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VAA-Vista Alegre Atlantis, SGPS, S.A.
Earnings Release • Dec 2, 2024
1917_iss_2024-12-02_b8ebd555-85fb-4ffd-abb4-4cd6b427faae.pdf
Earnings Release
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CUMULATIVE RESULTS 3 RD QUARTER OF 2024
Results of the 3rd Trimester 2024
Highlights
Turnover reaches 97 million euros, an increase of 1.7% compared to the previous year
EBITDA of 19.9 million euros, representing growth of 1.7% yearon-year
Positive net result of 3.7 million euros
Foreign markets represent 71.8% of turnover
Activity
Grupo Vista Alegre's consolidated sales volume in the 3rd quarter of 2024 totalled 97 million euros, representing an increase of 1.7% compared to the same period last year.
In the first nine months of 2024, Vista Alegre and Bordallo Pinheiro brand products showed a positive evolution in both physical and online retail, nationally and internationally, resulting in a growth of 1.3% compared to the same period in 2023. In the Stoneware segment, the private label increase of 9.1% compared to the third quarter of the previous year stands out.
With the aim of strengthening the Group's position in foreign markets, it is worth emphasising the expansion of the brand into new markets such as the Czech Republic, Norway and the United Arab Emirates.
It is important to mention the significant evolution of the German and US markets, with an increase of 45.4% and 23.6%, respectively, compared to the same period last year.
In terms of segments, the positive highlight was the 13.2% growth in Earthenware revenues and the 8.2% increase in Stoneware revenues, compared to the revenues of the third quarter of 2023.
| T € | ||||
|---|---|---|---|---|
| Jan to Sep 2024 | Jan to Sep 2023 | Variation (%) | ||
| Segments | Total | Total | Total | |
| Porcelain and related products | 31 998 | 34 138 | -6.3% | |
| Earthenware | 13 739 | 12 138 | 13.2% | |
| Stoneware Oven | 40 613 | 37 549 | 8.2% | |
| Crystal and Glass | 10 674 | 11 532 | -7.4% | |
| Total | 97 024 | 95 358 | 1.7% |
In terms of porcelain and related products, there was a reduction in sales via private label and horeca (hotels and restaurants) channels, resulting in a 6.3% reduction in sales volume in the porcelain segment compared to the same period last year.
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Foreign markets represented 71.8% of Vista Alegre's turnover, with 69.7 million euros of sales.
Internationally, the European markets of Germany, France, Spain and Italy, as well as the USA and Brazil further afield, represented the main contributors to sales in foreign markets.
Results
In the third quarter of 2024, Vista Alegre Group's EBITDA reached 19.9 million euros, a growth of 1.7% compared to the same period last year. The EBITDA margin remained at 20.5% compared to the same period of the previous year.
Turnover totalled 97 million euros, an increase compared to the same period last year, due to a decrease in production and sales to the private label channel.
Vista Alegre's Porcelain and Crystal brand products and Bordallo Pinheiro's artistic faïence sustained the positive evolution in terms of sales mix, contributing to the increase in EBITDA compared to the same period last year.
| M€ | |||||
|---|---|---|---|---|---|
| Headings | 9M 2024 | 9M 2023 | Var. 9M | ||
| Amount | % | ||||
| Turnover | 97.0 | 95.4 | 1.7 | 1.7% | |
| E B I T D A | 19.9 | 19.6 | 0.3 | 1.7% | |
| EBITDA Margin | 20.5% | 20.5% | 0.0 pp | ||
| Operating Income | 9.8 | 10.1 | -0.4 | -3.6% | |
| Operating Margin | 10.1% | 10.6% | -0.6 pp | ||
| Income before taxes |
5.2 | 6.9 | -1.7 | -24% | |
| Income tax | -1.5 | -1.8 | |||
| Net income | 3.7 | 5.1 | -1.4 | -27% |
The operating result for the third quarter of 2024 decreased by 3.6% compared to the same period last year, standing at 9.8 million euros. Due to the recent investments made by Vista Alegre companies, amortisation increased by 0.8 million euros, which had a negative impact
on the operating result. Net profit for the first nine months of 2024 totalled 3.7 million euros.
