EXEL INDUSTRIES : EXEL INDUSTRIES : Half year results 2012-2013 : Seasonality
of results and integration of acquisitions
Epernay, April 16, 2013
Half year results 2012-2013
Seasonality of results
and integration of acquisitions
oRevenue of €301.2 million, +26% compared to previous year, due to
oCurrent Operating Income (EBIT):€5.5 million, representing 1.8% of
revenue. Excluding the effects of the Agrifac and Hozelock acquisitions,
EBIT is 2.8% of revenue, identical to the previous year.
oNet Financial Debt of €92.8 million after acquisitions.
oSolid financial structure:equity = 36% of balance sheet.
Consolidated data H1 H1 H1 Change H1 Change
in € million 2010-2011 2011-2012 2012-2013 in € 2012-2013 in €
constant million current million
Revenue 174.9 239.2 250.4 11.2 301.2 62.0
Operating cash flow 1.7 13.5 11.4 (2.1) 11.7 (1.8)
EBITDA as % of revenue 1.0% 5.6% 4.6% 3.9%
ROC (EBIT) (3.4) 7.0 7.0 0.0 5.5 (1.5)
EBIT as % of revenue (1.9%) 2.9% 2.8% 1.8%
Financial income (2.2) 2.6 (1.8) (4.4) (6.5) (9.1)
Profit before tax (6.4) 9.6 2.7 (6.9) (3.8) (13.4)
Profit (loss) for the (4.7) 5.7 2.6 (3.1) (4.6) (10.3)
Head count (no. of 2,649 2,752 2,804 52 3,371 619
· Analysis of results for the first half year 2012-2013
During the first half year of 2012-2013, consolidated revenue for EXEL
Industries increased by 26%, mainly due to the acquisitions of Agrifac and
Hozelock. At constant scope, revenue increased by 4.7%: +15% for the Materials
activity and revenue unchanged for the Plant activity. International growth
was 32%, due to our acquisitions in Europe.
Current operating income (current EBIT) of €5.5 million, represents 1.8% of
revenue, including Agrifac and Hozelock.
At constant scope, EBIT is in line with the previous year at 2.8% of revenue,
with a contrasting performance from Plants, linked to the beet activity, the
implementation of a new ERP and a reduction in sales in Australia and North
Europe, compensated by the finalization of the automobile projects in
The net loss of €4.6 million was impacted by the cost of reorganization of the
beet harvester range and unfavorable exchange rates on Hozelock's pound
sterling liabilities due to the strengthening of the euro compared to the
Historically low temperatures in Europe in 2013 delayed the start of the
season, in the Farming and Consumer markets.
Our acquisition in the Consumer market will increase the seasonality of our
Plant activities over the second half year as the peak in Consumer activity is
between March and June.
Consolidated statement of financial position:
The consolidated statement of financial position takes into account the
acquisition of Hozelock and its working capital requirements due to its
The working capital requirement at end February is identical to the previous
year, at 105 days of revenue.
At constant scope, the net financial debt (NFD) of the Group should have been
€19.6 million. The financing of the activities of Agrifac and Hozelock and
their acquisition increased the NFD of the Group to €92.8 million.
The gearing of the EXEL Industries Group is 46% and its equity represents 36%
of the consolidated statement of financial position.
· Outlook and Strategy
Mr. Guerric Ballu, Director General of EXEL Industries Group comments:
"We are continuing our growth strategy, and this year will be characterized by
our acquisitions - Agrifac, from July of the previous financial year, Hozelock
in October 2012 and Holmer from April 2013. As a result, our revenue has
increased by 26%.
In our original markets, we are pursuing our international strategy of
improved margins and innovation. In Plants, we are improving our supply chain
management, with the installation of a new ERP, and are looking to develop our
activities in the USA and Russia. In February 2013, our innovations won awards
at the International Trade Fair for Agricultural Equipment. In Materials, in
order to compensate the reduction in orders in the automobile sector, we are
developing new applications and expanding in the BRIC, as well as offering new
innovations to customers.
At constant scope, our operating income is the same as last year, given that
the first half year 2011/2012 had benefited from a deferment of revenue and
margin from the previous year.
At constant scope, EXEL Industries group revenue has increased due to
acquisitions. The loss of €4.6 million was principally due to foreign exchange
effects between the euro and pound sterling, the reorganization of the beet
range and the integration of Agrifac and Hozelock.
In the Consumer market, the season was delayed due to the poor weather in
Europe. Despite this, we are implementing a new synergetic, operational
organization at Hozelock, and we will launch a new garden irrigation product -
the Flexi Spray.
With the acquisition of Holmer, we intend to make the Beet activity
profitable, with the most comprehensive range of machinery in the market, and
achieve synergies between our current subsidiaries and Holmer.
In a difficult economic situation, EXEL Industries has the ambition of
reinforcing our world leadership in our markets, further improving our
financial results, and accompanying our customers through continuous
innovation and a reinforced international presence."
Next date:Revenue for 3^rd quarter 2012-13, on June 25, 2013.
About EXEL Industries:www.exel-industries.com
World specialist in precision spraying techniques for agriculture (world
leader) and industry (world No.3), EXELIndustries employs around 3,600 people
in 28 countries, over 5 continents.
NYSE-Euronext Paris, Compartiment B, CAC Mid&Small, CAC Small
Group Financial Director
+33 (0) 1 49 40 25 71
EXEL INDUSTRIES : Half year results 2012-2013
This announcement is distributed by Thomson Reuters on behalf of Thomson
The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other
applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of
information contained therein.
Source: EXEL INDUSTRIES via Thomson Reuters ONE
Press spacebar to pause and continue. Press esc to stop.