Latest news with #EliorGroup
Yahoo
22-05-2025
- Business
- Yahoo
Elior Group SA (ELROF) (H1 2025) Earnings Call Highlights: Strong Profitability and Debt ...
Organic Growth: 1.5% overall, with Contract Catering at 2.3%. EBITDA Increase: EUR32 million, improving margin from 3.2% to 4.1%. Net Result Group Share: Increased by EUR42 million to EUR43 million. Free Cash Flow: EUR205 million in the first semester. Net Debt Reduction: EUR146 million, with leverage ratio down to 3.3 times EBITDA. Revenue: EUR3.213 billion, a year-over-year increase of 2.9%. Contract Catering EBITDA Margin: Improved to 5.2%, up 120 basis points. Adjusted EBITDA Margin: Improved by 90 basis points to 4.1%. Synergies: EUR40 million annualized by end of March 2025. Refinancing: Completed in January 2025, reducing senior note by EUR50 million. CapEx: EUR61 million, representing 1.9% of revenues. Revenue Growth at Constant Currency: 2.4% in the first semester. Net Debt: EUR1.123 billion at the end of March 2025. Warning! GuruFocus has detected 5 Warning Signs with ELROF. Release Date: May 21, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Elior Group SA (ELROF) reported an organic growth of 1.5% in the first half of 2024/2025, with contract catering experiencing a 2.3% growth. The company achieved a significant improvement in profitability, with adjusted EBITDA increasing by EUR32 million, marking a 90 basis point improvement year-over-year. Elior Group SA (ELROF) successfully reduced its net debt by EUR146 million in the first half of the year. The company finalized its refinancing in January 2025, providing visibility over the next five years for continuous development. Elior Group SA (ELROF) is investing in commercial development and has registered a net positive business development of EUR112 million on a run rate basis. The company's organic growth in Multiservices was lower than expected, with a 0.6% decline due to reduced demand for temporary staff services in France. Elior Group SA (ELROF) faced challenges in Italy, where some contracts could not be renewed at the desired level of profitability. The net new business development was a drag on organic growth, with a negative impact of 130 basis points in the first half. The company anticipates a slightly lower contribution from price revisions and renegotiations in the second half of the fiscal year. Elior Group SA (ELROF) expects a negative impact on revenue growth for the full year due to ongoing challenges in the Multiservices segment. Q: Can you provide more details on the net new business development and the expected trends for the future? A: Daniel Derichebourg, Executive Chairman of the Board, CEO: The focus is on profitable growth with new contracts. We've decentralized commercial departments to better serve smaller clients, which were previously neglected. The net development balance of EUR112 million should be viewed on a 12-month basis, impacting next year's revenue. Didier Grandpre, CFO: We expect to continue benefiting from price increases and operational efficiencies in the second half, although at a lower level than in the first half. Q: What are the main margin drivers expected in the second half of the year? A: Didier Grandpre, CFO: We will continue to benefit from price increases and operational efficiencies. Although inflation will have a positive net balance, wage increases are expected. We aim to achieve further synergies, with a target of EUR56 million by the end of 2026, and we are confident in unlocking more opportunities in real estate optimization and commercial synergies. Q: How is the US market performing, especially with the current administration's policies? A: Daniel Derichebourg, CEO: We haven't encountered any significant issues with US customers. We have minimal state contracts and have signed new contracts in the healthcare segment in the US during the first half. Q: Can you elaborate on the reasons behind contract losses in the Contract Catering business and the current state of Multiservices organic growth? A: Didier Grandpre, CFO: Contract losses were mainly due to non-renewal of contracts in Italy, where we couldn't meet the expected profitability levels. In Multiservices, the demand for temporary staff services in France was lower, but we expect a progressive recovery in the second half, supported by a change in general management. Q: Could you explain the swing in provisions on the consolidated cash flow table? A: Didier Grandpre, CFO: The swing is due to the reversal of provisions related to social checks and bad debt reserves from last year. We are actively collecting overdue payments, and the situation with the Ministry of Defense contract in Italy has stabilized, with no additional provisions expected. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
21-05-2025
- Business
- Business Wire
Elior Group: Availability of the Half-Yearly Financial Report at March 31St, 2025
PARIS LA DÉFENSE--(BUSINESS WIRE)--Regulatory News: Elior Group (Paris:ELIOR), whose shares are listed on Euronext Paris, informs its shareholders and the financial community that its 2024-2025 half-yearly financial report has been filed with the French Financial Markets Authority (Autorité des marchés financiers). This document is available on Elior Group's website at: - - About Elior Group Founded in 1991, Elior Group is a world leader in contract catering and multiservices, and a benchmark player in the business & industry, local authority, education and health & welfare markets. With strong positions in eleven countries, the Group generated €6 billion in revenue in fiscal 2023-2024. Our 133,000 employees cater for 3.2 million people every day at 20,200 restaurants and points of sale on three continents, and provide a range of services designed to take care of buildings and their occupants while protecting the environment. The Group's business model is built on both innovation and social responsibility. Elior Group has been a member of the United Nations Global Compact since 2004, reaching advanced level in 2015.
