(BFM Bourse) – The Canet shipyard has published a clear increase in its operating profit in 2021/2022, despite supply and recruitment difficulties. Catana’s order book has continued to grow in recent months, guaranteeing very good visibility for the years to come.
After Beneteau, it is Catana’s latest announcement which is hailed on the stock market on Tuesday. The title of the Occitan shipyard rose 5.3% to 6.16 euros on Tuesday, investors appreciate the strong increase in the group’s operating profit in a context of significant shortages of parts and labor.
For the future, Catana is resolutely optimistic: “Visibility remains excellent and reflects the maintenance of sustained growth for the years to come.” Nothing less was needed to make the markets smile. However, investors’ perception was different two months ago. The shipyard had been heavily sanctioned on the stock market despite a “historic” growth of 46% over one year, which was then insufficient in the eyes of the market.
Further significant increase in operating profit
Catana thus braved the storms in the 2021/2022 financial year. Like most manufacturing companies, Catana faced significant supply difficulties. The shortages of raw materials have disrupted the group’s production lines, penalizing the productivity of the factories and their ability to deliver on time.
Due to parts and labor shortages, the shipyard was unable to deliver around 30 boats during the year as planned. “However, no cancellation has been observed,” said Catana in its press release published Monday evening after the market.
In addition to this shortage of parts, Catana had to deal with rising raw material costs (which represent between 40 and 50% of the selling price of a boat). The shipyard indicates that it has opted for “an almost total repercussion of this increase” and thus proceeded during the last financial year to an increase in its prices of 7 to 9% depending on the models.
This difficult context has also generated a “very clear loss of productivity”, regrets Catana who is nevertheless pleased to have “a new level of operating profitability” for the 2021/2022 financial year. Operating profit soared by 70% to 23.8 million euros. It now represents 16% of turnover, compared to 13.75% during the last financial year.
As for the net result, this now includes a full charge of corporation tax for an amount of 6.3 million euros. Catana recalls that it had benefited from carryforward losses and tax income in previous years, including income of 0.7 million euros in 2020/2021. In this context, the net result of the consolidated group amounts to 17.3 million euros against 14.6 million euros in 2020/2021 and represents 11.67% of turnover.
Buoyed by this jump in profitability, cash flow amounted to 25.7 million euros, an increase of 53% compared to last year. The yard has a net cash position which has more than doubled to stand at 67 million euros now.
A “profitable double-digit growth” for the next two years
For the financial year which has just begun, Catana prefers to remain cautious by not making any quantified forecasts for the current financial year. The shipyard still claims a portfolio of orders of more than 500 million euros. This copious order book allows the group to expect “profitable double-digit growth” for the next two years. The shipyard is confident for the future, it has been able to pass on the selling price of its catamarans the vast majority of increases in raw materials used in the manufacture of its productions.
The shipyard also confirms that it has not noticed any slowdown in sales in recent months despite the context. Like Beneteau, Catana says it has great visibility on its order book, which has since appreciated in recent weeks. The group says it has entered orders for boats in 2024/2025.
Shareholders will not be forgotten either. Catana wished to express its “gratitude” to its loyal shareholders, by proposing to the next general meeting, the payment of a dividend of 0.15 euros, up 15% compared to 2020/2021.
Sabrina Sadgui – ©2022 BFM Bourse
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