BENETEAU (EPA:BEN) - 210929 BENETEAU 2021 Half-year earnings

Transparency directive : regulatory news

29/09/2021 17:40

Press release - September 29, 2021

Strong progress with half-year earnings, confirming the full-year outlook for
                                      2021
* Significant improvement in half-year earnings, benefiting from the adaptation
  measures decided on in 2020
* Full-year outlook confirmed for 2021 despite the disruption affecting supply
  chains
* Gradual integration of the acquisitions announced in July
* Rollout of innovative projects: connected boats, electric propulsion, power
  catamarans, new models for 2022

2021 first-half earnings (January 1 - June 30, 2021)

EURm                    H1 2021       H1 2020     CHANGE
                     Reported data  PRO FORMA   Reported data

GROUP REVENUES             658.7      637.4       + 3.4%
-   Boats                  533.2      510.7       + 4.4%
-   Housing                125.5      126.7        -0.9%
GROUP EBITDA                97.5       72.3      + 34.8%
%EBITDA  /   revenues       14.8%      11.3%
-   Boats                   82.4       53.7      + 53.3%
-   Housing                 15.1       18.6       -18.8%
GROUP INCOME                61.3       34.9      + 75.6%
FROM ORDINARY OPERATIONS
%income from ord.
operations / revenues        9.3%       5.5%
-   Boats                   49.4       19.1     + 158.6%
-   Housing                 11.9       15.8      -24 .7%
NET INCOME (GROUP SHARE)      47
FREE CASH FLOW              98.6

CHANGE     H1 2019-20
Constant     Sep/Feb
exchange
rates

  + 5.1%      519.4
  + 6.6%      422.2
   -0.9%       97.1
+ 42.4 %       27.1
    5.2%
+ 63.5%       15.2
  -18.8%       11.9
   + 92%       -8.7

+ 188.5%      -18.1
-24 .7%        9.3
              -12.1
               -156

Sustained level of business for the Boat and Housing business lines
During the first half of 2021, Groupe Beneteau's consolidated revenues climbed
to EUR658.7m, up +3.4% compared with the pro forma first half of 2020 (+5.1% at
constant exchange rates).

This growth reflects the robust development of the Boat division's markets,
with  revenues up  4.4% (+6.6% at constant exchange rates), despite the
contraction in fleet sales for charter professionals (- 52.1%).
Excluding fleets, the Boat division's revenues are up 14.2% (+16.9% at constant
exchange  rates), supported by all of the motorboat segments. This strong
progress in Europe (+9%) is even more marked in North America (+16% at constant
exchange rates) and in other regions around the world, where sales doubled
during the first half of the year (+101.5%). In this context, the Boat division
is able to confirm its full-year growth target of over 6%.

The Leisure Homes business, which was also affected by the cyberattack during
the  first  quarter, bounced back strongly in the second quarter. In terms of
exports, sales growth in Northern Europe is making it possible to offset the
weak trends currently seen on the Italian market. With the deferral of certain
deliveries that were scheduled for June to July, first-half sales show a slight
contraction of -0.9%. After catching up on these deferrals, the Housing
division is confirming its full-year growth target of over 15%, despite a fire
that occurred at one of  the Housing division's seven  sites on August 31,
2021. This strong growth is linked in particular to a favorable base effect
during the last four months of the year, as this division had recorded a sharp
slowdown in activity levels at the end of 2020.
At August 31, 2021, the global order book(1) represented EUR2,075m, up 40%
based on reported data compared with end-August 2020.

Strong improvement in EBITDA(2) and income from ordinary operations
First-half consolidated EBITDA came to EUR97.5m, representing nearly 15% of
revenues (up 3.4 points) thanks to the combined impact of growth and the
various adaptation measures decided on in 2020.

First-half income from ordinary operations climbed to EUR61.3m (9.3% of
revenues), up 75.4% versus the pro forma first half of 2020 (EUR34.9m,
representing 5.5% of revenues). It is consistent across both divisions (9.3% of
revenues for the Boat division and 9.5% for the Housing division).

First-half net income close to EUR50m
First-half net income (Group share) came to EUR47m, benefiting from the
reduction in financial expenses and the positive income from foreign exchange
hedging (+EUR0.7m), while taking into account a -EUR16.7m tax expense for the
period.

Cash position further strengthened with nearly EUR100m of free cash flow
During the first half of the year, free cash flow totaled EUR98.6m, following
EUR61.3m of income from ordinary operations, the rationalization of investments
- now lower than depreciation (EUR14.1m) - and a EUR29.6m improvement in
working capital requirements over the period.

At June 30, 2021, the Group had EUR197.4m of net cash, a EUR178m improvement
compared with June 30, 2020.

