Chargeurs (CRI) Q2 2024 earnings summary

Executive summary

• H1 2024 marked by strong operational rebound and acceleration, with all business lines ramping up and significant outperformance at Museum Studio.

• Group revenue rose 11.1% like-for-like to €374.3m; recurring operating profit up nearly 34% to €17.0m.

• Robust cash generation: €39.6m operating cashflow (x44 vs H1 2023), with strong contributions from Novacel, Chargeurs PCC, Luxury Fibers, and Museum Studio.

• Shareholders' equity increased by €39.7m to nearly €300m; financial debt reduced by €32.4m.

• Strategic plan for 2025-2030 in preparation; dividend payments expected to resume in 2025.

Financial highlights

• Revenue: €374.3m (+11.1% like-for-like year-over-year).

• EBITDA: €29.6m (+20.8% year-over-year); recurring operating profit: €17.0m (+33.9%).

• Gross margin improved to 26.5% from 25.6% year-over-year.

• Net income impacted by exceptional expenses (takeover costs, restructuring), resulting in a net loss of €3.4m vs. €1.9m profit in H1 2023.

• Operating cashflow: €39.6m (x44 vs H1 2023); financial debt reduced by €32.4m.

Outlook and guidance

• Focus for H2 2024 on improving profitability and cash generation across all business lines.

• Continued sales momentum expected, especially in the USA and Asia, with emphasis on higher-margin products.

• Integration of Cilander to drive new market opportunities for Chargeurs PCC.

• 2024 net income expected to be profitable, assuming a stable environment.

• Dividend payments anticipated to resume in 2025.