Vallourec reports
full year 2017 results
Improved FY 2017 performance |
-
EBITDA at breakeven
-
Net debt of €1,542 million as at 31 December
2017
-
Liquidity strengthened: €800 million
refinancing through bond and convertible bond issuance
|
Boulogne-Billancourt (France), 21 February 2018 -
Vallourec, world leader in premium tubular solutions, today
announces its results for full year 2017. The consolidated
financial statements were presented by Vallourec's Management Board
to its Supervisory Board on 20 February 2018.
Key
figures
2017 |
2016 |
Change |
In millions
of euros |
Q4 |
Q4 |
Change |
YoY |
|
2017 |
2016 |
YoY |
2,256 |
1,281 |
76.1% |
Sales Volume (k
tons) |
655 |
376 |
74.2% |
3,750 |
2,965 |
26.5% |
Revenue |
1,070 |
838 |
27.7% |
2 |
(219) |
+€221 m |
EBITDA |
11 |
(63) |
+€74 m |
0.1% |
-7.4% |
+7.5 pts |
As % of revenues |
1.0% |
-7.5% |
+8.5 pts |
(537) |
(758) |
+€221 m |
Net income (loss), Group
share |
(164) |
(183) |
+€19 m |
(423) |
(395) |
-€28 m |
Free cash-flow |
(26) |
(3) |
-€23 m |
31 Dec. |
31 Dec. |
Change |
In millions
of euros |
31 Dec. |
31 Dec. |
Change |
2017 |
2016 |
YoY |
|
2017 |
2016 |
YoY |
1,542 |
1,287 |
€255 m |
Net debt |
1,542 |
1,287 |
€255 m |
Commenting on
these results, Philippe Crouzet, Chairman of the Management Board,
said:
"In 2017, we
benefited from the first tangible signs of a recovery in the Oil
& Gas industry following three years of an unprecedented
downturn. In North America, drilling activity recovered at a
stronger pace than initially forecasted, allowing us to boost
deliveries and prices. Tender activity in international Oil &
Gas markets began to resume at a gradual pace. An improved
macroeconomic context in Europe and Brazil supported our Industry
& Other activities.
Thanks to the teams' commitment and hard work, we
continued to implement a meaningful transformation of the Group's
industrial footprint. We expanded new competitive production
routes, developed a new organization that bring us closer to our
customers and generated significant cost savings. Furthermore, we
maintained a continuous focus on cash, namely by efficiently
managing the working capital requirement and by monetizing non-core
assets.
As a result of these efforts, we delivered a
financial performance that exceeded initial expectations and
registered an EBITDA at breakeven, a significant achievement over
the previous year.
We also strengthened and diversified our liquidity
position by raising €800 million on the bond and convertible bond
markets.
Looking towards 2018, we expect to benefit from a
favorable activity level in the U.S. and a stable Oil & Gas
activity in Brazil. Meanwhile, the timing and magnitude of the
international Oil & Gas market rebound is still uncertain, but
tender activity is increasing, which should result in higher
bookings. Finally, the macroeconomic environment has recently seen
an unfavorable evolution in currencies. We remain focused on the
implementation of our Transformation Plan which will continue to
generate significant savings, and contribute to the continuous
improvement of our results."
I - CONSOLIDATED REVENUE BY
MARKET
2017 |
2016 |
Change
YoY |
At constant scope
and exchange rate |
In millions of euros |
Q4
2017 |
Q4
2016 |
Change
YoY |
At constant scope
and exchange rate |
|
2,567 |
1,920 |
33.7% |
18.9% |
Oil & Gas, Petrochemicals |
708 |
550 |
28.7% |
28.2% |
408 |
486 |
-16.0% |
-16.3% |
Power Generation |
125 |
151 |
-17.2% |
-17.3% |
775 |
559 |
38.6% |
30.4% |
Industry & Other |
237 |
137 |
73.0% |
63.0% |
3,750 |
2,965 |
26.5% |
15.2% |
Total |
1,070 |
838 |
27.7% |
25.7% |
In 2017, Vallourec recorded revenue of
€3,750 million, up 26.5% compared with 2016.
