Regulatory News:
Verallia (Paris:VRLA):
HIGHLIGHTS
- Revenue down to €1,765 million in H1 2024, or -17.6%
compared to H1 2023 (-10.4% at constant scope and exchange
rates)1
- Adjusted EBITDA2 at €431 million (24.4% margin, in line with
Q1 2024) compared to €659 million in H1 2023 (30.8%
margin)
- Gradual recovery in volumes in Q2 2024, though slower
than expected
- Net debt ratio up to 1.9x last 12-month adjusted EBITDA,
compared to 1.2x at December 31, 2023 and 1.3x at June 30,
2023
- Success of the Group's 9th employee share ownership
offer in June 2024
- Completion of the acquisition of Vidrala's glass business in
Italy in early July 2024
- 2024 adjusted EBITDA target revised down and now
expected around the same level as in 2022
"Verallia delivered solid profitability in the first half in a
difficult market environment, thanks in particular to our actions
to continuously improve our industrial performance (PAP) and
despite the adaptation of our production capacities in order to
keep a strict control over our inventories.
We saw a continued recovery in demand in the second quarter, but
at a slower pace than expected. This has led us to revise our
outlook for 2024, although we remain optimistic for the future
given the still solid fundamentals of our business. In addition, we
are pleased with the success of the recent acquisition of Vidrala's
glass business in Italy. The latter is part of our development
strategy in an important market for the Group." said Patrice Lucas,
Chief Executive Officer of Verallia.
REVENUE
In millions of euros
H1 2024
H1 2023
% change
Of which organic
growth
Southern and Western Europe
1,184.9
1,404.8
-15.7%
-16.1%
Northern and Eastern Europe
381.6
514.6
-25.8%
-24.2%
Latin America
198.1
223.3
-11.3%
+57.4% (-12.4% excluding
Argentina)
Total Group
1,764.6
2,142.7
-17.6%
-10.4%
(-17.8% excluding
Argentina)
Revenue for the first half of 2024 was €1,765 million, down
-17.6% on a reported basis compared to the first half of
2023.
Foreign exchange effect was -7.5%, or €(161.8) million.
It is almost entirely linked to the sharp depreciation of the
Argentinian peso over the period.
The scope effect, following the acquisition of cullet
processing centers in Iberia in Q4 2023, contributed €5.7
million, or +0.3%.
At constant exchange rates and scope, revenue was down
-10.4% (-17.8% excluding Argentina). Sales volumes were lower
than H1 2023, which represented a high basis of comparison. The
decline in volumes is relatively broad-based, with good resilience
in still wines, beer and food jars and conversely a sharper decline
in spirits and non-alcoholic beverages (carbonated soft drinks and
fruit juices in particular). This decrease in volume however
reduced in Q2 2024. This sequential improvement confirms our
assumptions of a gradual recovery in activity from Q4 2023
lows.
Selling prices continue to decrease across Europe compared to
the peak reached in H1 2023, against a backdrop of gradually
recovering demand and sharply decreasing energy prices. Argentina
is the only country recording a sharp increase in prices, linked to
local inflation. Product mix continues to have a negative impact on
the Group's business, mainly in Italy and France, given the change
in end-consumer behavior following the strong inflation.
By geographical area:
- In Southern and Western Europe,
volumes saw a slight sequential improvement during the half-year.
However, they remained down compared to H1 2023, with a sharp
decline in non-alcoholic beverages, affected by unfavorable weather
conditions (carbonated soft drinks, fruit juices).
- In Northern and Eastern Europe,
half-year volumes were significantly lower than last year, impacted
in particular by the strong decline in Q1 and more generally by the
weakness of activity in Germany (beer, non-alcoholic beverages) and
the United Kingdom (spirits). However, there was a sequential
improvement driven by all end markets.
- In Latin America, volumes were
slightly lower over the first half despite a sequential increase in
Q2. There was a rebound in activity in Chile and a slight decline
in volumes in Brazil despite a sequential improvement. Activity was
up slightly in Argentina, where price increases offset the negative
foreign exchange impact.
