DERICHEBOURG The Board meeting of May 22, 2017, chaired by Mr. Daniel Derichebourg, approved the half- year financial statements at March 31, 2017. During the meeting, the Chairman and Chief Executive Officer highlighted the positive value of the acquisitions negotiated by the Environmental Services branch during the prior fiscal year which have yielded good results thanks to the improved economic climate of the past half year. He stated that he was very happy with the effectiveness of the improved regional coverage. He also noted the continued profitable growth of the Multiservices business.
Revenue up by 33%Revenue for the half-year was €1.34 billion, up 33%, thanks primarily to the impact of increases in Environmental Services' volumes and prices.
(in thousand tonnes) | March 2017 | March 2016 | Variation |
Ferrous metals | 1,847 | 1,450 | 27.4% |
Non‐ferrous metals | 281 | 229 | 22.8% |
Total volumes | 2,128 | 1,679 | 26.7% |
(in millions of euros) | March 2017 | March 2016 | Variation |
Ferrous metals | 416.4 | 244.7 | 70.2% |
Non‐ferrous metals | 375.0 | 260.6 | 43.9% |
Services | 157.9 | 140.4 | 12.5% |
Total Environmental Services revenue | 949.4 | 645.7 | 47.0% |
Multiservices revenue | 390.6 | 363.8 | 7.4% |
Holding company revenue | 0.3 | 0.5 | n.a. |
Total revenue, Derichebourg Group | 1,340.3 | 1,010.0 | 33% |
The increase in volumes processed (up 27.4% for ferrous metals and 22.8% for non-ferrous metals) was primarily due to the improved business conditions of steelmaker and metallurgy customers and, to a lesser extent, to the impact of the acquisitions completed.
As a result of the increase in the prices of the materials processed, the revenue of the Environmental Services branch grew by 47%.
Recurring EBITDA doubled to €92.1 millionThe Group's sales margin rose significantly thanks primarily to the increase in volumes and, to a lesser extent, to the increase in unit margins from higher prices. This resulted in higher recurring EBITDA for the Environmental Services business which increased from €46.7 million to €83.4 million. The recurring EBITDA of the Multiservices business increased from €2.8 million to €12.5 million. The Group's recurring EBITDA increased by 103% to €92.1 million.
Recurring EBITDA was €168.3 million over the past 12-month rolling period.
Net profit (loss) of €30 million for the half-yearThanks to the improved recurring EBITDA, and after taking into account amortization, depreciation, financial expenses and corporate income taxes, the Group had net income of
€30.3 million for the half-year, compared to net income of €0.1 million in the first half-year of the previous fiscal year. This result already makes it possible to foresee a proposal to the shareholders' meeting for a significantly higher dividend compared to the previous fiscal year.
Ongoing debt reductionAn acquisition (Bartin Recycling) was completed without increasing Group debt which, in fact, decreased from €225 million to €155 million. The leverage ratio was under 1. Asset disposals (a landfill in Italy and property) were completed during the half-year.
Second half-year outlookThe Environmental Services business should have a good second half thanks to the positive economy, the synergies created by acquisitions and to the optimization of the production tool which has been in progress for several years. From the standpoint of the economy, the Group has seen sustained demand from steelmakers, in France in particular, driven by infrastructure requirements (start-up of work in Greater Paris and increases in housing). The volumes processed during the second half will also benefit from the Group's changing scope. The background work done by the Group over the past several years to optimize its production facilities (regional coverage, investments in advanced technology, etc.) has been successful and put the Group in a position to withstand any future drops in the price of raw materials.
Revenue from Multiservices is likely to be up for the full year. The second half year should record more profit than the first.
Given the results achieved and its lower debt, the Group is well-positioned to become proactive in the consolidation of its major lines of business, that is, both Environmental Services and Multiservices.
