We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Lagardere SA | EU:MMB | Euronext | Ordinary Share |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 21.05 | 20.75 | 21.15 | 21.10 | 20.85 | 21.00 | 34,515 | 16:40:00 |
Target for 2015 recurring EBIT(1) growth raised from +5% to +7%.
Regulatory News:
Lagardère SCA (Paris:MMB):
In the first half of 2015, the solid performance of the Group was buoyed by Lagardère Unlimited, with a favourable calendar effect, and the continued growth of Travel Retail.
I- SALES AND RECURRING EBIT
SALES
In the first half of 2015, Lagardère group sales totalled €3,304 million, up +2.9% on a like-for-like basis (-1.8% on a reported basis).
The difference between data on a reported basis and like-for-like is explained in part by a positive currency effect of €130 million, due primarily to appreciation of the US dollar and the pound sterling, and in part by a negative scope effect (-€277 million), broken down as follows:
H1 2015 sales:
Sales (in €m)Changeon a reportedbasis
Changeon a like-for-likebasis
H1 2014 H1 2015 Lagardère Publishing 903 968 +7.1% -2.9% Lagardère Travel Retail 1,852 1,640 -11.4% +3.5% Lagardère Active 435 437 +0.7% +0.2% Lagardère Unlimited 174 259 +48.5% +34.9% TOTAL SALES 3,364 3,304 -1.8% +2.9%
Q2 2015 sales:
Sales (in €m)Changeon a reportedbasis
Changeon a like-for-likebasis
Q2 2014 Q2 2015 Lagardère Publishing 510 547 +7.1% -3.4% Lagardère Travel Retail 994 846 -14.9% +3.7% Lagardère Active 233 233 +0.3% -2.1% Lagardère Unlimited 101 106 +5.0% -1.8% TOTAL SALES 1,838 1,732 -5.8% +0.4%
RECURRING EBIT OF FULLY CONSOLIDATED COMPANIES
Recurring EBIT of fully consolidated companies (€m) Change(€m)
H1 2014published
H1 2014 restatedIFRIC 21(6)
H1 2015 Lagardère Publishing 51 50 36 -14 Lagardère Travel Retail 36 35 30 -5 Lagardère Active 35 34 33 -1 Lagardère Unlimited 6 6 32 +26 Recurring EBIT from operating activities 128 125 131 +6 Recurring EBIT from other activities (15) (15) (9) +6 Total recurring EBIT of fully consolidated companies 113 110 122 +12Sales
Sales of €968 million, up by +7.1% on a reported basis and down by -2.9% like-for-like. The difference can be explained by positive currency effects (+€70 million, primarily due to the appreciation of the US dollar and the pound sterling), as well as the scope effect (+€20 million).In the first half of 2015, activity declined as expected, mainly due to the downturn in the US (unfavourable comparison base relative to the first half of 2014), which was not offset by the high level of activity in France.Figures below are presented on a like-for-like basis.
In France, business grew sharply by +3%, due to the positive trend in General Literature, with the success of new releases on one hand (L’homme qui ment, by Marc Lavoine, Hippocrate aux enfers, by Michel Cymes, Vernon Subutex, by Virginie Despentes, etc.) and the performance of the Paperback segment (Fifty Shades saga) on the other. Meanwhile, Illustrated Books had a strong start of the year with the continued success of colouring books for adults.In the United Kingdom, the downturn in sales (-3.5%) can be explained by a slate of new releases that was not as strong as the first half of 2014.In the United States, the decline in activity, which had been expected (-7.8%), can be explained by the high level of activity in the first half of 2014 (including The Silkworm by Robert Galbraith and The Goldfinch by Donna Tartt) as well as a decline in e-book sales.In the Spain/Latin America area, activity was down (-3.8%), particularly due to a postponement in Education sales in Spain.The trend for Partworks (-3.4%) can be explained by a smaller volume of launches at the end of 2014.