At constant scope and exchange rates, revenue was up 15.2%, mainly
driven by a positive volume impact of +35.0%, partly offset by a
negative price/mix effect of -19.8% notably in EAMEA as 2017
deliveries were impacted by the low prices of orders registered in
2016.
In the fourth
quarter of 2017, Vallourec recorded revenue of €1,070 million, up 27.7% compared with the fourth quarter
of 2016. At constant scope and exchange
rates, revenue was up 25.7%, with a positive volume impact of 45.4%
particularly in the Oil & Gas market in the US and
EAMEA[1]. Price/mix
effect was -19.7%, higher prices in the US being more than offset
by deliveries at still low prices for Oil & Gas in EAMEA. Lower
Powergen revenue was largely offset by increased Industry &
Other revenue.
Sequentially, revenue increased compared to the third quarter,
mainly driven by the US Oil & Gas and by the positive momentum
in Industry and Other.
Oil & Gas, Petrochemicals (68.5% of full year consolidated
revenue)
In 2017,
Oil & Gas revenue was €2,299 million, up
28.4% year-on-year (up 14.7% at constant scope and exchange
rates):
Q4
2017 revenue was up year-on-year supported by higher volumes
and by the full impact of price increases.
The
strong positive volume impact was due to the acquisition of Tianda
and the full consolidation of VSB effective end of 2016, and to
higher deliveries notably in the Middle East.
Although
price increases have gradually been negotiated with customers with
whom price concessions were the most severe during the trough, 2017
deliveries were impacted by the low prices of orders registered in
2016.
As
forecasted, revenue in Q4 2017 was weaker than in Q3 2017.
In Q4 2017,
Oil & Gas revenue was €614 million, up
18.8% year-on-year (up 19.0% at constant scope and exchange
rates).
In 2017,
Petrochemicals revenue was €268 million, up
107.8% year-on-year (up 76.0% at constant scope and exchange rates)
resulting from the integration of Tianda, the pick-up of activity
in North America along with a low comparison basis in 2016.
In Q4 2017,
Petrochemicals revenue was €94 million, up
184.8% year-on-year (up 169.7% at constant scope and exchange
rates).
Power Generation (10.9% of full year consolidated revenue)
In 2017,
Power Generation revenue amounted to €408
million, down 16.0% year-on-year (down 16.3% at constant scope and
exchange rates).
The revenue declined essentially
as a result of a challenging market environment for both
conventional and nuclear applications.
In Q4 2017, Power
Generation revenue was €125 million, down 17.2% year-on-year
(down 17.3% at constant scope and exchange rates).
Industry & Other
(20.6% of full year consolidated revenue)
In 2017,
Industry & Other revenue amounted to €775
million, up 38.6% year-on-year (up 30.4% at constant scope and
exchange rates):
-
In Europe, 2017 revenue was
up essentially thanks to higher volumes in Mechanical
Engineering;
-
In Brazil, 2017 Industry
& Other revenue increased mainly due to higher prices and
volumes in Automotive and Mechanical Engineering. Revenue generated
from the mine was up thanks to the increase in iron ore
prices.
In Q4 2017,
Industry & Other revenue amounted to €237
million, up 73.0% year-on-year (up 63.0% at constant scope and
exchange rates).
II - Q4 AND FY
2017 CONSOLIDATED RESULTS ANALYSIS
2017 consolidated
results analysis
In 2017, EBITDA stood at
+€2 million, representing an improvement of
€221 million year-on-year, with:
-
Consolidated revenue up 26.5%;
-
An industrial margin of €453 million, up €215
million reflecting (i) the increase in revenue, (ii) the positive
impact from the Transformation Plan initiatives along with (iii) a
net reversal in provisions (+€81 million);
-
Sales, general and administrative costs
(SG&A) of €440 million, down 1.8%, cost savings more than
offsetting the negative scope and inflation impacts. As a result,
SG&A represented 11.7% of revenue compared to 15.1% in
2016.
Total gross savings amounted to
€164 million, highlighting the very successful implementation of
our Transformation Plan.
Operating result
was a loss of €483 million, compared to a loss of €749 million
in 2016. The improvement of €266 million resulted from a
higher EBITDA and lower restructuring and impairment
charges.
