(Boursier.com) — The CAC40 lost 130 points this week back to 7,221 points (-1.7%), not without having improved its best historical levels hit at the very start of the week at 7,401 points… Despite inflation still vigorous and the (big) doubts about the future of central banks’ monetary policies, the markets first benefited from firmer-than-expected corporate publications (Dassault Aviation, Chargeurs, Eurazeo, etc.), before suffering a wave of withdrawals after the cautious remarks of Jerome Powell, the head of the Fed, concerning the future of US key rates.
Note that the news from Silicon Valley Bank also weighed on the trend at the end of the week, despite management’s attempts to reassure its customers about the security of their assets after a spectacular fall in the stock by 60%. SVB, which does business as Silicon Valley Bank, launched a $1.75 billion capital raise to shore up its balance sheet and explained in its prospectus that it needed the money to fill a “hole ” caused by the sale of a bond portfolio and composed mainly of US bonds.
Shares of the company immediately crashed to their lowest level since 2016. Silicon Valley Bank is best known for financing technology and innovative companies…
The statistical meeting with the government’s monthly report on the employment situation for the month of February, on the other hand, did not really cause any upheaval: The creation of non-agricultural jobs stood at 311,000, against 215,000 by consensus FactSet and 504,000 for the revised reading of the prior month. The unemployment rate stands at 3.6%, against 3.4% consensus and 3.4% a month before… Notable job gains were recorded in leisure and hospitality, retail trade , the government segment and healthcare. Employment fell in information and in transportation and warehousing. Job creation in the non-agricultural private sector was 265,000, against the consensus 228,000. In contrast, the manufacturing sector lost 4,000 jobs. The average hourly wage for the month of February increased by 0.2% compared to the previous month and by 4.6% year-on-year, against respectively +0.4% and +4.7% of consensus, which constitutes a relatively good news on the inflation front. The labor force participation rate stood at 62.5% in February, against 62.4% consensus.
On the oil market, the barrel of crude fell back to $82 per Brent. On currencies, the dollar index remains close to 105 pts, while the euro stands against the greenback, around $1.06 between banks.
VALUES
DBV rises 11% with Mauna Kea and Balyo
Dassault Aviation : +10%. Turnover amounted to 6.9 billion euros, with the delivery of 46 aircraft: 13 Rafale Export, 1 Rafale France and 32 Falcon. Finally, concerning the SCAF, the agreement on the launch of phase 1B of the demonstrator (detailed definition study) establishes the role of Dassault Aviation as prime contractor architect of the New Generation Fighter (NGF). “This is good news for our design office because this agreement preserves our intellectual heritage”.
2022 adjusted operating income was €572 million compared to €527 million in 2021.
Research and development costs amount to 572 million euros in 2022 and represent 8.3% of revenue compared to 551 million euros and 7.6% of revenue in 2021. These amounts reflect the self-financed research and development effort relating in particular to the Falcon 6X and Falcon 10X programs.
The adjusted operating margin was 8.3%, compared to 7.3% in 2021, up despite the increase in research and development costs, thanks to the good quality of contract execution.
Chargers : +8%, while the group announced a 2022 operating profit of 45.4 ME, above expectations, despite record inflation and volatility… Chargeurs is benefiting from its diversified model and is accelerating in the “ultra- premium”.
Turnover thus stands at 746.4 ME, the second best performance for more than 10 years with market share gains in all businesses. The gross margin is up by 80 basis points to 26.1% of sales, demonstrating the pricing power of the businesses. Excluding healthcare activities, which presented an atypical level in 2021, the group achieved organic growth of 8.7% in its turnover and 22.4% in its EBITDA. The operating profit is at 45.4 ME (+41.7% excluding health activities). The Group’s share of net profit amounted to €22.1 million and the dividend is proposed at €0.76 per share.
The group’s new contributory engines are revving up, with promising visibility. Chargeurs Museum Studio confirms its commercial momentum, a factor of acceleration in the future.
