Earnings Release • Feb 28, 2017
Earnings Release
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CFE's board of directors met on 23 February 2017 to finalize the financial statements for the year ended 31 December 2016, which will be submitted to the forthcoming general meeting of shareholders on 4 May 2017.
| In million € | 2016 | 2015 | Change 2016/2015 |
|---|---|---|---|
| Revenue | 2,797.1 | 3,239.4 | -13.7% |
| Self-financing capacity (EBITDA) (*) | 465.9 | 504.9 | -7.7% |
| % of revenue | 16.7% | 15.6% | |
| Operating income on activities (*) | 227.6 | 228.9 | -0.6% |
| % of revenue | 8.1% | 7.1% | |
| Operating income (EBIT) (*) | 226.8 | 265.7 | -14.6% |
| % of revenue | 8,1% | 8.2% | |
| Net result part of the group | 168.4 | 175.0 | -3.8% |
| % of revenue | 6.0% | 5.4% | |
| Earnings per share (in €) | 6.65 | 6.91 | -3.8% |
| Gross dividend per share (in €) (**) | 2.15 | 2.40 | -10.4% |
(*) The definitions are included in the 'Consolidated financial statements' section of the financial report.
(**) Amount to be submitted for approval to the annual general meeting of 4 May 2016.
| In million € | 2016 | 2015 | Change 2016/2015 |
|---|---|---|---|
| Equity – share of the group | 1,521.6 | 1,423.3 | 6.9% |
| Net financial debt | 213.1 | 322.7 | -34.0% |
| Order book | 4,756.7 | 4,160.3 | 14.3% |
The CFE Group reported €2,797.1 million revenue in 2016, which is down 13.7%. This decrease was expected at DEME, which saw vigorous activity in 2015.
Thanks to the substantial reduction of the operating losses of the non-transferred activities of CFE SA and DEME's strong performance, the EBITDA margin increased by 1.1% to 16.7%.
The net result, share of the group, amounted to €168.4 million, which is slightly down compared to the exceptional year 2015.
The equity, share of the group, increased by €98.3 million, despite the payment of a dividend of €60.75 million in respect of the 2015 financial year. For the first time in CFE's history, its consolidated equity exceeded the symbolic figure of €1.5 billion.
In view of the deferral of certain down payments on the vessels under construction and the effective control of the working capital requirement, the net financial debt decreased by 34.0% to reach €213.1 million.
The order book reached a record level of €4.76 billion, thanks to a large extent to the very high order intake at DEME.
| In million € | 2016 | 2015 | Change 2016/2015 |
|---|---|---|---|
| Revenue | 1,978.2 | 2,286.1 | -13.5% |
| EBITDA (**) | 447.4 | 489.2 | -8.5% |
| Operating income (**) | 207.4 | 298.2 | -30.4% |
| Net result share of the group | 155.4 | 201.3 | -22.8% |
| Net financial debt | 155.0 | 275.0 | -43.6% |
| Order book | 3,800.0 | 3,185.0 | +19.3% |
(*) Amounts restated to take account of the recognition at fair value of the identifiable assets and liabilities of DEME following the acquisition of
an additional 50% of the DEME shares on 24 December 2013.
(**) The definitions are included in the 'Consolidated financial statements' section of the financial report.
The key figures shown below are presented according to the economic approach whereby the jointly controlled companies are proportionally consolidated (accounting rules applicable before 1 January 2014).
| In million € (excluding restatements for DEME) |
2016 | 2015 | Change 2016/2015 |
|---|---|---|---|
| Revenue | 1,978.2 | 2,351.0 | -15.9% |
| EBITDA (*) | 450.1 | 558.4 | -19.4% |
| Operating income on activities (*) | 217.6 | 318.4 | -31.7% |
| Net result share of the group | 155.3 | 199.2 | -22.0% |
| Net financial debt | 154.6 | 266.7 | -42.0% |
| Orderbook | 3,800.0 | 3,185.0 | +19.3% |
(*) The definitions are included in the 'Consolidated financial statements' section of the financial report.
DEME's revenue amounted to €1,978.2 million, i.e. down 15.9% compared to 2015. The previous year was marked by an exceptional level of activity in Africa with the widening and deepening of the Suez Canal.
During the year under review, DEME continued work on its two major projects in Singapore: the extension of Jurong Island (JIWE), and the Tuas Terminal - Phase 1 (TTP1) project.
