Bureau Veritas Sa · EURONEXT:BVI
Bureau Veritas Sa — Q1 2023 Earnings Presentation
40 slides from Bureau Veritas Sa's earnings presentation, Apr 20, 2023
Slide 1: Q1 2023 Revenue
V. CAR / BOARD 18 04 2023 Q1 2023 REVENUE A P R I L 2 0, 2 0 2 3 1
Slide 2: Disclaimer
DISCLAIMER This presentation contains statements related to our future business and financial performance and future events or developments involving Bureau Veritas that may constitute forward-looking statements. These statements are based on current plans and forecasts of Bureau Veritas’ management
Slide 3: Agenda
AGENDA BUSINESS OUTLOOK REVIEW PORTFOLIO HIGHLIGHTS BUSINESS HIGHLIGHTS
Slide 4: Highlights
HIGHLIGHTS
Slide 5: Q1 2023 revenue €1.4bn
Q1 2023 €1.4bn REVENUE 8.9% total growth (+10.0% at cc) ORGANIC GROWTH ׀With strong performance for 5 businesses Q1 2023 +8.5% HIGHLIGHTS EXTERNAL GROWTH ׀Mainly bolt-on acquisitions realized in the past +1.5% few quarters C U R R E N C Y I M PA C T ׀Depreciation of some emerging countries’
Slide 6: Strong organic growth fueled by a diversified mix
STRONG ORGANIC GROWTH FUELED BY A DIVERSIFIED MIX A BALANCED PORTFOLIO FUELING THE GROWTH A STRONG FRANCHISE ACROSS ALL CONTINENTS SIZE OF BOXES IN PROPORTION OF GROUP REVENUE IN PERCENTAGE OF GROUP REVENUE Average1 organic growth CER Africa, Middle East DOUBLE-DIGIT +14.0% 12.5% + IND ORGANIC GROWT
Slide 7: CSR key performance indicators
CSR KEY PERFORMANCE INDICATORS Q1 2023 FY 2022 2025 target Total Accident Rate (TAR)1 0.27 0.26 0.26 Proportion of women in leadership positions2 29.6% 29.1% 35.0% Number of training hours per employee (per year)3 4.2 32.5 35.0 CO2 emissions per employee (tons per year)4 2.32 2.32 2.00 Proportion of
Slide 8: Business review
BUSINESS REVIEW
Slide 9: Q1 2023 revenue growth by business
Q1 2023 REVENUE GROWTH BY BUSINESS % of @ constant revenue currency 31% Buildings & Infrastructure +9.0% +2.0% +11.0% 22% Agri-Food & Commodities +7.7% +7.7% 21% Industry +12.5% +12.5% 11% Consumer Products (3.5)% +7.1% +3.6% 8% Marine & Offshore +13.5% +13.5% 7% Certification +11.2% +11.2% 100% Tot
Slide 10: Q1 2023 strong performance (1/3)
Q1 2023 STRONG PERFORMANCE (1/3) • Mid-single-digit organic revenue growth in New Construction, supported by a strong orderbook made of various types and sizes of vessels MARINE • Solid double-digit growth in the Core In-service, benefiting from a Covid-19 delayed & +13.5% occasional surveys and pos
Slide 11: Q1 2023 strong performance (2/3)
Q1 2023 STRONG PERFORMANCE (2/3) • Strong organic growth for Power & Utilities – supported by solid activity in Latin America (grid Opex business) and Europe (nuclear power generation) • Double-digit organic growth for Oil & Gas Opex from the conversion of a solid sales pipeline INDUSTRY +12.5% and
Slide 12: Q1 2023 strong performance (3/3)
Q1 2023 STRONG PERFORMANCE (3/3) • Growth supported by volume and robust price increases across most countries and schemes • Very high organic growth in countries where the offering has been expanded with new CERTIFICATION +11.2% schemes Organic growth • Double-digit growth achieved in QHSE schemes
Slide 13: Portfolio business highlights
PORTFOLIO BUSINESS HIGHLIGHTS
Slide 14: Leveraging fast growing markets - BV Green Line
LEVERAGING FAST GROWING MARKETS - BV GREEN LINE BREAKDOWN OF GROUP SALES (Q1 2023) BV Green Line Resources & Production Other 45% Consumption & Traceability services 55%* Buildings & Infrastructure New mobility Social, Ethics & Governance * 12-month rolling 14 Q1 2023 REVENUE
Slide 15: Leading the way in innovative sustainability customer solutions
LEADING THE WAY IN INNOVATIVE SUSTAINABILITY CUSTOMER SOLUTIONS H2 Renewable hydrogen Data centers environmental French “anti-food certification scheme claims audit framework waste” label ׀Launch of a certification scheme, ׀Climate Neutral Data Centre Pact ׀First label granted to Carrefour,
