2014 Annual Results: an excellent year
Revenues: + 10.1%
Operating margin: 10.7%
Dividend: € 0.8 per share (proposed at the AGM on May 20, 2015)
Bagnolet, March 26, 2015
The Board of Directors, which met March 25, 2015 approved the annual accounts for the year 2014.
|In € million at December 31,
|2014||2013||Δ 2014 / 2013|
|Depreciation, amortization and provisions||2.8||3.8||-27.3%|
|Current operating income
in % of sales
|Net income, Group share
in % of sales
Growth led by Services
Within an overall stable IT services market (+ 0.7% in 2014, source Syntec Numérique) Infotel recorded a turnover of € 157.0 million, an entirely organic growth of 10.1% compared to 2013.
The Services division grew by 11.4% to € 149.8 million due to the very strong business service centers, with in particular a rise in activity in the Banking / Finance sector.
The Software division with sales of € 7.2 million, was down 11.6% in 2014.
Results growth and strong profitability
Current operating income amounted to € 16.8 million against € 14.4 million a year earlier, an operating margin of 10.7%.
This performance is related to the maintenance of a stable level of costs: personnel expenses accounted for 45.5% of sales in fiscal 2014 and subcontracting expenses amounted to 34.4% of revenue in 2014.
The intercontract rate remained very low throughout the year, to around 2%.
Net income, Group share amounted to € 11.0 million yielding a net margin of 7% of turnover.
Solid financial structure
The excellent results for the year also resulted in a strong cash generation: with a cash flow of € 19.7 million, well controlled working capital and investments, Infotel has increased its cash € 12.6 million in 2014.
Infotel’s financial position to 31 December 2014 is thus further enhanced with € 57.4 million in equity, no debt and a cash position of € 38.2 million at the end of the year.
Proposed dividend of € 0.8 per share
The Board of Directors will propose to Infotel General Meeting of 20 May 2015 the payment of a dividend of € 0.8 per share for fiscal 2014. This proposal is motivated by the very good performance recorded in the past year as well as the renewed confidence of management for 2015. This will bring the distribution rate to 48.4% of net income.
Confidence for 2015
Infotel confirms a growth rate as strong in 2015 as in 2014 and further improvement of gross profit. This positive outlook validates the Group’s strategy, consisting of positioning on the niche markets of mobility and big data, the deployment of new service centers in France and abroad associated with the software marketing policy on a worldwide basis.
General Meeting of Shareholders: May 20, 2014 afternoon
Q1 2015 sales press release: May 20, 2014 after market
Listed on Compartment C of Euronext Paris since January 1999 (ISIN code FR0000071797) Infotel is the Specialist of large accounts information management systems, from mobile to very large volume databases (Big Data). At the forefront of technological innovations, Infotel develops its expertise around two complementary poles: computer services and software editing. With over € 157 million turnover in 2014 Infotel has a staff of over 1,700.