Slide 1: Annual Results 2018
ANNUAL RESULTS 2018 Fo | e in” an a BT - aa S‘engager, grandir, partager, ensemble > crit www.groupe-crit.com
Slide 2: Growth in both business units: Group profile
GROWTH IN BOTH BUSINESS UNITS Group profile GROUP CRIT 2018 REVENUE: €2.5bn (+3.7 organic growth) EBITDA: €149m (stable) % TEMPORARY STAFFING & RECRUITMENT MULTI-SERVICES €2.1bn revenue (+2.4% organic growth) € 460m revenue (+11.4%) (82.6% of total revenue) (17.4% of total revenue) 18th largest glob
Slide 3: The Group celebrates its 20th anniversary
THE GROUP CELEBRATES ITS 20TH ANNIVERSARY Group profile LISTED ON THE PARIS STOCK EXCHANGE Share price since 18 March 1999 1,583.5% Group Crit CAC 40 Listed on Euronext Paris 1,246.8% March 18th, 1999 share price x 9 over 20 years 910.1% 777% at €6 573.4% 18 March 2019 236.7% Share price € 53.1 21%
Slide 4: 20 years of strong growth
20 YEARS OF STRONG GROWTH Group profile Revenue growth (€m) EBITDA growth (€m) +14.1% CAGR +14.4% CAGR 2,498 149 1,451 51 180 10 2018 annual results 4
Slide 5: FY 2018: Strong performance in terms of growth and profitability
1 FY 2018 Strong performance in terms of growth and profitability
Slide 6: Excellent performance
EXCELLENT PERFORMANCE > Revenue: peaked at €2.5bn up 3.7% on a like-for-like perimeter and constant forex > almost €150m in EBITDA > EBITDA margin of 6.0% > Net profit of €91m > €557.6m of shareholder’s equity > €222.8m of net cash 2018 annual results 6
Slide 7: Temporary Staffing & Recruitment
TEMPORARY STAFFING & RECRUITMENT
Slide 8: Strong growth: more than €2bn over the year
Temporary staffing STRONG GROWTH & recruitment More than €2bn over the year > 82.6% of total revenue Temp. staffing & recruitment revenue Geographical breakdown (€m) 2,062 2,075 2,026 International 24% +1.8% +2.4% France 1,829 76% 2018 annual results 8
Slide 9: Strong growth: France organic growth
Temporary staffing STRONG GROWTH & recruitment > France: +2.8% organic growth Temp. staffing & recruitment revenue - France (€m) 1,569 1,526 76% of the business unit's revenue 100% organic growth 1,393 • Strong 2018 first half +5.5% • Slowdown in second half +0.3% +2.8% 2018 annual results 9
Slide 10: France growth historically above market leaders
Temporary staffing STRONG GROWTH & recruitment > France: growth historically above market leaders Revenue growth in CAGR France 2018 2014-2018 CRIT ORGANIC +2.8% +9.5% Adecco +6.0% +5.2% Manpower +1.9% +5.1% Randstad +2.0% +6.2% (including acquisitions) Synergie +2.8% +7.2% (at constant consolidatio
Slide 11: Strengthened fundamentals for accompanying markets evolution
STRENGTHENED FUNDAMENTALS Temporary staffing FOR ACCOMPANYING MARKETS EVOLUTION & recruitment 1 Network coverage & client proximity 5 2 Greater job security for Digitisation temporary staff 3 4 Service offering Diversity in industries scaling-up and customers 2018 annual results 11
Slide 12: Network coverage and client proximity
STRENGTHENED FUNDAMENTALS Temporary staffing FOR ACCOMPANYING MARKETS EVOLUTION & recruitment 1 An extensive network serving dynamic economic regions Network coverage & client proximity CRIT network since 2009 worldwide France 580 568 500 511 528 472 473 480 426 431 406 373 368 364 360 380 354 355 3
Slide 13: Greater job security for temporary staff
STRENGTHENED FUNDAMENTALS Temporary staffing FOR ACCOMPANYING MARKETS EVOLUTION & recruitment 2 Greater job security for temporary staff Training: enhancement of training investment > 18,900 employees trained in 2018, +6.6% vs. 2017 CDII open-ended temporary employment contracts > Sustained developm
Slide 14: Service offering scaling-up
