Quadient announces solid 3.2% reported revenue growth in Q1 2024,
in line with its expectations
Quadient announces solid 3.2% reported revenue
growth in Q1 2024, in line with its expectations
Key highlights
-
Q1 2024 consolidated sales of €261 million,
up +3.2% on a reported basis including the
contribution of latest acquisitions (Daylight and Frama) and
up +1.0%
organically(1)
-
Q1 2024 subscription-related revenue up +1.2% on
an organic basis, representing 72% of total
revenue
-
€155 million new debt raised in anticipation of
the refinancing of the Bond maturing in early 2025
-
Positive growth outlook confirmed for
full-year 2024
-
Capital Markets Day to outline the 2024-2026
strategic plan scheduled for 19 June
2024
Paris, 27 May 2024,
Quadient S.A. (Euronext Paris:
QDT), a leader in business solutions for meaningful customer
connections through digital and physical channels, today announces
its 2024 first-quarter consolidated sales (period ended on
30 April 2024).
Geoffrey Godet, Chief Executive Officer of
Quadient S.A., stated: “2024 is off to a positive start for
Quadient, in line with our expectations, with a solid 3.2% reported
revenue growth for the first quarter. Revenue growth was driven by
the positive performance from Intelligent Communication Automation,
with a strong acceleration of its annual recurring revenue
(ARR(2)), reaching a new high at €215 million and a 17%
organic(3) growth on an annualized basis compared to the end of
full-year 2023. Our Mail-Related Solutions continue to show
strong resilience and outperformed market trends with another
quarter of very limited decline, while Parcel Locker Solutions
revenue remains impacted by the evolution of our commercial
agreement towards volume-based revenue for Yamato. However, the
increase in volumes both for the drop off and the pick-up of
parcels is strong and confirms the steady deployment of our new
open networks in UK and France. Finally, our recent acquisitions,
Frama and Daylight, are also contributing to overall revenue growth
and their integrations are progressing well.
We remain confident in our ability to deliver
positive organic growth in revenue and in current EBIT before
acquisition-related expenses for the full-year and are looking
forward to sharing more details on our medium-term outlook during
our Capital Markets Day scheduled for the 19 June 2024.”
Q1 2024 performances
Group sales came in at
€261 million in Q1 2024, a 3.2% increase on a reported
basis, and 1.0% organic growth compared to Q1 2023 in line
with Quadient’s expectations. The reported growth includes an
almost flat currency impact and a positive scope effect of
€6 million, which is related to the
acquisition of Daylight in September 2023 and the
acquisition of Frama in February 2024.
Q1 2024 consolidated sales
In € million |
Q1 2024 |
Q1 2023(a) |
Change |
Organic change |
Intelligent Communication Automation |
64 |
58 |
+8.5% |
+6.0% |
Mail-Related Solutions |
178 |
174 |
+2.5% |
(0.2)% |
Parcel Locker Solutions |
20 |
21 |
(6.3)% |
(3.4)% |
Group total |
261 |
253 |
+3.2% |
+1.0% |
(a) The full-year 2023 financial statements published in
March 2024 reflected Quadient’s decision to review the future of
its Mail activity in Italy with a view to divest this subsidiary
within the next 12 months. As this was the case in the full-year
2023 statements, Q1 2023 revenue from the afore-mentioned
subsidiary is not represented in the consolidated revenue of the
Group as it is recorded as discontinued operations. This is still
the case in Q1 2024. |
Intelligent Communication
AutomationIn Q1 2024, sales from Intelligent
Communication Automation reached €64 million,
up 6.0% organically and
up 8.5% on a reported basis
(including the contribution from Daylight) compared to Q1 2023.
Importantly, growth for the Solution was still impacted by the
delay in the further implementation of two large contracts,
announced in Q3 2023.
At the end of Q1 2024, annual recurring
revenue (ARR(2)), which
is a forward-looking indicator of future subscription-related
revenue, reached €215 million, up from
€206 million at the end of full-year 2023, representing a
17% organic(3)
growth on an annualized basis compared to the end
of FY 2023. Booking trends were solid in the
quarter for both communication automation and financial
automation modules with cross-selling from Mail-Related
Solutions customers representing close to 30% of total
bookings over the period.
Throughout Q1 2024, Intelligent Communication
Automation experienced positive trends in terms of customer
acquisitions. For instance,over 700 new small and mid-size
customers were added to the base in the quarter. In addition,
Quadient signed several multi-year subscription deals with
large US health insurance companies representing a total amount of
€4.5 million, including one large three-year contract
averaging €1million subscription-related revenue per annum. This is
a further recognition of the quality of Quadient’s Customer
Communication Management offering for large and complex business
needs.
Quadient Hub customers onboarding to its cloud
platform is now nearing completion, at a level of
88% at the end of Q1 2024. This goes along with the
successful up-selling of financial automation modules with several
platform deals combining both accounts receivable and accounts
payable.
In Q1 2024, subscription-related revenue
recorded a strong 9.0% organic growth, now representing
82% of Intelligent Communication
Automation total sales, a further increase compared to 80%
in Q1 2023. The share of SaaS customers also
stands at 82% at the end of Q1 2024.