ADJUSTED EBITDA
In millions of euros
H1 2024
H1 2023
Southern and Western Europe
Adjusted EBITDA
288.2
436.5
Adjusted EBITDA margin
24.3 %
31.1 %
Northern and Eastern Europe
Adjusted EBITDA
76.4
141.5
Adjusted EBITDA margin
20.0 %
27.5 %
Latin America
Adjusted EBITDA
66.6
81.0
Adjusted EBITDA margin
33.6 %
36.3 %
Total Group
Adjusted EBITDA
431.3
659.0
Adjusted EBITDA margin
24.4 %
30.8 %
Adjusted EBITDA was €431 million in the first half of
2024.
Impact of the decline in activity was significant at €(163)
million, due to the combined effect of the decline in volumes sold
(continued destocking along the value chain) and the non-recurrence
of the inventory replenishment carried out by Verallia in H1 2023.
Inflation spread3 was negative and also weighed on EBITDA for the
half-year at €(53) million despite a €50 million positive spread in
Argentina.
Unfavorable impact of exchange rates amounted to €(47) million.
It was mainly linked to the depreciation of the Argentinian peso
and offset in absolute terms the positive impact of price increases
and spread in local currency.
Lastly, the Performance Action Plan (PAP) once again delivered
excellent results, generating a net reduction in cash production
costs of 2.6% or €33 million over the half-year.
Adjusted EBITDA margin was down to 24.4% compared to
30.8% in H1 2023.
By geographic area, adjusted EBITDA broke down as follows:
- In Southern and Western Europe,
adjusted EBITDA reached €288 million (vs. €437 million in H1 2023)
with a margin of 24.3% compared to 31.1%. Activity was down
throughout the perimeter. Spread, which was impacted by price cuts
and a negative mix that could not be fully offset by lower costs,
negatively impacted EBITDA. Good PAP delivery over the period made
it possible to limit this decline.
- In Northern and Eastern Europe,
adjusted EBITDA reached €76 million (vs. €142 million in H1 2023),
bringing margin to 20.0%, compared to 27.5%. Decline in EBITDA was
strongly linked to the decline in activity, particularly in Germany
and the United Kingdom. The generation of a moderately negative
inflation spread also had an impact on EBITDA. PAP delivered a
strong performance that was well above expectations.
- In Latin America, adjusted EBITDA
decreased to €67 million (vs. €81 million in H1 2023), with a
significant impact from negative currency effects in Argentina.
Margin however remained at a high level (33.6% compared to 36.3% in
H1 2023). Regardless of inflation and currency effects in
Argentina, profitability of the three countries in the area
remained very satisfactory thanks to a broadly neutral spread and a
good PAP delivery.
The decrease in net income Group share to €124 million
(€1.06 per share) was mainly due to the deterioration in adjusted
EBITDA, combined with an increase in financial expenses. The
reduction in the tax charge made it possible to partly offset this
decrease. As usual, net income for the first half included a charge
of €22 million and €0.19 per share (net of tax), which was recorded
at the time of the acquisition of Saint-Gobain's packaging business
in 2015 and will expire in 2027. Excluding this charge, net
income Group share would be €146 million and €1.25 per share.
This charge was €22 million and €0.19 per share in H1 2023.
Capital expenditure amounted to €157 million (or 8.9% of
total revenue), compared to €150 million in H1 2023. This stability
against a year 2023 which was skewed towards Q4 demonstrates our
good control over our investments, while sustaining the company's
industrial assets and continuing to implement our decarbonization
strategy. These investments consisted of €99 million in recurring
capex (compared to €93 million in H1 2023) and €58 million in
strategic capex (€57 million in H1 2023).
Cash flow from operations4 reached €90 million, down from
€316 million in H1 2023. This was due to a lower adjusted EBITDA
combined with stable capital expenditure and a seasonally negative
working capital variation. Capital expenditure (8.9% of total
revenue) and inventory (down €(33) million compared to year-end
2023) are strictly controlled, illustrating the Group’s continued
focus on cash management.
Free cash flow5 amounted to €(49) million (compared to
€248 million in H1 2023), with Q1 negative and Q2 back to
positive.
STRONG BALANCE SHEET
At the end of June 2024, Verallia's net debt amounted to €1,646
million, leading to a debt ratio of 1.9x last 12 months adjusted
EBITDA, compared to 1.2x at December 31, 2023 and 1.3x at June 30,
2023.
The Group had €591 million of liquidity6 as of June 30,
2024, after paying out dividends of €252 million in May 2024.