Digital: in the 1st half of 2015, the weighting of e-books in Lagardère Publishing total sales declined to 10.7%, compared to 11.3% at the end of June 2014. This transition remains limited to English-speaking countries and to the General Literature segment:
- in the United States, in a declining digital market (slowdown seen since the beginning of 2014), sales ofe-books have dropped (24% of sales for Trade(7) vs. 29% at the end of June 2014), given a less successful slate of new releases and the implementation of the agreement with Amazon;- in the United Kingdom, the market is stabilising and has been impacted by the January 1, 2015 VAT increase. E-books represented 33% of sales in Adult Trade(8) vs. 36% at the end of June 2014.
Recurring EBIT of fully consolidated companies
Lagardère Publishing posted Recurring EBIT of €36 million, down -€14 million compared to H1 2014. This change is mainly due to the decline of activity in the US, and to a lesser extent in the UK, which was not offset by the solid performance in France.
Note that the name of the Lagardère Services division has been changed to Lagardère Travel Retail. Pending their disposal, Distribution activities are still included in the division figures.
Sales
Sales for the division totalled €1,640 million (-11.4% on a reported basis and +3.5% like-for-like), with a favourable exchange rate effect this quarter of +€42 million (rise of the Swiss franc and the US, Australian, Canadian and Singaporean dollars). As expected, the scope effect was negative by -€306 million, broken down as follows:
The division is continuing the strategic transition of its activity mix with Travel Retail now accounting for 70% of the total (7 points higher than H1 2014), vs. 30% for Distribution (Press Distribution and Integrated Retail).Figures below are presented on a like-for-like basis.Growth in activity accelerated in the second quarter (+3.7%, after first quarter growth of +3.2%).
In the 1st half of 2015, Travel Retail activities were up by +7.3%. Performance was driven by growth in passenger traffic, the strong performance of acquisitions, expansion of networks and rollout of new concepts. Growth in the second quarter (+7.8%) was higher than in the first quarter (+6.7%).In France, activity grew considerably over the first half (+8.7%), due to the Duty Free segment (increase in traffic and average spending per passenger), in addition to the solid performance of Travel Essentials and Foodservice segments.Europe (excluding France), posted excellent performance (+7.9%): increased traffic and development of networks led to significant growth in Poland (+11.8%), Italy (+7.3%), where the ramping-up of activities in Rome airport continued (+13.9% despite the fire in May), as well as Romania (+15.5%) and Spain (+10.6%).Activity was also up in North America (+5.7%) due to the network expansion in airport and a solid level of underlying activity.The Asia-Pacific region is also growing (+3.2%), due to the sustained development of fashion activities in China and Singapore.
In the 1st half of 2015, Distribution activities declined by -4.0%, with market diversification efforts not completely offsetting the decline in the print press market.
Recurring EBIT of fully consolidated companies
Recurring EBIT of fully consolidated companies was at €30m, down by -€5m, due to disposals in Switzerland and the US, which had a negative impact of €4m.Recurring EBIT of fully consolidated companies for Travel Retail grew by +€3m, due to the continued improvement of the product mix, to winning new contracts and to the successful launch of new concepts.Meanwhile the integration of Airest activities had a €3m negative impact (unfavourable seasonal effect in the 1st quarter).Recurring EBIT of fully consolidated companies for Distribution was down -€1m, in line with the activity, taking into account the efforts in savings implemented.
Sales
Sales totalled €437m, up +0.7% on a reported basis and up +0.2% like-for-like. The difference between the two trends is essentially explained by a slightly positive scope effect (+€3m): the acquisition of Grupo Boomerang TV on May 31, 2015 and the consolidation of Gulli revenue (resulting from the purchase of France TV's 34% stake in November 2014), offsetting the disposal of 10 magazines in July 2014.Sales for advertising fell 3.5% for the division as a whole.Figures below are presented on a like-for-like basis.
