FIRST-HALF 2014 RESULTS: INCREASE IN REVENUES AND MARGINS
Turnover: €75.9m (+5.9%) Operating margin rate: 10.3% (+1.3 pts) Net margin rate: 6.6% (+0.3 pts)
Bagnolet, August 27, 2014
|in €m, as of June 30||2014||2013||Δ 2014 / 2013|
|1st half revenue||75,9||71,6||+ 5,9 %|
|– Services||72,4||67,0||+ 8,0 %|
|– Softwares||3,5||4,6||– 24,6 %|
|Employee costs||35,2||33,0||+ 6,8 %|
|External loads||30,6||28,9||+ 5,7 %|
|Allocations to depreciation and provisions||(1,3)||(2,2)||Ns|
|Current operating income
As a % of turnover
|Income tax||2,6||2,7||– 1,5 %|
|Net income (group share)
As a % of turnover
A first half of growth
In the first half, Infotel achieved a turnover of €75.9 million, growing, entirely organically, by 5.9% compared to the first half of 2013.
The Services division (95% of total turnover) achieved turnover of €72.4 million in the first half, up 8%, marking the outperformance of this activity on its market (Syntec Numérique forecasts growth of 1.2 % for consulting and services in 2014).
The Software division (5% of total turnover) achieved a turnover of €3.5 million in the first half of the year, the decrease of which is due to the comparison with the record figure of IBM royalties recorded in the first quarter of 2013.
Strong profitability, on the rise
Current operating income amounted to €7.8 million in the first half of 2014 (i.e. +21.7% compared to the first half of 2013), i.e. an operating margin rate of 10.3% compared to 9.0% in the first half of 2013. This growth is the result of the relevance of Infotel’s model: the optimized management of service centers for large, loyal accounts belonging to all economic sectors, control of the development of projects and expenses, low the inter-contract rate (2.2% on average over the first half) and the quality of the responses provided by Infotel teams to customer problems, both at the functional and technical level (from mainframe to Big Data and mobility ).
Net income (group share) for the half-year of the consolidated entity amounted to €5.0 million, up 10.8% (compared to €4.5 million in the first half of 2013), i.e. a net margin rate of 6 .6% compared to 6.3% in the first half of 2013.
A very solid financial situation
Infotel’s financial position remains very strong. The Group’s shareholders’ equity amounted to €51.8 million (compared to €45.7 million as of June 30, 2013) and the Group has no financial debt. Cash is significant at €26.8 million as of June 30, 2014, an increase of €1.1 million compared to December 31, 2013, after the payment of dividends.
Confidence for the end of 2014
The second half is marked by continuity: on-board activity is significant, business and listings signed in the first half will see the ramp-up of new service centers, and prospecting actions for Software, both in France and internationally should bear fruit.
Given the solid performance recorded for the first half of 2014, Infotel is confident about its growth and margin securing objectives for the current year. These end-of-year objectives will be specified on September 17, 2014.
Analyst Meeting and Press Release: September 17, 2014
Third-quarter 2014 revenue: October 29, 2014 (after market)
Listed on Compartment C of Euronext Paris since January 1999 (Isin code FR0000071797), Infotel is the specialist in large account management systems, from mobile to very large databases (Big Data). At the forefront of technological innovations, Infotel develops its expertise around two complementary areas of expertise: IT services and software publishing. With more than €142 million in revenue in 2013, Infotel has more than 1,500 employees.