Dredging International, a subsidiary of DEME, resumed work in Panama with the widening and deepening of the Pacific access channel of the Panama Canal.
2016 was an exceptional year for GeoSea, DEME's subsidiary specializing in offshore marine engineering. In the UK, the Race Bank project (transport and installation of 91 wind turbine foundations) is being finalized, while at the end of December GeoSea successfully installed the first foundation for the 56 wind turbines of the Galloper wind farm, situated 27 km off the Suffolk coast (EPCI contract). In Germany, the production of the 66 wind turbine foundations for the Merkur project (EPCI contract) is progressing according to plan.
Evolution of activity by business area (economic approach)
| In % | 2016 | 2015 |
|---|---|---|
| Capital dredging | 34% | 48% |
| Maintenance dredging | 12% | 11% |
| Fallpipe and landfalls | 7% | 9% |
| Environment | 10% | 9% |
| Civil works | 3% | 0% |
| Marine works | 34% | 23% |
| Total | 1,978.2 | 2,351.0 |
Evolution of activity by geographical area (economic approach)
| In % | 2016 | 2015 |
|---|---|---|
| Europe (EU) | 56% | 33% |
| Europe (non-EU) | 4% | 10% |
| Africa | 12% | 30% |
| Americas | 8% | 4% |
| Asia-Pacific | 13% | 12% |
| Middle East | 3% | 7% |
| India and Pakistan | 4% | 4% |
| Total | 1,978.2 | 2,351.0 |
The decrease in revenue inevitably weighed on the EBITDA and operating income, which are down compared to 2015. Nevertheless, it should be noted that the EBITDA margin, which amounts to 22.8% of revenue, remains well above the historical average.
It should be remembered that 2015 was marked by exceptional results generated by the project for the widening of the Suez Canal and the finalization of other important projects.
The order book (€3,800 million as of 31 December 2016) shows a 19.3% growth compared to 2015, which in turn was up 31.6% on year-end 2014.
This all-time high order book owes much to the commercial successes of DEME resulting in an order intake of €2,593.3 million in 2016.
The main new orders in 2016 include:
Moreover, as was announced earlier, two substantial orders won in 2016 are not yet included in the order book, notably:
Finally, DEME has landed several major contracts since the beginning of 2017, such as new dredging contracts in India and the Maldives, and the DBM contract for the design, construction and 15-year maintenance of the first section of the RijnlandRoute in the Netherlands. The project, which will be realized by DIMCO (DEME's subsidiary specializing in civil engineering works) and its partners, involves the construction of a 2.2 km bored tunnel, building a new 4 km road, and widening 12 km of motorway.
DEME's investments are twofold: those connected with the upgrading and renewal of the fleet, and those connected with the activities of DEME Concessions.
Investments in 2016 amounted to €194.7 million according to the economic approach. This low level of investment is explained by the deferral of certain down payments on the vessels under construction.
As a reminder, in 2015, DEME had started building six new vessels:
Those vessels will progressively strengthen DEME's fleet from 2017 onwards.
In February 2017, DEME confirmed an order for two additional vessels with an overall budget of around €500 million:
During the year, DEME - through its subsidiary DEME Concessions - injected its share in the equity and quasi-equity of the operating companies of two offshore wind farms: Merkur in Germany (12.5% stake) and Rentel in Belgium (18.9% stake). It should be pointed out that CFE also holds a 6.25% stake in Rentel through its 50% subsidiary, Green Offshore.
The improvement in working capital requirement thanks to, among other things, the receipt of new advances, coupled with a relatively low level of investment and solid operating cash flows, contributed to a substantial reduction in DEME's net financial debt, which now stands at €154.6 million (economic approach), or €112.1 million down compared to the previous year. In view of the investments planned in 2017, DEME's net financial debt is set to increase over the next financial year.
Key figures
| In million € | 2016 | 2015 (*) | Change 2016/2015 |
|---|---|---|---|
| Revenue | 770.5 | 718.9 | 7.2% |
| Operating income (**) | 20.0 | 7.5 | 166.7% |
| Net result share of the group | 10.4 | 9.7 | 7.2% |
| Net treasury | 92.0 | 74.8 | 23.0% |
| Order book | 850.5 | 836.3 | 1.7% |
(*) Including pro-forma figures according to the new definition of the segment applicable as of 1 January, 2016.