RTHK
14-05-2025
- Business
- RTHK
SAR 'a good platform for Qatar to expand investment'
SAR 'a good platform for Qatar to expand investment' Executive councillor Jeffrey Lam says Qatar is looking to invest in different places around the world. Photo: RTHK Hong Kong and the mainland are well placed to benefit from its outreach efforts to Gulf countries, executive councillor and lawmaker Jeffrey Lam said on Wednesday, with oil-rich Qatar, for example, seeking to transform its economy. Lam, who recently joined Chief Executive John Lee on his trip to the Middle East, said Qatar is focusing more on the use of renewable energy while looking to invest in different places around the world. "Hong Kong is a very good platform for Qatar," he said. "It is also very interested in the mainland Chinese market. "In turn, Hong Kong, together with mainland firms, can bring our products and services to Qatar and other places in the Middle East." Separately, Lam said a leading French aeronautical services company's plan to establish its Asia headquarters in Hong Kong could strengthen the city's status as an international aviation hub. He also said the firm, Elior Group, is looking to set up a family office in the territory. The French company has signed a memorandum of understanding with the Airport Authority to explore the possibility of providing services such as aircraft dismantling, parts recycling and related training in the SAR.
South China Morning Post
03-04-2025
- Business
- South China Morning Post
France's Elior Group chief ‘confident' about Hong Kong aircraft processing deal
A leading French aeronautical services company with plans to use Hong Kong as its regional base to expand its reach across Asia, including mainland China, is confident of finalising a deal to develop its first aircraft parts processing and trading centre on the continent. Advertisement In an exclusive interview with the Post, Daniel Derichebourg, chairman and CEO of the France-based Elior Group, expressed confidence a deal with the city government could be reached and that with authorities' support, through provision of land and trained talent, Hong Kong would continue to grow as a centre of aviation excellence. He added he hoped to set up the company's operation for aircraft dismantling, parts processing and recycling in the city 'as soon as possible'. 'We are still in an early stage of our discussions … Yes, we are confident that we will make it work. Because if not, we will not be here,' Derichebourg, 72, said. 'We're keen and committed to setting up this operation in Hong Kong. Our mission is to develop our business in Asia, and Hong Kong will be a regional base.' Advertisement Posting on Facebook last week after meeting with Derichebourg, Chief Executive John Lee Ka-chiu threw his full support behind the group setting up in Hong Kong, pledging the government would provide one-stop services to help operations in the city.
South China Morning Post
29-03-2025
- Business
- South China Morning Post
Aircraft parts hub a role worth landing for Hong Kong
The growth of air travel and cargo has driven parallel demand for support industries. As an aviation hub, Hong Kong airport is evidence of that. One business in increasing demand arises from the retirement of hundreds of planes each year as airline operators update their fleets – the dismantling of aircraft and recycling of parts. It is a global market projected to grow from US$8.1 billion to US$14.7 billion in the decade from 2023 to 2033. Advertisement Hong Kong is well placed to play a regional role, adding to its credentials as an aviation centre of excellence. This may happen before long, thanks to a French aeronautic services company's plans to establish regional headquarters in Hong Kong and expand its regional presence, paving the way for the city to host the continent's first aircraft parts processing and trading centre. The Elior Group, a subsidiary of the Derichebourg Group, has signed a memorandum of understanding with the city's Airport Authority to help expand its operations in Asia. Financial Secretary Paul Chan Mo-po said the MOU explored the possibility of Hong Kong providing professional services, such as aircraft dismantling, parts recycling and training. A source said Elior was expected to work with the Hong Kong International Aviation Academy to train people, creating thousands of jobs and training places. About 400 to 450 aircraft are estimated to be dismantled and recycled globally each year. An emphasis on a circular economy and the growing reusable potential of aircraft components are also expected to drive growth in the global market over the coming years. A single aircraft is typically made of about 800 to 1,000 recyclable parts, including metal alloys such as aluminium and titanium, and composite materials such as carbon fibre. Advertisement Derichebourg Group chairman and CEO Daniel Derichebourg said the group, which counts Airbus, Boeing and Comac as clients, was still discussing details of the Hong Kong operation with the government, including the site and the training of local personnel.