Slide 16: Selection of BV Green Line services won or delivered in Q1 2023
SELECTION OF BV GREEN LINE SERVICES WON OR DELIVERED IN Q1 2023 RESOURCES & PRODUCTION NEW MOBILITY RENEWABLES & ALTERNATIVE BUILDINGS & E-MOBILITY, SOCIAL, ETHICS CONSUMPTION INFRASTRUCTURE ALTERNATIVE ENERGIES & TRACEABILITY PROPULSION & GOVERNANCE • Green hydrogen Construction site CONSTRUCTION C
Slide 17: Outlook
OUTLOOK VERITAS
Slide 18: 2023 outlook confirmed
2023 OUTLOOK CONFIRMED Based on a healthy sales pipeline, the significant growth opportunities related to Sustainability and taking into account the current macro uncertainties, Bureau Veritas expects for the full year 2023 to deliver: Mid- A strong A stable single-digit cash flow, adjusted organic
Slide 19: Bureau Veritas reliable and resilient
BUREAU VERITAS RELIABLE AND RESILIENT Strong start to the year with a broad-based growth Expanding our services in high growth Sustainability and energy transition markets Well positioned to deliver on our 2023 commitments 19 Q1 2023 REVENUE
Slide 20: Questions & Answers
QUESTIONS & ANSWERS 20 Q1 2023 REVENUE
Slide 21: 2023 financial calendar
2023 FINANCIAL CALENDAR Our information is certified with blockchain technology. AGENDA Check that this presentation is genuine at www.wiztrust.com • Shareholders’ meeting: June 22, 2023 • Half year 2023 results: July 26, 2023 • Q3 2023 revenue: October 25, 2023 Bureau Veritas has been ranked in the
Slide 22: Contacts
CONTACTS I N V E S T O R R E L AT I O N S D E PA R T M E N T BUREAU VERITAS HEAD OFFICE – 40/52 BOULEVARD DU PARC 92200 NEUILLY-SUR-SEINE, FRANCE Laurent Brunelle Head of Investor Relations +33 (0)1 55 24 76 09 laurent.brunelle@bureauveritas.com Colin Verbrugghe Investor Relations Manager +33 (0)1 5
Slide 23: Appendix
APPENDIX
Slide 24: Bureau Veritas' CSR performance and positioning
BUREAU VERITAS’ CSR PERFORMANCE AND POSITIONNING Ranked 2nd Rated A in the by Axylia in Professional Services the “Vérité 40” Index Industry category Ranked 2nd Ranked 1st in the in the European Research & Business support Consulting sector services sector 24 Q1 2023 REVENUE
Slide 25: Bureau Veritas' CSR vision is to lead the industry
BUREAU VERITAS’ CSR VISION IS TO LEAD THE INDUSTRY “ Owing to the nature of its services, BV has a two-fold impact on CSR issues ” WITHIN BV FOR CLIENTS thanks to its own thanks to its services supporting CSR strategy CSR commitment All SDGs are impacted with more or less 25 Q1 2023 REVENUE extent b
Slide 26: Bureau Veritas aims to be the leader in non-financial ratings
BUREAU VERITAS AIMS TO BE THE LEADER IN NON-FINANCIAL RATINGS MAIN RATINGS TO NURTURE REPUTATION WITH CLIENTS AND TRUST WITH INVESTORS S&P Global Sustainability Yearbook 2023 (Professional services) Low risk Advanced Platinum February 2023 ranked 1st in Research 70/100 76/100 and Consulting subindus
Slide 27: Q1 2023 total revenue growth of 8.9%
Q1 2023 TOTAL REVENUE GROWTH OF 8.9% REVENUE EVOLUTION VARIATION ANALYSIS In € million +10.0% at constant currency +8.5% +1.5% (1.1)% 1,404.5 1,290.1 1 (1) Alternative performance indicators are presented, defined and reconciled with IFRS in appendix of this presentation 27 Q1 2023 REVENUE
Slide 28: Q1 2023 revenue by business
Q1 2023 REVENUE BY BUSINESS REVENUE AND YEAR-ON-YEAR REVENUE GROWTH BREAKDOWN OF REVENUE €M Organic Scope Currency Marine & Offshore Marine & Offshore 113.1 +13.5% - (2.0)% 11% 8% 7% Agri-Food & Commodities Agri-Food & Commodities 302.7 +7.7% - +0.1% 22% Industry Industry 295.3 +12.5% - (2.9)% Q1 20
Slide 29: Q1 2023 revenue evolution by geography
