ID Logistics

Strong Revenue and Earnings Growth in 2018 - Seite 2

2018 underlying operating income came to €47.3 million, a strong improvement of +28.9% compared with 2017 The Group’s underlying operating margin widened by 60 basis points to 3.4% in 2018.

• In France, full-year underlying operating income totalled €33.5 million, or 4.9% of revenue, compared with €24.7 million or 3.9% in 2017. This increase was driven by productivity gains on the contracts that started up in 2016 and 2017 and by tight cost control on those that started up in 2018.
• International underlying operating income came to €13.8 million in 2018, which represented a margin of 1.9%, compared with €12.0 million or 1.7% in 2017. As in France, the improvement in margin reflected productivity gains on recent contracts and a tight grip on the contracts that started up in 2018. International underlying operating income included a negative currency effect of €1.5 million compared with 2017.

STRONG INCREASE OF 57% IN NET INCOME TO €28.7 MILLION

The change in 2018 net income reflects the following factors:

• No non-recurring restructuring expenses were incurred in 2018, whereas a charge of €5.6 million was taken in 2017 following the acquisition of Logiters in Spain.
• Net financial expense improved from €5.6 million to €5.2 million.
• Income tax expense grew in line with earnings.

Net income totalled €28.7 million in 2018, up +57% compared to 2017.

SUBSTANTIAL INVESTMENT CAPACITY

With the improvement in its earnings and tight management of the working capital requirement, ID Logistics more than doubled cash from operating activities to €61.7 million in 2018 from €28.4 million in 2017. This healthy performance covered the Group’s €52.4 million in capital expenditure (vs. €32.5 million in 2017), which chiefly related to the contracts that started up in 2018. This capital expenditure increased as a result of strong demand from customers for automated or mechanised solutions.

Overall, ID Logistics’ net debt remained stable compared with 2017 at less than one year’s EBITDA in 2018. Its healthy investment capacity will enable it to continue expanding.

OUTLOOK

In 2019, ID Logistics intends to continue pursuing profitable growth by delivering its customers solutions geared to each of their markets. It will also continue to devise novel solutions supporting the evolution of their business model. In so doing, it aims to establish itself as a key partner for their digital transformation whether they are distributors, e-merchants or manufacturers.