The two rating agencies S&P and Moody's
confirmed the Group's Investment Grade positioning with credit
ratings of BBB-, outlook Stable in May 2024 and Baa3, outlook
Stable in March 2024, respectively.
VERALLIA HAS SUCCESSFULLY COMPLETED THE ACQUISITION OF
VIDRALA'S GLASS BUSINESS IN ITALY
Following satisfaction of the regulatory filling and other
conditions precedent, Verallia confirms that the acquisition of
Vidrala's glass business in Italy, for an enterprise value
of €230 million, has been finalized today. The acquisition is
financed with a 3-year Term Loan set up with a pool of
international banks. This loan was entirely made available to the
company on July 1, 2024 and the payment of the transaction took
place on July 4, 2024.
In 2023, the acquired company generated revenue of €131
million and EBITDA of €33 million.
Equipped with two recently renovated furnaces, the Corsico-based
plant benefits from modern production facilities with a capacity
of 225Kt/year and enjoys a strong positioning, particularly
in the beer, food and spirits markets. Nearly 200
employees will reinforce Verallia's expertise, with a view to
sharing knowledge and best practices.
Following this acquisition, the Verallia Group now operates 7
production sites in Italy. This transaction confirms
Verallia's desire to continue its investments in a strategic
Italian market, while developing its glass packaging offer for
beverages and food products for the benefit of all its
customers.
RESULTS OF THE VOTES OF THE GENERAL ASSEMBLY OF APRIL 26,
2024
With a quorum representing 83.05 % of the shares of the
Company, the Shareholders’ General Meeting adopted all the
resolutions submitted to its vote.
The shareholders have notably approved the statutory and
consolidated financial statements for the financial year which
ended on 31 December 2023, as well as the distribution of a
dividend of €2.15 per share, to be fully paid in cash. Such
dividend will be paid on May 16, 2024.
Furthermore, the General Shareholders’ Meeting approved the
renewal of the terms of office of Marie-José Donsion and Pierre
Vareille as Directors.
Additionally, they also appointed PricewaterhouseCoopers
Audit and BM&A as Statutory Auditors in charge of verifying
sustainability information, for a term expiring at the end of their
respective terms of office.
VERALLIA CONTINUES ITS COMMITMENT TO VALUE SHARING AS THE 9TH
EDITION OF ITS EMPLOYEE SHAREHOLDING OFFER HAS MET WITH GREAT
SUCCESS
Following on from previous years, this 9th edition confirms the
success of the Group's CSR strategy, by involving its employees in
the company's development and performance. By the close of business
on June 20, 2024, more than 3,800 employees, or 41% of eligible
employees in 9 countries, had invested in the Group, benefiting
from an attractive unit subscription price of 29.64 euros7.
Total employee investment (including the Company's matching
contribution) came to over 18.1 million euros.
At the close, 611,445 new ordinary shares, representing 0.5%
of the share capital and voting rights, were issued by the
Company. As in previous years, in order to neutralize the dilutive
effect of this operation, the Company also reduced its capital by
cancelling 611,445 treasury shares acquired under the share buyback
program8.
In just 9 years, these operations have already enabled almost
50% of the Group's employees to become Verallia shareholders,
and more than 80% of French employees, both directly and
through the Verallia FCPE. Employees now own 4.5%9 of the
Company’s capital.
2024 OUTLOOK
After 2024 started in line with our expectations, recovery in
demand was confirmed in the second quarter in most markets in which
Verallia operates.
This recovery is however slower than anticipated and we estimate
that activity in the second half should continue to improve at a
slower pace than we initially expected.
In this context, we have decided to update our target of 2024
adjusted EBITDA (previously set at around €1bn), which is now
expected around the same level as in 2022 (as a reminder,
€866m).
The cost reduction trajectory generated by the Performance
Action Plan remains fully in line with our expectations. We are
resolutely pursuing our action plan to adapt our capacities, keep
our inventories under control and reduce our costs.
An analysts’ conference call will be held at 9.00 a.m.
(CET) on Thursday 25 July 2024 via an audio webcast service (live
and replay) and the earnings presentation will be available on
www.verallia.com.
FINANCIAL CALENDAR
- 1 October 2024: Beginning of the quiet period.
- 22 October 2024: 9M 2024 financial results - Press release
after market close and conference call/presentation the following
day at 9:00 a.m. CET.