(**) The definitions are included in the "Consolidated Financial Statements" section of the financial report
Revenue amounted to €770.5 million, up 7.2%.
Construction activity in Belgium shrank slightly in a competitive market.
In the third quarter, the Docks shopping centre (Brussels) was completed ahead of schedule. In Flanders, the structural work on AZ Sint Maarten hospital (Mechelen) has been completed and the finishing works have begun, while several 'Schools of Tomorrow' have been completed.
The Luxemburg and Polish subsidiaries reported a marked increase in revenue, buoyed by a favourable economic situation.
The activity of the Multitechnics segment benefited from the vigorous growth of VMA, which won numerous contracts in Belgium and abroad.
2016 was a year of transition for the Rail Infra & Utility Networks segment before the ETCS Level 2 project (automatic braking system for trains) gathers momentum in 2017.
| In million € | 2016 | 2015 (*) | Change in % |
|---|---|---|---|
| Construction | 548.5 | 516.9 | 6.1% |
| Buildings, Belgium | 405.6 | 419.1 | -3.2% |
| Buildings, International (**) | 142.9 | 97.8 | 46.1% |
| Multitechnics | 159.2 | 140.5 | 13.3% |
| Rail Infra & Utility Networks | 62.8 | 61.5 | 2.1% |
| Total Contracting | 770.5 | 718.9 | 7.2% |
(*) Including pro-forma figures according to the new definition of the segment applicable as of 1 January, 2016.
(**) Exclusively Luxemburg, Poland and Tunisia.
Despite certain setbacks at a limited number of subsidiaries, there was a substantial increase in the division's operating income: €20.0 million as against €7.5 million in 2015.
Unlike in 2015, the Construction segment made a positive contribution to the operating income of the Contracting division, thanks to the recovery of CFE Bâtiment Brabant Wallonie and the good performance of CFE Bouw Vlaanderen, CFE Polska and CLE in Luxembourg. The efforts made in the area of operational excellence and selectivity in order intake have begun to bear fruit.
In the Multitechnics segment, the excellent results of VMA should be noted, whereas the HVAC segment had to contend with several very difficult projects that were completed in 2016.
| In million € | 31 December 2016 | 31 December 2015 (*) | Change in % |
|---|---|---|---|
| Construction | 648.7 | 671.2 | -3.4% |
| Buildings, Belgium | 505.0 | 494.7 | 2.1% |
| Buildings, International (**) | 143.7 | 176.5 | -18.6% |
| Multitechnics | 143.4 | 115.9 | 23.7% |
| Rail Infra & Utility Networks | 58.4 | 49.2 | 18.7% |
| Total Contracting | 850.5 | 836.3 | 1.7% |
(*) Pro-forma figures according to the new definition of the segment applicable as of 1 January, 2016 (**) Exclusively Luxemburg, Poland and Tunisia
The order book grew slightly to €850.5 million as of 31 December 2016.
The order book of the Buildings segment in Belgium remained at a high level as a result of winning the ZNA project (new hospital in Antwerp in joint venture), the STIB (Brussels public transport) depot in Anderlecht (Brussels Region), and several residential buildings in Anderlecht on the site of Erasmus Gardens for BPI.
The order book of CLE (Luxemburg) and CFE Polska is down compared to 2015 given the very high level of activity in 2016. In view of orders that are expected to materialize shortly, the outlook remains favourable for these two entities.
On the other hand, a high order intake was reported by Multitechnics and Rail Infra & Utility Networks, in particular at VMA, which landed its first contract in the United States.
The division's net cash position stood at €92 million as of 31 December 2016, up 23%. The improvement is explained by the operating cash flows generated by the Contracting entities, while the working capital requirement remained stable.
