VILMORIN & CIE Vilmorin & Cie SA
Public limited company with Board of Directors with a capital of 317 717 005.50 Euros
Head Office: 4, Quai de la Mégisserie - F-75001 PARIS SIREN Paris 377 913 728
Fiscal year from July 1st to June 30th
Euronext Paris (Compartment A) - Eligible for Deferred Settlement Order Indices: CAC Mid & Small, CAC All-Tradable, CAC All Share
March 7, 2016, at 6:15 am CET
SALES AND RESULTS
FOR THE 1ST SEMESTER 2015-2016
SALES FOR THE 1ST SEMESTER ENDING ON DECEMBER 31, 2015 UP 6.5% WITH CURRENT DATA
CONTRACTION IN RESULTS FOR THE 1ST SEMESTER 2015-2016: NET LOSS IN THE GROUP SHARE OF 61.1 MILLION EUROS
OBJECTIVES FOR 2015-2016 MAINTAINED
In millions of Euros | 2014-2015 | 2015-2016 | Variation with current data |
Sales | 271.4 | +12.7% | |
| 240.9 | ||
| 172.2 | 170.5 | -1.0% |
| 15.5 | 14.6 | -6.1% |
Sales for the first semester 428.6 456.5 +6.5%
EBITDA 49.3 54.6 +5.3
Operating income -30.4 -31.9 -1.5 Income from associated companies -21.6 -24.2 -2.6 Financial income -17.9 -22.9 -5.0
Income taxes +13.3 +16.4 +3.1
Net income of which group share in net income -56.6 -55.3 -62.6 -61.1 -6.0 -5.8The consolidated financial statements for the first semester 2015-2016, closed on December 31, 2015, were recently approved by Vilmorin & Cie Board. The Statutory Auditors have carried out a limited audit of the financial information for the first semester; in their conclusions they have not indicated any anomaly.
Consolidated financial information is established in compliance with the IFRS referential (International Financial Reporting Standards) as endorsed by the European Union on December 31, 2015.
The accounting methods and principles adopted in the consolidated financial statements for the first semester on December 31, 2015 are identical to those used in the consolidated financial statements for the fiscal year closing on June 30, 2015.
The accounting methods and principles adopted in the consolidated financial statements for the first semester on December 31, 2015 are identical to those used in the consolidated financial statements for the fiscal year closing on June 30, 2015.
Thus, no change in accounting methods or estimates with any impact on Vilmorin & Cie's consolidated financial statements was applied by Vilmorin & Cie over the course of the semester.
Evolution of the data for the semester is analyzed using current data and on a like-for-like basis. Comparable data is restated with constant scope and currency impact; accordingly, the result for the first semester 2014-2015 takes into account:
▌ the scope impacts resulting from the acquisition of Tropdicorp (Vietnam. Vegetable seeds) in March 2015, and also the purchase of a minority stake in the Canadian company Canterra Seeds and the creation of Limagrain Cereals Research Canada (Field seeds) in July 2015,
▌ the impact of changes in currency translation, by applying the average rate on December 31, 2015 to the income statement on December 31, 2014.
SALES FOR THE FIRST SEMESTER:
SIGNIFICANT GROWTH IN BUSINESS DRIVEN BY THE SUSTAINED DEVELOPMENT OF THE VEGETABLE SEEDS DIVISION
▌ VEGETABLE SEEDS DIVISION: CONTINUING SOLID RHYTHM OF GROWTH
Sales for the Vegetable seeds division for the first semester came to 271.4 million Euros, an increase of 12.7% with current data compared with the first semester for 2014-2015. Restated on a like-for-like basis, the division achieved an increase of 8.4%.
During the course of the second quarter, business was once again very vigorous, recording growth of almost 12% on a like-for-like basis.
All the Business Units contributed to this really fine performance marked by significant increases in volume for the main strategic crops (tomato, carrot, onion, etc.). This dynamic growth covered the main markets of Vilmorin & Cie, particularly the Americas and Southern Europe, clearly confirming that market shares continue to be gained.
▌ FIELD SEEDS DIVISION:
BUSINESS AT ALMOST THE SAME LEVEL, IN LINE WITH MARKET TRENDS
Sales for the Field seeds division for the first semester came to 170.5 million Euros, a decrease of 1% compared with the first semester for 2014-2015; this decrease was 0.2% on a like-for-like basis.
