| In € thousands | H1 2024 | H1 2023 | Change |
| Revenue | 272,265 | 274,775 | -0.9% |
| Operating profit from ordinary activities | 22,139 | 24,485 | -9.6% |
| As a % of revenue | 8.1% | 8.9% | |
| Cost of performance shares | (551) | (690) | |
| Other operating income and expenses | (757) | (1,059) | |
| Operating profit | 20,831 | 22,736 | -8.4% |
| Financial income | 1,738 | 340 | |
| Tax (expense)/income | (5,694) | (6,090) | |
| Net income from consolidated companies | 16,875 | 16,986 | -0.7% |
| As a % of revenue | 6.2% | 6.2% | |
| Net income attributable to owners of the parent | 16,875 | 16,986 | |
| Earnings per share | 1.30 | 1.28 | |
| Headcount | 7,551 | 7,841 | -3.7% |
| Net cash flow generated by operating activities | 20,972 | 13,056 | +60.6% |
| Net cash | 95,948 | 83,519 | +14.9% |
Aubay's Board of Directors, which met on September 18, 2024 under Chairman Christian Aubert, approved the consolidated financial statements for the first six months of 2024. The financial statements have been reviewed by the company's Statutory Auditors who will shortly issue their reports.
Aubay proved very resilient in the first half of 2024, with revenue and net income virtually stable compared with the same period of the previous year.
Half-year operating margin from ordinary activities of 8.1%
In a sluggish market environment, Aubay has been able to rely on the resilience of its operating profit, thanks to the good management of all its key performance indicators. Although slightly down by 80 basis points compared with the first half of 2023 (8.1% vs. 8.9%), the operating margin from ordinary activities remains solid, especially as it was mainly impacted by an unfavorable calendar effect. This decline should be offset in the second half by a more favorable seasonal effect.
Operating profit of €20.8 million
Operating profit was down 8.4%, after taking into account the cost of performance shares for €0.6 million and a net expense of €0.8 million under "Other operating income and expenses", primarily comprising restructuring expenses.
Net income rose sharply to €1.7 million from €0.3 million in 2023, thanks to higher interest received and the capital gain on Micropole shares.
Net income attributable to owners of the parent remained stable (6.2% of net margin)
Net income attributable to owners of the parent was stable at €16.9 million, compared with €17.0 million in the first half of 2023. The tax expense of €5.7 million resulted in an average tax rate of 25% compared with 26% for the same period of the previous year.
Net cash (excluding rental liabilities) up sharply at €95.9 million, after dividend payment
Cash flow stood at €26.8 million or 9.8% of revenue, compared with €28.1 million in 2023. The change in WCR amounted to a negative €1.6 million compared to a negative €6.6 million for the same period of the previous year.
Cash flow from operating activities amounted to €21.0 million, a sharp increase compared to first half 2023 (€13.1 million).
After taking the 2023 €9.1 million dividend payout in May into account, and the €4.8 million purchases of treasury shares for cancellation, net cash stood at €95.9 million at June 30, 2024, and should continue to increase during the second half of the year.
Proposed interim dividend of €0.50
In light of the good level of net income and the Group's excellent financial position, the Board of Directors has decided to pay an interim dividend of €0.50 per share in respect of 2024. The interim dividend remains unchanged from 2023 and will be paid on November 8, 2024.
Outlook for 2024
Market trends over the summer show no particular improvement or deterioration in the conditions observed since the start of the year. Customers are still showing restraint and caution in their investments, given the uncertain macroeconomic context. Business outlook for the second half of 2024 is unchanged.
Aubay remains focused on maintaining profitability and cash generation.
In light of this, Aubay confirms its annual targets, which are:
- organic growth of between 0% and 3%, i.e., annual revenue of between €534 million and €550 million;
- operating margin from ordinary activities between 8.5% and 9.5%.
Aubay will publish its 2024 third-quarter revenue on Wednesday October 23, 2024 after the close of trading.
Glossary
Organic revenue growth: This refers to growth calculated for a constant scope of activity for a given period, excluding revenues from companies that were acquired or sold during the period. As Aubay conducts most of its business in the euro zone, any impact from changes in exchange rates is minimal.
| 2024 | |
| Organic growth | -0.9% |
| Impact of changes in scope | 0 |
| Growth as reported | -0.9% |
Operating profit from ordinary activities: this indicator corresponds to operating profit before the cost of free shares and other income and expenses that are unusual, abnormal or infrequent and that are booked separately in order to facilitate understanding of an entity's recurring operating performance.
