Lacroix Group : 2021 Historical revenue of over €500m. Great
improvement on results.
23/03/2022
2021Historical
revenue of over €500m
Great improvement on results
Objectives for
2022Growth in revenue
of at least 30% and maintenance of the
EBITDA margin rate despite a generally uncertain
environment
As a reminder, the 2019-2020 financial year had
an unusual duration of 15 months, namely from 1st October 2019 to
31 December 2020. The audited figures for the 2019-2020 financial
year presented here are therefore not directly comparable. For the
purpose of comparing operational performance, a pro forma for a
comparable 12-month period from 1 January 2020 to 31 December 2020
is proposed below for the aggregates of revenue, current EBITDA and
current operating profit.
in millions of euros |
2021posted 12 months |
2020pro forma 12 months |
Change |
2019/2020posted 15 months |
1 Jan, 21 - 31 Dec, 21 |
1 Jan, 20 - 31 Dec, 20 |
|
1 Oct, 19 - 31 Dec, 20 |
Revenue |
501.5 |
441.0 |
+13.7% |
566.3 |
Current EBITDA |
30.9 |
26.1 |
+18.6% |
34.6 |
as turnover % |
6.2% |
5.9% |
+25bp |
6.1% |
Current operating profit |
18.1 |
14.4 |
+25.8% |
20.1 |
as turnover % |
3.6% |
3.3% |
+34bp |
3.6% |
Operating profit |
17.2 |
|
|
19.1 |
Financial income |
5.8 |
|
|
(1.7) |
Total income tax expense |
(0.6) |
|
|
(5.7) |
Consolidated net income |
22.4 |
|
|
11.7 |
Net income, Group share |
21.6 |
|
|
11.0 |
More than €500m in
revenue, 13.7% growth
Growth of nearly 19% of current EBITDA
In 2021, in line with the stated objective,
LACROIX exceeded an annual revenue of €500 million for the first
time in its history. This amounted to €501.5 million, up 13.7%
compared with the same period in 2020 (from 1 January to 31
December 2020), driven by all the Group's activities. Another
remarkable development: with growth of 2.2% compared to the
comparable period in 2019 (January-December), this performance
completely wipes out the impact of the crisis on turnover.
In 2021, the Group's current EBITDA came to
€30.9 million, representing a margin on current EBITDA of 6.2%,
above the target announced in September 2021 (range between 5.8%
and 6.1%). Compared to the comparable period from January to
December 2020, EBITDA increased by 18.6%.
All activities contributed to this solid
performance in a context of strong demand, and despite the
continuing and significant tensions on electronic component
supplies.
Electronics Activity: strong rebound in
a context of recovery in the main customer sectors
After being heavily impacted by the consequences
of the pandemic in 2020, the Electronics Activity bounced back
strongly in 2021 with growth of 16.8%, reaching €321.5 million. The
marked recovery of demand in the main customer sectors is at the
heart of this strong growth, held back only by the weakness of the
aerospace sector and component shortages. Revenue growth is also
supported by passing on increases in procurement costs to
customers.
Business momentum is evidenced by profitability
with EBITDA of €13.0m, i.e. 4% (compared with 2.9% for the period
from January to December 2020), despite operational performance
impacted by the unpredictable supply of components.
It should be noted that these good performances
do not include the contribution of FIRSTRONIC, an acquisition that
will not be included in the income statement until 1 January 2022.
In 2021, FIRSTRONIC recorded a revenue of some USD 140 million, for
adjusted EBITDA of over 9%.
City Activity: momentum consolidated
over the months
City Activity performed well with a revenue of
€109.9 million, up 12% compared with the comparable period in 2020
(+5.5% compared with 2019). Growth continued thanks to the momentum
of the Smart Street Lighting segment and "smart" offers such as V2X
(connection of road infrastructure with vehicles).
In terms of profitability, and as announced, the
City Activity is returning to balanced current operating profit.
Current EBITDA is positive at €3.3M for the year, representing a
current EBITDA margin of 3% of revenue. This margin also improved
significantly compared with the 1.7% recorded for the January to
December 2020 period. It should be noted that the increase in raw
materials costs at the end of the year could not be passed on to
customers in its entirety over the period (lag between cost
increases and the application dates of price review formulas).
Environment Activity: good performance
and high profitability maintained
Lastly, with a turnover of €70.1 million in
2021, up nearly 4% compared with 2021 and 9.1% compared with 2019,
the Environment Activity remains buoyant, driven by the Water and
Smart Grids segments, in spite of a health context that continues
to hinder the proper development of business internationally.
Business profitability over the financial year
remains very strong, with EBITDA of €16.4m representing 23.4% of
revenue.
25.8% increase in current operating
profit
In total, current operating profit came to €18.1
million, up 25.8% compared with the same period in 2020. Over the
period, and despite the investments and recruitments required to
implement the Leadership 2025 plan, operating expenses were well
controlled.
After taking into account the financial result
and the tax expense, boosted by the revaluation of Firstronic
shares (+€8.9 million) and an investment subsidy in Poland in the
form of a tax credit (+€5.3 million), net income Group share came
to €21.6 million. For the 2019-2020 financial year, with an
exceptional duration of 15 months, it was €11 million.
This increase reflects the recovery that has
taken place in recent months, enabling the Group to return to the
performance trajectory in line with its strategic plan.
