Latest news with #pre-IFRS16
Yahoo
3 days ago
- Business
- Yahoo
B&M European Value Retail SA (BMRPF) (FY 2025) Earnings Call Highlights: Navigating Growth ...
Release Date: June 04, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. B&M European Value Retail SA (BMRPF) reported a total revenue growth of 3.7% year-on-year, reaching 5.6 billion, driven primarily by new store openings. The company maintained a healthy leverage ratio of 1.26 times on a pre-IFRS 16 basis, allowing for a proposed final dividend of 9.7p, bringing the full-year dividend to 15p per share, a 2% increase from 2024. B&M's gross profit margin increased from 37.1% to 37.6% in 2025, with B&M UK contributing a 42 basis point increase. The company has returned 2.1 billion to shareholders over the last five years, with 1 billion returned in the last three years post-COVID. B&M's new stores are performing as expected, and the company continues to strengthen its supply chain infrastructure, supporting long-term growth. B&M faced disappointing like-for-like sales, with a 3.1% decrease in full-year figures, attributed to challenging market conditions and in-store execution issues. Operating costs increased by 7.2% year-on-year, with B&M UK seeing an 8% rise due to increased store estate and higher volumes from low average selling prices. The company experienced a decline in earnings per share from 35.9p to 33.5p, impacted by depreciation of a larger asset base and higher interest rates. B&M France and Heron Foods faced increased operating costs, with Heron's adjusted EBITDA decreasing from 35 million to 30 million due to lower revenues. The company anticipates significant cost pressures in 2026, with 75 million of additional costs for B&M UK, including national insurance, minimum wage increases, and packaging taxes. Warning! GuruFocus has detected 3 Warning Sign with BMRPF. Q: Can you reassure the market that there is no major profit reset likely to happen under the new chief executive? A: The new CEO will start in two weeks and will spend time getting to know the business. We have delivered a resilient financial performance in 2025, and our price position and value perception remain strong. We believe the financial model will continue to be strong for shareholders in the future. (Mike Schmidt, CFO) Q: Can you clarify your stance on current trading? A: We report our sales performance on a quarterly basis, and this approach is unchanged from last year. We will discuss current trading in July. There is nothing to be read into the lack of a current trading update at this time. (Mike Schmidt, CFO) Q: Could you provide more details on the variety of locations and formats for new stores? A: In 2025, we opened stores in various locations, including shopping centers, town centers, and retail parks. For 2026, we have acquired locations from Homebase, which are larger footprint out-of-town stores. We are pleased with the performance across different store types. (Mike Schmidt, CFO; James Kew, Retail Director) Q: Are you pointing to the analyst consensus number as a reasonable starting point for profit guidance? A: We acknowledge the analyst consensus and are not suggesting any changes. We will provide an outlook range after trading the garden season and entering the golden quarter. We aim to offset cost increases without passing them on to customers. (Mike Schmidt, CFO) Q: Can you elaborate on the margin mix benefit within the general merchandise category? A: We saw good performances from seasonal categories and toys, which are higher margin segments. This helped improve the overall margin mix. (Mike Schmidt, CFO; Gareth Bilton, Buying Director) Q: How are you addressing SKU rationalization and the introduction of more chilled storage in food categories? A: We are optimizing SKU rationalization across all ranges to balance choice and reduce complexity. The introduction of more chilled storage is driven by high sales and profit densities per bay, making it easier for customers to shop. (Gareth Bilton, Buying Director) Q: What is your approach to managing debt and potential share buybacks? A: We aim to maintain a resilient and flexible balance sheet, allowing for efficient capital use. We are comfortable with our current debt levels, which support cash returns to shareholders and potential share buybacks. (Mike Schmidt, CFO) Q: What are the building blocks for free cash generation in FY26? A: We are investing appropriately in supply chain improvements and maintaining CapEx within a consistent range relative to revenues. Working capital is expected to move in line with total sales growth. (Mike Schmidt, CFO) For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Khaleej Times