As of 1 January 2017, the subsidiaries VMA West, Vanderhoydonks and Nizet are integrated operationally in VMA.
| In million € | 2016 | 2015 | Change 2016/2015 |
|---|---|---|---|
| Revenue | 12.1 | 27.2 | -55.5% |
| Operating income (*) | 4.3 | 7.7 | -44.2% |
| Net result share of the group | 1.4 | 7.0 | -80.0% |
| Net financial debt | 87.6 | 90.3 | -3.1% |
| Order book | 5.0 | 6.7 | -25.4% |
(*) The definitions are included in the "Consolidated Financial Statements" section of the financial report
| In million € | 31 December 2016 | 31 December 2015 |
|---|---|---|
| Properties being marketed | 17 | 14 |
| Properties under construction | 35 | 34 |
| Properties in development | 78 | 71 |
| Total | 130 | 119 |
(*) The capital employed of the real estate projects is defined as the sum of shareholders equity and net financial debt of the real estate division
During the financial year, several building lots were successfully acquired in Poland ('Barska' residential project in Warsaw totalling 3,500 m²) and in Belgium, where BPI will develop the 'Joyeuse Entrée' residential project in the European district of Brussels (5,400 m²).
In 2020, once the conditions precedent have been fulfilled, BPI will redevelop, in joint venture, the present headquarters of Allianz in the heart of Brussels. It is a mixed-use project of 55,000 m².
In Luxemburg, BPI won the contract issued by the Kirchberg fund for the development of a hundred moderately priced residential units (Kiem project).
In Belgium, BPI successfully continued to develop and market its three principal projects: 'Erasmus Gardens' in Anderlecht, 'Ernest' in Ixelles, and 'Oosteroever' in Ostend.
In Luxemburg, construction of the 'Kons' building has entered its final stages: the completion and transfer to the institutional investor is scheduled for March 2017.
In Poland, the third phase of the 'Ocean Four' project was completed at year-end, while phase four is due for completion by mid-2017. Virtually all apartments have been sold. In Warsaw and Wroclaw, the two residential projects under construction are progressing according to plan.
Planning permission has been obtained for three residential buildings on the Hauts-Prés site in Uccle and for the second phase of the 'Ernest' project in Ixelles (The Park). Marketing and construction of those two projects are due to start in 2017.
The value of real estate projects stood at €130 million as of 31 December 2016, which is an €11 million increase, while the division's net financial debt reached €87.6 million.
In the absence of major transactions during the year, the net income of the division amounted to €1.4 million (compared to €7.0 million in 2015).
| In million € | 2016 | 2015 (*) | Change 2016/2015 |
|---|---|---|---|
| Revenue | 36.3 | 207.2 | -82.5% |
| Operational result (**) | -4.9 | -47.8 | ns |
| Net result share of the group | 1.2 | -43.0 | ns |
| Net financial debt | 62.4 | 33.4 | 86.8% |
| Order book | 101.2 | 132.3 | -23.5% |
(*) Including pro-forma figures according to the new definition of the segment applicable as of 1 January, 2016 (**) Definitions are listed under sections "Consolidated Financial Statements" of the financial report
Revenue amounted to €60.3 million for the non-transferred activities of CFE SA (€229.0 million in 2015) and €-24.0 million for interdivision eliminations.
The substantial decrease in revenue is explained by the transfer of the marine civil engineering operations to DEME at year-end 2015 and by a sharply reduced level of activity in Africa following the completion in 2015 of several large-scale projects, more specifically in Algeria and Chad.
The operating income (€-4.9 million) was adversely affected by the recognition of additional losses on the project of the Mechelen railway station surroundings and on the Brussels-South wastewater treatment plant project, of which the first of three phases was completed in July 2016. It should be pointed out that a settlement was reached with the customer in the second half of 2016 with regard to turnaround times, additional billing and claims for the first two phases of the Brussels-South wastewater treatment plant project.
At the year-end, CFE was also able to finalize the Eko-Tower project in Lagos, Nigeria, and obtain the final settlements of several older building projects in Belgium, such as the schools project in Eupen and the CPAS (Welfare Office) in Brussels. These elements had a favourable impact on the results of the division.
Rent-A-Port, a 45% subsidiary of CFE, reported a satisfactory year thanks to the positive contribution from its activities in Vietnam. Besides the continuing sale of industrial land in the port area of Dinh Vu, Rent-A-Port succeeded, together with its partners, in securing a new port concession of 1,200 hectares in the province of Quang Ninh in North Vietnam.
The net result of the division Holding and non-transferred activities made a spectacular recovery to + €1.2 million (compared to a net loss of €43.0 million in 2015).