About Verallia
At Verallia, our purpose is to re-imagine glass for a
sustainable future. We want to redefine how glass is produced,
reused and recycled, to make it the world’s most sustainable
packaging material. We work together with our customers, suppliers
and other partners across the value chain to develop new,
beneficial and sustainable solutions for all.
With almost 11,000 employees and 35 glass production facilities
in 12 countries, we are the European leader and world's
third-largest producer of glass packaging for beverages and food
products. We offer innovative, customised and environmentally
friendly solutions to over 10,000 businesses worldwide. Verallia
produced more than 16 billion glass bottles and jars and recorded
revenue of €3.9 billion in 2023.
Verallia's CSR strategy has been awarded the Ecovadis Platinum
Medal, placing the Group in the top 1% of companies assessed by
Ecovadis. Our CO2 emissions reduction target of -46% on scopes 1
and 2 between 2019 and 2030 has been validated by SBTI (Science
Based Targets Initiative). It is in line with the trajectory of
limiting global warming to 1.5° C set by the Paris Agreement.
Verallia is listed on compartment A of the regulated market of
Euronext Paris (Ticker: VRLA – ISIN: FR0013447729) and trades on
the following indices: CAC SBT 1.5°, STOXX600, SBF 120, CAC Mid 60,
CAC Mid & Small and CAC All-Tradable.
Disclaimer
Certain information included in this press release is not
historical data but forward-looking statements. These
forward-looking statements are based on estimates, forecasts and
assumptions including, but not limited to, assumptions about
Verallia's present and future strategy and the economic environment
in which Verallia operates. They involve known and unknown risks,
uncertainties and other factors, which may cause Verallia's actual
results and performance to differ materially from those expressed
or implied in such forward-looking statements. These risks and
uncertainties include those detailed and identified in Chapter 4
"Risk Factors" of the universal registration document approved by
the AMF and available on the Company's website (www.verallia.com)
and that of the AMF (www.amf-france.org). These forward-looking
statements and information are not guarantees of future
performance. This press release includes summarized information
only and does not purport to be exhaustive.
The historical financial information relating to the acquired
businesses presented in this press release has not been prepared by
Verallia and has not been audited by its statutory auditors.
Protection of personal data
You may unsubscribe from the distribution list of our press
releases at any time by sending your request to the following email
address: investors@verallia.com. Press releases will still be
available via the website
https://www.verallia.com/en/investors/.
Verallia SA, as data controller, processes personal data for the
purpose of implementing and managing its internal and external
communication. This processing is based on legitimate interests.
The data collected (last name, first name, professional contact
details, profiles, relationship history) is essential for this
processing and is used by the relevant departments of the Verallia
Group and, where applicable, its subcontractors. Verallia SA
transfers personal data to its service providers located outside
the European Union, who are responsible for providing and managing
technical solutions related to the aforementioned processing.
Verallia SA ensures that the appropriate guarantees are obtained in
order to supervise these data transfers outside of the European
Union. Under the conditions defined by the applicable regulations
for the protection of personal data, you may access and obtain a
copy of the data concerning you, object to the processing of this
data and request for it to be rectified or erased. You also have a
right to restrict the processing of your data. To exercise any of
these rights, please contact the Group Financial Communication
Department at investors@verallia.com. If, after having contacted
us, you believe that your rights have not been respected or that
the processing does not comply with data protection regulations,
you may submit a complaint to the CNIL (Commission nationale de
l'informatique et des libertés — France’s regulatory body).