The change in business model from on-premise
licenses to SaaS and the lower requirements for installation and
support services continue to drive the decline in professional
services and license sales, which, together, are now
representing only 18% of total revenue.
Mail-Related Solutions
Mail-Related Solutions sales reached
€178 million in Q1 2024, down only
0.2% on an organic basis. The reported growth
stood at +2.5%, including the contribution of Frama.
The integration of Frama is progressing well, and
the focus is now set on upgrading its installed base and initiating
cross-selling efforts.
Hardware sales recorded a 4.1% organic
growth in Q1 2024, with positive contributions not just
from North America but also France and International. The focus on
investing into renewing the products offering continues to support
solid product placements, as seen in the further increase in the
share of the upgraded installed base, reaching 33.8% at the end of
Q1 2024 vs. 31.5% at the end of FY 2023.
Subscription-related revenue
(69% of Mail-Related Solution sales) recorded a limited
2.0% organic decline in Q1 2024, supported both by
robust rental product placements and the positive impact on
recurring revenue of recent good performance in hardware sales.
Cross-selling of Intelligent
Communication Automation solutions continues at a sustained
pace bringing close to 30% of Intelligent Communication
Automation bookings in value as mentioned previously.
Parcel Locker Solutions
Parcel Locker Solutions sales reached
€20 million in Q1 2024, a 3.4% decrease on an organic
basis and a 6.3% decrease on a reported basis compared to Q1
2023.
Subscription-related revenue was up 2.8%
organically in Q1 2024, benefiting from the
deployment of the UK open network, as well as the
contribution of the existing installed base, supported by the
higher number of carriers committed to use Quadient’s open
networks. However, the increased focus towards a usage-based model
is still impacting subscription-related revenue (change in
commercial agreements with Yamato in Japan in Q3 2023. The global
usage rate of the platform remained solid, standing at 58% in Q1
2024. Overall, subscription-related revenue stood at 68% of
total revenue in Q1 2024, up from 65% in Q1 2023.
License and hardware sales were down
20.2% organically in Q1 2024. Hardware sales were impacted
by lower installations in North America.
Quadient’s global locker installed base
reached c.20,800 units at the end of Q1 2024 vs.
c.20,200 units at the end of FY 2023. This is reflecting
an acceleration in the pace of installation of new lockers,
notably in the UK, fueled by the partnerships signed by
Quadient to host parcel lockers in new suitable locations.
Debt maturities management
To anticipate the refinancing of the residual
amount of its 5-year 2.25% bond(4) maturing in early 2025, Quadient
raised:
-
€140 million through a Schuldschein. The private placement was
in euros for €117.5 million and United States dollars for
26 million, with maturities spread between 3 and 7 years;
- €15 million,
through loans signed with Bpifrance. The maturities of the tranches
are 4 and 7 years.
FY 2024 guidance unchanged
Quadient confirms its FY 2024 financial guidance
of organic growth both at the revenue and current EBIT
before acquisition-related expenses
levels.
With Q1 2024 organic sales growth in line with
expectations, and solid booking trends over the quarter, Quadient
had a positive start to the year. In addition, H2 2024 will benefit
from an easier comparison basis for both Intelligent Communication
Automation and Parcel Locker Solutions as there will no longer be
any negative impact neither from the delay in implementation of the
two large SaaS contracts, nor from the change in commercial
agreement with Yamato, which took place at the beginning of H2
2023.
Additional financial guidance, three-year
strategic focus and trajectory for the Group will be discussed at
Quadient’s Capital Markets Day planned for 19 June
2024.
Q1 2024 business highlight
Quadient confirms its eligibility for
PEA-PME schemeOn 2 April 2024, Quadient announced its
eligibility for the PEA-PME scheme, as it complies with the
criteria for inclusion set by Article L.221-32-2 of the French
Monetary and Financial Code.
First ‘Quadient Connects’ Virtual
Conference Will Help Organizations Be More Innovative and
Accelerate their Digital TransformationOn 15 April 2024,
Quadient announced that it will be hosting the first-of-its-kind
Quadient Connects virtual conference on May 15, 2024, bringing
together business leaders and other decision makers from
organizations of all sizes including those from its community of
over 400,000 customers.
Drupa 2024: Quadient to Showcase Newest,
Most Advanced Cloud Software, Mailing and Shipping
SolutionsOn 25 April 2024, Quadient announced it will
showcase its newest, most advanced mailing and shipping systems,
combined with powerful software and the latest technology in direct
printing at Drupa 2024, one of the world’s largest trade fairs for
the mailing and shipping industry. The event runs from May 28 to
June 7 in Düsseldorf, Germany, and will bring together print
service providers, IT experts and other print and digital
communication professionals from around the world.
Availability of the 2023 Universal
Registration DocumentOn 30 April 2024, Quadient announced
that it has filed its 2023 Universal Registration Document, in
xHTML format, with the French Financial Markets Authority (Autorité
des marchés financiers or “AMF”), on 29 April 2024, under the
reference number D.24-0365.