Operating margin from ordinary activities: this indicator, which is expressed as a percentage, is the ratio of operating income from ordinary activities to revenue.
Net debt or net cash (excluding rental liabilities): this indicator represents the difference between an entity's cash and debt. If the result is negative, it is referred to as net debt. If it is positive, it is referred to as net cash.
About Aubay
Aubay is a digital services company working alongside some of the biggest names in the Banking, Finance, Insurance, Manufacturing, Energy, Transport and Telecoms sectors. With 7,551 employees in seven countries (France, Belgium, Luxembourg, Italy, Spain, Portugal and the United Kingdom) at June 30, 2024, Aubay generated revenue of €534.1 million in 2023.
| Euronext, Compartment: B - ISIN FR0000063737-AUB - Reuters AUBT.PA - Bloomberg AUB:FP |
Contacts
Amaury Dugast – Actus Finance – Tel: +33 (0)1 53 67 36 74 – E-mail: adugast@actus.fr
David Fuks – Co-Chief Operating Officer – Finance Department – Tel.: +33 (0)1 46 10 67 67 – E-mail: dfuks@aubay.com
APPENDICES
| Statement of financial position as of June 30, 202 4 | ||
| ASSETS (in € thousands) | June 30, 2024 | Dec. 31, 2023 |
| Goodwill | 131,305 | 131,305 |
| Intangible assets | 1,160 | 884 |
| Property, plant & equipment | 4,161 | 4,283 |
| Right of use relating to leases | 18,461 | 19,829 |
| Equity-accounted investees | - | - |
| Other financial assets | 2,286 | 2,181 |
| Deferred tax assets | 3,573 | 3,929 |
| Other non-current assets | 1,327 | 1,530 |
| NON-CURRENT ASSETS | 162,273 | 163,941 |
| Inventories and work in progress | 681 | 736 |
| Assets on contracts | 36,022 | 34,932 |
| Trade receivables | 124,220 | 121,914 |
| Other receivables and accruals | 40,263 | 41,139 |
| Marketable securities | 32,631 | 42,330 |
| Cash at bank and in hand | 64,947 | 52,566 |
| CURRENT ASSETS | 298,764 | 293,617 |
| TOTAL ASSETS | 461,037 | 457,558 |
| EQUITY AND LIABILITIES (in € thousands) | June 30, 2024 | Dec. 31, 2023 |
| Capital | 6,532 | 6,532 |
| Additional paid-in capital and consolidated reserves | 241807 | 221,411 |
| Net income attributable to owners of the parent | 16,875 | 33,408 |
| Shareholders' equity attributable to the Group | 265,214 | 261,351 |
| Minority interests | 0 | |
| SHAREHOLDERS' EQUITY | 265,214 | 261,351 |
| Borrowings and financial liabilities: non-current portion | 810 | 1,078 |
| Rental liabilities due in more than 1 year | 14,432 | 15,439 |
| Deferred tax liabilities | 1 | 1 |
| Provisions for contingencies and expenses | 7,294 | 8,896 |
| Other non-current liabilities | 628 | 358 |
| NON-CURRENT LIABILITIES | 23,165 | 25,772 |
| Borrowings and financial liabilities: current portion | 820 | 824 |
| Rental liabilities due within 1 year | 4,836 | 5,084 |
| Trade and other payables | 36,528 | 36,917 |
| Contract liabilities | 16,685 | 20,595 |
| Other current liabilities | 113,789 | 107,015 |
| CURRENT LIABILITIES | 172,658 | 170,435 |
| TOTAL EQUITY AND LIABILITIES | 461,037 | 457,558 |
| Consolidated income statement for first-half 2024 |
| (in € thousands) | First-half 2024 | % | First-half 2023 | % |
| Revenue | 272,265 | 274,775 | 100% | |
| Other operating income | 99 | 235 | ||
| Purchases used in production and external charges | (68,167) | (67,171) | ||
| Staff costs | (175,877) | (177,525) | ||
| Taxes other than on income | (2,221) | (2,233) | ||
| Amortization, depreciation and provisions | (3,664) | (3,783) | ||
| Change in inventories of work in progress and finished goods | ||||
| Other operating income and expenses | (296) | 187 | ||
| Operating profit from ordinary activities | 22,139 | 8.1% | 24,485 | 8.9% |