The operating loss was offset by the capital gain on the disposal of CFE's stake in two DBFM (Design, Build, Finance, Maintain) type operating companies, namely 25% in Locorail NV, responsible for maintaining and financing the Liefkenshoek rail link in Antwerp, and 18% in Coentunnel Company BV, responsible for maintaining and financing the second Coentunnel in Amsterdam.
Negotiations are continuing with the Chadian authorities to find a solution to refinance the remaining outstanding debts. Progress has been made, but to date nothing tangible has been acquired.
CFE's net exposure to that country amounts to €60 million.
| Year ended 31 December (in thousands €) |
2016 | 2015 |
|---|---|---|
| Revenue | 2,797,085 | 3,239,406 |
| Revenue from auxiliary activities | 85,794 | 109,005 |
| Purchases | -1,504,685 | -1,831,454 |
| Wages, salaries & social charges | -533,200 | -547,043 |
| Other operating charges | -384,649 | -482,581 |
| Depreciations | -232,775 | -255,312 |
| Goodwill Impairment | 0 | -3,116 |
| Operating income on activities | 227,570 | 228,905 |
| Earnings from associates and joint ventures | -784 | 36,759 |
| Operating income | 226,786 | 265,664 |
| Gross financial cost | -31,521 | -31,720 |
| Other financial expenses and income | 7,567 | -869 |
| Financial result | -23,954 | -32,589 |
| Result before taxes | 202,832 | 233,075 |
| Income tax expense | -30,580 | -59,051 |
| Result of the year | 172,252 | 174,024 |
| Non-controlling interests | -3,841 | 937 |
| Result – share of the group | 168,411 | 174,961 |
| Year ended 31 December (in thousands €) |
2016 | 2015 |
| Result of the year | 172,252 | 174,024 |
| Financial instruments – change in fair values | 2,230 | -6,366 |
| Currency translation differences | -340 | -4,088 |
| Deferred taxes | 1,143 | 1,783 |
| Other elements of the comprehensive income to be reclassified to profit or loss in subsequent period |
3,033 | -8,671 |
| Remeasurement on defined benefit plans | -18,901 | -197 |
| Deferred taxes | 6,510 | 1,099 |
| Other elements of the comprehensive income not to be reclassified to profit or loss in subsequent period |
-12,391 | 902 |
| Total elements of the comprehensive income directly accounted in equity |
-9,358 | -7,769 |
| Comprehensive income | 162,894 159,178 |
166,255 |
| - attributable to the group - attributable to non-controlling interests |
3,716 | 166,489 -234 |
| Net result per share (€) (basic and diluted) Comprehensive income per share (€) (basic and diluted) |
6.65 6.29 |
6.91 6.58 |
| Year ended 31 December (in thousands €) |
2016 | 2015 |
|---|---|---|
| Intangible assets | 95,441 | 97,886 |
| Goodwill | 175,169 | 175,222 |
| Property, plant and equipment | 1,683,304 | 1,727,679 |
| Associates and joint ventures | 141,355 | 151,377 |
| Other non-current financial assets | 153,976 | 129,501 |
| Non-current derivative instruments | 510 | 1,381 |
| Other non-current assets | 23,518 | 19,280 |
| Deferred tax assets | 126,944 | 103,345 |
| Total non-current assets | 2,400,217 | 2,405,671 |
| Inventories | 94,836 | 77,946 |
| Trade receivables and other operating receivables | 1,160,306 | 1,192,977 |
| Other current assets | 38,430 | 125,029 |
| Current derivative instruments | 2,311 | 8,514 |
| Current financial assets | 48 | 70 |
| Assets held for sale | 19,916 | 0 |
| Cash and cash equivalents | 612,155 | 491,952 |
| Total current assets | 1,928,002 | 1,896,488 |
| Total assets | 4,328,219 | 4,302,159 |
| Issued capital | 41,330 | 41,330 |
| Share premium Retained earnings |
800,008 714,527 |
800,008 607,012 |
| Defined benefits plans | -19,464 | -7,448 |
| Consolidated reserves and reserve related to hedging | ||
| instruments | -7,337 | -10,710 |
| Translation differences | -7,505 | -6,915 |
| Equity – part of the group CFE | 1,521,559 | 1,423,277 |
| Non-controlling interests | 14,918 | 11,123 |
| Equity | 1,536,477 | 1,434,400 |
| Pensions and employee benefits | 51,215 | 41,054 |
| Provisions | 43,085 | 44,854 |
| Other non-current liabilities | 5,645 | 17,145 |
| Bond | 303,537 | 305,216 |
| Financial debts | 367,147 | 398,897 |
| Non-current derivative instruments | 18,475 | 33,359 |
| Deferred tax liabilities | 151,970 | 150,053 |
| Total non-current liabilities | 941,074 | 990,578 |
| Provisions for other current risks | 65,113 | 64,820 |
| Trade payables & other operating liabilities | 1,138,288 | 1,184,886 |
| Tax liability due for payment | 69,398 | 88,215 |
| Current financial debts | 154,522 | 110,558 |
| Current derivative instruments | 23,515 | 35,146 |
| Liabilities held for sale | 6,004 | 0 |
| Other current liabilities | 393,828 | 393,556 |
| Total current liabilities | 1,850,668 | 1,877,181 |
| Total equity and liabilities | 4,328,219 | 4,302,159 |
CFE's equity stood at €1,536.5 million compared to €1,434.4 million at year-end 2015.
