PARIS (Agefi-Dow Jones)–The ADP airport group said on Wednesday it wanted to return to net profit in 2022 in the context of a gradual recovery in travel, and unveiled a roadmap which should allow it to regain its level of performance. pre-crisis financial situation “by 2025”.
“Under the positive effects induced by the anticipated resumption of traffic […]the new commercial strategy and the cost control policy, Groupe ADP plans to return to a level of EBITDA higher than that of 2019 by 2024, i.e. 1.77 billion euros, underlined ADP in a press release. this horizon, the gross operating surplus margin (Ebitda) is expected between 35% and 45%, said ADP.
The group also plans to return to dividends from 2023, with a payment of at least 1 euro per share in 2023 and at least 3 euros in 2024 and 2025.
These objectives are based on the assumption of a continued recovery in “group traffic”, which should return to its 2019 level “between 2023 and 2024”. The recovery will however be more gradual for the airports of Roissy-Charles de Gaulle and Orly, which could only return to their pre-Covid level between 2024 and 2026, warned ADP.
The group also announced the launch of a new commercial brand, called Extime, which will be rolled out as a franchise and should increase revenue per passenger. “Extime capitalizes on all the know-how deployed for several years on the Parisian platforms and in the ADP Group, and brings them together in a single brand, in order to make it an instrument of international conquest, within and outside airports of Groupe ADP,” said ADP.
Net loss of 248 million euros in 2021
ADP delivered these prospects while its accounts remained in the red in 2021 due to an overly timid recovery in travel in a context still marked by the health crisis.
With traffic down 45.6% from its 2019 level, ADP recorded a net loss of 248 million euros in 2021, compared to a loss of 1.17 billion euros in 2020.
The current operating loss amounted to 29 million euros, against 1.12 billion euros a year earlier. The difference is explained in particular by a favorable base effect linked to the recognition in 2020 of asset impairments and by the improvement in the results of companies accounted for using the equity method.
The group’s turnover rebounded by 29.9% in 2021, to 2.78 billion euros, driven by the improvement in traffic from the end of the second quarter.
According to the consensus established by FactSet, analysts anticipated for 2021 a net loss of 316 million euros, an operating loss of 247 million euros and a turnover of 2.68 billion euros.
“All the financial indicators are on the rise in 2021. Beyond the positive impact linked to the recovery in traffic in the second half of the year, this change is also explained by the control of current expenses, a consequence of the economic savings initiated from the start of the crisis and the first effects of social measures in Paris”, commented the chairman and CEO of ADP, Augstin de Romanet, quoted in a press release.
The collective conventional termination agreement concluded at the end of 2020 notably enabled a reduction in expenses of around 50 million euros in 2021, the group specified.
For the current year, ADP expects to generate net profit and a gross operating surplus (EBITDA) margin of between 30% and 35% of revenue, based on expected traffic of between 70 % and 80% of the 2019 level. He also confirmed that he is aiming for a net debt/Ebitda ratio of 6 to 7 times.
-Francois Schott, Agefi-Dow Jones; 01 41 27 47 92; [email protected] ed: ECH
AEROPORTS DE PARIS FINANCIAL RELEASES:
http://www.aeroportsdeparis.fr/ADP/fr-FR/Groupe/Finance/Investor Relations/Informationfinanciere/
Agefi-Dow Jones The financial newswire
Dow Jones Newswires
February 16, 2022 13:29 ET (18:29 GMT)