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ATALIAN Global (ATALIAN) investor relations material

ATALIAN Global Q2 2024 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 2024 earnings summary29 Aug, 2024

Executive summary

  • H1 2024 saw a change in ultimate beneficial ownership to Sophie Pécriaux, with Franck Julien exiting all shareholding and management roles; no impact on governance or strategy.

  • Refinancing completed in March 2024, issuing €836m notes due June 2028, reducing gross debt and extending maturity by 4.5 years, with significant non-recurring costs.

  • Group performance was mixed: strong international growth, especially in CEE and Türkiye, but French cleaning business faced margin pressure from wage and payroll tax increases.

  • Legacy issues and a challenging French political environment led to a downward revision of 2024 EBITDA and CFFO targets.

  • Contract wins in France and abroad were offset by losses, some due to legacy reputational issues and a recent trial verdict.

Financial highlights

  • H1 2024 net sales reached €1,001m, up 0.9% year-over-year and 5.1% on a comparable basis.

  • Recurring EBITDA was €39.9m, down 7.9% year-over-year (or -2.6% on a comparable basis); margin fell to 4.0%.

  • Recurring EBIT at €13.3m, down from €16.0m in H1 2023, but improved in Q2.

  • Net loss from continued operations was €45.4m, compared to a net profit of €128m in H1 2023 (prior year included large capital gains from disposals).

  • Operational free cash flow (CFFO) excluding non-recurring items was -€27.1m, but Q2 was strongly positive at €26.2m.

  • Net debt at €891m at end of June 2024, up from €791m at end of December 2023; adjusted net debt (including deconsolidated factoring) at €1,083m.

Outlook and guidance

  • 2024 recurring EBITDA guidance revised from €100m to €80–90m.

  • 2024 CFFO guidance before refinancing fees revised from €20–30m to -€10m to €0m, reflecting conservative working capital assumptions.

  • 2025 guidance will be updated after the budget process, as 2024 headwinds likely to impact next year.

  • Action plans in place for cost discipline, productivity, commercial efficiency, and sector-based customer approach.

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Frequently asked questions

ATALIAN Global Services is a France-based provider of comprehensive facility management services, operating internationally across multiple continents including Europe, North America, South-East Asia, and Africa. Established in 1944, ATALIAN is a family-owned company recognized for its extensive range of services tailored to meet the needs of both public and private sectors. The company’s service portfolio includes cleaning, security, technical maintenance, front of house, landscaping, energy management, and catering services. The company is headquartered in Paris, France, and its shares are listed on the Paris Stock Exchange.

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