical Substrates: excellent operating momentum2015 | 2014 | % change |
(in euro millions)
Revenue At constant scope and exchange rates |
EBITDA As a % of revenue |
Recurring operating profit As a % of revenue |
20.3 | 16.6 | +22.3% +22.3% |
4.1 20.2% | 2.6 15.7% | +57.7% |
3.6 17.7% | 2.2 13,3% | +63.6% |
In 2015, Chargeurs Technical Substrates stepped up the pace of business growth, reporting revenue up by more than 22% to €20.3 million. The new, extra-wide production line installed at the Sélestat plant in Alsace (France) in late November 2015 has expanded the segment's innovation capabilities while also creating opportunities to improve manufacturing productivity. This in turn will broaden its potential customer base and support the rapid pace of business growth.
Leveraging its strategic focus on high value-added products and buoyant markets, Chargeurs Technical Substrates ended the year with recurring operating profit of €3.6 million, representing an increase of more than 60% on 2014. In 2016, the segment will begin to reap the benefits of the 5-meter wide production line that came on stream at the end of last year.
2015 | 2014 | % change |
(in euro millions)
Revenue At constant scope and exchange rates |
EBITDA As a % of revenue |
Recurring operating profit As a % of revenue |
93.7 | 104.2 | (10.1)% (13,1)% |
2.6 2.8% | 3.5 3.4% | (25.7)% |
2.5 2.7% | 3.4 3.3% | (26.5)% |
Chargeurs Wool demonstrated its resilience in 2015. At €94 million, reported revenues were down on 2014, which was a very good year; however, the decline was partly offset by an improvement in the product mix during the fourth quarter and by the favorable overall currency effect.
The segment ended the year with recurring operating profit of €2.5 million. This was its third consecutive year in the black, confirming the effectiveness of its strategic focus, since 2012, on marketing superior quality combed wool.
Chargeurs SA issued this content on 10 March 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 10 March 2016 17:45:12 UTC
Original Document: http://www.chargeurs.fr/sites/default/files/chargeurs_simplifiedfinancialreport_2015.pdf
