(Boursier.com) — In the 1st half of 2022, LACROIX recorded revenue of 338.4 ME, compared to 254.8 ME in the 1st half of 2021, i.e. growth of 32.8%, driven by the integration of Firstronic and the impact on selling prices of additional costs related to difficulties in supplying electronic components. It should be noted that at constant scope, growth was 3.7% over the period.
Over the period, LACROIX’s current EBITDA was €19.3 million, compared to €14.9 million a year earlier, i.e. a virtually stable margin on current EBITDA at 5.7% of Group sales ( -14 basis points compared to the margin for the 1st half of 2021).
This change in the Group’s profitability reflects a contrasting situation: on the one hand, a dynamic activity, in particular for the Electronics and Environment activities, and the accretive impact of the acquisition of Firstronic. On the other hand, a margin penalized mainly by the dilutive effect of additional costs related to components, operational efficiency losses or redesigns related to supply difficulties, as well as the first effects of the inflationary context of energy prices , transport and raw materials, not fully passed on to customers. For the same reasons, the current EBITDA margin fell slightly on a like-for-like basis to 5.3%.
Over the 1st half of 2022, LACROIX’s current operating profit was €8.3m, down slightly by €0.3m compared to the 1st half of 2021, representing 2.4% of total sales compared to 3, 4% a year ago.
Over the first 6 months of the year, operating profit fell by 1 ME, mainly due to non-recurring charges related to the move to the new Symbiose factory (-0.7 ME).
Financial income amounted to (3) ME, against (0.1) ME over the comparable period, mainly due to debts contracted for acquisitions and production investments. The comparable period had also benefited from a revaluation of non-consolidated securities of +1 ME.
In total, net income Group share for the 1st half of 2022 came to 3.9 ME, compared to 5.8 ME for the 1st half of 2021.
As of June 30, 2022, the Group’s equity amounted to €184.6 million, compared to €180.4 million as of December 31, 2021.
The Group’s net debt is up to reach 150.0 ME at June 30, 2022, compared to 102.9 ME at December 31, 2021 (i.e. a gearing of 81.3% at the end of June 2022 compared to 57% at the end of December 2021) . This change is mainly due to the change in WCR and the financing of significantly higher inventories, in connection with the component supply situation (building up reserves of strategic components and slowdown in inventory rotation due to temporary shortages of components to complete productions). Over the period, the company finally also bought out the minority interests in the Environment business in Germany.
Annual objectives confirmed
The second part of the year began in a more demanding environment, marked by persistent tension on components and rising production costs, which will continue to weigh on operating profitability.
However, LACROIX is confident in its ability to deliver all of the 2022 financial objectives set in March: growth of more than 30% in its turnover and maintenance of the current EBITDA margin at a minimum. – objectives resulting on the one hand in a turnover of more than 650 ME, to which would be added an impact of the rise in the dollar estimated between 10 and 15 ME, and on the other hand, an EBITDA margin current at least equal to 6.2%.
Driven by continued strong demand for its solutions across all of its businesses, LACROIX should thus continue to benefit from a sustained rate of order intake. The Group will also benefit from favorable seasonality, the continued passing on of cost increases to customers and the ramp-up after the move of its new Symbiose electronics plant.
The Group thus reaffirms its confidence and its ability to deal with the current uncertainties of the economic situation without calling into question the long-term performance trajectory demonstrated during its last financial years.
Upcoming meetings
– 3rd quarter 2022 revenue: November 7, 2022 after market close
-Tech Day: November 24, 2022