ANNEXES - Key figures
In millions of euros
H1 2024
H1 2023
Revenue
1,764.6
2,142.7
Reported growth
-17.6%
+30.7%
Organic growth
-10.4%
+28.6%
of which Southern and Western Europe
1,184.9
1,404.8
of which Northern and Eastern Europe
381.6
514.6
of which Latin America
198.1
223.3
Cost of sales
(1,377,4)
(1,499.7)
Commercial, general and administrative
expenses
(93.6)
(118.9)
Acquisition-related items
(36.7)
(34.5)
Other operating income and expenses
(12.6)
0.7
Operating income
244.4
490.3
Financial result
(71.8)
(55.7)
Profit (loss) before tax
172.6
434.6
Income tax
(49.4)
(118.0)
Share of net profit (loss) of
associates
(0.4)
0.6
Net income attributable to the
shareholders of the company10
124.1
310.8
Net income attributable to the
shareholders of the company excluding PPA
146.1
333.2
Earnings per share
€1.06
€2.65
Earnings per share excluding
PPA
€1.25
€2.84
Adjusted EBITDA11
431.3
659.0
Group Margin
24.4%
30.8%
of which Southern and Western Europe
288.2
436.5
Southern and Western Europe margin
24.3%
31.1%
of which Northern and Eastern Europe
76.4
141.5
Northern and Eastern Europe margin
20.0%
27.5%
of which Latin America
66.6
81.0
Latin America margin
33.6%
36.3%
Net debt at end of period
1,645.7
1,401.4
Last 12 months adjusted EBITDA
880.3
1,099.1
Net debt/last 12 months adjusted
EBITDA
1.9x
1.3x
Total Capex12
156.8
150.1
Cash conversion13
63.6%
77.2%
Change in operating working capital
(184.0)
(192.6)
Operating cash flow14
90.5
316.3
Free cash flow15
(49.2)
247.8
Strategic capex16
58.3
56.7
Recurring capex17
98.6
93.4
Change in revenue by type in millions of euros over the first
half
In millions of euros
H1 2023 Revenue
2,142.7
Activity
(168.5)
Price / Mix
(53.5)
Foreign exchange impact
(161.8)
Scope effect
+5.7
H1 2024 Revenue
1,764.6
Change in Adjusted EBITDA adjusted by type in millions of euros
over the first half
In millions of euros
H1 2023 Adjusted EBITDA
659.0
Activity contribution
(162.9)
Price-mix /Cost spread
(53.4)
Net productivity
+32.6
Foreign exchange impact
(47.2)
Other
+3.2
H1 2024 Adjusted EBITDA
431.3
Key figures by quarter
In millions of euros
Q1 2024
Q1 2023
Revenue
836.4
1,051.6
Reported growth
-20.5%
+40.2%
Organic growth
-12.7%
+34.7%
Adjusted EBITDA18
203.9
307.4
Adjusted EBITDA margin
24.4%
29.2%
In millions of euros
Q2 2024
Q2 2023
Revenue
928.2
1,091.1
Reported growth
-14.9%
+22.7%
Organic growth
-8.1%
+23.4%
Adjusted EBITDA
227.4
351.6
Adjusted EBITDA Margin
24.5%
32.2%
Reconciliation of operating profit (loss) to adjusted EBITDA
In millions of euros
H1 2024
H1 2023
Operating profit/(loss)
244.4
490.3
Depreciation and amortization19
171.2
162.9
Restructuring costs
11.7
2.0
Company acquisition costs and earn-out
1.3
0.2
IAS 29 Hyperinflation (Argentina)20
(2.0)
(1.0)
Management share ownership plan and
associated costs
3.4
4.6
Other
1.3
-
Adjusted EBITDA
431.3
659.0
IAS 29: hyperinflation in Argentina
The Group has applied IAS 29 in Argentina since 2018. The
adoption of this standard requires the restatement of non-monetary
assets and liabilities and of the statement of income to reflect
changes in purchasing power in the local currency. These
restatements may lead to a gain or loss on the net monetary
position included in financial income and expense.
Financial items for the Argentinian subsidiary are converted
into euros using the closing exchange rate for the relevant
period.
In H1 2024, the net impact on revenue was €6.1 million.
The hyperinflation impact has been excluded from consolidated
adjusted EBITDA as shown in the table “Reconciliation of operating
profit (loss) to adjusted EBITDA".