In 2017, Impairment charges reached -€65 million compared to
-€71 million in 2016 and "Assets disposal, restructuring, and
other" charges amounted to -€79 million compared to -€127 million
in 2016. These non-recurring elements essentially result from (i)
the insolvency procedure regarding Ascoval (steel mill partly owned
by the Group), (ii) the disposal of non-strategic assets, notably
Vallourec Drilling Products, and (iii) impairments related to the
reduction in the number of projects for coal-fired plants in
Asia.
The financial
result was negative at -€174 million versus -€131 million in
2016, resulting mainly from higher interest charges, change in
scope, and change in fair value of NSSMC shares.
Income tax
was a gain of €100 million in 2017 mainly
related to the recognition of deferred tax assets in Brazil and in
the US, compared to a gain of €80 million in 2016.
The share
attributable to non-controlling interests amounted to -€23 million in 2017, compared to -€50
million in 2016.
This resulted in
a net loss, Group share of €537 million in 2017, compared to a
loss of €758 million in 2016.
Vallourec will propose that no
dividend be paid for fiscal year 2017. This is subject to the
approval of the Shareholders' Meeting to be held on 25 May
2018.
Q4 2017
consolidated results analysis
In Q4 2017, EBITDA stood at +€11 million, up €74 million year-on-year, with:
-
Consolidated revenue up 27.7%;
-
An industrial margin of €126 million, up €66
million reflecting (i) higher revenue, (ii) the positive impact
from the Transformation Plan along with (iii) a net reversal in
provisions (+€45 million);
-
Sales, general and administrative costs
(SG&A) of €117 million, stable compared to Q4 2016, with cost
savings offsetting the negative scope and inflation impacts.
Operating result
was a loss of €206 million, compared to a loss of €188 million
in Q4 2016. Q4 2017 Operating result includes impairment charges of
-€64 million, and asset disposal, restructuring and other for -€66
million. These non-recurring elements essentially result from (i)
the insolvency procedure regarding Ascoval, (ii) the disposal of
non-strategic assets, notably Vallourec Drilling Products, and
(iii) impairments related to the reduction in the number of
projects for coal-fired plants in Asia.
Financial result
was negative at -€34 million versus -€31 million in Q4 2016,
resulting mainly from higher interest charges over the period.
Income tax
was a gain of €76 million compared to a gain
of €28 million in Q4 2016, mainly related to the recognition of
deferred tax assets in Brazil and in the US.
This resulted in
a net loss, Group share of €164 million, compared to a loss of
€183 million in Q4 2016.
III - CASH FLOW
& FINANCIAL POSITION
In 2017,
Vallourec generated a negative free cash flow of -€423 million.
This is mainly explained by:
-
A negative cash flow from operating activities
of -€332 million, versus -€399 million in 2016;
-
Notwithstanding the activity recovery, working
capital requirement was further reduced by €61 million. After an
increase in Q1 2017 and a stabilization in Q2 and Q3, it was
reduced by €164 million in the fourth quarter. This performance
illustrates better efficiencies in operational working capital
management along with cash tax synergies in Brazil;
-
Efficient capex management with -€152 million in
2017 compared to -€175 million in 2016.
As at 31 December
2017, Group net debt stood at €1,542 compared to €1,287 million on
31 December 2016 and €1,645 million on 30 September 2017. The
decrease in net debt between 30 September 2017 and 31 December
2017 illustrates Vallourec's continuous focus on cash management,
and includes the sale by Vallourec of the NSSMC shares it owned for
€69 million.
The Company's cash position as at
31 December 2017 amounted to €1,021 million. Vallourec's medium and
long-term committed facilities amounted to €2.1 billion, out of
which €0.1bn were drawn. At the same date, short-term debt amounted
to €0.7 billion, mainly comprised of €0.4 billion of commercial
paper.
Vallourec reinforced its liquidity
profile in October 2017 by raising €800 million on the bond and
convertible bond markets, with €250 million OCEANE (Bonds
Convertible into New Shares and/or Exchangeable for Existing
Shares) and €550 million senior notes both due in 2022.