The EUR120m government-backed loan, taken out in July 2020, was paid back in
full at the end of July 2021.

(1) Invoiced since the start of the year and to be delivered in FY 2021 and
beyond
(2) See definition in the financial glossary

Full-year outlook confirmed for 2021

The Group is confirming its expectations for revenue growth of over 7% on a
reported basis for FY 2021 (over 6% for the Boat division and 15% for the
Housing division). These forecasts take into account the fire that affected one
of the Housing division's sites. They also include an element of caution linked
to the pressures affecting supply chains around the world.

In terms of income from ordinary operations, the Group is confirming that in
2021 it aims to at least double the 2020 pro forma figure of EUR27.5m.

Successful rollout of a range of innovative projects and integration of
acquisitions

With boat shows resuming this autumn, Groupe Beneteau unveiled a series of
innovative projects in Cannes on September 6. For instance, it announced the
rollout of its connected boat solution SEANAPPS, which will be fitted as
standard on several ranges from the BENETEAU, JEANNEAU and PRESTIGE brands,
with a target to cover all boats from across the Group's various brands from
2025.

Alongside this, the BENETEAU and EXCESS brands presented their first sailing
models fitted with exclusively electric engines, while the DELPHIA brand will
be officially launched in January 2022 with a range of electric motorboats for
lake and river cruising, aimed at both individual owners and river charter
firms.

Around 20 new models have been announced for the 2022 season and have received
a positive response from both dealers and customers.

In the sector for motorboats up to 40 feet (dayboating), the FOUR WINNS brand
unveiled the new Horizon deckboat model, while the first outboard twinhull
power catamaran model will be released in 2022. The WELLCRAFT brand presented
its new range of adventure cruisers developed for fast cruising.

In the sector for large motor yachts (Real Estate on the Water), the PRESTIGE
brand announced the launch of its third range, M-Line, offering large power
catamarans aligned with expectations for larger private living spaces on the
water.

Lastly, the processes to acquire the companies Dream Yacht Charter and Navigare
Yachting in partnership with the PPF Group are continuing to move forward and
the teams are starting to work together. The same is true for the US company
Your Boat Club.

Groupe Beneteau will report its revenues for the third quarter (first nine
months of the year) on November 9, 2021 after close of trading.

                                       *
                                   *       *

A detailed presentation of the half-year earnings is available on the Groupe
Beneteau website. The half-year activity report will be available by September
30, 2021.

                              FINANCIAL GLOSSARY

At constant exchange rates: change calculated based on figures for the period
from January 1, 2021 to June 30, 2021 converted at the exchange rate for the
first half of 2020 (January 1, 2020 - June 30, 2020).

Revenues: in connection with changes to its commercial processes launched
during the first half of 2020, Groupe Beneteau has changed the invoicing date
for boats produced in Europe, previously based on when boats were made
available at the yard, while invoices are now issued on the date when boats are
shipped to dealer clients, consistent with the recognition of revenues.

EBITDA: Earnings before interest, taxes, depreciation and amortization, and
IFRS 2 and IAS 19 adjustments following IFRS GAAP, i.e. income from ordinary
operations restated for allocation / reversal of provisions for liabilities and
charges, depreciation charges and IFRS GAAP (IFRS 2 and IAS 19).

Free cash flow: cash generated by the company during the reporting period
before dividend payments, changes in treasury stock and the impact of changes
in scope.

Net cash: cash and cash equivalents after deducting financial debt and
borrowings, excluding financial debt with floor plan-related financing
organizations.

                            ABOUT GROUPE BENETEAU

A global market leader, Groupe Beneteau, thanks to its Boat division's 11
brands, offers nearly 180 recreational boat models serving its customers'
diverse navigational needs and uses, from sailing to motorboating, monohulls
and catamarans.

Through its Boating Solutions division, Groupe Beneteau is also present in the
boat club, charter, marina, digital and financing sectors.

Leading the European leisure homes market, the three brands from the Group's
Housing division offer a comprehensive range of leisure homes, lodges and pods
that combine eco-design with high standards of quality, comfort and
practicality.

With its international industrial capabilities and global sales network, the
Group employs 7,500 people, primarily in France, the US, Poland, Italy and
China.

CONTACTS - GROUPE BENETEAU

INVESTORS AND PRESS CONTACT
Mirna Cieniewicz
m.cieniewicz@beneteau-group.com
Tel +33 (0)2 51 26 88 50

SHAREHOLDER CONTACT
Yannick Coicaud-Thomas
y.coicaud-thomas@beneteau-group.com
Address: 16 bd de la Mer - CS 43319
85803 Saint Gilles-Croix-de-Vie Cedex - France

www.beneteau-group.com

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