- Sales €465 million (up 10% vs Q1 2016)
- EBITDA€31.2 million
- Net income (Group share)€15.3 million
Regulatory News:
Jacquet Metal Service (Paris:JCQ):
On May 3, 2017 the Board of Directors, chaired by Éric Jacquet, approved the consolidated financial statements for the three months ended March 31, 2017.
€m | Q1 2017 | Q1 2016 | ||
Sales | 465.0 | 422.6 | ||
Gross margin | 121.8 | 94.1 | ||
% of sales | 26.2% | 22.3% | ||
EBITDA (1) | 31.2 | 8.8 | ||
% of sales | 6.7% | 2.1% | ||
Operating income before non-recurring items (1) | 26.9 | 4.1 | ||
% of sales | 5.8% | 1.0% | ||
Operating income | 27.1 | 4.4 | ||
Net income/(loss) (Group share) | 15.3 | (1.1) | ||
(1) Adjusted for non-recurring items. The business review includes a definition |
First quarter 2017 sales and earnings
In a context of metal prices remaining at low levels, sales amounted to €465 million, up 10% compared with 2016, including the following effects:
- Volumes sold: +1.5%,
- Price: +8.5%. The price effect compared to Q4 2016 was +3.9%.
The gross margin came to €121.8 million (a €27.7 million increase compared to Q1 2016), representing 26.2% of sales compared to 22.3% a year earlier.
EBITDA amounted to €31.2 million (6.7% of sales), compared to €8.8 million in Q1 2016 (2.1% of sales) while operating income before non-recurring items amounted to €26.9 million (5.8% of sales) up from €4.1 million a year earlier (1% of sales).
Net income (Group share) amounted to €15.3 million (3.3% of sales).
Financial position
The Group generated operating cash flow of +€41.6 million during Q1 2017 (€23.6 million excluding factoring). At March 31, 2017, operating working capital amounted to €370 million, or 22.7% of sales, including inventories of €378 million, versus 23.4% at December 31, 2016.
Q1 capital expenditure amounted to €4.1 million, mainly relating to new finishing capacity.
At March 31, 2017 Group net debt stood at €170 million, compared to shareholders' equity of €313 million, resulting in a net debt to equity ratio of 54.2% (69.2% at December 31, 2016).
Dividend
The Board of Directors will propose a dividend of €0.50 per share to the General Meeting of shareholders on June 30, 2017.
Q1 2017 sales by division
JACQUET Abraservice | STAPPERT | IMS group | ||||
Stainless steel and wear- | Long stainless steel | Engineering steels | ||||
€m | Q1 2017 | Q1 2017 | Q1 2017 | |||
Sales | 98.1 | 126.2 | 240.7 | |||
Change vs 2016 | 15.6% | 14.4% | 5.1% | |||
Price effect | 13.4% | 14.3% | 4.0% | |||
Volume effect | 2.3% | 0.1% | 1.1% | |||
EBITDA (1) (2) | 7.1 | 9.7 | 13.9 | |||
% of sales | 7.2% | 7.7% | 5.8% | |||
Operating income before non-recurring items (2) | 5.0 | 9.4 | 12.5 | |||
% of sales | 5.1% | 7.5% | 5.2% | |||
(1) Non-division activities contributed €0.6 million to Q1 2017 EBITDA. | ||||||
(2) Adjusted for non-recurring items. The business review includes a definition of |
JACQUET Abraservice specializes in the distribution of stainless steel and wear-resistant quarto plates. JACQUET and Abraservice have separate sales networks. The division generates 76% of its business in Europe and 17% in North America.
Sales amounted to €98.1 million compared to €84.8 million in Q1 2016, up 15.6% (volume effect +2.3%, price effect +13.4%).
The gross margin rate rose 3 percentage points to 31.7%, while gross margin came to €31.1 million compared to €24.4 million in Q1 2016.