IV - TRANSFORMATION PLAN
In 2017, we continued implementing
the major transformation initiated in 2016 to enhance our
competitiveness and secure long-term profitable growth. This
transformation is conducted in accordance with the highest
standards of safety and quality.
We rolled out our new organization
around four regions and two central departments.
After two years of implementation
(2016 and 2017), our structural cost reductions program and the
development of the competitive new routes are moving forward at a
very good pace. At the end of 2017, we have achieved approximately
half of the targeted contribution of €750 million to the Group's
2020 EBITDA. We are therefore very confident that Vallourec will
achieve this target, by the end of 2020.
As part of the continuous review
of its assets portfolio, the Group has an opportunistic approach
aiming at optimizing cash generation. In Q4 2017, Vallourec has
received a binding offer from the US oil services company National
Oilwell Varco (NOV) to divest its Vallourec Drilling Products
business for a total cash amount of US$63 million. Subject to
certain conditions[2], the deal
should be closed in the course of H1 2018.
V - MAIN MARKET
TRENDS & OUTLOOK
Market trends entering 2018 can be
characterized as follows:
In the US, assuming no significant
change in WTI price, we anticipate the average rig count to
moderately increase in 2018 while OCTG consumption per rig should
continue to rise. This would allow us to benefit from these
favorable market conditions in addition to the full year impact of
volume and price increases achieved in H2 2017.
In Brazil, drilling activity is
expected to remain stable, and we target to renew our frame
agreement with Petrobras in the course of H1 2018.
In the rest of the world, an
increasing tender activity for Oil & Gas projects should result
in higher bookings, with positive impacts on deliveries to
materialize mostly as from 2019.
Power Generation revenue is
expected to be impacted by a diminishing number of conventional
power plant projects, particularly in China and Korea.
Improved momentum in the Industry
markets in Europe and Brazil should be confirmed, although these
markets remain very competitive.
Our business environment is also experiencing an unusually high and
unfavorable volatility in some consumable prices (e.g. electrodes)
and in currencies, which, if maintained at current levels, would
have a negative effect on our results. Meanwhile, we continue to
steadily execute our Transformation Plan, which will continue to
generate significant savings, and to reinforce Vallourec's
competitiveness.
Information and
Forward-Looking Statements
Information and Forward-Looking Statements This press release
contains forward-looking statements. These statements include
financial forecasts and estimates as well as assumptions on which
they are based, statements related to projects, objectives and
expectations concerning future operations, products and services or
future performance. Although Vallourec's management believes that
these forward-looking statements are reasonable, Vallourec cannot
guarantee their accuracy or completeness and these forward-looking
statements are subject to numerous risks and uncertainties that are
difficult to foresee and generally beyond Vallourec's control,
which may mean that the actual results and developments may differ
significantly from those expressed, induced or forecasted in the
statements. These risks include those developed or identified in
the public documents filed by Vallourec with the AMF, including
those listed in the "Risk Factors" section of the Registration
Document filed with the AMF on 21 March 2017 (N° D.17-0191).
Presentation of
FY 2017 financial results
Analyst conference call / audio
webcast held at 6:00 pm (Paris time) in English.
To listen to the audio webcast:
https://edge.media-server.com/m6/go/vallourecFY2017
+44 (0)330 336 9411 |
(UK) |
+33 (0)1 76 77 22 57 |
(France) |
+1 323 794 2551 |
(USA) |
+44 (0)330 336 9411
Conference ID: |
(other countries)
8057404
|
http://www.vallourec.com/EN/GROUP/FINANCE
Calendar
|
|
17
May 2018 |
Release of first
quarter 2018 results |
25 May 2018 |
Shareholders' Annual Meeting |
About
Vallourec
Vallourec is a world leader in premium tubular solutions for the
energy markets and for demanding industrial applications such as
oil & gas wells in harsh environments, new generation power
plants, challenging architectural projects, and high-performance
mechanical equipment. Vallourec's pioneering spirit and cutting
edge R&D open new technological frontiers. With close to 19,000
dedicated and passionate employees in more than 20 countries,
Vallourec works hand-in-hand with its customers to offer more than
just tubes: Vallourec delivers innovative, safe, competitive and
smart tubular solutions, to make every project possible.
