PRESS RELEASE |
Quarterly financial information as of
IFRS - Regulated information - Audited
Full year 2023 results: Revenue and recurring operating income both up
- 2023 revenues rose 10.9% to €616.0 million
- Recurring operating income(1) rose 23.4% to €31.7 million
Consolidated income statement
2023 | 2022 | Change | |||
(in €m) | (in %) | (in €m) | (in %) | (in %) | |
Revenues | 616.0 | 100.0% | 555.2 | 100.0% | 10.9% |
EBITDA(1) | 108.8 | 17.7% | 96.2 | 17.3% | 13.1% |
Depreciation & amortization | -77.2 | -12.5% | -70.5 | -12.7% | 9.4% |
Recurring operating income(1) | 31.7 | 5.1% | 25.7 | 4.6% | 23.4% |
Other non-recurring operating income and expenses(1) | -11.7 | -1.9% | 0.8 | 0.1% | - |
Operating income | 20.0 | 3.2% | 26.5 | 4.8% | -24.6% |
Financial result | -11.9 | -1.9% | -8.8 | -1.6% | -35.2% |
Total tax | -14.8 | -2.4% | -4.6 | -0.8% | -222.0% |
Net profit attributable to owners of the parent | -7.4 | -1.2% | 13.6 | 2.5% | -154.4% |
Earnings per share (in euros) | -0.5 | - | 1.0 | - | -150% |
Consolidated revenues: rose €61 million, or +10.9%, to €616.0 million in 2023 compared with €555.2 million in 2022. The positive scope effect of €1.7 million, or 0.3%, was attributable to the full-year consolidation in Cegedim’s accounts of acquisitions MesDocteurs, Laponi,
Like-for-like(2) revenue increased 10.8% over the period.
Recurring operating income(1): rose €6.0 million in 2023 to €31.7 million compared with €25.7 million in 2022. It amounted to 5.1% of 2023 revenue compared with 4.6% in 2022. The increase was chiefly the result of improved earnings at Cegedim Santé and international businesses, as well as BPO offerings in insurance and the excellent performance of Human Resources activities. The foundation of our historical activities remains very solid, both in digital marketing and in flows digitalization for businesses and healthcare, featuring investments in innovation.
-------------
(1) Alternative performance indicator See pages 110-111 of the 2022 Universal Registration Document.
(2) At constant scope and exchange rates.
Other non-recurring operating income and expenses(1): amounted to an expense of €11.7 million in 2023 compared with an income of €0.8 million in 2022. The group wrote down nearly €9 million in assets in the
Depreciation and amortization expenses: rose €6.7 million in 2023. Amortization of R&D investments rose €2.3 million year on year, and capex amortization rose €2.8 million as a result of investments in the operations of cegedim.cloud and C-Media.
EBITDA: the €12.6 million increase between 2022 and 2023 was the result of a stabilization in personnel costs and supplies relative to the pace of revenue growth, in spite of higher external expenses related to launching the Allianz contract.
Financial result: came to -€11.9 million, down €3.1 million compared with 2022 owing to higher interest expense on borrowings with floating interest rates.
Total tax: came to a charge of €14.8 million in 2023, up €10.2 million compared with 2022, notably due to a €12.3 million accounting adjustment to previously recognized deferred tax assets. The adjustment had no cash impact and was intended to reflect recent developments in judicial precedent that led the Group to measure its potential unrealized gain more conservatively.
Analysis of business trends by division
in millions of euros | Total | Software & Services | Flow | Data & Marketing | BPO | Cloud & Support |
Revenue | ||||||
2022 | 555.2 | 302.0 | 90.6 | 106.9 | 53.0 | 2.8 |
2023 | 616.0 | 326.6 | 95.9 | 114.9 | 71.5 | 7.1 |
Change | 10.9% | 8.2% | 5.9% | 7.5% | 34.9% | 154.0% |
Recurring operating income(1) | ||||||
2022 | 25.7 | -4.9 | 13.1 | 17.9 | 3.0 | -3.4 |
2023 | 31.7 | 4.2 | 12.1 | 15.9 | 4.0 | -4.5 |
Change | 23.4% | 185.5% | -7.3% | -11.3% | 33.0% | -30.5% |
Recurring operating margin | ||||||
2022 | 4.6% | -1.6% | 14.4% | 16.8% | 5.6% | -122.5% |
2023 | 5.1% | 1.3% | 12.6% | 13.9% | 5.5% | -62.9% |
- Software & Services: 2023 revenues rose 8.2%, driven by good performances at Cegedim Santé (+10% over the FY), HR solutions (+19%), pharmacy solutions in
France (+8%), and international businesses in theUK andSpain (+7%).