The negative trend in Magazine Publishing, which posted a -4.7% decline, is due to the drop in advertising revenue (-6.5%) and circulation (-7.1%), and is partly offset by growth in other activities, particularly in digital (+19%).Radio posted mixed performances (-3.9%) with a downturn at Europe 1, while music radio in France and internationally was up.Television activities (theme channels and TV Production) recorded solid growth (+28.1%) thanks to TV Production (+44.9%) due to both to H1 2014 at a low level and positive effects in 2015 related to rights selling and a favourable delivery schedule, particularly in fiction programmes.In pure digital activities, the decline (-20%) is explained by the LeGuide group, which continues to face challenges with algorithm changes by Google. Excluding the LeGuide group, these activities recorded +5.4% growth.
Recurring EBIT of fully consolidated companies
Recurring EBIT of fully consolidated companies is virtually stable at €33m (-€1m), as the solid performance in TV Production (which benefited from a favourable calendar impact) and the effects of cost-cutting plans implemented in 2014 almost entirely offset the negative trends in advertising and circulation, and the decline in the LeGuide group activity.
Sales
Sales rose considerably to €259m: up 48.5% on a reported basis and up 34.9% like-for-like. The difference between these two figures can be explained by positive currency (+€18m) and scope effects (+€6m), notably related to the Casino de Paris acquisition in March 2014.The very sharp increase in activity can be explained by a very favourable calendar effect related to the good completion of contracts for two continental football competitions, the Africa Cup of Nations held in Equatorial Guinea and the AFC Asian Cup held in Australia.
Recurring EBIT of fully consolidated companies
Recurring EBIT of fully consolidated companies amounted to €32m versus €6m in H1 2014. As expected, 2015 has been marked by a very positive seasonal effect, given a very active sport calendar in the first half of the year.The underlying profitability of other activities is improving in line with the recovery plan implemented by the division.
The recurring EBIT from other activities amounted to -€9m, a +€6m improvement compared to H1 2014, which still included losses from Matra Manufacturing & Services, whose light electrical vehicle manufacturing and marketing business was sold in December 2014.
II- MAIN INCOME STATEMENT DATA
€m H1 2014 publishedH1 2014 restatedIFRIC 21**
H1 2015 Sales 3,364 3,364 3,304 Total recurring EBIT of fully consolidated companies 113 110 122 Income (loss) from associates* 1 1 1 Non-recurring/non-operating items (47) (47) (72) EBIT 67 64 51 Interest expense (38) (38) (26) Profit before tax 29 26 25 Income tax expense (58) (57) (6) Total profit (29) (31) 19 Minority interests (4) (4) (10) Profit – Group share (33) (35) 9*Before impairment losses.**H1 2014 figures have been restated to reflect the retroactive application of the IFRIC 21 interpretation "Levies charged by Public Authorities":• -€3 million for the recurring EBIT of fully consolidated companies;• -€2 million for net profit - Group share and adjusted net profit - Group share.The new IFRIC 21 interpretation changes the obligating event used to record a liability related to paying a tax or a contribution. The obligating event that gives rise to a liability is now the date upon which the fiscal liability comes due.
CONTRIBUTION FROM ASSOCIATES
Income from associates (excluding impairment losses) amounted to €1 million and was stable compared to H1 2014.
NON-RECURRING/NON-OPERATING ITEMS
Non-recurring/non-operating items totalled -€72 million, and mainly comprised:
EARNINGS BEFORE INTEREST AND TAX
At 30 June 2015, EBIT totalled €51 million versus €64 million at 30 June 2014.
NET INTEREST EXPENSE
Net interest expense amounted to -€26 million in H1 2015, a €12 million decline compared to H1 2014. This change is mainly due to the decline in the average cost of debt for the Group between the two periods.
INCOME TAX EXPENSE
At 30 June 2015, income tax expense came to €6 million versus €57 million at 30 June 2014. This change is due to the 3% additional contribution enforced in France on dividends paid (€5 million in H1 2015 versus €28 million in H1 2014, taking into account the exceptional dividend), as well as a favourable change in the geographic mix related to the tax rate for foreign companies.
PROFIT
Including all these items, profit came out to €19 million, of which €9 million is attributable to the Group share. The share of profit attributed to minority interests amounted to €10 million at June 30, 2015, versus €4 million at the end of June 2014. This change in income is mainly the result of the growth in profit for the World Sport Group.
