The Vicat group reported its 2015 results on 14 March 2015.
Consolidated sales in the 2015 financial year came to €2458 million, representing an increase of 1.5% or a decrease of 4.4% at constant scope and exchange rates compared with 2014.
Consolidated EBITDA grew 1.5% compared with 2014 to €448 million, but declined 4.3% at constant scope and exchange rates. The Group’s EBITDA improved during the second half, with an increase of 4.7% on a reported basis and of 0.8% at constant scope and exchange rates compared with the second half of 2014.
The decline in EBITDA at constant scope and exchange rates over the full year was essentially derived from:
- a smaller contribution from France, mainly as a result of the significant fall in profitability in the Concrete & Aggregates business owing to a contraction in volumes and a reduction in selling prices;
- a strong fall in EBITDA in Egypt owing to the sharp increase in energy costs over the first nine months of 2015 and the downturn in prices from the second quarter onwards;
- a smaller contribution from Switzerland, impacted by the decline in volumes and the drop in prices, especially in the second half of the year;
- a contraction in EBITDA in Turkey owing to the lower profitability of the Cement business as a result of disruption caused by the restart of the Bastas plant’s kiln 1, the dip in prices in the markets served by the Konya plant, and lower profitability in Concrete & Aggregates given the lower sales recorded in this business;
- and, lastly, a small decline in the contribution from West Africa and Kazakhstan.
These negative factors were offset partly by:
- a strong improvement in the Group’s performance in India given the selective business strategy adopted, which drove a significant recovery in selling prices, thereby making up to a very large extent for the impact of lower volumes;
- a very substantial increase in EBITDA in the United States on the back of solid growth in volumes and selling prices.
Taking these factors into account, the EBITDA margin on consolidated sales was stable compared with 2014 at 18.2%. In the second half, the EBITDA margin improved by close to one percentage point to 20.2% from 19.4% in the second half of 2014.
Commenting on these figures, the Group’s Chairman and CEO said: “The year was marked by strong commercial momentum in the United States, confirming its recovery, and in India, where the growth potential remains very important. In France, the historical market of the Group, the market is gradually stabilising at a historically low level. Vicat intends to leverage the investments made in recent years and its strong market positions to maintain its strong cash generation and reduce its debt.”
Read the article online at: https://www.worldcement.com/europe-cis/16032016/vicat-group-report-2015-results-698/