First half-year revenue stable and up by 3.6% in the second quarter

(27/07/2016)

Paris, 27 July 2016 – Saft, leader in the design, development and manufacture of advanced batteries for industry, announces its sales and earnings for the six-month period ended 30 June 2016.

 

H1 2016 key figures

  • Group revenue stable in H1 2016 at €367.8 million (-0.4% at constant exchange rates compared to H1 2015), despite the impact of a slowdown of investments in the oil sector impacting the Industrial Standby division’s revenue (-15.5%)
  • Sustained revenue growth in the Civil Electronics (+3%), Space & Defense (+15.8%) and Transportation, Telecom & Grid (+3.6%) divisions in H1 2016, and improvement in EBITDA in these three divisions, notably benefiting from a stronger activity during the second quarter of 2016 (+3.6% at Group level)
  • EBITDA margin restated for non-recurring items related to Total's takeover bid (€7.9 million at EBITDA level), amounting to 14.3% in H1 2016 compared to 15.5% in H1 2015 and explained by lower volumes in the oil sector
  • Net profit of €3.5 million in H1 2016, compared to €30.1 million in H1 2015, affected by non-recurring items related to Total's takeover bid (€17.5 million at net profit level), by less favorable exchange effects and increased taxes

Outlook

  • More than 90% shares acquired. Success of the friendly tender offer. Re-opening of the offer until August 2nd
  • 2016: year of transition which aims to reinforce the Group's medium-term profitable growth by implementing the Power 2020 plan
  • Medium-term objectives confirmed

 

Ghislain Lescuyer, Chairman of the Management Board, commented:

″Group sales increased by 3.6% during the second quarter. This growth was mainly driven by civil and military aviation, telecom and civil electronics. In a worldwide macroeconomic context which continues to be difficult, this increase in sales also translates into improved operational performance in each of the three divisions: Civil Electronics, Space & Defense, and Transportation, Telecom & Grid.

As anticipated, Industrial Standby division sales stabilized in the second quarter. However, this division continues to be affected by the slowdown of investments in the oil sector.

Furthermore, we are rolling-out Power 2020 as planned, and expect the first operational benefits in the second half year.  We are implementing a development approach that is even closer to our customers, reinforcing our industrial efficiency, particularly in the lithium-ion plants, and have completed the reorganization of the Group.

Total's friendly bid has been successful with 90.14% of our shareholders tendering their shares to the offer which is re-opened until August 2nd. We are convinced that Total Group's backing will enable Saft to strengthen its position and to accelerate its development.”

To read the entire press release, please download the PDF file.