The group’s high-potential B2C luxury brands are grouped under Chargeurs Personal Goods. The success of NATIVA thus validates the transformation of the business model of Chargeurs Luxury Fibers.
country house : +7.5% with Ubisoft (+6.5%) and Moncey
Atos : +6% on new speculations regarding the evolution of the funding round
Orpea : +5% with BioMerieux, Gl Events in the wake of its results
STM : +3% with Eurazeo, Danone (+2%)
On the decline, J.C. Decaux 18% drop. The group’s adjusted turnover rose by +20.8% to 3,316.5 million euros. Adjusted operating margin was €602.9 million. Adjusted operating income, before impairment charges, of 212.0 million euros, was up by +1,199.5% at +195.7 million euros over one year.
Net income, Group share amounted to 132.1 million euros, up +146.7 million euros over one year. Adjusted free cash flow was €43.2 million.
Management proposes to the General Meeting not to pay dividends in 2023.
Organic growth in adjusted revenue in the first quarter of 2023 is expected at around +2.5%…
OVH : -17%, while the sale of a stake in the group’s capital by the American investment fund KKR weighs heavily on the market. KKR and TowerBrook thus sold approximately 5 million shares of OVHcloud via an accelerated procedure at a price of 12.90 euros.
In addition, note that the internet host has appealed the first judgment which condemned it for loss of data following the fire at its data centers in Strasbourg in March 2021…
Casino : -15%. The distributor published an annual current operating profit down 12.1% at constant exchange rates, penalized by its activities in France and in e-commerce. Current operating income thus stands at 1.12 billion euros in 2022, compared to 1.19 billion a year earlier. The tricolor group also announced that no dividend would be proposed for 2022 at its next general meeting.
Group revenue was €33.6 billion, up 5.2% on a comparable basis, including €14.2 billion in the France Retail segment (+1.5%), €1.6 billion at Cdiscount (-20 .5%) and 17.8 billion euros in Latam (+12.3%).
The group’s EBITDA stood at 2,508 ME, stable vs 2021. In France, for the distribution brands, EBITDA came out at 1,199 ME (-2% in H2, -6% over the year) and the COI at 421 ME (stable in H2, -12% over the year), with an increase in COI in H2 in Parisian and convenience stores.
Houses of the world : -14%. EBIT margin and free cash flow exceeded the revised annual objectives with an EBIT of 68.5 million euros and a margin of 5.5%. Free-cash-flow amounted to 32 million euros.
Several key milestones have been achieved in recent months, laying the foundations for profitable growth and sustainable shareholder return.
Priorities for 2023: strengthen the balanced growth model of Maisons du Monde; improve store operations and customer service to regain a higher level of profitability and cash flow. The 2023 annual objectives will be specified in May. In the meantime, Maisons du Monde is proposing a dividend of 30 euro cents per share.
Neoen down another 14%. Neoen has launched a capital increase with maintenance of preferential subscription rights (DPS) of approximately 750 million euros in order to increase its installed capacity by 50% while intensifying its investments in storage. In a market that has seen electricity prices rise sharply, Neoen intends to step up the pace of its investments in order to seize the increasing opportunities, both in the marketing of green electricity sales contracts and in innovative and differences in storage.
In this context, the need for additional equity, necessary to finance these investments, amounts to 750 ME. The funds raised as part of this capital increase will be directly used for the construction of new capacities, which will result in the generation of additional income as they are commissioned. As an indication, Neoen estimates that its first 10 GW will generate, once fully in operation, an annual adjusted EBITDA of around 750 million euros, excluding the contribution of ‘early generation’ revenues and excluding the contribution of ‘farm’ operations. -down’.
Wavestone : -13% on its more cautious forecasts
ESSO : -10% with Scor
Eramet -10%. The mining group will propose to the General Meeting of May 23 the payment of a dividend of 3.5 euros (3.85 euros consensus) per share for the 2022 financial year, up 40%. In a climate of geopolitical and macro-economic uncertainties and given the current inflationary context, the group should make nearly €600 million in investments in 2023, excluding activities in the process of being sold and the share financed by Tsingshan of the Lithium project. Decisions will be made in 2023 on the major growth projects, in particular Sonic Bay and Lithium phase 2, which may lead to capex expenditures as early as 2023. The amount of these expenditures will remain to be assessed according to the date of the decision. Management is also counting on 2023 adjusted EBITDA of around €1.2 billion, including the proportional contribution of Weda Bay.
BigBen : -8% followed by Antin
Renault : -7% with Trigano, SES Imagotag
Manitou : -6% with Dried, IPSOS.