Listed on Euronext in Paris (ISIN
code: FR0000120354, Ticker VK) and eligible for the Deferred
Settlement System (SRD), Vallourec is included in the following
indices: SBF 120 and Next 150.
In the United States, Vallourec
has established a sponsored Level 1 American Depositary Receipt
(ADR) program (ISIN code: US92023R2094, Ticker: VLOWY). Parity
between ADR and a Vallourec ordinary share has been set at 5:1.
vallourec.com
Follow us on Twitter @Vallourec
For further
information, please contact:
Investor relations
Alexandra Fichelson
Guilherme Camara
Tel: +33 (0)1 49 09 39 76
Investor.relations@vallourec.com |
Press relations
Héloïse Rothenbühler
Tel: +33 (0)1 41 03 77 50 / +33 (0)6 45 45 19 67
heloise.rothenbuhler@vallourec.com |
Individual shareholders
Toll Free Number (from France): 0 800 505 110
actionnaires@vallourec.com
|
|
Appendices
Documents accompanying this
release:
-
Sales volume
-
Forex
-
Revenue by geographic region
-
Revenue by market
-
Summary consolidated income statement
-
Summary consolidated balance sheet
-
Free cash flow
-
Cash flow statement
-
Definitions of non-GAAP financial data
Sales volume
In thousands of tons |
2017 |
2016 |
Change |
|
YoY |
|
|
|
|
Q1 |
475 |
251 |
89.2% |
Q2 |
538 |
321 |
67.6% |
Q3 |
588 |
333 |
76.6% |
Q4 |
655 |
376 |
74.2% |
|
|
|
|
Total |
2,256 |
1,281 |
76.1% |
Forex
Average exchange rate |
2017 |
2016 |
EUR /
USD |
1.13 |
1.11 |
EUR /
BRL |
3.61 |
3.85 |
USD /
BRL |
3.19 |
3.48 |
Revenue by geographic
region
In millions of
euros |
2017 |
As % of |
2016 |
As % of |
Change |
|
revenues |
revenues |
YoY |
|
|
|
|
|
|
Europe |
594 |
15.8% |
647 |
21.8% |
-8.2% |
North America |
1,033 |
27.6% |
559 |
18.9% |
84.8% |
South America |
612 |
16.3% |
467 |
15.7% |
31.0% |
Asia & Middle East |
1,175 |
31.3% |
848 |
28.6% |
38.6% |
Rest of World |
336 |
9.0% |
444 |
15.0% |
-24.3% |
|
|
|
|
|
|
Total |
3,750 |
100.0% |
2,965 |
100.0% |
26.5% |
Revenue by market
Q4 |
Change |
In millions of
euros |
2017 |
As % of |
2016 |
As % of |
Change |
2017 |
YoY |
|
revenues |
revenues |
YoY |
|
|
|
|
|
|
|
|
614 |
18.8% |
Oil & Gas |
2,299 |
61.3% |
1,791 |
60.4% |
28.4% |
94 |
184.8% |
Petrochemicals |
268 |
7.2% |
129 |
4.4% |
107.8% |
708 |
28.7% |
Oil & Gas, Petrochemicals |
2,567 |
68.5% |
1,920 |
64.8% |
33.7% |
|
|
|
|
|
|
|
|
125 |
-17.2% |
Power Generation |
408 |
10.9% |
486 |
16.4% |
-16.0% |
|
|
|
|
|
|
|
|
123 |
68.5% |
Mechanicals |
368 |
9.8% |
279 |
9.4% |
31.9% |
39 |
56.0% |
Automotive |
144 |
3.8% |
101 |
3.4% |
42.6% |
75 |
92.3% |
Construction & Other |
263 |
7.0% |
179 |
6.0% |
46.9% |
237 |
73.0% |
Industry & Other |
775 |
20.6% |
559 |
18.8% |
38.6% |
|
|
|
|
|
|
|
|
1,070 |
27.7% |
Total |
3,750 |
100.0% |
2,965 |
100.0% |
26.5% |
Summary consolidated income
statement
Q4 |
Q4 |
Change |
In millions of euros |
2017 |
2016 |
Change |
2017 |
2016 |
YoY |
|
YoY |
1,070 |
838 |
27.7% |
REVENUE |
3,750 |
2,965 |
26.5% |
(944) |
(778) |
21.3% |
Cost of
sales(1) |
(3,297) |
(2,727) |
20.9% |
126 |
60 |
110.0% |
Industrial
margin |
453 |
238 |
90.3% |
11.8% |
7.2% |
+4.6 pts |
(as % of revenue) |
12.1% |
8.0% |