The division recorded EBITDA of €7.1 million (7.2% of sales), compared to €1.9 million a year earlier (2.3% of sales).
STAPPERT specializes in the distribution of long stainless steel products in Europe. It generates 41% of its sales in Germany, the largest European market.
Sales amounted to €126.2 million compared to €110.3 million a year earlier, up 14.4% (volume effect +0.1%, price effect +14.3%).
The gross margin rate rose 4.6 percentage points to 24.1%, while gross margin came to €30.5 million compared to €21.5 million in Q1 2016.
STAPPERT recorded EBITDA of €9.7 million (7.7% of sales), compared to €2.6 million in Q1 2016 (2.4% of sales).
IMS group specializes in the distribution of engineering steels, usually in the form of long products. This division has included the S+B Distribution network acquired from Schmolz Bickenbach in the second semester of 2015. This network has been renamed IMS group since January 2017. The division generates 49% of its sales in Germany, the largest European market.
IMS group's sales amounted to €240.7 million compared to €229 million a year earlier, up 5.1% (volume effect +1.1%, price effect +4.0%).
The gross margin rate rose 4.4 percentage points to 24.9% of sales, while gross margin came to €60 million compared to €47.1 million in Q1 2016.
IMS group recorded EBITDA of €13.9 million (5.8% of sales), compared to €2.8 million (1.2% of sales) a year earlier. S+B Distribution's contribution to EBITDA was €5.7 million (4% of sales), compared to a €0.4 million loss in Q1 2016.
Key financial information
Results
€m | Q1 2017 | Q1 2016 | ||
Sales | 465.0 | 422.6 | ||
Gross margin | 121.8 | 94.1 | ||
% of sales | 26.2% | 22.3% | ||
EBITDA (1) | 31.2 | 8.8 | ||
% of sales | 6.7% | 2.1% | ||
Operating income before non-recurring items (1) | 26.9 | 4.1 | ||
% of sales | 5.8% | 1.0% | ||
Operating income | 27.1 | 4.4 | ||
Net income/(loss) (Group share) | 15.3 | (1.1) | ||
(1) Adjusted for non-recurring items. The business review includes a definition |
Balance sheet
(in millions) | March 31, 2017 | Dec. 31, 2016 | ||
Goodwill | 68.5 | 68.5 | ||
Net non-current assets | 146.3 | 147.6 | ||
Net inventory | 378.3 | 376.2 | ||
Net trade receivables | 228.6 | 171.3 | ||
Other assets | 92.1 | 91.7 | ||
Cash | 61.9 | 73.0 | ||
Total assets | 975.6 | 928.3 | ||
Shareholders' equity | 313.0 | 296.5 | ||
Provisions (including provisions for employee benefit obligations) | 108.6 | 112.3 | ||
Trade payables | 236.9 | 176.4 | ||
Borrowings | 234.7 | 281.2 | ||
Other liabilities | 82.2 | 61.8 | ||
Total equity and liabilities | 975.6 | 928.3 |
Cash flow
(in millions) | March 31, 2017 | Dec. 31, 2016 | ||
Operating cash flow before change in working capital | 25.1 | 45.3 | ||
Change in working capital | 16.5 | (2.2) | ||
Cash flow from operating activities | 41.6 | 43.1 | ||
Capital expenditure | (4.1) | (18.3) | ||
Asset disposals | 0.5 | 1.2 | ||
Dividends paid to shareholders of Jacquet Metal Service S.A. | (9.5) | |||
Interest paid | (2.6) | (9.6) | ||
Other movements | 0.1 | 1.3 | ||
Change in net debt | 35.5 | 8.3 | ||
Net debt brought forward | 205.3 | 213.5 | ||
Net debt carried forward | 169.7 | 205.3 |
Activity report available: www.jacquetmetalservice.com
First half 2017 results: September 6, 2017 after close of trading
View source version on businesswire.com: http://www.businesswire.com/news/home/20170503006003/en/
Contacts:
Jacquet Metal Service