| Expenses linked to restricted share units and similar awards | (551) | (690) | ||
| Current operating profit | 21,588 | 7.9% | 23,795 | 8.7% |
| Other operating income and expenses | (757) | (1,059) | ||
| Operating profit | 20,831 | 7.7% | 22,736 | 8.3% |
| Income from cash and cash equivalents | ||||
| Net borrowing costs | (397) | (327) | ||
| Other financial income and expenses | 2,135 | 667 | ||
| Financial income | 1,738 | 340 | ||
| Income tax expense | (5,694) | 25% | (6,090) | 26% |
| Income from equity-accounted investees | ||||
| Net income before results of discontinued operations or assets held for sale | 16,875 | 16,986 | ||
| Net income after tax of discontinued operations or assets held for sale | ||||
| Net income | 16,875 | 6.2% | 16,986 | 6.2% |
| Attributable to owners of the parent | 16,875 | 16,986 | ||
| Minority interests | 0 | 0 | ||
| Basic weighted average number of shares | 12,966,382 | 13,289,283 | ||
| Earnings per share | 1.30 | 1.28 | ||
| Diluted weighted average number of shares | 13,042,882 | 13,366,283 | ||
| Diluted earnings per share | 1.29 | 1.27 |
| Cash flow statement for first-half 2024 | ||
| (in € thousands) | First-half 2024 | First-half 2023 |
| Consolidated net income (including non-controlling interests) | 16,875 | 16,986 |
| Income from equity-accounted investees | ||
| Net depreciation, amortization and provisions and right of use relating to leases | 3,258 | 3,957 |
| Non-cash expenses and income relating to share-based payments | 551 | 690 |
| Other non-cash items | ||
| Dividend income | (31) | (58) |
| Gains and losses on disposals of fixed assets | 72 | 147 |
| Cash flow after net interest expense and tax | 20,725 | 21,722 |
| Net borrowing costs | 397 | 327 |
| Tax expense (including deferred taxes) | 5,694 | 6,090 |
| Cash flow before net interest expense and tax (A) | 26,816 | 28,139 |
| Income tax payments (B) | (4,337) | (8,479) |
| Change in WCR © | (1,507) | (6,604) |
| Net cash provided by (used in) operating activities (D) = (A+B+C) | 20,972 | 13,056 |
| Outflows for the acquisition of tangible and intangible fixed assets | (1,020) | (773) |
| Inflows from the disposal of tangible and intangible fixed assets | 2 | |
| Outflows for the acquisition of financial assets | (5) | |
| Inflows from the disposal of financial assets | ||
| Change in loans and advances granted | (102) | (36) |
| Disbursements (cash) related to business combinations, net of cash and cash equivalents | ||
| Dividends received | 31 | 58 |
| Net cash provided by (used in) investing activities (E) | (1,089) | (756) |
| Proceeds from capital increases | ||
| Amounts received upon the exercise of stock options | ||
| Purchases of treasury shares for cancellation | (4,811) | |
| Purchases of and proceeds from the sale of treasury shares | ||
| Dividends paid in the period: | ||
| - Net dividends paid to parent company shareholders | (9,130) | (9,304) |
| - Dividends paid to the non-controlling shareholders of consolidated companies | ||
| Inflows from new borrowings | ||
| Repayment of loan debt | (268) | (279) |
| Repayment of rental liabilities | (2,625) | (2,602) |
| Net interest payments | (397) | (327) |
| Purchase of non-controlling minority interests | ||
| Other financial cash flows | ||
| Net cash provided by (used in) financial activities (F) | (17,231) | (12,512) |
| Effects of changes in foreign exchange rates (G) | 34 | 27 |
| Change in net cash (D+E+F+G) | 2,686 | (185) |
| Cash and cash equivalents at beginning of period | 94,867 | 85,839 |
| Cash and cash equivalents at end of period | 97,553 | 85,654 |