+4.1 pts |
(117) |
(117) |
na |
SG&A costs(1) |
(440) |
(448) |
-1.8% |
2 |
(6) |
na |
Other
income (expense), net |
(11) |
(9) |
na |
11 |
(63) |
+€74 m |
EBITDA |
2 |
(219) |
+€221 m |
1.0% |
-7.5% |
+8.5 pts |
EBITDA as % of revenues |
0.1% |
-7.4% |
+7.5 pts |
(76) |
(73) |
4.1% |
Depreciation of industrial assets |
(297) |
(283) |
4.9% |
(11) |
(16) |
na |
Amortization and other depreciation |
(44) |
(49) |
na |
(64) |
(1) |
na |
Impairment of assets |
(65) |
(71) |
na |
(66) |
(35) |
na |
Asset
disposals, restructuring and other |
(79) |
(127) |
na |
(206) |
(188) |
-€18 m |
OPERATING INCOME (LOSS) |
(483) |
(749) |
+€266 m |
(34) |
(31) |
9.7% |
Financial income (loss) |
(174) |
(131) |
32.8% |
(240) |
(220) |
-€20 m |
PRE-TAX INCOME (LOSS) |
(657) |
(880) |
+€223 m |
76 |
28 |
na |
Income
tax |
100 |
80 |
na |
- |
(4) |
na |
Share
in net income (loss) of associates |
(3) |
(8) |
na |
(164) |
(196) |
+€32 m |
NET INCOME (LOSS) FOR THE CONSOLIDATED ENTITY |
(560) |
(808) |
+€248 m |
- |
(13) |
na |
Non-controlling interests |
(23) |
(50) |
na |
(164) |
(183) |
+€19 m |
NET INCOME (LOSS), GROUP SHARE |
(537) |
(758) |
+€221 m |
(0.4) |
(0.1) |
-€0.3 |
EARNINGS PER SHARE (in €) |
(1.2) |
(2.3) |
+€1.1 |
-
Before depreciation and
amortization
na: not applicable
Summary consolidated balance
sheet
In millions of
euros |
Assets |
31-Dec. |
31-Dec. |
Liabilities |
31-Dec. |
31-Dec. |
2017 |
2016 |
2017 |
2016 |
|
|
|
|
|
|
|
|
|
Equity, Group share |
2,426 |
3,284 |
Net intangible assets |
89 |
125 |
Non-controlling interests |
459 |
494 |
Goodwill |
348 |
383 |
Total equity |
2,885 |
3,778 |
Net property, plant and equipment |
2,977 |
3,618 |
Shareholder loan |
72 |
84 |
Biological assets |
71 |
88 |
Bank loans and other borrowings (A) |
1,817 |
1,121 |
Associates |
102 |
125 |
Employee benefits |
209 |
227 |
Other non-current assets |
137 |
348 |
Deferred tax liabilities |
18 |
80 |
Deferred tax assets |
242 |
190 |
Provisions and other long-term liabilities |
61 |
121 |
Total non-current assets |
3,966 |
4,877 |
Total non-current liabilities |
2,105 |
1,549 |
|
|
|
|
|
|
Inventories and work-in-progress |
1,004 |
1,035 |
Provisions |
149 |
280 |
Trade and
other receivables |
568 |
546 |
Overdrafts and other short-term borrowings (B) |
746 |
1,453 |
Derivatives - assets |
32 |
58 |
Trade payables |
582 |
530 |
Other current assets |
231 |
283 |
Derivatives - liabilities |
13 |
105 |
Cash and cash equivalents (C) |
1,021 |
1,287 |
Tax and other current liabilities |
321 |
310 |
Total current assets |
2,856 |
3,209 |
Total current liabilities |
1,811 |
2,678 |
Assets held for sale |
64 |
46 |
Liabilities disposal for sale |
13 |
43 |
TOTAL ASSETS |
6,886 |
8,132 |
TOTAL EQUITY AND LIABILITIES |
6,886 |
8,132 |
|
|
|
|
|
|
Net debt (A+B-C) |
1,542 |
1,287 |
Net income (loss), Group share |
(537) |
(758) |
Free cash-flow
Q4 |
Q4 |
Change |
In millions of euros |
2017 |
2016 |
Change |
2017 |
2016 |
|
(124) |
(124) |
- |
Cash-flow from operating activities (FFO)
(A) |
(332) |
(399) |
67 |
164 |
196 |
-32 |
Change in operating WCR (B) |
61 |
179 |
-118 |
[+ decrease,