Financial structure
In millions of euros
Nominal or max. drawable
amount
Nominal rate
Final maturity
June 30, 2024
Sustainability-Linked Bond
May 202121
500
1.625 %
May 2028
499.3
Sustainability-Linked Bond
November 202121
500
1.875 %
Nov. 2031
499.7
Term Loan B – TLB21
550
Euribor +1.25%
Apr 2028
550.1
Revolving credit facility - RCF
550
Euribor +0.75%
Apr 2029 + one-year extension
-
Negotiable commercial paper (Neu CP)21
500
408.1
Other debt22
141.1
Total debt
2,098.2
Cash and cash equivalents
(452.5)
Net debt
1,645.7
Consolidated income statement
In millions of euros
H1 2024
H1 2023
Revenue
1,764.6
2,142.7
Cost of sales
(1,377.4)
(1,499.7)
Selling, General and Administrative
Expenses
(93.6)
(118.9)
Acquisition-related items
(36.7)
(34.5)
Other operating income and expenses
(12.6)
0.7
Operating profit/(loss)
244.4
490.3
Financial income/(expense)
(71.8)
(55.7)
Profit (loss) before tax
172.6
434.6
Income tax
(49.4)
(118.0)
Share of net income of associates
(0.4)
0.6
Net profit/(loss)
122.8
317.3
Attributable to the Company's
shareholders
124.1
310.8
Attributable to non-controlling
interest
(1.3)
6.5
Net profit/(loss) excluding
PPA23
144.8
339.7
Attributable to the Company's
shareholders
146.1
333.2
Attributable to non-controlling
interest
(1.3)
6.5
Basic earnings per share (in €)
1.06
2.65
Basic earnings per share excluding PPA
(in €)23
1.25
2.84
Diluted earnings per share (in
€)
1.06
2.65
Diluted earnings per share excluding
PPA (in €)23
1.25
2.84
Consolidated balance sheet
In millions of euros
June 30, 2024
Dec 31, 2023
ASSETS
Goodwill
685.8
687.8
Other intangible assets
383.2
416.2
Property, plant and equipment
1,840.1
1,795.6
Investments in associates
6.6
6.7
Deferred tax
25.6
33.6
Other non-current assets
67.7
57.8
Non-current assets
3,009.0
2,997.7
Current portion of non-current and
financial assets
10.4
1.4
Inventories
678.3
711.5
Trade receivables
200.3
144.3
Current tax receivables
16.5
15.1
Other current assets
113.4
115.7
Cash and cash equivalents
452.5
474.6
Current assets
1,471.4
1,462.6
Total assets
4,480.4
4,460.3
LIABILITIES
Share capital
408.3
413.3
Consolidated reserves
454.4
494.6
Equity attributable to
shareholders
862.7
907.9
Non-controlling interests
64.2
50.6
Equity
926.9
958.5
Non-current financial liabilities and
derivatives
1,636.2
1,610.5
Provisions for pensions and similar
benefits
86.3
88.9
Deferred tax
154.3
141.9
Provisions and other non-current financial
liabilities
35.9
45.5
Non-current liabilities
1,912.7
1,886.8
Current financial liabilities and
derivatives
489.6
249.2
Current portion of provisions and
other non-current financial liabilities
45.7
49.8
Trade payables
542.5
627.1
Current tax liabilities
72.8
66.3
Other current liabilities
490.3
622.6
Current liabilities
1,640.8
1,615.0
Total equity and liabilities
4,480.4
4,460.3
Consolidated cash flow statement
In millions of euros
H1 2024
H1 2023
Net profit/(loss)
122.8
317.3
Depreciation, amortisation and impairment
of assets
171.2
162.9
Interest expense on financial debts
32.6
23.8
Changes in inventories
33.1
(117.7)
Change in trade receivables, trade
payables & other receivables & payables
(132.4)
4.1
Current tax expense
47.7
125.6
Cash tax paid
(41.2)
(57.5)
Changes in deferred taxes and
provisions
(11.3)
15.3
Other
26.7
28.1
Net cash flow from (used in) operating
activities
249.3
501.9
Acquisition of property, plant and
equipment and intangible assets
(156.8)
(150.1)
Increase (Decrease) in capital debts
(81.7)
(77.6)
Acquisitions of subsidiaries, takeovers,
net of cash acquired
(0.4)
(8.0)
Other
(6.7)
3.1
Net cash flows from investing
activities
(245.5)
(232.6)
Capital increase (reduction)
18.1
18.6
Dividends paid
(248.9)
(163.8)
Increase (decrease) in own shares
(0.8)
(38.1)
Transactions with the shareholders of
the parent company
(231.6)
(183.3)
Transactions with non-controlling
interests
(3.0)
(3.1)
Increase (decrease) in bank overdrafts and
other short-term debt
235.2
69.1
Increase in long-term debt
31.7
561.7
Reduction in long-term debt
(25.4)
(536.5)
Financial interest paid
(31.9)
(22.1)
Changes in gross debt
209.6
72.2
Net cash flows from financing
activities
(24.9)
(114.2)
Increase (decrease) in cash and cash
equivalents
(21.2)
155.2
Impact of changes in foreign exchange
rates on cash and cash equivalents
(0.9)
(22.4)
Opening cash and cash
equivalents
474.6
330.8
Closing cash and cash
equivalents
452.5
463.4
GLOSSARY
Activity: corresponds to the sum of the change in volumes
plus or minus the change in inventories.
