2020 profitability outlook above market expectations Adjusted EBITDA margin broadly in line with 2019 margin and leverage below 3.0x at year end - Seite 2
The Group will release its Q3 earnings as planned on October 28th, 2020 after market close.
This press release may contain forward-looking statements. Such forward-looking statements do not constitute forecasts regarding results or any other performance indicator, but rather trends or targets. These statements are by their nature subject to risks and uncertainties as described in the Company’s annual report registered in France with the French Autorité des Marchés financiers available on its website (www.tarkett.com). These statements do not reflect the future performance of the Company, which may differ significantly. The Company does not undertake to provide updates of these statements.
Investor Relations Contact
Tarkett – Emilie Megel – email@example.com – Tel. : +33 (0)1 41 20 46 39
Tarkett - Véronique Bouchard Bienaymé - firstname.lastname@example.org
Brunswick - email@example.com - Tel. : +33 (0) 1 53 96 83 83
Hugues Boëton – Tel. : +33 (0)6 79 99 27 15 – Benoit Grange – Tel. : +33 (0)6 14 45 09 26
With a history of 140 years, Tarkett is a worldwide leader in innovative flooring and sports surface solutions, with net sales of €3 billion in 2019. Offering a wide range of products including vinyl, linoleum, rubber, carpet, wood, laminate, artificial turf and athletics tracks, the Group serves customers in over 100 countries across the globe. Tarkett has 12,500 employees and 33 industrial sites, and sells 1.3 million square meters of flooring every day, for hospitals, schools, housing, hotels, offices, stores and sports fields. Committed to change the game with circular economy, the Group has implemented an eco-innovation strategy based on Cradle to Cradle principles, with the ultimate goal of contributing to people’s health and wellbeing, and preserving natural capital. Tarkett is listed on Euronext Paris (compartment B, ISIN: FR0004188670, ticker: TKTT) and is included in the following indices: SBF 120 and CAC Mid 60. www.tarkett.com.
Alternative performance measures definition (as per our 2019 Universal Registration Document)
- Adjusted EBITDA is the operating income before depreciation, amortization and the following adjustments: restructuring costs, gains or losses on disposals of significant assets, provisions and reversals of provisions for impairment, costs related to business combinations and legal reorganizations, expenses related to share-based payments and other one-off expenses considered non-recurring by their nature.
- Financial leverage is the ratio financial net debt including leases recorded under IFRS 16 to LTM (Last Twelve Months) Adjusted EBITDA. As per our credit documentation, the financial leverage retained for the covenant is calculated before IFRS16 application. The covenant attached to our bank loans is tested at the end of each semester. It has to be below 3.5x at end of June and below 3.0X at end December. Tarkett obtained from its banking partners a covenant holiday for 2020. The covenant is also attached to the Schuldschein private placements. It is only is tested once a year and has to be below 3.0x at end December.
- Net financial debt is defined as the sum of interest bearing loans and borrowings minus cash and cash equivalents. Interest bearing loans and borrowings refer to any obligation for the repayment of funds received or raised that are subject to repayment terms and interest charges. They also include leases recorded under IFRS 16 since the application of the new accounting norm.