(increase)] |
(66) |
(75) |
9 |
Gross
capital expenditure (C) |
(152) |
(175) |
23 |
(26) |
(3) |
(23) |
Free cash flow
(A)+(B)+(C) |
(423) |
(395) |
(28) |
Cash-flow statement
Q4 |
Q4 |
Q3 |
In millions of euros |
2017 |
2016 |
2017 |
2016 |
2017 |
|
(124) |
(124) |
(48) |
Cash-flow from operating activities |
(332) |
(399) |
164 |
196 |
1 |
Change in operating WCR
+ decrease, (increase) |
61 |
179 |
|
40 |
72 |
(47) |
Net cash-flow from operating activities |
(271) |
(220) |
(66) |
(75) |
(25) |
Gross capital expenditure |
(152) |
(175) |
- |
- |
- |
Financial investments |
- |
- |
27 |
21 |
- |
Increase and decrease in equity |
27 |
980 |
- |
(248) |
- |
Impact of acquisition |
- |
(305) |
- |
- |
- |
Dividends paid |
- |
(2) |
102 |
(37) |
40 |
Asset
disposals & other items |
141 |
(46) |
103 |
(267) |
(32) |
Change in net debt |
(255) |
232 |
+ decrease, (increase) |
1,542 |
1,287 |
1,645 |
Net debt
(end of period) |
1,542 |
1,287 |
Definitions of non-GAAP financial
data
Gross capital
expenditure: Gross capital expenditure is defined as the sum of
cash outflows for acquisitions of property, plant and equipment and
intangible assets and cash outflows for acquisitions of biological
assets.
Free
cash-flow: Free cash-flow (FCF) is defined as cash-flow from
operating activities minus gross capital expenditure and plus/minus
change in operating working capital requirement.
Industrial
margin: The industrial margin is defined as the difference
between revenue and cost of sales (i.e. after allocation of
industrial variable costs and industrial fixed costs), before
depreciation.
Consolidated net
debt: Consolidated net debt is defined as Bank loans and other
borrowings plus Overdrafts and other short-term borrowings minus
Cash and cash equivalents.
Banking
Covenant: As defined in the bank loan agreements, the "banking
covenant" ratio is the ratio of the Group's consolidated net debt
to the Group's equity, restated for gains and losses on derivatives
and for remeasurements (foreign currency gains and losses of
consolidated subsidiaries).
Data at constant
exchange rate: The data presented « at constant exchange
rate » is calculated by eliminating the translation effect
into euros for the revenue of the Group's entities whose functional
currency is not the euro. The translation effect is eliminated by
applying Year N-1 exchange rates to Year N revenue of the
contemplated entities.
Data at constant
scope: The data presented at « constant scope » is
calculated by eliminating the effect of changes in the Group's
scope (acquisitions, divestitures, mergers, etc.) by taking into
account on 1 January of Year N-1 the scope variations which have
occurred during Year N-1.
[1] EAMEA:
Europe, Africa, Middle East, Asia.
[2] This
project is conditional upon the approval of governance structures
and consultation with the relevant staff representative bodies.
Pdf file
This
announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: VALLOUREC via Globenewswire
Grafico Azioni Vallourec (EU:VK)
Storico
Da Mar 2024 a Apr 2024
Grafico Azioni Vallourec (EU:VK)
Storico
Da Apr 2023 a Apr 2024