The transition to a geographical rebalancing of income continues
- Operational transition nonetheless underway in France
- Dynamic development of actions outdoors France
Confirmation of long-term outlook pushed by glorious momentum outdoors France
- Priority given to natural development and sustaining a monetary construction with low debt
- Growth to choose up in 2023 and profitability to enhance in tandem
| In thousands and thousands of euros | 9 months | Q3 | ||||
| 2022 | 2021 | % change | 2022 | 2021 | % change | |
| Total | 656.8 | 653.5 | +0.5% | 212.4 | 212.1 | +0.1% |
| From France | 318.6 | 391.8 | -18.7% | 96.7 | 121.5 | -20.4% |
| From Benelux | 152.1 | 114.2 | +33.2% | 53.6 | 39.3 | +36.5% |
| From different international locations | 186.1 | 147.5 | +26.2% | 62.1 | 51.3 | +21.0% |
55% of group income generated outdoors of France
Consolidated income
In the third quarter of 2022, Solutions 30 posted consolidated income of €212.4 million, up 0.1% in comparison with the identical interval in 2021 (-2.4% on an natural foundation).
In line with earlier quarters, efficiency in France continues to be impacted by the operational transition linked to the maturity of sure markets. Elsewhere in Europe, actions are rising rapidly because the roll-out of fiber-optic networks will get underway in a lot of the international locations the place Solutions 30 operates.
For the primary 9 months of 2022, Solutions 30’s consolidated income amounted to €656.8 million, up +0.5% (-1.8% on an natural foundation).
Revenue by area
France: In the third quarter of 2022, Solutions 30 had income of €96.7 million, down 20.4% in comparison with the third quarter of 2021.
With €68.9 million in income, the telecom business is down 20.0% in comparison with the third quarter of 2021. This decline in business displays the maturity of the market after the document ranges of exercise noticed in the course of the COVID disaster, which accelerated the deployment of ultra-fast broadband in France. The business as an entire—prospects in addition to service suppliers and subcontractors—has been compelled to adapt and modify to new methods of cooperating and to a short lived lack of visibility introduced on by macroeconomic uncertainties. As a consequence, the operational situations underneath which contracts are executed have considerably deteriorated in current months and been aggravated by the present inflationary state of affairs.
This has implications for your entire business and pricing renegotiations are underway. In this context, Solutions 30 is constant its operational transition by constructing on its sturdy aggressive benefits: a diversified buyer and business portfolio, a wholesome monetary construction with little debt, and an agile group.
Revenue from the vitality business amounted to €11.5 million, in contrast with €19.7 million a 12 months earlier. This decline of 41.4% is because of the finish of good electrical energy meter deployments in France (exercise down 79.6%). Even although income from the brand new vitality transition and electrical mobility verticals remains to be affected by provide chain disruptions, it elevated by 31%. However, this development doesn’t but compensate for the decline within the firm’s historic verticals.
The IT business posted income of €11.2 million, steady in comparison with final 12 months’s third quarter, whereas the safety and funds business is up 12.9%, producing €5.1 million in income, in comparison with €4.5 million a 12 months earlier.
Over the primary 9 months of the 12 months, income is down 18.7% to €318.6 million.
Benelux: Revenue for the third quarter of 2022 was €53.6 million in comparison with €39.3 million a 12 months earlier, representing pure natural development of 36.5% and reflecting the wonderful dynamics of the Belgian and Dutch markets.
The development of the telecom business is accelerating because of the speedy ramp-up of the contracts signed with Fiberklaar, Open Dutch Fiber, and Unifiber. Revenue from fiber actions alone elevated 4.5 instances over the quarter, rising the telecom business by 40.1% and leading to quarterly income of €40.3 million in comparison with €28.8 million a 12 months earlier.
For the vitality business, income was €9.5 million in comparison with €6.6 million a 12 months earlier, a purely natural improve of 43.0%, due to the deployment of good meters in Flanders on behalf of Fluvius.
Quarterly income from the IT business remained steady at €2.1 million whereas income from the retail and safety companies was €1.7 million, in comparison with €1.8 million for the third quarter of 2021.
Over the primary 9 months of 2022, income grew by 33.2% to €152.1 million, in comparison with €114.2 million a 12 months earlier.
In all different international locations, the group posted quaterly income of €62.1 million, a rise of 21.0% (10.4% natural development) in comparison with the identical interval in 2021.
In Germany, income started to develop once more and is up 7% to €16.2 million, in comparison with €15.1 million a 12 months earlier. As anticipated, the efforts made by the group to adapt its group, in addition to up to date pricing situations for sure main contracts, are beginning to bear fruit.