13-03-2025
- Business
- Khaleej Times
DP World reports record revenue of $20 billion for 2024
DP World on Thursday announced a record revenue of $20 billion for 2024, marking a 9.7 per cent increase from the previous year. The company's adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) also reached a record high of $5.5 billion, reflecting a 6.7 per cent growth and an adjusted Ebitda margin of 27.2 per cent. The 9.7 per cent revenue increase was driven primarily by improved performance in ports and terminals, alongside contributions from recent acquisitions and concessions, DP World said in a statement. Revenue per twenty-foot equivalent unit (TEU) rose by 13.9 per cent on a like-for-like basis, with significant growth reported in the Middle East and the Americas. DP World reported a profit of $1.5 billion for the year, a 2.0 per cent decline attributed to higher finance costs. Sultan Ahmed bin Sulayem, DP World Group chairman and CEO, said the record revenue and Ebitda for 2024 is a significant achievement in a complex geopolitical landscape. 'Our strategic focus on high-margin cargo and integrated supply chain solutions positions us for sustained growth and value creation,' he added. Sulayem emphasised the importance of enhancing efficiency and deepening partnerships to build a resilient business capable of seizing new opportunities as global trade evolves. He noted that the demand for integrated logistics solutions underscores the value DP World provides to its customers, helping them navigate complexities in supply chains. A DP World statement noted that the company's total capacity exceeded 100 million TEUs, supported by ongoing investments in key growth markets. In 2024, DP World allocated $2.2 billion in capital expenditure, an increase from $2.1 billion in 2023. The 2025 capital expenditure budget is projected at approximately $2.5 billion, focusing on facilities in the UAE, India, the UK, Senegal, and Saudi Arabia. DP World is enhancing its logistics portfolio to provide value-added services in fast-growing markets. The firm aims to leverage its infrastructure to deliver comprehensive supply chain solutions, capitalising on the rising demand for customised logistics services. Operating cash flow increased by 18.9 per cent to $5.5 billion. The company's net leverage ratio saw a decrease to 3.4x on a pre-IFRS16 basis, compared to 3.7x in FY2023, indicating improved financial health. DP World issued a $100 million blue bond, marking a significant step in its commitment to sustainability. The company also became the first logistics firm in the region to have its carbon reduction targets validated by the Science Based Targets initiative, surpassing its 10.5 per cent carbon emissions reduction goal and sourcing nearly 65 per cent of its electricity from renewable energy. Despite a strong performance in 2024, DP World faces uncertainties due to geopolitical risks and fluctuations in global trade. However, the company remains optimistic about its long-term growth prospects, supported by its integrated supply chain solutions and strategic investments.
Trade Arabia
13-03-2025
- Business
- Trade Arabia
DP World posts record revenue of $20bn
DP World, a global logisitics and shipping leader, reported a record revenue growth of 9.7% to $20 billion in 2024 and adjusted EBITDA of $5.5 billion, an increase of 6.7% with an adjusted EBITDA margin of 27.2%. The company said it posted a profit of $1.5 billion for 2024, a decrease of 2% mainly due to higher finance costs. Revenue growth of 9.7% was mainly due to improved performance from Ports and terminals and contributions from new acquisitions and concessions, the company said. Results highlights * Ports and terminals revenue per TEU increased 13.9% on a like-for-like basis with strong growth from the Middle East and Americas. * DP World capacity exceeds 100 million TEU - continued investment in key growth markets * Capital expenditure of $2.2 billion ($2.1 billion in 2023) was invested across the existing portfolio. Capital expenditure budget for 2025 is approximately $2.5 billion to be invested mainly in Jebel Ali (UAE), Drydocks World and Jebel Ali Freezone (UAE), Tuna Tekra (India), London Gateway (UK), Ndayane (Senegal) and Jeddah (Saudi Arabia). * DP World focused on driving revenue synergies and building long-term relationships with cargo owners * Enhanced logistics portfolio offers value-added capabilities in fast-growing markets and verticals. * DP World aims to deliver supply chain solutions to cargo owners by leveraging its best-in-class infrastructure. * Cash generated from operating activities increased by 18.9% to $5.5 billion in 2024 ($4.6 billion in 2023). * Leverage (Net debt to adjusted EBITDA) on a pre-IFRS16 basis decreased to 3.4x (FY2023: 3.7x). On a post-IFRS16 basis, net leverage stands at 4.1x (FY2023: 4.0x). * Issued a US$100 million blue bond, the first for a corporate from the Central and Eastern Europe, Middle East and Africa (CEEMEA) region, alongside the launch of our Ocean Strategy. * Against its 2022 base year, the company exceeded its 10.5% Scope 1 and Scope 2 carbon emissions reduction target, and close to 65% of electricity sourced globally today comes from renewable energy. DP World Group Chairman and CEO, Sultan Ahmed bin Sulayem, commented: "We are proud to report record revenue of $20 billion and record EBITDA of $5.5 billion for 2024, a remarkable achievement given the complex geopolitical landscape. These results demonstrate the benefits of our strategic focus on high-margin cargo, end-to-end integrated supply chain solutions and disciplined cost optimisation. "This strategy is positioning DP World for sustained long-term growth and value creation. By enhancing efficiency, expanding our capabilities and deepening partnerships, we are building a resilient business, well-equipped to capitalise on new opportunities as global trade evolves. "We continue to strengthen our logistics platform, attracting more cargo owners with end-to-end, tailored solutions that drive efficiency and improve the flow of trade. The increased demand for our integrated offerings highlights the value we bring to customers seeking optimized, high-performance supply chain solutions. "Our asset-appropriate strategy, combined with critical infrastructure in key markets, ensures that we scale efficiently while delivering specialized capabilities where they are needed most. Strategic investments in high-growth sectors and emerging trade corridors are expanding our expertise, enabling us to provide value-added solutions. By enhancing connectivity and streamlining supply chains, we are reinforcing DP World's role as a leading trade enabler—helping cargo owners navigate complexity, go to market quicker and build greater supply chain resilience," he said. "In 2024, we delivered a strong performance, further reinforcing our financial position by reducing net leverage and strengthening the balance sheet. While the year has started on a positive note, global trade remains in flux due to ongoing geopolitical challenges. We remain confident in the strength of our portfolio, which we expect to continue delivering robust performance. "As part of our long-term strategy, we continue to invest in our portfolio through targeted bolt-on acquisitions, expand into new locations and add high-value capabilities that align with our clients' evolving needs. We maintain a positive medium-term outlook, supported by strong industry fundamentals and DP World's ability to deliver sustainable, long-term returns," he added. - TradeArabia News Service
Zawya
13-03-2025
- Business
- Zawya
DP World reports record revenue of $20.0bln and EBITDA of $5.5bln
Dubai, United Arab Emirates: DP World Limited has announced financial results for the year ended 31 December 2024. On a reported basis, revenue grew by 9.7% to $20.0 billion and adjusted EBITDA³ rose by 6.7% to $5.5 billion with an adjusted EBITDA margin of 27.2%. Results Highlights Revenue increased by 9.7% to a record $20.0 billion Revenue growth of 9.7% was mainly due to improved performance from Ports and terminals and contributions from new acquisitions and concessions. Ports and terminals revenue per TEU increased 13.9% on a like-for-like basis with strong growth from the Middle East and Americas. Adjusted EBITDA increased by 6.7% to a record $5.5 billion Adjusted EBITDA grew by 6.7% and EBITDA margin for the year stood at 27.2% as well as like-for-like adjusted EBITDA margin. Profit for the year was $1.5 billion Profit for the year decreased by 2.0% mainly due to higher finance costs. DP World capacity exceeds 100 million TEU - continued investment in key growth markets DP World capacity exceeded 100 million TEU