(Boursier.com) — As of September 30, 2022, the revenue ofEmova Group stood at 32.3 ME, up +8% compared to the 2020/2021 financial year. This growth is taking place in a complex environment (unstable international geopolitical context, presidential and legislative elections, tensions over purchasing power prompting consumption arbitrage, long period of heat wave throughout France).
This thus reflects the relevance of the strategy of rebalancing the base between franchises and branches initiated by the Group and of the complementarity in digital.
Thus, the turnover of the branches amounted to 19.4 ME, an increase of +33%. This increase is mainly due to the positive impact linked to the integration into branches during the year of 8 new stores (previously under franchise), and the full year effect of the acquisition of 16 stores during the year. ‘Previous exercice. This perimeter effect leads in reverse symmetry to a -4% drop in revenues from the franchise business, which amounted to €9.5 million in 2021/2022.
E-commerce turnover stands at 1.7 ME, down 17% compared to the previous year. After a very strong history linked to the health context favorable to online commerce, and following the optimization of its digital marketing investments, Emova Group sees its e-commerce activity return to more normalized levels.
At September 30, 2022, adjusted EBITDA stood at €7.7 million, up sharply by +62% compared to the 2020/2021 financial year. The adjusted EBITDA margin was 23.9%, an increase of nearly 8 points. This excellent performance is made possible by the increase in turnover, the rationalization of fixed costs correlated with the optimization of variable costs and by the intensified management of supply.
After taking into account in particular depreciation allowances for the year (-3.3 ME) and other operating income and expenses (-1.9 ME), operating profit amounted to 2.1 ME, compared to 0. 6 ME to September 30, 2021.
Net income group share was positive and growing at 0.8 ME at the end of September 2022 (0.1 ME for the previous financial year).
At the end of September 2022, the shareholders’ equity of Emova Group amounted to 35.5 ME (34.6 ME at the end of September 2021).
Net financial debt excluding IFRS 16 stands at €18.8 million (€12.6 million at the end of September 2021), including the financing of the acquisition of the 8 branches carried out during the financial year. The global refinancing of the debt (excluding PGE) during this operation allows the Group to benefit from an extended maturity.
The volume under banner for the 1st quarter of 2022/2023 stood at 31.9 ME, down slightly by -2% compared to the same quarter of the previous financial year. Beyond the current economic context, this change is assessed in the light of a very strong performance record during the 1st quarter of 2021/2022 (+20% compared to 2020/2021).
The volume of business achieved by stores in France remained almost stable, with growth of +24% in branches (linked to the acquisition of 8 stores previously operated as franchises) and by reverse symmetry a drop of -6% within the franchise area. International franchise activity fell by -12% (full-year effect of the closure of 9 stores in Russia during the second quarter of 2021/2022). E-commerce sales fell by -0.2 M due to the rationalization of digital marketing expenses and the optimization of the cost of customer acquisition initiated during the previous financial year.
At the end of December 2022, Emova Group had 333 points of sale. During the quarter, the Group opened 3 new franchise stores (2 in France, 1 in Taiwan), and closed 4 franchise outlets (including 2 in Qatar) due to end of contract.
Ambitions and prospects
Over the 2021/2022 financial year, Emova Group achieved solid performance in terms of both activity and profitability. For the 2022/2023 financial year, given the uncertain economic context, Emova Group remains cautious about its commercial dynamics and expects its adjusted EBITDA to be maintained. Based on these elements, the Group confirms its strategic objectives:
? Maintaining its profitability;
? Development of the franchise and branch park;
? Reinforcement of the quality of service delivered to the network and continued development of its Purchasing and Referencing Center by optimizing its logistics model;
? Progression of digital activity (e-commerce and business introducers);
? Implementation of its CSR charter, listed in the appendix;
? Transmission of know-how with the Ecole Florale by Emova Group.
Next publication on 20/04/2023 after market close, with the volume of business under the banner for the 2nd quarter of 2022/2023.