COMPAGNIE D'ENTREPRISES CFE SA PRESS RELEASE
Wednesday 31 August 2022 - 7:00 CET
regulated information
First half results 2022
Wednesday 31 August 2022 - 7:00 CET regulated information
First half results 2022
- Partial demerger of CFE successfully completed on 29 June 2022
- Moderate growth in revenue
- Significant increase in operating and net income
- Order book at record level
- Outlook for 2022 confirmed
CFE took advantage of the period of preparation for the partial demerger to refine its strategy centered on sustainable development and innovation, accelerate its transformation and strengthen its position as a leading multidisciplinary group, positioned in attractive growth markets. This transformation is accompanied by a substantial strengthening of its financial structure. Its shareholders' equity1 has almost doubled over the past twelve months amounting to € 197 million as at June 30, 2022. During the same period, the net financial debt fell by approximately € 100 million2 (net financial debt/equity ratio at 29.9%).
1. Partial demerger
On 29 June 2022, the extraordinary general meeting of shareholders unanimously approved the partial demerger of CFE, whereby the shareholding in DEME is transferred to a newly created company, DEME GROUP NV.
As a result, DEME's assets and liabilities that were presented since 31 December 2021 as assets and liabilities held for sale have been deconsolidated as of 30 June 2022.
The impact of this deconsolidation can be summarised as follows (in € million):
Consolidated equity: | - 2,036 |
Total balance sheet: | - 4,981 |
As the partial demerger only became effective on 29 June 2022, and as required by IFRS rules, the consolidated income statement and consolidated cash flow statement still include DEME's figures for the first
- Equity from continuing operations
- Net financial debt from continuing operations
2
Wednesday 31 August 2022 - 7:00 CET regulated information
half of 2022. In the consolidated income statement, € 190.9 million is included in the item "income from discontinued operations". This amount, which does not reflect any financial reality, is essentially composed of DEME's net income (group share) for the first half of 2022 (€ 39.5 million) as well as € 153.5 million in depreciation on DEME's tangible and intangible fixed assets, which must be cancelled in accordance with the requirements of IFRS 5. In the consolidated cash flow statement, € 40.8 million is included in the item "dividend", which represents the dividend that DEME paid to CFE in March 2022.
2. Key figures in the first half of 2022
To facilitate the readers' understanding, pro-forma columns have been added. These only include the key figures of the continuing activities of CFE (excluding DEME).
Pro-forma (*) | IFRS Financial Statements (**) | ||||||||||||||||||||||
For the period ended June 30 | 2022 | 2021 | Change | 2022 | 2021 | Change | |||||||||||||||||
(in million €) | restated | ||||||||||||||||||||||
Revenue | 586.2 | 566.9 | +3.4% | 586.2 | 566.9 | +3.4% | |||||||||||||||||
EBITDA (***) | 27.8 | 19.4 | +43.3% | 27.8 | 19.4 | +43.3% | |||||||||||||||||
% of revenue | 4.7% | 3.4% | 4.7% | 3.4% | |||||||||||||||||||
Operating income (EBIT) (***) | 21.1 | 15.8 | +33.1% | 21.1 | 15.8 | +33.1% | |||||||||||||||||
% of revenue | 3.6% | 2.8% | 3.6% | 2.8% | |||||||||||||||||||
Result for the period - share of the group | 13.5 | 9.7 | +39.2% | 204.4 | 42.6 | n.s. | |||||||||||||||||
% of revenue | 2.3% | 1.7% | 34.9% | 7.5% | |||||||||||||||||||
Continuing operations | 13.5 | 9.7 | +39.2% | 9.7 | +39.2% | ||||||||||||||||||
13.5 | |||||||||||||||||||||||
Discontinued operations | n.s. | n.s. | n.s. | 190.9 | 32.9 | n.s. | |||||||||||||||||
Earnings per share of continuing operations | 0.53 | 0.38 | +39.2% | 0.53 | 0.38 | +39.2% | |||||||||||||||||
(share of the group) (in euro) | |||||||||||||||||||||||
Pro-forma (*) | IFRS Financial Statements (**) | ||||||||||||||||||||||
(in million €) | June 2022 | December | Change | June 2022 | December | Change | |||||||||||||||||
2021 | 2021 | ||||||||||||||||||||||
Equity - share of the group | 196.9 | 133.8 | +47.2% | 196.9 | 1,936.3 | n.s. | |||||||||||||||||
Net financial debt (***) | 58.9 | 113.0 | -47.9% | 58.9 | 113.0 | -47.9% | |||||||||||||||||
Order book (***) | 1,780.9 | 1,620.6 | +9.9% | 1,780.9 | 1,620.6 | +9.9% | |||||||||||||||||
(*) Pro forma key figures excluding the impact of discontinued operations
- In the IFRS financial statements, DEME's activities are considered as 'discontinued' with effect from 1 January 2021 in accordance with IFRS 5. (***) The definitions are included in the 'Definitions' section of the financial report
3
Wednesday 31 August 2022 - 7:00 CET regulated information
Overview of continuing operations (excluding DEME)
Introductory comment
The Board of Directors has decided to split Contracting into two separate segments, the Construction & Renovation segment and the Multitechnics segment. The 2021 figures have been restated to reflect this change. The Construction & Renovation segment includes all CFE subsidiaries active in Belgium, Poland and the Grand Duchy of Luxembourg, which specialise in the construction and renovation of office buildings, residential buildings, hospitals, hotels, schools, car parks and industrial buildings. The companies Wood Shapers (construction and development of projects in bio-based and hybrid materials) and LTS (production and assembly plants for prefabricated wooden elements) are also part of this segment.