The Derichebourg Group is a major international player in the provision of services to businesses and municipalities. It offers a comprehensive and integrated range of services in two complementary business areas: Environmental Services (recycling, recovery, collection of household waste, urban cleaning, management of waste reception centers, etc.) and services to businesses (cleaning, energy, interim employment, aeronautics services, sensitive sector services, etc.). The Group operates in 14 countries, on three continents, and has 34,000 employees around the world. The Derichebourg Group generated €2.1 billion in revenue in 2016.
www.derichebourg.com ISIN code: FR0000053381
INCOME STATEMENT(in millions of euros) | 03/31/17 | 03/31/16 | Variation (%) |
REVENUE | 1,340.3 | 1,010.0 | 33% |
of which Environmental Services | 949.4 | 645.7 | 47% |
of which Business Services | 390.6 | 363.8 | 7% |
of which Holding Companies | 0.3 | 0.5 | (49%) |
Recurring EBITDA | 92.1 | 45.3 | 103% |
of which Environmental Services | 83.4 | 36.7 | 127% |
of which Business Services | 12.5 | 9.7 | 28% |
of which Holding Companies | (3.8) | (1.2) | n.a. |
Recurring operating profit (loss) | 53.0 | 8.9 | 492% |
of which Environmental Services | 50.4 | 6.1 | 727% |
of which Business Services | 7.4 | 5.2 | 43% |
of which Holding Companies | (2.9) | (2.4) | n.a. |
Operating profit (loss) | 52.6 | 9.3 | 463% |
Net financial expenses | (6.9) | (7.3) | |
Other financial items | (0.7) | (0.3) | |
Income tax | (14.2) | (0.8) | |
Income from associates | (0.4) | 0.5 | |
Income net of tax from discontinued activities | (0.2) | (1.3) | |
Net profit (loss) attributable to non-controlling interests | 0.2 | (0.1) | |
Net profit attributable to the Group | 30.3 | 0.1 | n.s. |
(in millions of euros) | 03/31/17 | 09/30/16 | Variation (%) |
Goodwill | 216.3 | 226.0 | |
Intangible assets | 4.7 | 3.9 | |
Property, plant and equipment | 430.5 | 436.1 | |
Investments in associates | 15.4 | 15.5 | |
Other financial assets | 12.2 | 11.1 | |
Deferred taxes | 38.3 | 45.8 | |
Total non-current assets | 717.4 | 738.5 | (3%) |
Inventories | 95.3 | 83.3 | |
Trade receivables | 271.1 | 226.4 | |
Tax receivables | 3.6 | 5.3 | |
Other current assets | 107.1 | 88.8 | |
Current financial assets | 15.7 | 13.8 | |
Investment securities and other investments | 0.3 | 0.3 | |
Cash | 89.8 | 41.6 | |
Derivative instruments - assets | 0.1 | 0.0 | |
Total current assets | 582.9 | 459.5 | 27% |
Total non-current assets and groups of assets held for sale | 0.0 | 2.9 | 8% |
Total assets | 1,300.3 | 1,200.9 |
(in millions of euros) | 03/31/17 | 09/30/16 | Variation (%) |
Group shareholders' equity Non-controlling interests | 375.3 2.3 | 343.8 3.8 | |
Total shareholders' equity | 377.6 | 347.7 | 9% |
Loans and financial debts | 103.4 | 143.5 | |
Employee benefits | 47.7 | 45.5 | |
Other provisions | 27.2 | 22.8 | |
Deferred taxes | 13.3 | 18.8 | |
Other non-current liabilities | 1.1 | 1.1 | |
Total non-current liabilities | 192.6 | 231.7 | (17%) |
Borrowing and bank overdrafts (share at less than one year) | 141.4 | 123.5 | |
Provisions (share at less than one year) | 7.4 | 7.8 | |
Trade payables | 289.8 | 216.9 | |
Tax payables | 7.0 | 7.9 | |
Other current liabilities | 273.2 | 250.9 | |
Derivative instruments - liabilities | 5.2 | 6.4 | |
Total current liabilities | 724.0 | 613.5 | 18% |
Discontinued and liabilities held for sale | 6.2 | 8.0 | 8% |
Total liabilities | 1,300.3 | 1,200.9 |
Derichebourg SA published this content on 22 May 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 24 May 2017 17:39:28 UTC.
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