Global Dominion Access (DOM) Q4 2024 earnings summary

Executive summary

• 2024 marked a transformation year with a focus on recurrence, simplification, and sustainability, including divestments in non-strategic activities and the launch of Global Dominion Environment (GDE) to drive sustainable growth.

• Recurrent activities, mainly services, now represent over 70% of sales and 60% of contribution margin, driving growth and profitability.

• Sustainable Services achieved 7% organic growth in turnover and up to 18% increase in contribution margin, while Projects segment faced a decline due to postponed execution.

• Major divestitures, including the sale of multi-technical services in Spain, streamlined operations and aligned with the sustainability strategy.

• GDE targets €500 million turnover and over €50 million EBITDA in 2025, consolidating sustainable industrial transition activities.

Financial highlights

• 2024 revenue reached €1,153 million, down 3% year-over-year due to divestments, but organic sales grew 2%.

• EBITDA rose 4% to €150.7 million, with a record 13.1% margin; EBIT increased 7% to €84.3 million.

• Comparable net income fell 12% to €40.1 million, mainly due to higher financial expenses and corporate tax.

• Net financial debt increased to €182.9 million (1.2x EBITDA), mainly from inorganic payments and strategic investments.

• Operating cash flow generated was over €76 million, supporting dividends, share programs, and investments.

Outlook and guidance

• 2025 will focus on consolidating organic growth, expanding GDE, and executing planned divestments, with project turnover expected to increase after delays in 2024.

• Strategic plan targets >5% CAGR in sales, >7% CAGR in EBITDA, and >9% CAGR in operating cash flow for 2024-2026.

• RONA expected to remain above 20%, with a goal of reaching zero net debt by the end of the plan.

• Dividend payout set at €15 million for 2025, exceeding one-third of attributable profit.