The net financial debt amounted to €213.1 million, which is €109.6 million down compared to 31 December, 2015. This debt breaks down into a long-term financial debt of €821.4 million and a positive net cash position of €608.3 million.
CFE SA has, for its part, confirmed medium-term credit facilities for its general financing needs totalling €115 million, of which €85 million had not been drawn down at year-end 2016. Both CFE and DEME are in compliance with the banking covenants.
| Year ended 31 December (in thousands €) |
2016 | 2015 |
|---|---|---|
| Cash flows relating to operating activities | 384,386 | 334,981 |
| Cash flows relating to investing activities | -214,504 | -258,879 |
| Cash flows relating to financing activities | -48,467 | -288,024 |
| Net increase/decrease in cash position | 121,415 | -211,921 |
| Shareholders' equity (excluding non-controlling interests) at start of period |
1,423,277 | 1,313,627 |
| Shareholders' equity (excluding non-controlling interests) at end of period |
1,521,559 | 1,423,277 |
| Net result share of the group for the period | 168,411 | 174,961 |
| ROE | 11.8% | 13.3% |
| (Thousands €) | Share capital | Share premium | Retained earnings | Defined benefits plans |
Reserves related to hedging instruments |
Translation differences |
Equity attributable to owners of the parent |
Equity attributable to non-controlling interests |
Total |
|---|---|---|---|---|---|---|---|---|---|
| December 2015 | 41,330 | 800,008 | 607,012 | -7,448 | -10,710 | -6,915 | 1,423,277 | 11,123 | 1,434,400 |
| Comprehensive income for the period |
168,411 | -12,016 | 3,373 | -590 | 159,178 | 3,716 | 162,894 | ||
| Dividends paid to shareholders |
-60,755 | -60,755 | -60,755 | ||||||
| Dividends paid to non controlling interests |
-794 | -794 | |||||||
| Change in consolidation scope |
-141 | -141 | 873 | 732 | |||||
| December 2016 | 41,330 | 800,008 | 714,527 | -19,464 | -7,337 | -7,505 | 1,521,559 | 14,918 | 1,536,477 |
| 31 December 2016 | 31 December 2015 | |
|---|---|---|
| Total number of shares | 25,314,482 | 25,314,482 |
| Operating result after deduction of the net financial charges per share (in €) |
8.01 | 9.21 |
| Net result part of the group per share (in €) |
6.65 | 6.91 |
| (in thousands €) | 2016 | 2015 |
|---|---|---|
| Turnover | 46,911 | 203,188 |
| Operational result | -8,040 | -9,445 |
| Net financial result excluding non recurring financial income |
58,969 | 66,910 |
| Non-recurring financial income | 9,487 | 108,529 |
| Non-recurring financial charges | -1,541 | -41,606 |
| Result before taxes | 58,875 | 124,388 |
| Taxes | -17 | -374 |
| Result of the year | 58,858 | 124,014 |
There was a substantial decline in the revenue of CFE SA. This is explained by the transfer of the 'Buildings Flanders' segment on 1 July 2015 and by the shrinking international activity and the decrease in civil engineering and building activity in the Brussels Region.
The operating result was adversely affected by the losses on civil engineering projects in Brussels and Flanders.
The financial result primarily consists of the dividend paid by DEME in respect of the 2015 financial year.