STRENGTHENED FUNDAMENTALS Temporary staffing FOR ACCOMPANYING MARKETS EVOLUTION & recruitment 3 Service offering scaling-up Capitalise on specialised expertise > Energy, aeronautics, events, etc. Development of perm. fees (recruitment activities) > Revenue up by: +29% vs. 2017 > Outperformed the mar
Slide 15: Diversity in industries and customers
STRENGTHENED FUNDAMENTALS Temporary staffing FOR ACCOMPANYING MARKETS EVOLUTION & recruitment 4 > Growth driven by services and industry Diversity in industries Sector breakdown Breakdown of revenue and customers and revenue growth 2018 (France) by client sector 2018 (1) Change SMEs % revenue 2018 v
Slide 16: Performance driven by commerce, logistics and business assistance
STRENGTHENED FUNDAMENTALS Temporary staffing FOR ACCOMPANYING MARKETS EVOLUTION & recruitment > Performance driven by commerce, logistics and business assistance Contribution of key sectors to annual growth (FTE temp.employees – France) CRIT: +4.2% FTE growth excl. automotive CRIT Market Market (1):
Slide 17: Digitisation of services
STRENGTHENED FUNDAMENTALS Temporary staffing FOR ACCOMPANYING MARKETS EVOLUTION & recruitment 5 Digitisation A digital strategy of services focused on 3 key vectors 1. Customer relations digitisation > Promote client use of CRIT Online portal 2. Temporary staff loyalty > Use of My-Crit "temporary st
Slide 18: Strengthened international positions: international growth
STRENGTHENED INTERNATIONAL Temporary staffing POSITIONS & recruitment > International: up 1.2% organic growth Temp. staffing & recruitment revenue – international (€m) 506 500 493 24% of Temp. staffing division revenue Negative exchange rate impact (-3%) Organic growth: +1.2% -1.4% +1.2% 437 2018 an
Slide 19: Spain: strong growth
STRENGTHENED INTERNATIONAL Temporary staffing POSITIONS & recruitment > Spain: strong growth Revenue growth in Spain (€m) 132 123 Spain: solid growth Four consecutive years of strong growth 105 Further improvement in EBITDA margin Growth 100% organic 90 up 40 bps in 2018 +7.7% 2018 annual results 19
Slide 20: US: returned to organic growth at year-end
STRENGTHENED INTERNATIONAL Temporary staffing POSITIONS & recruitment > US: returned to organic growth at year-end and improved margins Annual revenues in the United States ($m) 372 366 Further optimization of the network 318 314 95 agencies Positive price effect Strong improvement in EBITDA margin
Slide 21: Airport Services
AIRPORT SERVICES GROUPE, ger, ensemble > crit eee
Slide 22: Airport services: long-term growth driver
AIRPORT SERVICES: Airport services LONG-TERM GROWTH DRIVER 2000 2018 Revenue: €31.5m Revenue x 11 Revenue: €355.9m EBITDA: €3.2m EBITDA x 11 EBITDA: €34.8m 2018 annual results 22
Slide 23: Strong growth in France and overseas
AIRPORT SERVICES: Airport services STRONG GROWTH IN FRANCE AND OVERSEAS Airport services revenue Breakdown of airport services revenue (€m) (%) International France +13.1% 356 315 93 International +5.4% 26% 88 245 (2017: 28%) 41 France 263 74% +16.1% (2017: 72%) 226 203 +9.3% (1) +11.9% (1) (1) On a
Slide 24: Airport services: France and International
AIRPORT SERVICES: Airport services STRONG GROWTH IN FRANCE AND OVERSEAS FRANCE INTERNATIONAL > Organic growth: 14.2% > Organic growth: 6.1% (on a like-for-like perimeter basis and constant forex) > 290,000 flights handled > 196,000 flights handled > 7 new contracts signed in 2018, including 4 cargo
Slide 25: Results
2 RESULTS Strong performances in growth and profit margins
Slide 26: Activity: revenue growth
ACTIVITY Revenue growth (€m) Change Organic Forex Perimeter 2017 2018 2018 vs 2017 change impact (1) effect(2) Temp. staffing & 2,026.3 2,062.4 1.8% 2.4% (0.7)% 0.1% recruitment Airport services 314.6 355.9 13.1% 11.9% (0.3)% 1.5% Other services 98.1 103.7 5.7% 5.7% - Inter-segment eliminations (20.