Organic growth: corresponds to revenue growth at constant
scope and exchange rates. Revenue growth at constant exchange rates
is calculated by applying the same exchange rates to the financial
indicators presented for the two periods being compared (by
applying the exchange rates of the previous period to the financial
indicators for the current period).
Adjusted EBITDA: this is a non-IFRS financial measure. It
is an indicator for monitoring the underlying performance of
businesses adjusted for certain expenses and/or income which are
non-recurring or liable to distort the Company’s performance.
Adjusted EBITDA is calculated on the basis of operating profit
adjusted for depreciation, amortisation and impairment,
restructuring costs, acquisition and M&A costs,
hyperinflationary effects, management share ownership plans,
subsidiary disposal-related effects and subsidiary contingencies,
site closure costs, and other items.
Capex: short for “capital expenditure”, this corresponds
to purchases of property, plant and equipment and intangible assets
necessary to maintain the value of an asset and/or adapt to market
demand and to environmental, health and safety requirements, or to
increase the Group’s capacity. The acquisition of securities is
excluded from this category.
Recurring capex: recurring capex corresponds to purchases
of property, plant and equipment and intangible assets necessary to
maintain the value of an asset and/or adapt to market demand and to
environmental, health and safety requirements. It mainly includes
furnace renovations and maintenance of IS machines.
Strategic capex: strategic capex corresponds to purchases
of strategic assets that significantly enhance the Group’s capacity
or its scope (for example, the acquisition of plants or similar
facilities, greenfield or brownfield investments), including the
building of additional new furnaces. Since 2021 it has also
included investments associated with implementing the plan to
reduce CO2 emissions.
Cash conversion: refers to the ratio between cash flow
and adjusted EBITDA. Cash flow refers to adjusted EBITDA less
capex.
Free cash flow: defined as operating cash flow - other
operating impacts - interest paid & other financing costs -
taxes paid.
The Southern and Western Europe segment comprises
production sites located in France, Spain, Portugal and Italy. It
is also designated by its acronym “SWE”.
The Northern and Eastern Europe segment comprises
production sites located in Germany, the United Kingdom, Russia,
Ukraine and Poland. It is also designated by its acronym “NEE”.
The Latin America segment comprises production sites
located in Brazil, Argentina and Chile and, since January 1, 2023,
Verallia’s operations in the USA.
Liquidity: calculated as available cash + undrawn
revolving credit facilities – outstanding negotiable commercial
paper (Neu CP).
Amortisation of intangible assets acquired through business
combinations: corresponds to the amortisation of customer
relationships recognised upon acquisition.
__________________________
1 Revenue growth at constant scope and exchange rates. Revenue
growth at constant exchange rates is calculated by applying the
same exchange rates to the financial indicators presented for the
two periods being compared (by applying the exchange rates of the
previous period to the financial indicators for the current
period). Growth in revenue at constant scope and exchange rates
excluding Argentina was -17.8% in the first half of 2024 compared
with the first half of 2023.
2 Adjusted EBITDA is calculated based on operating profit
adjusted for depreciation, amortisation and impairment,
restructuring costs, acquisition and M&A costs,
hyperinflationary effects, management share ownership plan costs,
disposal-related effects and subsidiary contingencies, site closure
costs, and other items.
3 The spread corresponds to the difference between (i) the
increase in selling prices and the mix applied by the Group after
passing any increase in production costs onto these selling prices
and (ii) the increase in production costs. The spread is positive
when the increase in selling prices applied by the Group is greater
than the increase in its production costs. The increase in
production costs is recorded by the Group at constant production
volumes, before industrial variance and taking into consideration
the impact of the Performance Action Plan (PAP).