Recurring operating income (REBIT) amounted to €4.2 million in 2023, a €9 million increase compared with a €4.9 million loss in 2022.
Of the increase, nearly €5 million was attributable to robust sales at Cegedim Santé combined with good hiring management after the company beefed up its sales, operating support, and R&D teams in 2022.
International businesses accounted for €3.8 million of the performance, boosted by a strong recovery in Pharmacy solutions in the
At the remaining software and services entities in
Software & Services | Change 2023 / 2022 | |||
in millions of euros | 2023 | 2022 | ||
Revenues | 326.6 | 302.0 | 24.6 | 8.2% |
Cegedim Santé | 76.6 | 69.6 | 7.0 | 10.1% |
Insurance, HR, Pharmacies, and other services | 197.6 | 183.5 | 14.1 | 7.7% |
International businesses | 52.5 | 48.9 | 3.5 | 7.2% |
Recurring operating income | 4.2 | -4.9 | 9.0 | 185.5% |
Cegedim Santé | -2.9 | -7.8 | 4.9 | 62.5% |
Insurance, HR, Pharmacies, and other services | 14.7 | 14.3 | 0.4 | 3.0% |
International businesses | -7.6 | -11.4 | 3.8 | 33.1% |
- Flow: Revenues rose 5.9%, led by process digitalization in electronic data flows, whose French and international businesses grew 7.4%. Over the same period, Third-party payer systems posted 3.7% growth.
The €1 million drop in recurring operating income was due mainly to investments in earning digitalization platform partner (PDP) certification ahead of the electronic invoicing reform that will become mandatory inFrance starting in 2026. The Third-party payer business posted a slight increase in recurring operating income. - Data & Marketing: Marketing and Data activities made positive contributions of respectively 10.7% and 5.1% to the division’s revenue growth compared with 2022.
The division’s recurring operating income dropped 11.3% compared with 2022 due to international Data businesses, which lost ground in 2023, and the startup of Clinityx’s new Magellan business, which is expected to generate its first revenues in 2024. The Marketing division saw a 4.4% increase in recurring operating income. - BPO: the division’s revenues grew 34.9% year on year in 2023. It was particularly buoyed by services managed on behalf of health and personal protection insurers, which jumped more than 55.3% owing to the start of the new contract with Allianz on
April 1, 2023 . Revenues from services management on behalf of HR departments rose 3.4%.
The division’s recurring operating income climbed 33%, bolstered mainly by outsourcing for HR departments, which is riding a wave of management process automation. Sales to insurers posted positive recurring operating income, up slightly, despite the costs of launching the Allianz contract. - Cloud & Support: Revenues rose €4.3 million in 2023, chiefly because all of the Group’s cloud businesses have been moved to this division (some were previously housed in Software & Services).
2023 recurring operating income was a €4.5 million loss, €1.1 million higher than the loss in 2022. The increase was notably the result of increased depreciation and amortization expenses borne by cegedim.cloud, which stem from the investments made in the Group’s shared IT infrastructure.
Highlights
To the best of the company’s knowledge, there were no events or changes during 2023 that would materially alter the Group’s financial situation.
- Acquisition of a majority stake in Phealing
On
- Tax
To be in full compliance,
In the fourth quarter of 2023,
Significant transactions and events post
Apart from the items cited below, to the best of the Company’s knowledge, there were no events or changes during the period that would materially alter the Group’s financial situation.
- Acquisition of
Visiodent
On
Euris litigation
After consulting its external legal counsel, the Group decided not to set aside any provisions.
- War in
Ukraine
The Group does not do business in
Outlook
Based on the currently available information, the Group expects 2024 like-for-like revenue(2) growth to be in the range of 5-8% relative to 2023. Recurring operating income should continue to improve, following a similar trajectory as in 2023.
These targets are not forecasts and may need to be revised if there is a significant worsening of geopolitical, macroeconomic, or monetary risks.
---------------
The Audit Committee met on
The Universal Registration Document will be available in a few days’ time, in French and in English, on our website.
---------
(2) At constant scope and exchange rates.