ADJUSTED PROFIT – GROUP SHARE
(€m)H1 2014 restatedIFRIC 21
H1 2015 Profit – Group share (35) 9 Amortisation of acquisition-related intangible assets* +17 +20 Impairment losses on goodwill, tangible and intangible fixed assets* +2 +29 Restructuring costs* +17 +32 Gains/losses on disposals* +2 -20 Taxes on dividends paid to shareholders +28 +5 Adjusted profit – Group share 31 75*Net of tax.
III- OTHER FINANCIAL INFORMATION
TOTAL CASH FLOWS FROM OPERATING AND INVESTING ACTIVITIES
(€m)H1 2014 restatedIFRIC 21
H1 2015 Cash flow from operations before interest and tax 133 168 Changes in working capital (198) (97) Cash flow from operations (65) 71 Interest paid & received, and income taxes paid (61) (26) Cash generated by operating activities (126) 45 Acquisition of property, plant & equipment and intangible assets (98) (133) Disposal of property, plant & equipment and intangible assets 7 4 Free cash flow (217) (84) Acquisition of financial assets (201) (86) Disposal of financial assets 27 (108) Net cash from operating & investing activities (391) (278)Cash flow from operations amounted to €45 million in the first half of 2015, versus -€126 million at 30 June 2014, up +€171 million.
Investment flows fell to -€219 million, versus -€299 million at 30 June 2014.
Financial asset disposals totalled -€108 million for the first half of 2015. They resulted from the sale by Lagardère Travel Retail of its Press Distribution and Integrated Retail activities in Switzerland, and of Curtis Circulation Company (national Distribution of magazines in the US), the latter transaction leading to the deconsolidation of a structurally favourable working capital resource in this activity.
All in all, the sum of operating and investment flows came to a negative €278 million, vs. a negative €391 million at 30 June 2014, an improvement mainly attributable to the growth in cash flow as well as the change in working capital requirements.
FINANCIAL POSITION
Net debt was €1,436 million at 30 June 2015, up €482 million from 31 December 2014. This is due essentially to the payment of ordinary dividends (€184 million), the negative change in WCR in H1 2015, and acquisitions made.
The Group's liquidity position is still solid, with €1,701 million in available liquidity (available cash and short-term investments reported on the balance sheet totalling €451 million and authorised but undrawn credit lines of credit of €1,250 million). The debt repayment schedule remains balanced.
IV- HIGHLIGHTS SINCE THE PUBLICATION OF SALES FOR THE FIRST QUARTER OF 2015
Acquisition of the TV production group Grupo Boomerang TVOn 28 May 2015, in line with its European development strategy, Lagardère Active announced that it had purchased a majority stake of 82% in Grupo Boomerang TV (Grupo BTV), one of Spain's leading independent TV production groups (fiction and unscripted) with developments in Latin America. The company had a turnover of €42 million in 2014.
Acquisition of the German group akzio! ajoint.On 8 June 2015, Lagardère Unlimited acquired the group akzio! ajoint., the leading sponsorship consulting agency in Germany. With this acquisition, Lagardère Unlimited expands its service portfolio in Europe, in line with its global growth strategy in consulting and brand activation services.
Renewal of partnership agreement between CAF and SportfiveOn 12 June 2015, the Confédération Africaine de Football (CAF) and Sportfive signed a landmark agreement to extend their partnership until 2028. Sportfive, an agency of Lagardère Unlimited, will continue to sell the marketing and media rights of CAF's main regional competitions in Africa, including the Africa Cup of Nations, African Nations Championship and African Champions League.
Disposal by Lagardère Travel Retail of its US magazine distribution subsidiaryAs part of its strategy aimed at focusing on growth businesses, Lagardère Travel Retail continued the divestiture of its press Distribution business, and announced on 6 July 2015 the disposal of its subsidiary Curtis Circulation Company to its management team.Curtis Circulation Company is one of the largest US magazine distributors with approximately 25% market share of the single copy marketplace across the USA and Canada. Curtis' unique business model differs from the other European Distribution companies within Lagardère Travel Retail.
