Touax (TOUP) H1 2024 earnings summary

Executive summary

• Restated revenue for H1 2024 rose 1.7% year-over-year to €80.4m, with EBITDA up 3.9% to €30.0m; 97% of revenue generated outside France.

• Net income (Group share) declined to €3.8m from €5.1m in H1 2023, mainly due to higher financial expenses and lower non-recurring gains.

• The Group operates globally in freight railcars, river barges, and containers, managing €1.2 billion in assets and maintaining a resilient, recurring business model.

• Leasing revenues grew by €2.8m (+8%), with high utilisation rates across all divisions, supporting recurring income.

• Management activity surged (+52.5%), driven by increased syndication fees in Containers, Freight Railcars, and River Barges.

Financial highlights

• Restated revenue from activities: €80.4m (+1.7% year-over-year); EBITDA: €30.0m (+3.9%).

• Operating income: €14.6m (–16%); consolidated net income: €4.6m (–25%).

• Earnings per share: €0.55 (down from €0.72 year-over-year).

• Net debt increased to €297.1m, with a stable cash position of €38.6m as of June 30, 2024.

• Dividend of €0.12 per share paid in July 2024 (+20%), representing ~25% of 2023 net result.

Outlook and guidance

• Plans to grow the freight railcar fleet to over 16,000 wagons and river barge fleet to over 150 units within 3–5 years.

• Maintains cautious short-term policy amid global economic and geopolitical risks, but expects robust trade volumes and high asset utilisation rates.

• Focus on organic growth, asset rotation, and expanding managed assets, while maintaining a stable LTV around 60%.

• Targeting increased profitability through economies of scale and cost optimization.

• Continued emphasis on sustainable development and green transport initiatives.