Q1 2023 REVENUE EVOLUTION BY GEOGRAPHY REVENUE BY GEOGRAPHIC AREA REVENUE EVOLUTION BY NATURE Organic Scope Asia Americas Pacific 28% 27% +5.5% Q1 2023 Africa, Middle East 9% +0.1% +13.9% +14.0% Europe 35% +6.7% +4.3% Americas Europe Africa, Asia Pacific Middle East 29 Q1 2023 REVENUE
Slide 30: Marine & Offshore
MARINE & OFFSHORE (8% OF REVENUE) KEY FINANCIALS Q1 2023 HIGHLIGHTS KEY FIGURES Q1 Q1 • New Construction: mid-single-digit growth, IN EUR MILLIONS Change supported by a strong orderbook made of 2023 2022 Mid-single-digit growth various types and sizes of vessels Revenue 113.1 101.4 +11.5% in New Con
Slide 31: Agri-Food & Commodities
AGRI-FOOD & COMMODITIES (22% OF REVENUE) KEY FINANCIALS Q1 2023 HIGHLIGHTS KEY FIGURES Q1 Q1 • Oil & Petrochemicals: mid-single-digit organic IN EUR MILLIONS Change growth, a reflection of price increases and higher 2023 2022 Revenue 302.7 280.7 +7.8% testing volumes led by fuel consumption Governme
Slide 32: Industry
INDUSTRY (21% OF REVENUE) KEY FINANCIALS Q1 2023 HIGHLIGHTS KEY FIGURES Q1 Q1 • Power & Utilities: double-digit organic growth, IN EUR MILLIONS Change supported by strong activity in Latin America 2023 2022 (grid Opex business) and Europe (nuclear power Opex Power & Utilities Revenue 295.3 269.5 +9.
Slide 33: Buildings & Infrastructure
BUILDINGS & INFRASTRUCTURE (31% OF REVENUE) KEY FINANCIALS Q1 2023 HIGHLIGHTS KEY FIGURES Q1 Q1 Construction-related activities (55% of divisional IN EUR MILLIONS 2023 2022 Change revenue): double-digit organic growth United States • Latin America delivered a very strong growth, (21% of B&I revenue)
Slide 34: Certification
CERTIFICATION (7% OF REVENUE) KEY FINANCIALS Q1 2023 HIGHLIGHTS KEY FIGURES Q1 Q1 • Growth supported by volume and price IN EUR MILLIONS 2023 2022 Change increases across most geographies and Sustainability schemes Revenue 106.9 97.3 +9.9% Organic +11.2% • The Americas and Asia Pacific performed abo
Slide 35: Consumer Products
CONSUMER PRODUCTS (11% OF REVENUE) KEY FINANCIALS Q1 2023 HIGHLIGHTS KEY FIGURES Q1 Q1 • Testing volumes impacted by the global economic IN EUR MILLIONS Change slowdown with varying momentums depending on 2023 2022 the services and geographies House Beauty & Revenue 154.9 153.0 +1.2% Organic (3.5)%
Slide 36: Currency mix in Q1 2023
CURRENCY MIX IN Q1 2023 REVENUE CURRENCY EXPOSURE CURRENCY CHANGE (YEAR ON YEAR) OTHER 12.5% USD (and pegged) +4.5% PEN 0.9% COP 1.0% CNY (3.0)% ARS 1.1% EUR 30.7% AUD (1.3)% SGD 1.2% TWD 1.3% CAD (2.1)% JPY 1.7% GBP (5.3)% INR 1.7% BRL +5.3% CLP 3.0% CLP +4.2% JPY (8.1)% Q1 2023 GBP 3.1% TWD (3.7)%
Slide 37: Definition of alternative performance indicators and reconciliation with IFRS (1/2)
DEFINITION OF ALTERNATIVE PERFORMANCE INDICATORS AND RECONCILIATION WITH IFRS (1/2) INTRODUCTION ORGANIC GROWTH (1/2) The management process used by the Bureau Veritas Group is based on a The Group internally monitors and publishes “organic” revenue growth, which series of alternative performance in
Slide 38: Definition of alternative performance indicators and reconciliation with IFRS (2/2)
DEFINITION OF ALTERNATIVE PERFORMANCE INDICATORS AND RECONCILIATION WITH IFRS (2/2) ORGANIC GROWTH (2/2) SCOPE EFFECT Organic revenue growth represents the percentage of revenue growth, To establish a meaningful comparison between reporting periods, the impact presented at Group level and for each b
Slide 39: Glossary
GLOSSARY Operating Profit (AOP) excludes amortization of acquisition intangibles, goodwill IoT: Internet of Things impairment, restructuring, acquisition and disposal-related items (adjustment items) IMO: International Maritime Organization ASR: Accident Severity Rate LNG: Liquefied Natural Gas Adju
Slide 40: www.bureauveritas.com
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