WEBCAST ON |
The webcast is available at: www.cegedim.fr/webcast |
The fiscal 2023 results presentation is available on the website: https://www.cegedim.fr/finance/documentation/Pages/presentations.aspx |
2024 financial calendar
2024 | SFAF meeting - Q1 2024 revenues Shareholders’ meeting H1 2024 revenues First-half 2024 results |
Financial calendar: https://www.cegedim.fr/finance/agenda/Pages/default.aspx
Disclaimer This press release is available in French and in English. In the event of any difference between the two versions, the original French version takes precedence. This press release may contain inside information. It was sent to Cegedim’s authorized distributor on The figures cited in this press release include guidance on | |||
About Founded in 1969, To learn more please visit: www.cegedim.fr And follow | |||
Media Relations and Communications Manager Tel.: +33 (0)1 49 09 68 81 aude.balleydier@cegedim.fr | Head of Financial Communication Tel.: +33 (0)7 64 63 55 73 damien.buffet@cegedim.com | Becoming Media Relations Tel.: +33 (0)6 52 08 13 66 cegedim@becoming-group.com | |
Annexes
Consolidated financial statements at
- Assets at
December 31, 2023
In thousands of euros | ||
199,787 | 198,761 | |
Development costs | 1,562 | 3,081 |
Other intangible fixed assets | 192,616 | 185,004 |
Intangible non-current assets | 194,178 | 188,085 |
Land | 544 | 544 |
Buildings | 1,660 | 1,872 |
Other property, plant, and equipment | 45,829 | 39,467 |
Advances and non-current assets in progress | 831 | 133 |
Rights of use | 89,718 | 88,988 |
Tangible fixed assets | 138,582 | 131,004 |
Equity investments | 0 | 1 |
Loans | 15,332 | 15,642 |
Other long-term investments | 5,230 | 5,053 |
Long-term investments – excluding equity shares in equity method companies | 20,563 | 20,696 |
Equity shares in equity method companies | 9,725 | 9,655 |
Deferred tax assets | 19,747 | 30,385 |
Prepaid expenses: long-term portion | - | 0 |
Non-current assets | 594,922 | 589,509 |
Goods | 5,498 | 6,495 |
Advances and deposits received on orders | 3,703 | 177 |
Accounts receivables: short-term portion | 175,199 | 151,757 |
Other receivables: short-term portion | 59,563 | 50,497 |
Current tax credits | 16,495 | 16,557 |
Cash equivalents | 0 | 0 |
Cash | 46,606 | 55,553 |
Prepaid expenses: short-term portion | 22,082 | 19,370 |
Current assets | 329,146 | 300,406 |
Total assets | 924,068 | 889,915 |
Liabilities and equity atDecember 31, 2023
In thousands of euros | ||
Share capital | 13,337 | 13,337 |
Consolidated retained earnings | 282,521 | 271,344 |
Group exchange gains/losses | -12,275 | -13,141 |
Group earnings | -7,407 | 13,624 |
Shareholders’ equity, Group share | 276,175 | 285,164 |
Minority interest | 18,381 | 18,971 |
Shareholders’ equity | 294,556 | 304,135 |
Short-term financial liabilities | 188,546 | 188,913 |
Current lease liabilities | 78,761 | 75,907 |
Deferred tax liabilities | 5,600 | 6,137 |
Post-employment benefit obligations | 31,007 | 25,397 |
Non-current provisions | 2,521 | 2,355 |
Non-current liabilities | 306,435 | 298,709 |
Short-term financial liabilities | 3,006 | 3,854 |
Current lease liabilities | 14,789 | 15,916 |
Trade payables and related accounts | 61,734 | 55,709 |
Current tax liabilities | 235 | 247 |
Tax and social security liabilities | 121,371 | 112,341 |
Non-current provisions | 1,730 | 2,172 |
Other current liabilities | 120,212 | 96,832 |
Current liabilities | 323,077 | 287,071 |
Total liabilities | 924,068 | 889,915 |
- Income statement as of
December 31, 2023
In thousands of euros | ||
Revenues | 615,995 | 555,209 |
Purchases used | -28,547 | -26,559 |
External expenses | -138,544 | -119,913 |
Taxes | -5,352 | -6,259 |
Payroll costs | -331,748 | -303,577 |
Impairment of trade receivables and other receivables and on contract assets | -2,444 | -298 |
