BIC (BB) Q2 2024 earnings summary

Executive summary

• H1 2024 net sales were €1,139 million, down 0.5% at constant currency excluding Argentina, with North America underperforming but strong growth in Europe, Latin America, and Middle East & Africa.

• Adjusted EBIT margin remained resilient at 14.9%, flat year-over-year, supported by stable gross profit margin and cost adaptation initiatives.

• Free cash flow improved to €37 million, up significantly year-over-year, with net cash position at €262 million at end of June 2024.

• Strategic initiatives included SKU rationalization (12% reduction), e-commerce growth, and innovative marketing campaigns, supporting market share gains.

• Sustainability and digitalization advanced, with energy efficiency improvements and notable product launches in key regions.

Financial highlights

• H1 2024 net sales: €1,139 million, down 0.5% at constant currency excluding Argentina; Q2 2024 net sales: €618 million, down 3.2% year-over-year.

• Adjusted EBIT: €170 million (14.9% margin); adjusted EPS: €2.95, up from €2.93 in H1 2023.

• Free cash flow before acquisitions/disposals: €37 million, up from €2.5 million in H1 2023.

• Net income group share: €111.4 million; net cash position: €262 million at June 2024.

• Ordinary dividend of €2.85 per share paid; €29–30 million in share buybacks completed.

Outlook and guidance

• Full-year 2024 net sales expected to grow low single digit at constant currency, excluding Argentina.

• Slight improvement in adjusted EBIT margin anticipated; free cash flow forecasted above €220 million.

• Strategic and cost actions expected to offset negative consumer spending trends.