The Multitechnics segment includes the activities of the VMA and MOBIX divisions. VMA specialises in carrying out technical building installations, their automated management (smart buildings) and long-term maintenance, as well as the automation of production lines in the automotive, chemical and food industries. MOBIX is a leading player in Belgium in railway works (track, catenary and signalling) and public lighting.
Key figures
Revenue in the first half of 2022 amounted to € 586.2 million, which is up 3.4% compared to the previous year. The increase in activity can be observed in both Construction & Renovation and Multitechnics.
EBITDA increased by 43.3% to € 27.8 million. This represents 4.7% of revenue.
The operating income for the first half of 2022 amounted to € 21.1 million, up by 33.1% compared to the first half of 2021. The operating margin increased from 2.8% to 3.6%.
The group's share of net income amounted to € 13.5 million. All four segments contribute positively to the consolidated net income.
The equity amounted to € 196.9 million as at 30 June 2022. This almost doubled compared to 30 June 2021 (€ 99.5 million).
The net financial debt shows a significant decrease of 47.9% compared to 31 December 2021. CFE SA, the group's parent company, and its subsidiary BPI Real Estate Belgium, have a combined total of € 220 million of committed credit facilities which are used up to € 40 million as at 30 June 2022. All the banking covenants have been complied with.
Order intake was strong in the first half. The order book increased by 9.9% compared to 31 December 2021. It reached an all-time high of € 1.78 billion.
4
Wednesday 31 August 2022 - 7:00 CET regulated information
3. Analysis by segment
Real Estate Development Segment
KEY FIGURES
For the period ended June 30 | 2022 | 2021 | Change | ||||||
(in million €) | |||||||||
Revenue | 31.1 | 52.9 | -41.2% | ||||||
Operating income (EBIT) (*) | 5.9 | 10.8 | -45.4% | ||||||
Result for the period - share of the group | 3.7 | 8.5 | -56.1% | ||||||
- The definitions are included in the 'Definitions' section of the financial report.
EVOLUTION OF THE CAPITAL EMPLOYED (*)
BREAKDOWN BY STAGE OF PROJECT DEVELOPMENT
(in million €) | June 2022 | December 2021 | ||||||
Unsold units post completion | 0 | 0 | ||||||
Properties under construction | 33 | 6 | ||||||
Properties in development | 141 | 184 | ||||||
Total capital employed | 174 | 190 | ||||||
BREAKDOWN BY COUNTRY |
(in million €) | June 2022 | December 2021 | |||||
Belgium | 95 | 101 | |||||
Grand Duchy of Luxembourg | 19 | 36 | |||||
Poland | 60 | 53 | |||||
Total capital employed | 174 | 190 | |||||
- The definitions are included in the 'Definitions' section of the financial report.
Capital employed amounted to € 174 million on 30 June 2022, which is down by 8.4% compared to the end of December 2021. This is expected to increase in the second half of the year given the new building plots acquisitions planned in Luxembourg.
In Belgium, three residential projects are under construction: the Patio building (Erasmus Gardens, Anderlecht) and the PURE and Serenity Valley real estate projects in Auderghem. The marketing of these three projects is highly satisfactory. On the same site as the Serenity Valley project, BPI leased the last available space in the Wood Hub office building to a well-known company that was attracted by the project's highly ambitious approach to sustainability.
5
This is an excerpt of the original content. To continue reading it, access the original document here.
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
CFE - Compagnie d'Entreprises SA published this content on 31 August 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 31 August 2022 04:59:10 UTC.