Allowances to and reversals of provisions | -2,714 | -4,609 |
Other operating expenses | 431 | -8 |
Share of profit (loss) from affiliates on the income statement | 1,757 | 2,216 |
EBITDA(1) | 108,834 | 96,202 |
Depreciation expenses other than right-of-use assets | -59,471 | -53,302 |
Depreciation expenses of right-of-use assets | -17,693 | -17,228 |
Recurring operating income(1) | 31,670 | 25,673 |
Non-recurring operating income and expenses | -11,687 | 820 |
Other non-recurring operating income and expenses(1) | -11,687 | 820 |
Operating income | 19,983 | 26,492 |
Income from cash and cash equivalents | 475 | 114 |
Cost of gross financial debt | -11,742 | -8,949 |
Other financial income and expenses | -614 | 45 |
Net financial income (expense) | -11,881 | -8,790 |
Income taxes | -4,509 | -5,882 |
Deferred tax | -10,336 | 1,272 |
Tax | -14,845 | -4,610 |
Share of profit (loss) from affiliates | -1,195 | -1,013 |
Consolidated net profit | -7,937 | 12,079 |
Group share | -7,407 | 13,624 |
Income from equity-accounted affiliates | 531 | -1,545 |
Average number of shares excluding treasury stock | 13,610,429 | 13,658,348 |
Earnings per share (in euros) | -0.5 | 1.0 |
(1) Alternative performance indicator
- Cash flow statement as of
December 31, 2023
In thousands of euros | ||
Consolidated net profit | -7,937 | 12,079 |
Share of profit (loss) from affiliates | -561 | -1,203 |
Depreciation and amortization expenses and provisions | 84,010 | 83,090 |
Capital gains or losses on disposals of operating assets | -1,817 | -31 |
Cash flow after cost of net financial debt and taxes | 73,695 | 93,935 |
Cost of net financial debt | 11,881 | 8,791 |
Tax expenses | 14,844 | 4,609 |
Operating cash flow before cost of net financial debt and taxes | 100,420 | 107,335 |
Tax paid | -4,233 | -21,309 |
Change in working capital requirement: Requirement | 0 | 0 |
Change in working capital requirement: Release | 1,736 | 450 |
Cash flow generated from operating activities after tax paid and change in working capital requirements | 97,923 | 86,476 |
Acquisitions of intangible fixed assets | -53,538 | -58,554 |
Acquisitions of tangible fixed assets | -21,952 | -17,582 |
Acquisitions of long-term investments | -1,036 | -2,619 |
Disposals of property, plant, and equipment and of intangible assets | 2,598 | 2,099 |
Disposals of long-term investments | 805 | 1,636 |
Change in deposits received or paid | 84 | -717 |
Impact of changes in consolidation scope | -3,371 | 52,483 |
Dividends received from outside the Group | 1,114 | 3,084 |
Net cash flow used in investing activities | -75,296 | -20,170 |
Capital increase | 0 | 0 |
Dividends paid to minority shareholders of consolidated cos. | -2 | -95 |
Dividends paid to shareholders of the parent company | -0 | -6,831 |
Debt issuance | 0 | 0 |
Debt repayments | -263 | -85 |
Employee profit sharing | -65 | 81 |
Repayment of lease liabilities | -19,796 | -19,036 |
Interest paid on loans | -5,050 | -4,949 |
Other financial income received | 966 | 1,784 |
Other financial expenses paid | -6,861 | -4,758 |
Net cash flow used in financing activities | -31,071 | -33,889 |
Change in net cash excluding currency impact | -8,444 | 32,417 |
Impact of changes in foreign currency exchange rates | -503 | -1,024 |
Change in net cash | -8,947 | 31,393 |
Opening cash | 55,553 | 24,159 |
Closing cash | 46,606 | 55,553 |
- Financial covenants
In thousands of euros | Criterion | |
Net debt(*) | 92,156 | |
EBITDA | 88,479 | |
Leverage ratio | 1.04 | < 2.5 |
In thousands of euros | Criterion | |
Interest expense | 5,328 | |
EBITDA | 88,479 | |
Interest cover ratio | 16.61 | > 4.5 |
(*) excluding employee profit sharing liabilities, the FCB loan, and IFRS 16 liabilities
The Group complied with all these covenants as of
Attachment
- Cegedim_Results_FY2023_ENG
Source:
2024 GlobeNewswire, Inc., source