A controlled financial situation to
support the execution of the strategic roadmap
As of 31 December 2021, equity stood at €180.4
million, compared with €108.0 million at 31 December 2020,
including the net profit for the year and the capital increase of
€44.3 million carried out successfully in July 2021.
The latter strengthened the Group's financial
structure and provided it with additional financial resources to
lay the groundwork for future growth. In particular, LACROIX has
strengthened its strike force in terms of acquisitions, enabling an
initial structuring operation with the acquisition of FIRSTRONIC in
the United States in December 2021.
In line with the voluntary investment policy,
illustrated notably by the construction of the Symbiose 4.0 site
(delivered on schedule at the end of 2021), net debt increased to
€102.9 million (compared with €31.2 million as of 31 December
2020). It remains under control, with gearing of 57% (compared with
29% at end-December 2020 and 54% at end-December 2019), still well
below the announced ceiling of 80% under the LEADERSHIP 2025
plan.
During the year, LACROIX also repaid all the
government-guaranteed loans contracted during the crisis.
2022: in a more uncertain environment,
an initial growth target of at least 30% driven by the integration
of FIRSTRONIC and the solidity of new orders.
Fiscal year 2022 began with the combination of
the following factors.While the COVID crisis is not over, with a
still strong impact, particularly in Asia, the Group continues to
face tensions in the supply of electronic components. This
situation is expected to persist at least until the second half of
2022, and should continue to affect the Group's ability to fully
meet customer demand. Another area to watch is the consequences of
the Ukrainian conflict. While LACROIX’s direct exposure is
marginal, the indirect impact of this war on the overall level of
orders as well as on the prices of raw materials or energy are
areas that need to be closely watched.
However, the Group is confident in its ability
to succeed in this new year in terms of growth and by maintaining
at least its level of EBITDA margin.
In terms of organic growth, LACROIX will
continue to rely on the robustness of its order book in its three
business areas, and on prospects for conquest that remain
favourable regarding both its historical customer base and new
customers.
In 2022, the Group will also benefit from an
expanded international scope with the integration of FIRSTRONIC,
representing a significant and profitable additional volume of
business over the year, and which benefits from a strong local
sales momentum.
With regard to these areas, LACROIX is setting
itself a revenue growth target of at least 30% for the year. This
conservative objective takes into account reduced visibility and
the need for prudence imposed by the current context. In terms of
results, LACROIX is focusing on a conservative objective of at
least keeping its EBITDA margin at 6.2%.
These objectives are in line with the LEADERSHIP
2025 plan. As a reminder, this strategic plan should enable LACROIX
to establish itself as a global leader in industrial IoT solutions
and industrial equipment for critical applications. All of the
objectives linked to this plan are confirmed and, in particular,
the desire to achieve a revenue of €800 million by 2025 with an
EBITDA margin of around 9%.
Dividend: €0.85 per share, up
25%
In support of the Group’s confidence in its
prospects and the good level of results achieved in 2021, a
dividend of €0.85 per share will be proposed at the next General
Meeting of Shareholders to be held on 6 May 2022. This proposal
represents a distribution rate of approximately one third of
restated net income, in accordance with the policy usually applied
by the Group.
Find our annual financial report from
January 1 to December 31, 2021This document is made
available in accordance with the conditions provided for by the
regulations in force and can be consulted on the company's website
- https://fr.lacroix-group.com/ - in the Investors section
https://fr.lacroix-group.com/wp-content/uploads/2022/03/LACROIX_Rapport_Annuel_2021_FR.pdf
View our financial data in our Investor
Area
https://fr.lacroix-group.com/espace-investisseurs/
Upcoming datesGeneral Meeting:
6 May 2022Turnover for the 1st quarter of 2022: 9 May
2022 after the close of trading
About LACROIX
Convinced that technology contributes to making
our living environments simpler, more sustainable and safer,
LACROIX supports its customers in the construction and management
of intelligent living ecosystems, thanks to connected equipment and
technologies. As a publicly-listed family-owned mid-cap with a
turnover of €501 million in 2021, LACROIX combines the essential
agility required to innovate in an ever-changing technological
sector with the ability to industrialise robust and secure
equipment, cutting-edge know-how in industrial IoT solutions and
electronic equipment for critical applications and the long-term
vision to invest and build for the future. LACROIX designs and
manufactures electronic equipment for its customers products, along
with IoT (hardware, software and cloud) and AI solutions, in
particular in the automotive, home automation, aeronautical,
industrial and health sectors. The Group also provides safe,
connected equipment for the management of critical infrastructures
such as smart roads (street lighting, traffic signs, traffic
management, V2X) and the management and operation of water and
energy systems. Drawing on its extensive experience and expertise,
LACROIX works with its customers and partners to build the
connection between the world of today and the world of tomorrow. It
helps them to create the industry of the future and to make the
most of the opportunities for innovation that surround them,
supplying them with the equipment for a smarter world.
Contacts
LACROIX Deputy CEO and
Executive Vice-President Finance Nicolas Bedouin
investors@lacroix-group.com Tel.: +33 (0)2 72 25 68 80 |
ACTIFIN
Press relations Jennifer Jullia jjullia@actifin.fr
Tel.: +33 (0)1 56 88 11 19 |
ACTIFIN
Financial communication Simon Derbanne
sderbanne@actifin.fr Tel.: +33 (0)1 56 88 11 14 |
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