Post-closing events
Quadient Secures Significant Contracts
with Healthcare Leaders in the USAOn 8 May 2024, Quadient
announced the signing of significant contracts in the first quarter
of the 2024 fiscal year for its Intelligent Communication
Automation software solutions in the U.S. healthcare sector. These
agreements, collectively valued at nearly 4.5 million euros through
multi-year subscription contracts, attest to Quadient's continued
success in the customer communications management (CCM) market.
Quadient Positioned as Leader in 2024
SPARK Matrix for Accounts Receivable Applications for Third
Consecutive YearOn 20 May 2024, Quadient announced that
for the third year in a row it has been named a Technology Leader
in the 2024 SPARK Matrix™: Accounts Receivable Applications by
independent analyst firm Quadrant Knowledge Solutions. SPARK Matrix
reports provide detailed analysis of global market dynamics, major
trends, vendor landscapes and competitive positioning.
KeyNest Selects Quadient’s Open Locker
Network to Expand Convenient Key Exchange Services to Consumers in
the UKOn 23 May 2024, KeyNest announced that it has signed
an exclusive agreement with Quadient for a national partnership in
the UK. Under the new agreement, Quadient's open locker network,
already used by millions of consumers across the country, now
offers a new convenient service, expanding beyond parcel
delivery.
Availability and consultation of the
information relating to the Ordinary Annual and Extraordinary
General Meeting to be held on 14 June 2024On 24 May 2024,
Quadient informed its shareholders that an ordinary annual and
extraordinary general meeting of the Company will be held
physically and live broadcast on Friday 14 June 2024 at 2 pm (Paris
time), at the Courtyard par Marriott Paris Arcueil, 6 avenue du
Président Allende, 94110 Arcueil.
To know more about Quadient’s news flow,
previous press releases are available on our website at the
following address: https://invest.quadient.com/en/newsroom.
CONFERENCE CALL & WEBCAST
Quadient will host a
conference call and webcast today at 6:00 pm Paris time (5:00 pm
London time).
To join the webcast,
click on the following link: Webcast.
To join the conference
call, please use one of the following phone numbers:
▪ France: +33 (0) 1 70
37 71 66.
▪ United States: +1
786 697 3501.
▪ United Kingdom
(standard international): +44 (0) 33 0551 0200.
Password: Quadient
A replay of the
webcast will also be available on Quadient’s Investor Relations
website for 12 months.
Calendar
- 14 June 2024:
Shareholders General Meeting
- 19 June 2024:
Capital Markets Day
About Quadient®
Quadient is the driving force behind the world’s
most meaningful customer experiences. By focusing on three key
solution areas, Intelligent Communication Automation, Parcel Locker
Solutions and Mail-Related Solutions, Quadient helps simplify the
connection between people and what matters. Quadient supports
hundreds of thousands of customers worldwide in their quest to
create relevant, personalized connections and achieve customer
experience excellence. Quadient is listed in compartment B of
Euronext Paris (QDT) and is part of the CAC® Mid & Small and
EnterNext® Tech 40 indices. Quadient shares are eligible for
PEA-PME investing.
For more information about Quadient, visit
https://invest.quadient.com/en/.
Contacts
Catherine Hubert-Dorel, Quadient+33 (0)1 45 36 30
56c.hubert-dorel@quadient.comfinancial-communication@quadient.com |
OPRG FinancialIsabelle Laurent / Fabrice Baron+33
(0)1 53 32 61 51 /+33 (0)1 53 32 61
27isabelle.laurent@oprgfinancial.frfabrice.baron@oprgfinancial.fr |
Caroline Baude, Quadient+33 (0)1 45 36 31
82c.baude@quadient.com |
|
APPENDIX
Q1 2024 consolidated sales by
geography
In € million |
Q1 2024 |
Q1 2023 |
Change |
Organic change |
North America |
150 |
145 |
+3.3% |
+2.4% |
Main European countries(a) |
89 |
84 |
+5.6% |
(1.4)% |
International(b) |
23 |
24 |
(5.8)% |
+0.9% |
Group total |
261 |
253 |
+3.2% |
+1.0% |
(a) Including Austria, Benelux, France, Germany,
Ireland, Italy (excluding MRS), Switzerland, and the United Kingdom
(b) International includes the activities of Intelligent
Communication Automation, Mail-Related Solutions and Parcel Locker
Solutions outside of North America and the Main European
countries |
Figures exclude Mail-Related Solutions
Italian subsidiary which has been reclassified as discontinued
operations in 2023.(1) Q1 2024 sales are compared to Q1
2023 sales, to which is added pro rata temporis the revenue of
Daylight and Frama for a consolidated amount of €6 million. The
currency impact is almost flat over the period.(2) Forward-looking
indicator of future subscription-related revenue. (3) Q1 2024 ARR
was impacted by a €0.3 million negative currency effect vs. 31
January 2024.(4) Residual amount as of 31 January 2024: €267.6
million
Grafico Azioni QUADIENT (EU:QDT)
Storico
Da Dic 2024 a Gen 2025
Grafico Azioni QUADIENT (EU:QDT)
Storico
Da Gen 2024 a Gen 2025