In Italy, income grew by 19% within the third quarter of 2022 to €14.8 million, pushed by the pursuit of TIM’s ultra-fast infrastructure deployments in Piedmont and the Aosta Valley, which started within the first quarter of 2021.
On the Iberian peninsula, income grew by 8% to €14.4 million, due to optimistic dynamics within the telecommunications sector (fiber and fifth technology cell networks), a robust uptick in installations of charging stations for electrical automobiles, and pricing will increase obtained from a number of prospects.
In Poland, the group posted income of €7.9 million, up 35% (23% natural development). Solutions 30 continues to achieve market share on this nation, whereas the mixing of Sirtel into the portfolio of actions for 5G networks is progressing properly. The group put in place will guarantee the corporate’s capacity to help its prospects’ development. The cell networks business is rising quickly and now accounts for practically 10% of income.
Finally, within the United Kingdom, Solutions 30 posted €8.8 million in income in the course of the quarter, up 92% (-11% on an natural foundation). Solutions 30 has streamlined its operations to deal with higher-potential markets and the diversification of its providers into fiber-optic networks, whereas the mixing of Mono’s operations continues.
In all these international locations, the group posted income of €186.1 million for the primary 9 months of 2022, a rise of 26.2% (15.8% on an natural foundation) in comparison with the primary 9 months of 2021.
Outlook
In response to present inflationary stress, Solutions 30 is growing its costs, each on new and present contracts. The group has additionally taken measures to strictly management working prices with the purpose of preserving a strong monetary construction with little debt. Such a construction will defend its capacity to finance development by means of acquisitions, improve its agility, strengthen its aggressive benefits, and protect its future capability to pursue consolidation in its sector.
In France, the market is in transition, which has led to restricted short-term visibility. Against this backdrop, Solutions 30 will pursue its motion plan to revive development and a extra regular stage of profitability. This plan entails (i) profitable marketshare within the mature telecoms sector the place a second part of consolidation is predicted to happen; (ii) creating new, high-growth actions, particularly within the vitality sector the place demand stays sturdy, pushed by the key challenges of vitality independence, the transition to new energies, and the electrification of automobiles; and (iii) searching for out synergies between the varied companies, accompanied by a reallocation of technicians to companies with better potential.
In the Benelux and different international locations, development will stay sturdy by means of the top of the 12 months, with the identical momentum it noticed within the third quarter.
For the group as an entire, the fourth-quarter development ought to be in keeping with the primary 9 months of the 12 months and 2022 income ought to stay on the identical ranges as in 2021. The improve within the EBITDA margin on the finish of the 12 months is topic to ongoing value negotiations.
From 2023, Solutions 30 ought to return to extra dynamic development, pushed by the event momentum of its actions outdoors France. It also needs to see an total enchancment in its profitability. The group has strong development drivers and an efficient mannequin to self-finance its improvement, each of which is able to assist it consolidate its place on the crossroads of the digital transformation and the vitality transition.
Upcoming occasion
2022 This autumn Revenue and 2022 Annual Revenue Reports | January 26, 2022
About Solutions 30 SE
The Solutions 30 group is the European chief in options for brand new applied sciences. Its mission is to make the technological developments which are remodeling our every day lives accessible to everybody, people and companies alike. Yesterday, it was computer systems and the Internet. Today, it’s digital know-how. Tomorrow, will probably be applied sciences that make the world much more interconnected in actual time. With greater than 50 million call-outs carried out because it was based and a community of greater than 15,000 native technicians, Solutions 30 at the moment covers all of France, Italy, Germany, the Netherlands, Belgium, Luxembourg, the Iberian Peninsula, the United Kingdom, and Poland. The share capital of Solutions 30 SE consists of 107,127,984 shares, equal to the variety of theoretical votes that may be exercised.
Solutions 30 SE is listed on the Euronext Paris change (ISIN FR0013379484- code S30). Indexes: MSCI Europe ex-UK Small Cap | SBF 120 | CAC Mid 60 | NEXT 150 | CAC Technology | CAC PME.
Visit our web site for extra data: www.solutions30.com
Contact
Individual Shareholders:
Investor Relations – Tel: +33 1 86 86 00 63 – [email protected]
Analysts/Investors:
Nathalie Boumendil – Tel: +33 6 85 82 41 95 – [email protected]
Press – Image 7:
Charlotte Le Barbier – Tel: +33 6 78 37 27 60 – [email protected]
Leslie Jung – Tel: +33 6 78 70 05 55 – [email protected]
