Monday 25 March 2019

The Board of Directors approves the draft Consolidated Financial Statements at 31 December 2018

Sharp rise in profits, revenues (+3.5%), tendered and renewed existing contracts (+48%).

Consolidated highlights for 2018
(compared to 2017):

  • Revenue: €949.9 million
    (+3.5% compared to €918.1 million)
  • Normalized EBITDA1: €101.3 million
    (+1.0% compared to €100.3 million)
  • Net Profit: €15.8 million
    (up sharply compared to €0.7 million)
  • Tendered and renewed existing contracts: €647 million
    (+48% compared to €438 million)

 
The Board of Directors of Rekeep S.p.A. approved the draft Separate and Consolidated Financial Statements at 31 December 2018, which show a sharp increase in Net Profit, Revenues (+3.5%), tendered and renewed existing contracts (+48%) and substantially stable margins.

"The results achieved in 2018 allow us to look to the current and future business performance with great optimism" said Giuliano Di Bernardo, Chairman and Chief Executive Officer of Rekeep S.p.A. – "The growth in revenues shows, in fact, a recovery in the facility management market, as well as the good performance recorded by our Group in specialist services through our subsidiaries and, in particular, through Sicura Group. Furthermore, the efficiency improvement process carried out by our Group in previous financial years, with substantial cost saving actions, is continuing to have positive effects on its margins, as well as, clearly, on its profits, which are rising sharply despite the pressure on prices that impacts on our sector. Finally, the increase in tendered and renewed existing contracts allows us to be confident, even prospectively, in our Group’s performance in future years and further confirms our ability to proactively anticipate market demand."

Rekeep Group main Consolidated Results at 31 December 2018

As of 31 December 2018, Revenue for the Rekeep Group was €949.9 million, up by 3.5% compared to €918.1 million in 2017. This rise was driven by the performance in the Facility Management sector, and, mainly, in the Healthcare sector (+5%), as well as by the results posted by the Group subsidiaries, and, in particular, by Sicura Group.

EBITDA (Margine Operativo Lordo) reached €89.5 million, up by 1.0% compared to €88.6 million at 31 December 2017. Net of non-recurring and start-up costs, Normalized EBITDA was €101.3 million, up by 1.0% compared to €100.3 million in 2017.

EBIT
(Risultato Operativo) was €55.7 million compared to €58.2 million in the previous year. Normalized EBIT, net of said non-recurring and start-up costs, was €68.4 million, down by 1.5% compared to €69.4 million at 31 December 2017.

Net Profit was €15.8 million,
up sharply compared to a net profit of €0.7 million at 31 December 2017.

Net Financial Indebtedness at 31 December 2018 amounted to €298.8 million. With effect from 1 July 2018, the merger of CMF S.p.A. into its subsidiary Rekeep S.p.A. became effective; this entailed the transfer of the title to the Senior Secured Notes for a nominal amount of Euro 360,000,000, at a rate of 9.0% and due 15 June 2022, which CMF S.p.A. had issued during the 2017 financial year. Therefore, the Net Financial Indebtedness of Rekeep was equal to €156.7 million at 31 December 2017; however, in considering the effects of the merger with CMF S.p.A., the pro-forma Net Financial Indebtedness would have been equal to €332.9 million. Therefore, the Net Financial Indebtedness at 31 December 2018 shows an improvement of €34.1 million compared to the previous year.

Business highlights

During the 2018 financial year, the Rekeep Group won tendered contracts and renewed existing contracts for a long-term aggregate amount of about €647 million, up by 48% compared to €438 million at 31 December 2017.

As of 31 December 2018, the Rekeep Group won tendered contracts, or renewed existing contracts, for €2,599 million, substantially in line compared to €2,608 million at 31 December 2017.

Press Release