Investment
Investment in the third quarter of 2024 was 12.3 million euros, mostly directed towards decarbonisation, in order to achieve greater sustainability in production processes and reduce the carbon footprint of Grupo Vista Alegre's factories.
Debt
Consolidated net debt shows a slight increase as a result of a more demanding first half in terms of working capital requirements, resulting in a slight increase in the net debt to EBITDA ratio.
A significant highlight was the reimbursement by Vista Alegre in October 2024 of the bond issue launched in 2019 – VAA Fixed Rate Guaranteed Senior Secured Notes 2019-2024 Class A (placed with institutional investors). This reimbursement was made possible by the successful organisation and launch of a public offering subscription (OPS) of a retail bond loan in the total amount of 60 million euros. This operation allowed VAA to diversify its funding sources, since this bond loan was placed nationally with retail investors. This was VAA's first bond issue aimed at this type of investor, thus reaching another important milestone in the company's history. Between these two transactions (bond issue (May 2024) and repayment of the 2019 bond (October 2024)), VAA made some financial investments in order to optimise these additional funding resources.
| t€ | 30-09-2024 | 30-06-2024 | 31-12-2023 | Variation SET 2024/ DEC 2023 |
|---|---|---|---|---|
| Financial debt (bank loans, bond and leasing) | 127 004 | 128 918 | 75 075 | 51 929 |
| Operating debt (export remittances, confirming and factoring) | 5 628 | 5 959 | 6 426 | -798 |
| Operating lease (IFRS 16) | 5 177 | 5 824 | 7 118 | -1 942 |
| Consolidated debt | 137 808 | 140 700 | 88 618 | 49 190 |
| Cash and cash equivalents | -33 558 | -37 960 | -16 804 | -16 754 |
| Cash pooling | -28 070 | -28 970 | 0 | -28 070 |
| Consolidated net debt | 76 180 | 73 770 | 71 814 | 4 366 |
| EBITDA LTM | 28 583 | 28 318 | 28 251 | 332 |
| Net debt / EBITDA | 2.67x | 2.61x | 2.54x | 0.12x |
Consolidated Income Statement
30th of September 2024 and 2023
| T € | ||
|---|---|---|
| Headings | 30-09-2024 | 30-09-2023 |
| Sales and services provided | 97 024 | 95 358 |
| Cost of goods sold and material consumed | -29 310 | -32 773 |
| Production variation | 3 491 | 5 528 |
| Gross margin | 71 205 | 68 113 |
| Works for the company itself | 847 | 0 |
| External supplies and services | -16 304 | -15 691 |
| Staff costs | -36 912 | -37 833 |
| Amortisations | -10 303 | -9 473 |
| Impairments | 134 | 1 |
| Other operating expenses and losses | -1 126 | -1 415 |
| Impairment of depreciable tangible fixed assets | 4 0 | 4 0 |
| Other profit and operating income | 2 188 | 6 392 |
| Operating income | 9 768 | 10 132 |
| Interest and similar expenses incurred | -5 269 | -3 686 |
| Interest and similar income obtained | 740 | 449 |
| Financial result | -4 528 | -3 237 |
| Result before taxes | 5 239 | 6 896 |
| Income tax | -1 524 | -1 811 |
| Consolidated income for the financial year | 3 716 | 5 085 |
VISTA ALEGRE ATLANTIS, SGPS, S.A.
Investor relations Romas Viesulas [email protected]
Romas Viesulas [email protected]
3
rd Quarter 2024 Earnings announcement
2
nd of December 2024
Vista Alegre Atlantis, SGPS, S.A. * Public company * Head office: Lugar da Vista Alegre, Ílhavo * Registered with the Commercial Registry of Ílhavo * Taxpayer no. 500 978 654 * Share capital 134,120,048.00 Euros 7/7