Mnd Group (Montagne Et Neige Développement): + 2% revenue growth in 2020/2021 – Strong growth and significant improvement in profitability expected in 2021/2022

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+ 2% revenue growth in 2020/2021

  • € 41.0 million in full-year revenue, in line with targets
  • Strong commercial activity in 2020/2021: Order intake: € 90 million
  • Operational profitability objective (adjusted EBITDA) confirmed in 2020/2021

Strong growth and significant improvement in profitability expected in 2021/2022

  • Order book of € 91.7 million at the end of June 2021, up 115%[1] against a year earlier
  • Full impact of the Successful Together 2024 performance plan in 2021/2022

MND (Euronext Growth – FR0011584549 – ALMND), a French industrial group specializing in cable mobility, snowmaking systems, mountain safety and sensational leisure infrastructures, achieved consolidated annual sales for fiscal year 2020/2021 for the fiscal year ended at the end of June 2021.

SALES ACTIVITY FOR THE 2020/2021 FINANCIAL YEAR

In € m – IFRS
Unaudited consolidated data
FISCAL 2019/2020
12 months
Fiscal year 2020/2021
12 months
Change
Turnover 40.3 41.0 + 2%
including snow and cable cars 20.5 27.0 + 32%
including safety and leisure 19.8 14.0 -29%

For the 2020/2021 financial year, MND achieved consolidated sales of € 41.0 million, up slightly by 2% compared to 2019/2020. As a result, the Group achieved its objective of maintaining revenue growth at the same level as the previous year, despite the impact of the health crisis linked to the Covid-19 pandemic and its unprecedented economic impact on winter sports resulting in a lost season.[2] for winter sports professionals in Europe.

On the strength of its comprehensive all-season multi-activity offering and its international presence, MND returned to growth in the second half of 2020/2021 (turnover down 5% in H1 2020/21 and up 19 % in H2 2020/2021), particularly in France and Europe.

the Snow and cable cars The activity achieved a turnover of 27.0 M €, a strong growth of 32%. In addition to installing numerous snowmaking systems for international ski resorts, the Group also benefited in 2020/2021 from the first invoices linked to its urban transport contract won in 2020: the second network of urban cable cars in Saint-Denis in Reunion Island and the new urban and tourist cable car in the city of Huy (Belgium).

Hardest hit by the consequences of the health crisis, the “Safety & Leisure“The activity achieves a full-year turnover of € 14.0 million, down 29%, due to the drop in sales of products and services linked to the operation of ski resorts.

Geographically, the MND Group carried out 41% of its activity over the year 2020/2021 in France (vs. 40% for the full year 2019/2020), 40% in Europe (excluding France) (vs. 41% ) and 19% in the rest of the world (vs. 19%).

STRONG SALES ACTIVITY IN 2020/2021: ORDERS AT € 90 MILLION

After a slowdown during the winter season (from October 2020 to March 2021) due to economic uncertainties linked to the closure of the ski lifts, order intake was particularly strong in the last quarter of the year with the signing of ” major ski lift contracts (€ 17.5 m for a 10-seater gondola and a 6-seater chairlift in the ski resort of Mamison (Russia), $ 9 million for the construction of a detachable chairlift in Waterville (United States) ) and automatic snow cover (€ 8 million for the Veduchi ski resort in Russia).

In total, the Group recorded no less than € 90 million in new confirmed orders in fiscal year 2020/2021.

At the end of June 2021, the Group’s firm order book stood at € 91.7 million, up 115% compared to the end of June 2020[3]. Orders to be invoiced for the 2021/2022 financial year represent € 57.4 million of the order book at the end of June 2021.

OPERATIONAL PROFITABILITY POINT (ADJUSTED EBITDA) CONFIRMED FOR 2020/2021

The solid growth recorded in H2 2020/2021 reflects (I) the positive effects of Succeed together 2024 operational and industrial performance plan, (ii) the cost-saving measures implemented during the year, and (iii) French government support measures for companies active in the Mountain sector to cope with the impacts of Covid-19, which have enabled MND to confirm its objective of achieving equilibrium at the operational level (adjusted EBITDA) for the fiscal year 2020/2021, compared to negative adjusted EBITDA of € 29.8 million in 2019/2020.

In terms of balance sheet, H2 2020/2021 also saw a strengthening of the Group’s financial position, with an increase in cash compared to the end of 2020 (€ 7.3 million at the end of December 2020), with net financial debt. controlled and compliance with financial covenants until the end of June 2021.

OUTLOOK 2021/2022

With firm orders of € 57.4 million at the end of June 2021 to be invoiced in 2021/2022, i.e. an increase of 40% compared to the annual turnover for fiscal year 2020/2021, the Group is entering the new fiscal year in an excellent position.

Benefiting from a favorable base effect, and backed by a scenario of a gradual exit from the health crisis, the Group is targeting strong growth in its activity, with 2021/2022 turnover doubling compared to the year former. Supported by the success of the Succeed together 2024 strategic transformation plan and the full impact of cost saving measures, MNDA will also continue to increase its profitability (adjusted EBITDA) in 2021/2022.

Xavier Gallot-Lavallée, Chairman and CEO of MND:

“The 2020/2021 financial year marks the success of the first phase of our industrial and commercial transformation plan Succeed together 2024”. In a troubled global economic context, we continued our efforts to achieve the Group’s operational balance (adjusted EBITDA) and to conquer new markets.

Following the success of the first step of our strategic plan, we are now fully focused on the 2021/2022 financial year, which will benefit from strong growth in our activities and further improvements in our operating profitability (adjusted EBITDA). Our commercial performance, reinforced by our recent successes and the many strengths of our Group – diversified activities in all seasons, increased contributions from urban transport activities, presence on all continents, solutions responding to major environmental challenges – will enable us to achieve our goals. objectives in 2021/2022 and confirm our return to sustainable and profitable growth ”.

NEXT KEY DATES

2020/2021 annual results: October 29, 2021, after closing of the Euronext Paris market.


About MND
MND is a French industrial group specializing in cable mobility, snowmaking systems, mountain safety and thrilling leisure equipment. With more than 3,000 customers in 49 countries, MND contributes every day through its four businesses to mobility, leisure and safety for all, while offering proven and lasting solutions based on its experience in mountain activities. Based in Savoie, MND has 300 employees and relies on 7 international distribution subsidiaries and 28 distributors to develop its activities around the world. MND is listed on the Euronext Growth market in Paris (FR0011584549 – ALMND).


Contacts

Appendices

Definitions of financial indicators not codified by accounting standard-setting bodies

This section details the financial indicators used by the Group which are not codified by the accounting standardization bodies.

Backlog

The order book represents sales not yet achieved on orders already received (orders or contracts signed) and takes into account IFRS 15.

The order book at the end of the financial year is calculated as follows: order book at the start of the financial year + new orders received during the financial year – cancellations of orders recorded during the financial year – recorded sales on exercise.

The order book may also vary depending on changes in scope, contractual price adjustments and currency effects.

Adjusted EBITDA

The Group uses adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) as a performance indicator to measure the Group’s performance regardless of its financing and amortization policy.

Adjusted EBITDA corresponds to the result before deduction of interest and taxes, depreciation, provisions for fixed assets (but after provisions for inventories and trade receivables), and adjustment for exceptional non-recurring items.


[1] Order book of € 42.7 million as of June 30, 2020 (see press release of October 30, 2020).

[2] Note: administrative closures have been imposed on ski lifts in most European countries.

[3] Order book of € 42.7 million as of June 30, 2020 (see press release of October 30, 2020).



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