Compagnie d'Entreprises CFE (CFEB) H2 2024 earnings summary

Executive summary

• Achieved record operating cash flow of €85.3 million and net income of €24 million, up 5.2% year-over-year, despite challenging market conditions and a difficult real estate market.

• Revenue declined by 5.3% to €1,182.2 million, while EBIT was €32 million, down 3.1% year-over-year.

• Order book surged 29.8% to €1.65 billion, reflecting major commercial wins and project completions.

• Return on equity reached 10.1%, with a significant 55% reduction in net financial debt to €41.7 million.

• Board proposes a stable dividend of €0.40 per share, yielding 6.9%.

Financial highlights

• EBITDA rose 0.7% to €49.9 million, representing 4.2% of revenue.

• Net income: €24 million, up 5.2% year-over-year.

• Equity increased 4.6% to €247.8 million.

• All banking covenants met, with €250 million in confirmed credit facilities and an average interest rate on gross debt of 4.22%.

• Net financial debt: €41.7 million, down 55% year-over-year.

Outlook and guidance

• 2025 net income expected to be close to 2024 levels, with a moderate contraction in turnover anticipated.

• Real estate market remains disrupted short-term; BPI Real Estate expects positive net income in 2025, contingent on market recovery.

• VMA anticipates stable activity and improved margins; MOBIX to benefit from diversification.

• Construction & Renovation expects a sales decline, focusing on selective bidding and performance improvement.

• Overall, moderate contraction in turnover and net income close to 2024 expected for 2025.