The capital gains on the disposal of Locorail and Coentunnel Company are shown under non-recurring financial income. In 2015, the income statement was favourably influenced by the internal capital gains resulting from the legal reorganization of the group.
| (in thousands €) | 31 December 2016 | 31 December 2015 | |
|---|---|---|---|
| Assets | |||
| Fixed assets | 1,323,520 | 1,332,944 | |
| Current assets | 236,408 | 327,577 | |
| Total assets | 1,559,928 | 1,660,521 |
| (in thousands €) | 31 December 2016 | 31 December 2015 | |
|---|---|---|---|
| Equity and liabilities | |||
| Equity | 1,197,582 | 1,193,150 | |
| Provisions | 57,272 | 58,923 | |
| Non-current liabilities | 132,580 | 152,580 | |
| Current liabilities | 172,494 | 255,868 | |
| Total equity and liabilities | 1,559,928 | 1,660,521 |
Given the high level of its order book, DEME expects its revenue to increase strongly in 2017.
The Contracting division is expected in 2017 to confirm the positive trend observed in 2016.
The real estate division should markedly increase net result in 2017.
The result of the Holding and non-transferred activities division will be strongly dependent on how the CFE Group's situation in Chad evolves.
At the general meeting of shareholders on 4 May 2017, CFE's board of directors will propose a gross dividend of €2.15 per share, representing a net dividend of €1.505, or a total distribution of €54,426,136.
At the end of the financial year, CFE's share capital amounted to €41,329,482.42, divided into 25,314,482 shares, with no declared par value. The Company's shares are registered or in electronic form.
CFE's equity base as of 31 December 2016 was as follows:
| Shares with no par value | 25,314,482 |
|---|---|
| - registered shares | 18,405,021 |
| - shares in electronic form | 6,909,461 |
Shareholders owning 3% or more of the voting rights relating to the shares they hold:
| Ackermans & van Haaren NV | |
|---|---|
| Begijnenvest 113 | |
| B-2000 Antwerp (Belgium) | 15,289,521 shares or 60.40% |
| VINCI Construction SAS 5, cours Ferdinand-de-Lesseps |
|
| F-92851 Rueil-Malmaison Cedex (France) | 3,066,460 shares or 12.11% |
There has been no issue of convertible bonds or warrants.
Banque Degroof has been appointed as the 'Main Paying Agent'.
Financial institutions with which holders of financial instruments may exercise their financial rights are: BNP Paribas Fortis, Banque Degroof and ING Belgium.
The board of directors will propose to the general meeting to renew the director's mandates of Luc Bertrand, Piet Dejonghe, Jan Suykens, John-Eric Bertrand, Koen Janssen and Alain Bernard for a period of four years, ending after the annual general meeting of May 2021.
The board of directors will also propose to the general meeting to renew the director's mandate of Renaud Bentégeat for a period of three years ending after the annual general meeting of May 2020, and to appoint Pas de Mots SPRL, represented by Leen Geirnaerdt, for a period of three years, ending after the annual general meeting of May 2020. Pas de Mots SPRL was co-opted by the board of directors on 7 October 2016.
| ordinary shareholders meeting: | 4 May 2017 | |
|---|---|---|
| publication of interim statements: | 19 May 2017 (before opening of the stock market) | |
| dividend payment: | 25 May 2017 | |
| publication of half-year financial statements: | 31 August 2017 (before opening of the stock market) | |
| | publication of interim statements: | 22 November 2017 (before opening of the stock market) |
The statutory auditor, Deloitte, Reviseurs d'Entreprises, represented by Michel Denayer and Rik Neckebroeck, has confirmed that it has no reservations as to the accounting information reported in this press release and that it is in line with the financial statements as approved by the board of directors. Nevertheless, without qualifying its opinion, the auditor draws attention to the uncertainties as to the payment of the outstanding debts due by the Chadian government and the actions undertaken to facilitate their settlement.
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CFE is an industrial Belgian Group active in 3 different activities : Dredging, marine and environmental engineering, Contracting and Real Estate Development.
The group is worldwide active, mainly across its dredging and marine activities executed by DEME, a 100% subsidiary, one of the world's leading dredging contractors. CFE is listed on Euronext Brussels and is 60.40% owned by Ackermans & van Haaren.
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This press release is available on our website at www.cfe.be
For further information, please contact, at CFE:
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