Public buyout offer for shares in Lagardère Active BroadcastOn 7 July 2015, Lagardère Active, a subsidiary of Lagardère SCA, announced it had filed a draft public buyout offer for all of the shares of Lagardère Active Broadcast not held by Lagardère Active.It would simplify Lagardère Active Broadcast's legal processes, as well as providing cost savings (especially on listing fees).Lagardère Active owns 99.50% of the share capital and 99.59% of voting rights of Lagardère Active Broadcast, which is a public limited company incorporated under Monegasque law. The company is Lagardère Active's audiovisual division and has radio stations in France (Europe 1, music stations) and abroad (Eastern Europe, French-speaking Africa), TV production and distribution (Lagardère Entertainment) and theme TV channels (particularly Gulli).
Draft Public buyout offer with squeeze-out on LeGuide.com sharesLagardère Active, a subsidiary of Lagardère SCA, announces a draft public buyout offer for all of the shares of LeGuide.com not held by Lagardère Active.These shares representing less than 5% of the capital and voting rights of LeGuide.com, the offer will be immediately followed by a mandatory squeeze-out process. For the record, these shares are listed on Alternext of Euronext Paris.The price proposed by Lagardère Active is €32.50 per share, representing a maximum aggregate acquisition cost (excluding fees and commission) of about €4.8 million for all the shares covered by the offer and the mandatory squeeze-out.The operation aims to proceed with the delisting of the company LeGuide.com, this listing appearing no longer justified considering the purposes initially pursued, given the discrepancy that emerged between the stock price and the real financial situation of the company.The offer will also provide minority shareholders of LeGuide.com with an immediate liquidity on their shares in a market with very low liquidity.Lagardère Active and LeGuide.com joint draft offer document will be filed with the French financial markets authority (Autorité des marchés financiers – AMF) on 31 July 2015 and made publicly available. This draft offer document and the operation remain subject to approval by the AMF.
V- OUTLOOK - GUIDANCE
TARGET FOR 2015 RECURRING EBIT GROWTH RAISED
The first half results, as well as the outlook for the second half, enable to raise the target on 2015 recurring EBIT announced last March.From now on, Group Recurring EBIT of fully consolidated companies (from operating activities and other activities) should increase in 2015 by about +7%, compared to 2014 (versus +5% previously), at constant exchange rates and excluding the effect of potential disposal of LS distribution activities.
***
INVESTOR CALENDAR
***
DEFINITION OF RECURRING EBIT
Recurring EBIT of fully consolidated companies is defined as the difference between income before interest and tax and the following items of the income statement:
The Lagardère group is a global leader in content production and distribution whose powerful brands leverage its virtual and physical networks to attract and enjoy qualified audiences.It is structured around four business lines: Books and e-Books; Travel Retail; Press, Audiovisual, Digital and Advertising Sales Brokerage; Sports and Entertainment.Lagardère shares are listed on Euronext Paris.www.lagardere.com
(1)Recurring operating profit of fully consolidated companies (four operating divisions and other activities). See details at the end of the press release.(2)At constant exchange rates and consolidation scope.(3)H1 2014 figures have been restated to reflect the retroactive application of the IFRIC 21 interpretation "Levies Charged by Public Authorities":• -€3 million for the recurring EBIT of fully consolidated companies;• -€2 million for net profit - Group share and adjusted net profit - Group share.(4)Excluding non-recurring/non-operational items.(5)New name for the Lagardère Services division.(6)See note on page 5.(7)Trade works.(8)Adult trade works.
View source version on businesswire.com: http://www.businesswire.com/news/home/20150730006098/en/
LagardèrePress ContactsThierry FUNCK-BRENTANO, tel. +33 1 40 69 16 34tfb@lagardere.frorRamzi KHIROUN, tel. +33 1 40 69 16 33rk@lagardere.frorInvestor Relations ContactAnthony MELLOR, tel. +33 1 40 69 18 02amellor@lagardere.fr
1 Year Lagardere Chart |
1 Month Lagardere Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions