Groupe Crit Sa · EURONEXT:CEN
Groupe Crit Sa — H1 2017 Earnings Presentation
34 slides from Groupe Crit Sa's earnings presentation, 2017
Slide 1: Half-Year Results
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Slide 2: Profil (FY 16)
PROFIL (FY 16) 2 BUSINESS DIVISIONS 19th world’s largest staffing firm (1) N.1 french indépendant AIRPORT SERVICES 528 branches TEMPORARY STAFFING & RECRUITMENT N.1 in France +30 000 clients MULTI- SERVICES €1.83b €335m 125 airlines +230 000 revenue temp. workers revenue +380 000 aircrafts movements
Slide 3: Strong positions in France, significant international development
PROFIL (FY 16) STRONG POSITIONS IN FRANCE. SIGNIFICANT INTERNATIONAL DEVELOPMENT France € 1.67b (78% of total revenue) Europe (hors France) € 144m Spain (7% of total revenue) Germany Switzerland United-Kingdom € 286m Ireland (13% of total revenue) America United-States Dominican Republic Afrique € 4
Slide 4: An excellent first-half
AN EXCELLENT FIRST-HALF Group revenue of € 1 174.7m up 14.7% Staffing & recruitment up 13.0% Multi-services up 23.7% Ebitda up 17% at €60.3m Net profit group share of € 32.2m €462.7m in equity 4 – Half-year results 2017
Slide 5: Activity
ACTIVITY TEMP. STAFFING France: double digit organic growth & RECRUITMENT International: strong growth MULTI- SERVICES Growth boosted by airport services
Slide 6: Group growth up 14.7% in H1
GROUP GROWTH UP 14.7% IN H1 CHANGE IN H1 REVENUE BREAKDOWN BY DIVISION in million euros in % of total revenue Multi-services +14.7% 15.9% (H1 2016 : 14.7%) 1 174.7 +11.5% 1 024.5 918.6. +9.7% (1) +11.4% (1) Temp. staffing & recruitment 84.1% (H1 2016 : 85.3%) (1) ORGANIC 6 – Half-year results 2017
Slide 7: Two quarters of strong growth
TWO QUARTERS OF STRONG GROWTH GROWTH MOMENTUM CONFIRMED OVER THE MONTHS CHANGE IN QUARTERLY REVENUE in million euros +14.6% 635.7 +14.7% +9.6% 554.7 539.0 +13.9% 505.9 469.8 412.6 2015 2016 2017 Growth a constant perimeter Growth a constant perimeter and exchange rate and exchange rate +9.4 % +9.9 %
Slide 8: France: double digit organic growth; International: strong growth
FRANCE: DOUBLE DIGIT ORGANIC GROWTH INTERNATIONAL: STRONG GROWTH CHANGE IN H1 REVENUE IN FRANCE CHANGE IN H1 INTERNATIONAL REVENUE in million euros in million euros +11.1% +26.9% +13.7% 878.2 296.5 +4.8% 790.8 695.4 233.7 223.1 Growth a constant perimeter Growth a constant perimeter and exchange rat
Slide 9: Temp. staffing & recruitment
Temp. staffing & working together recruitment Double digit organic growth in France International strong growth
Slide 10: Staffing growth up 13%
Travaillons ensemble STAFFING GROWTH UP 13% CHANGE IN H1 REVENUE BREAKDOWN FRANCE / INTERNATIONAL in million euros in % +13.0% 987.6 +12.6% International 25.7% (H1 2016 : 24.3%) 874.2 776.6 France 74.3% (H1 2016 : 75.7%) Growth a constant perimeter and exchange rate TEMP. TEMP.STAFFING STAFFING& +9.
Slide 11: Staffing France: double digit organic growth
STAFFING FRANCE : Travaillons ensemble DOUBLE DIGIT ORGANIC GROWTH CHANGE IN HALF-YEAR REVENUE IN FRANCE in million euros +10.9% 733.9 +15.1% 661.6 +12.5% 100% organic growth 574.8 Two successful quarters > Q1 2017: +11.3% > Q2 2017: +10.6% TRAVAIL TEMP. STAFFING & TEMPORAIRE RECRUITMENT & RECRUTEME
Slide 12: France: growth in line with the market dynamics and main actors
FRANCE : GROWTH IN LINE WITH THE MARKET Travaillons ensemble DYNAMICS AND MAIN ACTORS In line with the market dynamics… France Change in 2014 Change in 2015 Change in 2016 Change in H1 2017 Market -0.3% +4.3% +6.8% +11,0%(1) CRIT +5.4% +12.0% +14.1% +10.9% and main actors… France Change in 2014 Chan
Slide 13: France: growth driven by services and building
FRANCE : GROWTH DRIVEN BY SERVICES AND Travaillons ensemble BUILDING BREAKDOWN OF H1 REVENUE BREAKDOWN OF H1 REVENUE BY CUSTOMER PROFIL France France (in % of divisional revenue) Key accounts(1) 54% change/ H1 change/ H1 % of total (H1 2016 : 52%) 2016 2017 revenue Industry +24% +6% 49% Building +2%
Slide 14: International strong growth
Travaillons ensemble INTERNATIONAL STRONG GROWTH CHANGE IN H1 INTERNATIONAL REVENUE BREAKDOWN BY GEOGRAPHY In million euros in % +19.3% +5.4% 253.8 212.6 201.7 Spain United-States 24.1% 66.9% ROW (Marocco, Tunisia, Germany, Switzerland) 9.0% Growth a constant perimeter TRAVAIL and exchange rate TEMP
Slide 15: Spain: continued growth momentum; strong growth in USA
SPAIN : CONTINUED GROWTH MOMENTUM Travaillons ensemble STRONG GROWTH IN USA CHANGE IN H1 INTERNATIONAL REVENUE BY COUNTRY In million euros +21.5% H1 2015 +2.3% H1 2016 169.7 H1 2017 139,8 136,6 +21.1% + 17.5% 61.1 50,4 42,9 100% organic growth Growth a constant perimeter TRAVAIL TEMP. STAFFING & and
Slide 16: United-States: up 21.5%
Travaillons ensemble UNITED-STATES: UP +21.5% GROWTH UP 21.5% IN H1 DRIVEN BY THE TWO LATEST ACQUISITIONS… • TeamSoft (integrated in Nov. 2016) specialised in the delegation and the highly qualified IT jobs recruitments • Strenghthens the positions in the IT staffing market • Portfolio of medium and
Slide 17: Multi-services
Multi-services Strong growth in H1
Slide 18: Multi-services: strong growth in H1
MULTI-SERVICES : STRONG GROWTH IN H1 CHANGE IN H1 MULTI-SERVICES REVENUE BREAKDOWN OF DIVISION’S H1 REVENUE BY ACTIVITY in million euros in % +23.4% 196.6 +5.8% Airport Services 76% (H1 2016 : 72.7%) 159.3 150.6 Engineering & maintenance 24% (H1 2016 : 27.3%) Growth a constant perimeter and exchange
Slide 19: Airport services: up 29%
AIRPORT SERVICES: UP 29% CHANGE IN H1 AIRPORT SERVICES REVENUE BREAKDOWN OF H1 AIRPORT SERVICES REVENUE in million euros in % +29.0% France +3.6% 149.5 71.4% (H1 2016 : 81.8%) 115.8 111.8 International 28.6% (H1 2016 : 18.2%) Growth a constant perimeter AIRPORT MULTI- and exchange rate SERVICES +9.4
Slide 20: Airport services: organic growth boosted by French activities
AIRPORT SERVICES : ORGANIC GROWTH BOOSTED BY FRENCH ACTIVITIES FRENCH LEADERSHIP REINFORCED Strong organic growth up 12.7% at 106.7M€ (71.4% of Airport services revenue) > Handling licences reconfirmed at Roissy and Orly > 8 contracts signed since January 1st 2017 … of which 4 new contracts • Orly W
Slide 21: International: revenue x2
INTERNATIONAL : REVENUE X2 INTEGRATION OF COBALT GROUND SOLUTIONS AIRPORT INTERNATIONAL : A DOUBLING IN ACTIVITY • H1 revenue x2 at €42.8m > Jan. 1st 2017 : Integration of Cobalt Ground Solutions. n°3 in ground handling services at London Heathrow airport > Full handling (passengers check-in, ticket
Slide 22: Results
RESULTS
Slide 23: Activity: change in H1 revenue
ACTIVITY CHANGE IN H1 REVENUE in million euros Variation H1 2016 H1 2017 H1 2016/H12017 Temp. staffing & recruitment 874.2 987.6 +13.0% Airport services 115.8 149.5 +29.1% other services 43.5 47.1 + 8.2% Inter-segment elimination (9.0) (9.5) TOTAL GROUP 1 024.5 1 174.7 +14.7% 23 – Half-year results
Slide 24: EBITDA by division
EBITDA (1) BY DIVISION H1 2016 H1 2017 € million % € million % Temp. staffing & recruitment 41.1 4.7% 47.5 4.8% - France 31.6 4.8% 37.3 5.1% - International 9.5 4.5% 10.2 4.0% Multi-services 10.3 6.5% 12.8 6.5% - Airport services 8.4 7.3% 10.8 7.2% - Other 1.9 4.3% 2.0 4.2% TOTAL GROUP 51.4 5.0% 60.
Slide 25: Profit & Loss
PROFIT & LOSS (€ million) H1 2016 H1 2017 REVENUE 1 024.5 1 174.7 Operating expenses (969.9) (1 111.1) Provisions (3.2) (3.3) EBITDA 51.4 60.3 EBITDA/revenue 5.0% 5.1% Depreciation (9.2) (11.2) CURRENT OPERATING INCOME 42.2 49.1 COI/revenue 4.1% 4.2% Other expenses - (3.2) OPERATING INCOME 42.2 49.1
Slide 26: Balance sheet
BALANCE SHEET (€ million) 06/30/2016 06/30/2017 12/31/2016 Fixed assets 436.2 521.9 487.6 Current assets 470.3 534.5 472.6 Treasury 84.8 76.3 107.1 ASSETS 991.3 1 132.7 1 067.3 Shareholder’s equity 388.0 462.7 435.6 Provisions 37.7 39.5 39.0 Financial debts 142.6 145.9 153.4 Current liabilities 423.
Slide 27: Net financial debt
NET FINANCIAL DEBT (€ million) 06/30/2016 06/30/2017 12/31/2016 Borrowings, non current portion 84.8 93.3 96.1 Borrowings, current portion 33.2 35.3 34.2 S/T GROSS FINANCIAL DEBT 118.0 128.6 130.3 Cash and cash equivalents 84.8 76.3 107.1 Overdrafts 24.6 17.3 23.1 S/T NET CASH (60.2) (59.0) (83.9) N
Slide 28: Cash flow statement
CASH FLOW STATEMENT (€ million) H1 2016 H1 2017 Net results including minority interests 29.6 31.8 Restatement of non cash item (6.3) (10.6) Cost of financial debt 0.4 1.1 Income tax 12.3 12.5 CASH FLOW BEFORE COST OF NET DEBT AND INCOME TAX 36.0 34.8 Change in working capital (38.3) (17.4) Taxes pa
Slide 29: Outlook
OUTLOOK TEMP. STAFFING & Favorable outlook RECRUITMENT MULTI- Airport services : good trends in France SERVICES extension of positions abroad
Slide 30: Favorable outlook in France
Travaillons ensemble FAVORABLE OUTLOOK IN FRANCE… FRANCE A favorable economic and structural environment > GDP 2017 revised upward : +1.5% (1) vs +1.1% in 2016 ; better business and investment climates > New labour law: possibility for professional branches to allow for more flexible access to fixed
Slide 31: ... and abroad
Travaillons ensemble … AND ABROAD SPAIN > Activity shoud remain boosted by the economic environment > GDP 2017 growth revised upward to +3.1% vs 2.6% (1) > Staffing market forecast up 8% to 10% (source Asempleo) UNITED-STATES > GDP 2017 growth revised downwards to +2.1% vs 2.5% (1) > Full year integ
Slide 32: Airport services: good trends in France, extension of international positions
AIRPORT SERVICES : GOOD TRENDS IN FRANCE. EXTENSION OF INTERNATIONAL POSITIONS FRANCE : A WELL-ORIENTATED SECOND HALF > Airlines traffic stable in July 2017: -0.2% (1) (aircrafts movements in Roissy and Orly) > Ramp-up of the new AIR France contract in Orly West INTERNATIONAL : AN IMPORTANT STEP > N
Slide 33: Annex: H1 current operating income by division
ANNEX H1 CURRENT OPERATING INCOME (1) BY DIVISION H1 2016 (1) H1 2017 €m % of revenue €m % of revenue Temp. Staffing & recruitment 37.0 4.2% 43.0 4.4% - France 31.1 4.7% 36.8 5.0% - International 5.9 2.8% 6.2 2.4% Multi- services 5.2 3.3% 6.1 3.1% - Airport services 4.3 3.7% 5.5 3.7% - Others 0.9 2.
Slide 34: Share characteristics
SHARE CHARACTERISTICS CHANGE IN MARKET PRICE OVER 1 YEAR 88 € 84€ 80 € DISTRIBUTION OF CAPITAL 76 € 72 € at 02/28/2017 68 € 64 € 60 € 56 € Own shares 52 € 1.3% 20/10 29/11 09/01 16/02 28/03 10/05 19/06 27/07 05/09 Family-held 74.7% Public Code ISIN FR0000036675 24% Market segment Euronext B Number o