4 Operating cash flow corresponds to adjusted EBITDA less capex,
plus changes in operating working capital requirements including
changes in payables to fixed asset suppliers
5 Defined as operating cash flow - other operating impacts -
interest paid & other financing costs - taxes paid
6 Calculated as available cash + undrawn revolving credit
facilities – outstanding commercial paper (Neu CP).
7 i.e. a 15% discount to the average Verallia share price on the
Euronext Paris regulated market over the twenty trading days
preceding May 2, 2024.
8 Capital increase in par value of 2,066,684.10 euros, with
additional paid-in capital of 16,056,545.70 euros. The 611,445 new
ordinary shares carry immediate dividend rights, have the same
rights and obligations as shares already issued, and have the same
rights to any sums that may be distributed, without restriction or
reservation. Capital reduction through cancellation of 611,445
treasury shares acquired under the share buyback of November 3,
2021. The Company's share capital remains unchanged, with the
number of shares issued corresponding to the number of shares
cancelled. It amounts to 408,321,248.14 euros and is made up of
120,805,103 ordinary shares with a par value of 3.38 euros
each.
9 Post employee share offering 2024 and after capital increase
and reduction.
10 income for H1 2024 includes an amortisation expense for
customer relationships, recognised upon the acquisition of
Saint-Gobain’s packaging business in 2015, in the amounts of €22
million and €0.19 per share (net of taxes). This expense will
remain in place until 2027. If it had not been taken into account,
net income attributable to shareholders would have been €146
million and €1.25 per share. It was €22 million and €0.19 per share
in H1 2023.
11 Adjusted EBITDA is calculated based on operating profit
adjusted for depreciation, amortisation and impairment,
restructuring costs, acquisition and M&A costs,
hyperinflationary effects, management share ownership plan costs,
disposal-related effects and subsidiary contingencies, site closure
costs, and other items.
12 Capex (capital expenditure) corresponds to purchases of
property, plant and equipment and intangible assets necessary to
maintain the value of an asset and/or adapt to market demand and to
environmental, health and safety requirements, or to increase the
Group’s capacity. The acquisition of securities is excluded from
this category.
13 Cash conversion is defined as adjusted EBITDA less capex,
divided by adjusted EBITDA
14rating cash flow corresponds to adjusted EBITDA less capex,
plus changes in operating working capital requirements including
changes in payables to fixed asset suppliers.
15 Defined as operating cash flow - other operating impacts -
interest paid & other financing costs - taxes paid
16 Strategic capex corresponds to purchases of strategic assets
that significantly enhance the Group’s capacity or its scope (for
example, the acquisition of plants or similar facilities,
greenfield or brownfield investments), including the building of
additional new furnaces. Since 2021, they have also included
investments associated with implementing the plan to reduce CO2
emissions
17 Recurring capex corresponds to purchases of property, plant
and equipment and intangible assets necessary to maintain the value
of an asset and/or adapt to market demand and to environmental,
health and safety requirements. They mainly include furnace
renovations and maintenance of IS machines
18 Adjusted EBITDA is calculated based on operating profit
adjusted for depreciation, amortisation and impairment,
restructuring costs, acquisition and M&A costs,
hyperinflationary effects, management share ownership plans,
disposal related effects and subsidiary contingencies, site closure
costs, and other items.
19 Includes depreciation and amortization of intangible assets
and property, plant and equipment, amortization of intangible
assets acquired through business combinations, and impairment of
property, plant and equipment
20 The Group has applied IAS 29 (Hyperinflation) since 2018
21 Including accrued interest
22 o/w IFRS16 leasing (€74.5m)
23 Net income for H1 2024 includes an amortisation expense for
customer relationships, recognised upon the acquisition of
Saint-Gobain’s packaging business in 2015, in the amounts of €22
million and €0.19 per share (net of taxes). This expense will
remain in place until 2027. If it had not been taken into account,
net income attributable to shareholders would have been €146
million and €1.25 per share. It was €22 million and €0.19 per share
in H1 2023.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240724962493/en/
Press contacts Sara Natij & Laurie Dambrine
verallia@comfluence.fr | +33 (0)7 68 68 83 22
Investor relations contacts David Placet |
david.placet@verallia.com Michele Degani |
michele.degani@verallia.com
VERALLIA (EU:VRLA)
過去 株価チャート
から 6 2024 まで 7 2024
VERALLIA (EU:VRLA)
過去 株価チャート
から 7 2023 まで 7 2024
