Vivendi (VIV) CMD 2024 summary

Strategic Direction, Spin-off, and Listing Plans

• Announced relisting on Euronext Amsterdam to maximize shareholder value and protect against hostile takeovers, leveraging a Dutch foundation structure for stability and talent retention.

• Vivendi is proceeding with the spin-off of Canal+, Havas, and Louis Hachette Group, with shareholder approval to be sought on December 9, 2024, and listings planned for December 16, 2024.

• Canal+ shares are set for admission to the London Stock Exchange, Havas to Euronext Amsterdam, and Louis Hachette Group to Euronext Growth (Paris).

• Vivendi will remain listed on Euronext Paris and may pay extraordinary dividends to enhance attractiveness.

• The spin-off will result in Vivendi losing control of Canal+, Havas, Lagardère, and Prisma Media, with illustrative financials reflecting this change.

Financial Performance and Guidance

• Revenue grew from €2.2B in 2018 to €2.7B in 2023, averaging 4.5% annual growth, with balanced contributions from organic growth, M&A, and FX.

• EBIT margin improved from 10.8% in 2018 to 12.1% in 2023, with resilient cash flow averaging €309M per year and net cash position tripling to €431M by 2023.

• 2024 guidance: organic growth between -1% and 4%, adjusted EBIT above €330M, and year-end net cash around €150M after extraordinary dividends.

• Midterm guidance includes organic growth above 2% for 2025, EBIT margin rising to 12.5–13.5%, and a payout ratio of 40–50%.

• Havas plans a dividend policy aligned with growth and cash generation, targeting a 2025 dividend payout of about 40% of 2024 net income.

Business Model, Innovation, and Integration

• Committed to accelerating investment in data, tech, and AI, increasing annual spend from €60M to €100M, totaling €400M over four years, with a focus on the Converged operating system.

• M&A remains a core growth driver, targeting 5–10 bolt-on acquisitions per year, with a disciplined approach focused on geography, business complementarity, and cultural fit.

• Integration and cross-selling through the Village model and Converged platform are central to driving profitable growth and client retention.

• Production capabilities have been upgraded with AI and Adobe partnerships, enabling scalable, personalized content.

• Talent development, diversity, and well-being are emphasized, with robust learning platforms, leadership programs, and high employee engagement.