(Boursier.com) — ENENSYS Technologies achieved a turnover of 12.7 ME, up +1.8%, thanks to a dynamic level of activity in the second half with a turnover of 7.3 ME up +10.4% over the period, which made it possible to make up for the delay taken in the first half. The most buoyant zones were the United States (+33.2% at 3.2 ME) and Asia-Pacific (+37.3% at 2.1 ME). Activity remained solid in EMEA (+2.7% to 6.2 ME) while France did not experience any significant business in 2022 (-46% to 1.1 ME).
The Group continued to reap the benefits of its international commercial presence on all offers, from historical terrestrial activity to OTT monitoring or targeted advertising.
Largely positive EBITDA of 0.9 ME – Net income boosted by exceptional income
The gross margin stands at 75% of sales, still at the highest historical levels.
This performance confirms the strong share of software solutions in the activity and the ability of the Group to pass on the increase in the cost of purchasing electronic components in the selling prices.
External expenses logically increased by 0.5 ME, mainly due to the increase in commercial expenses, in particular linked to the resumption, after 2 years of cancellation, of international trade fairs. Personnel costs remained stable and under control with a workforce still stabilized at around 85 employees. Research and development costs, fully expensed, remained stable at €4.3m over the year.
Taking these elements into account, the Group maintains a positive EBITDA of €0.9 million.
After accounting for allocations to amortization and provisions for €1.6 million, increased by €0.7 million for the end of amortization of intangible assets, current operating income stands at -€0.7 million. Without these non-recurring amortizations of intangible assets, it would break even.
The operating result is largely positive at 1.8 ME, benefiting from an exceptional income of 2.9 ME marking in IFRS the difference between the value of the bond debt extinguished (4.5 ME) and the value of the shares newly issued in share price on the day of issue (€1.6 million).
After accounting for a positive accounting effect on tax of 0.1 ME, net income group share is profitable for 2.6 ME, an increase of 2.5 ME.
Reinforced financial structure – strong reduction in indebtedness
The cash flows generated by the activity over the 2022 financial year amounted to 1.1 ME, benefiting from an improvement in WCR of 0.6 ME linked to a return of trade receivables to a more normative level. Investments remained at a very low level, enabling the Group to generate free cash flow of €1 million over the financial year.
The free cash flow and the conversion of bond debt into shares have made it possible to significantly reduce net financial debt. This last amounted to 7.1 ME as of December 31, 2022 compared to 12.2 ME as of December 31, 2021. Excluding rental debts (IFRS 16) of 3.2 ME, it amounted to 3.9 ME.
Available cash increased to a comfortable level of 3.6 ME (+0.7 ME over one year) and the Group thus has a sound financial structure to pursue its development.
Solid outlook for 2023 despite the context
The Group started 2023 with a high order book of around 6 ME, in line with that of last year at the same period.
Despite a context that tends to favor a wait-and-see attitude in decision-making cycles, the solutions developed by the Group continue to arouse strong interest, as demonstrated by the success of commercial prospecting at the Mobile World Congress held in February in Barcelona, particularly around critical communications projects.
The development of this high-potential segment has also been entrusted to Peter Clemons, who brings all his expertise and knowledge of customers in this area.
In the coming weeks, ENENSYS Technologies will participate in the NAB Show in Las Vegas in April 2023 at the end of April, which will be an opportunity to present the latest innovative solutions on targeted advertising (AdsReach). The Group will also be present at the IBC show in Amsterdam in September.
The Group thus continues to make every effort to sustainably pursue its new virtuous development trajectory.
Next meeting: Publication of 2023 half-year revenue on July 27, 2023.