MND: Turnover of EUR 30.3 million in the first half of 2023/2024 – 02/29/2024 at 7:15 p.m.

MND (Euronext Growth – FR00140050Q2 – ALMND)

a French industrial group specializing in cable mobility, snowmaking systems, mountain safety and thrilling leisure infrastructures, publishes its consolidated turnover for 1

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half-year of the 2023/2024 financial year (period from 1

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July to December 31, 2023).

ACTIVITY OF 1

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HALF OF THE 2023/2024 FINANCIAL YEAR

At the end of 1

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half-year 2023/2024 (ended December 31, 2023), MND recorded a consolidated turnover of €30.3 million, down -38% compared to 1

^er

semester 2022/2023.

Several factors contributed to the decline in activity in 1

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semester 2023/2024, in particular:

• The delay in the start of the Chimgan project in Uzbekistan
  
  with a slower ramp-up than initially envisaged in 1
  
  ^er
  
  semester 2023/2024, for local administrative reasons now resolved, which should however be partly made up during the 2
  
  ^n/a
  
  half of the financial year.
  
  As a reminder, MND won the international call for tenders for the 4-season development of the Chimgan site in Uzbekistan for a total amount of €100 million co-financed by an inter-governmental loan from the French State supervised by the OECD (Organization for Economic Co-operation and Development). This major contract provides for the design, study, manufacturing and installation of numerous pieces of equipment over the next three years, including a 10-seater detachable gondola, an 80-seater two-way cable car, two fixed clamp 4 chairlifts. places, etc.

• The end of the industrial and commercial partnership contract between the MND and Bartholet groups
  
  (effective since December 12, 2023), causing a drop in activity in terms of cable transport projects. If the orders currently being executed are not called into question, MND considers that Bartholet’s non-compliance with multiple contractual obligations has caused the loss of numerous orders for the ranges of declutchable devices.

The terms of termination of the partnership contract are currently the subject of a dispute between MND and Bartholet.

EVOLUTION OF 1

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SEMESTER 2023/2024 BY CENTERS OF ACTIVITY

The pole

Snow & Lifts

achieved a half-year turnover of €18.2 million, down -47% compared to 1

^er

semester 2022/2023 supported. The progress of several projects, including the new urban and tourist cable car in the town of Huy in Belgium, has nevertheless made it possible to continue the deployment of the activity, particularly internationally.

The pole

Safety & Leisure

recorded a half-year turnover of €12.1 million, compared to €14.7 million a year earlier, a decline of -17%. If activities in terms of avalanche prevention equipment and natural risks are almost stable, slope safety equipment and 4-season leisure activities have suffered from a slowdown in investments by ski area operators for the winter season. winter 2023/2024.

By geographical area, the distribution of turnover from 1

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semester 2023/2024 is as follows:

• 59% of activity carried out in France (compared to 49% over the entire last financial year 2022/2023);

• 34% in Europe excluding France (vs. 8% in 2022/2023), driven by billings for the Chimgan contract;

• 23% in the rest of the world (vs. 43% in 2022/2023), with a marked decline in the United States and China.

ORDER BOOK OF €126.7M AS OF DECEMBER 31, 2023

As of December 31, 2023, the firm order book amounted to €126.7 million, a significant increase compared to December 31, 2022 (€67.9 million), and compared to €143.0 million as of June 30, 2023.

Orders to be invoiced on 2

^n/a

half-year of the 2023/2024 financial year (which will end on June 30, 2024) represented €50.5 million as of December 31, 2023.

OUTLOOK

The accounts of 1

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half-year should be marked by a good level of gross margin rate, under the effect of the first invoicing of the Chimgan contract and a favorable activity mix, but an adjusted EBITDA

[1]

negative due to the decline in activity.

MND anticipates returning to sustained growth in 2

^n/a

half-year of the 2023/2024 financial year

(from 1

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January to June 30, 2024) but due to the delay on 1

^er

half-year, the Group will probably not be able to exceed the milestone of €100 million in annual turnover in 2023/2024, nor to record a marked improvement in its profitability (adjusted EBITDA) over the entire period. exercise.

After the close of 1

^er

half-year 2023/2024, MND has set up with Cheyne Capital a new financing line, through the issuance of simple bonds, in the amount of €10 million, aimed at financing its growth and investment plan for the 2

^n/a

half of the current financial year and the 1

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half-year of the 2024/2025 financial year.

These funds also complement the finalization of the strategic plan.

Succeed Together 2024

“, with the development of new product lines and projects dedicated to cable transport in order to take advantage of the increase in MND’s industrial capacities within the new manufacturing and assembly spaces built in France.

Finally, the Group recalls that it will present many new products during Mountain Planet, the mountain development exhibition which will be held from April 16 to 18, 2024 in Grenoble, particularly in new generation cable transport solutions, aimed at offer mountain stakeholders and public transport operators proven, high-performance, Made in France cable mobility solutions.

FINANCIAL AGENDA

• Half-year results 2023/24:
  
  April 30, 2024
  

The publication will take place after the close of Euronext Paris markets.

About MND


MND is a French industrial group specializing in cable mobility, snowmaking systems, mountain safety and thrilling leisure infrastructures. With more than 3,000 customers in 49 countries, MND contributes on a daily basis in its 4 core businesses to the mobility, leisure and safety of all by offering proven and sustainable solutions derived from its experience in the mountains. Based in Savoie, MND has nearly 300 employees and relies on 12 international locations as well as 28 distributors to develop its activities around the world. MND is listed on the Euronext Growth market in Paris (FR00140050Q2 – ALMND).

Contacts

Appendices

Definitions of financial indicators not codified by accounting standards bodies


This section presents the financial indicators used by the Group which are not codified by accounting standards bodies.

Backlog


The order book represents the turnover not yet recognized on orders already received (purchase orders or signed contracts) and takes into account the IFRS15 standard.

The order book at the end of a financial year is calculated as follows: order book at the opening of the financial year + new orders received during the financial year – cancellations of orders recorded during the financial year – figure business recognized during the year.

The order book may also vary due to variations in the scope of consolidation, contractual price adjustments and foreign currency translation effects.

Adjusted EBITDA


The Group follows adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) as a performance indicator in order to measure the Group’s performance independently of its financing and amortization policy.

Adjusted EBITDA refers to profit before subtracting interest, taxes, depreciation and amortization provisions, provisions on fixed assets (but after allocations to provisions on inventories and customer receivables) and the adjustment of exceptional items of a non-recurring nature.

^[1]

Adjusted EBITDA: Adjusted EBITDA refers to profit before subtracting interest, taxes, depreciation charges, provisions on fixed assets (but after allocations to provisions on inventories and customer receivables) and the adjustment exceptional items of a non-recurring nature.

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