In Europe, the commercial campaign for rapeseed achieved solid growth, enabling Vilmorin & Cie to confirm its position as a top-ranking European player.
However, the first part of the straw cereal seed campaign (wheat, barley) was marked by a slight drop in sales and royalties cashed in.
In a market environment still heavily influenced by the downward trend of the prices of agricultural raw materials, prevalent over the past two campaigns, orders for corn and sunflower are today correctly oriented.
In South America, the first corn campaign was lower than last year, in line with market trends, still marked by the increase in soybean crops.
In the other new development areas (Asia and Africa), the level of business made overall during the first semester corresponds to expectations, though weather conditions were at times unfavorable.
Globally, the Field seeds division recorded sales for the second quarter down 3.7% on a like-for-like basis.
Finally, on the North American market, the commercial campaign for corn and soybean seeds is marked, at the end of the first semester, by an earlier start to confirmation of orders due to the market context.
RESULTS FOR THE FIRST SEMESTER:
A DECREASE DUE TO HIGHER RESEARCH EXPENDITURE AND NON-RECURRING ITEMS
▌ After taking into account the cost of destruction and depreciation of inventory, margin on the cost of sales came to 228.4 million Euros, representing 50% of total sales, up one percentage point compared to the first semester for the previous fiscal year; the business mix had a positive effect on this margin.
Net operating charges came to 260.3 million Euros, an increase of 19.9 million Euros compared with the first semester for fiscal year 2014-2015, including an additional investment of 11.4 million Euros in research and development.
▌ The income contribution from associated companies consolidated under the equity method, in particular including AgReliant (North America. Field seeds) and Seed Co (Africa. Field seeds), stood at -24.2 million Euros at the end of the first semester for 2015-2016.
▌ The financial result shows a net charge of 22.9 million Euros as opposed to 17.9 million Euros on December 31, 2014. There were foreign exchange losses of 5.4 million Euros as opposed to
1.9 million Euros for the previous fiscal year, and also non-recurring financial charges of 5.3 million Euros, relating to a further provision on a minority stake held.
▌ Income tax on December 31, 2015 shows a net tax income of 16.4 million Euros, an increase of 3.1 million Euros compared with the previous year.
▌ As a result of these factors, the net result for the semester shows a loss of 62.6 million Euros, including a group share loss of 61.1 million Euros, an increase of 5.8 million Euros compared with the first semester for fiscal year 2014-2015.
▌ At the end of December 2015, the balance sheet structure is naturally influenced to a large extent by the seasonal nature of the annual business cycle.
Net of cash and cash equivalents (229.3 million Euros), financial indebtedness came to 950.6 million Euros, including a non-current share of 721.9 million Euros.
The group share of equity stood at 1,049 million Euros and minority interests at 111.7 million Euros.
OBJECTIVES MAINTAINED FOR 2015-2016
COMING DISCLOSURES FOR 2015-2016
(1) disclosure after trading on the Paris stock market
FOR ANY FURTHER INFORMATION:
Daniel JACQUEMOND Chief Financial Officer
daniel.jacquemond@vilmorin.info
Valérie MONSÉRAT
Head of Financial Communication and Investor Relations valerie.monserat@vilmorin.info
Clémence DATURI
Financial Communication Officer and Individual Shareholder Relations
clemence.daturi@vilmorin.info
Tel: + 33 (0)4 73 63 44 85
Website: www.vilmorin.info
Accompanied by its reference shareholder, Limagrain, an international agricultural cooperative group, Vilmorin & Cie is currently the fourth largest seed company in the world.
True to its vision of sustainable development, Vilmorin & Cie relies on ongoing investments in research and international growth to strengthen its market shares. An ambition that is driven by its corporate culture which is based on the sharing of knowledge, quality of life and respect for the needs of mankind.
Vilmorin & Cie SA issued this content on 07 March 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 07 March 2016 05:21:22 UTC
Original Document: http://www.vilmorin.info/vilmorin/CMS/Files/ENGLISH/Communiques_presse/CA_Resultats_Semestriels_15_16_gb.pdf