due to selective infrastructure investment in key growth markets. Capital expenditure of $2.2 billion ($2.1 billion in 2023) was invested across the existing portfolio. Capital expenditure budget for 2025 is approximately $2.5 billion to be invested mainly in Jebel Ali (UAE), Drydocks World and Jebel Ali Freezone (UAE), Tuna Tekra (India), London Gateway (UK), Ndayane (Senegal) and Jeddah (Saudi Arabia). DP World focused on driving revenue synergies and building long-term relationships with cargo owners Enhanced logistics portfolio offers value-added capabilities in fast-growing markets and verticals. DP World aims to deliver supply chain solutions to cargo owners by leveraging its best-in-class infrastructure. Group is well-positioned to capitalize on the growing demand for customised solutions in the logistics industry. Strong cash generation and lower net Leverage Cash generated from operating activities increased by 18.9% to $5.5 billion in 2024 ($4.6 billion in 2023). Leverage (Net debt to adjusted EBITDA) on a pre-IFRS16 basis decreased to 3.4x (FY2023: 3.7x). On a post-IFRS16 basis, net leverage stands at 4.1x (FY2023: 4.0x). Committed to long-term sustainability transition Issued a US$100 million blue bond, the first for a corporate from the Central and Eastern Europe, Middle East and Africa (CEEMEA) region, alongside the launch of our Ocean Strategy. DP World became the first logistics company in the region to have its targets validated by the Science Based Targets initiative, a significant step towards decarbonising supply chains for our customers. Against our 2022 base year, we exceeded our 10.5% Scope 1 and Scope 2 carbon emissions reduction target, and close to 65% of electricity sourced globally today comes from renewable energy. Strong 2024 performance, positioned for resilient growth despite uncertainty Strong financial performance in 2024, but the outlook remains uncertain due to geopolitical risks and changing global trade landscape. Despite global uncertainties, DP World is well-positioned for long-term growth, leveraging its integrated supply chain solutions and strategic investments to drive sustainable value creation. DP World Group Chairman and CEO, Sultan Ahmed bin Sulayem, commented: We are proud to report record revenue of $20.0 billion and record EBITDA of $5.5 billion for 2024, a remarkable achievement given the complex geopolitical landscape. These results demonstrate the benefits of our strategic focus on high-margin cargo, end-to-end integrated supply chain solutions and disciplined cost optimization. This strategy is positioning DP World for sustained long-term growth and value creation. By enhancing efficiency, expanding our capabilities and deepening partnerships, we are building a resilient business, well-equipped to capitalise on new opportunities as global trade evolves. We continue to strengthen our logistics platform, attracting more cargo owners with end-to-end, tailored solutions that drive efficiency and improve the flow of trade. The increased demand for our integrated offerings highlights the value we bring to customers seeking optimized, high-performance supply chain solutions. Our asset-appropriate strategy, combined with critical infrastructure in key markets, ensures that we scale efficiently while delivering specialized capabilities where they are needed most. Strategic investments in high-growth sectors and emerging trade corridors are expanding our expertise, enabling us to provide value-added solutions. By enhancing connectivity and streamlining supply chains, we are reinforcing DP World's role as a leading trade enabler—helping cargo owners navigate complexity, go to market quicker and build greater supply chain resilience. In 2024, we delivered a strong performance, further reinforcing our financial position by reducing net leverage and strengthening the balance sheet. While the year has started on a positive note, global trade remains in flux due to ongoing geopolitical challenges. We remain confident in the strength of our portfolio, which we expect to continue delivering robust performance. As part of our long-term strategy, we continue to invest in our portfolio through targeted bolt-on acquisitions, expand into new locations and add high-value capabilities that align with our clients' evolving needs. We maintain a positive medium-term outlook, supported by strong industry fundamentals and DP World's ability to deliver sustainable, long-term returns.