Slide 27: EBITDA by business unit
EBITDA (1) BY BUSINESS UNIT 2017 2018 €m % of rev. €m % of rev. Temp. staffing & recruitment 115.4 5.7% 106.5 5.2% - France 93.5 6.1% 81.3 5.2% - International 21.9 4.4% 25.2 5.1% Multi-services 34.2 8.3% 42.5 9.3% - Airport services 29.2 9.3% 34.8 9.8% - Other 5.0 5.1% 7.8 7.5% GROUP TOTAL 149.6 6.
Slide 28: Profit & Loss
PROFIT & LOSS €m 2017 2018 REVENUES 2,418.2 2,498.2 Operating expenses (2,259.8) (2,341.5) Provisions (8.8) (7.7) EBITDA 149.6 149.0 EBITDA/revenue 6.2% 6.0% Depreciation (23.0) (23.3) CURRENT OPERATING INCOME 126.6 125.7 COI/revenue 5.2% 5.0% Other income and expenses 0.2 0 OPERATING INCOME 126.8 1
Slide 29: Balance sheet
BALANCE SHEET €m 31/12/2017 31/12/2018 Fixed assets 518.0 531.1 Current assets 517.3 528.0 Treasury 137.6 213.8 Assets held for sale - 2.4 ASSETS 1,172.9 1,275.3 Shareholder’s equity 511.9 557.6 Provisions 43.5 44.9 Financial debt 146.8 201.3 Current liabilities 470.7 470.0 Liabilities held for sale
Slide 30: Net financial debt
NET FINANCIAL DEBT €m 31/12/2017 31/12/2018 Borrowings, non-current portion 62.8 41.6 Borrowings, current portion 56.6 62.5 S/T Gross Financial debt 119.4 104.1 Cash and cash equivalents (137.6) (213.8) Overdrafts 27.4 97.2 S/T Net cash (110.2) (116.6) NET FINANCIAL DEBT 9.2 (12.5) Competitiveness a
Slide 31: Cash flow statement
CASH FLOW STATEMENT €m 31/12/2017 31/12/2018 Net results including minority interests 83.4 90.8 Restatement of non cash items 1.1 11.6 Cost of financial debt 2.6 2.9 Income tax 31.7 38.8 CASH FLOW BEFORE COST OF NET DEBT AND INCOME TAX 118.8 144.1 Change in working capital (17.1) (8.2) Taxes paid (3
Slide 32: Outlook 2019
js Y andl é' \ ‘an © _ ii OUTLOOK 2019 GROUPE
Slide 33: Temporary staffing & recruitment: consolidate our position
TEMPORARY STAFFING & RECRUITMENT: Temporary staffing CONSOLIDATE OUR POSITION & recruitment FRANCE > CRIT: growth at beginning of the year > Stabilisation of the temp. staffing market at beginning of year > GDP forecast growth: +1.5% (1) in 2019 Forecast of +0.4% in Q1 2019 then in Q2 2019 (2) follo
Slide 34: Airport services: excellent visibility
AIRPORT SERVICES: Airport services EXCELLENT VISIBILITY FRANCE INTERNATIONAL OPERATIONS An excellent start to the year Continue growth momentum > Good orientation in airlines traffic > 7 contracts signed since 1 January 2019… (+1.4% in January 2019 at CDG and Orly) …including 2 new multi-year contra
Slide 35: Dividend: €1.00/share
DIVIDEND: €1.00/SHARE > Proposal at the next General Meeting held on 7 June 2019 > Dividend of €1.00/share > Dividend payment on 28 June 2019 2018 annual results 35
Slide 36: Share characteristics
SHARE CHARACTERISTICS Share price movements (rolling 12-month) Shareholder structure 92 at 28/02/2019 88 84 80 76 Treasury shares 72 1.4% 68 64 60 56 52 48 12/04 27/04 15/05 30/05 14/06 29/06 16/07 31/07 15/08 30/08 14/09 01/10 16/10 31/10 15/11 30/11 17/12 04/01 21/01 05/02 20/02 07/03 22/03 Float