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Alten

Earnings Release Jan 27, 2022

1103_iss_2022-01-27_e747ae59-c170-4153-ba0f-a424da48504d.pdf

Earnings Release

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BUSINESS AT THE END OF DECEMBER 2021: +25.4%

  • Sustained organic growth: +12.9%
  • 7 acquisitions in France and overseas

million
2020 2021 YoY
change.
Revenue 2,331.9 2,925.2 +25.4%
907.5 i.e. 38.9% 1,031.9 i.e. 35.3% +13.7%
Of which France of total revenue of total revenue
1,424.4 i.e. 61.1% 1,893.3 i.e. 64.7% +32.9%
Of which International of total revenue of total revenue

BUSINESS IN 2021: +25.4%

Although 2020 was impacted by the Health Crisis, the activity has strongly resumed in 2021. ALTEN has grown by 25.4%: 13.7% growth in France and 32.9% overseas. Acquisitions contributed to almost half of the increase in activity, the other half being fulfilled by a strong organic growth. On a like‐for‐like basis and constant exchange rate, growth reaches 12.9% (+8.4% in France and +15.7% outside France).

Following on thisthird quarter, business growth remained strong on the fourth quarter. Revenue reaches €794,8 M with an increase of 40.1% (26.4% in France and 48.5% overseas). On a like‐for‐like basis, business still grows by 23.2%: 17.7% in France and 26.6% overseas.

All business sectors are growing in 2021 and more specifically Aerospace, Defense and Security, Electronics and Life Sciences.

Since this third quarter, the Automotive and Civil Aeronautics sectors have experienced organic growth again, however still remain below their pre‐crisis levels.

Most of the geographical areas experience a strong organic growth of over 10%, with the exception of the countries where the Civil Aeronautics and Automotive activities are predominant, i.e. France, Germany and Sweden, which experience lower growth.

EXTERNAL GROWTH: 7 ACQUISITIONS IN FRANCE AND OVERSEAS

ALTEN has completed 6 acquisitions in 2021:

  • In the UK/Finland: 1 company specialised in Consulting and Agile Training (€95 M Revenue, 65 consultants)
  • In Germany: 1 company specialised in Engineering and Consulting (mainly in the Automotive sector) (€10 M Revenue, 90 consultants)

  • In France: 1 company specialised in the transformation and digitalisation of Information Systems (€37 M Revenue, 280 consultants)

  • In the UK: 1 company specialised in Life Sciences (€20 M Revenue, 180 consultants)
  • In the US/China: 1 company specialised in software development (€68 M Revenue, 1,900 consultants)
  • In the US/India: 1 company specialised in product engineering, embedded systems and digital technologies (€11 M Revenue, 930 consultants)

ALTEN has also completed a first acquisition in 2022

In Spain: 1 company specialised in Cloud and digital transformation (€12 M revenue, 180 consultants)

OUTLOOK FOR 2022:

The beginning of 2022 fits in the continuity of the trend observed in the second half of 2021. Business will grow depending on the evolution of the health crisis as well as geopolitical and macroeconomics environments.

While almost all sectors have already outgrown their pre‐crisis level, the Automotive &Heavy Trucks along with the Civil Aeronautics sectors may reach their pre‐crisis level faster than anticipated (expected at the end of 2022 or in 2023).

Assuming similar economic conditions, ALTEN should achieve a satisfactory organic growth and further pursue its strategy of targeted external growth.

AGENDA :

2021 Annual revenue: Tuesday, February 22nd 2022 (conference on Wednesday, February 23rd 2022)

About ALTEN

For more information: www.alten.com/investisseurs / Journalists' details: [email protected]

As a European Leader in Engineering and Technology Consulting (ETC), ALTEN carries out design and research projects for Technical and IT divisions of major clients in industry, telecoms and services.

ALTEN's stock is listed in compartment A of the Euronext Paris market (ISIN FR000001946); it is part of the SBF 120, the IT CAC 50 index and MIDCAP100, and is eligible for the deferred Settlement Service (SRD).

PRESS RELEASE

Paris, January 27th 2022 5:40pm

Appendix to Press Release:

Definition of alternative performance measures and reconciliation with IFRS standards

The ALTEN Group uses alternative performance measures especially selected to follow up on its operational activities. The Group has chosen these measures as they supply additional information allowing the users of periodic financial information to have a comprehensive understanding of the Group's performance. Such alternative performance measures are complementary to IFRS standards.

Revenue growth on a like‐for‐like basis (i.e. organic growth)

Growth on a like‐for‐like basis (and constant exchange rate) is calculated excluding the effects of exchange rate variations and the variations of the consolidation scope on a chosen period.

Exchange rate impacts are measured by converting the revenue of the period with the average exchange rate from the previous period.

Scope variation impacts are measured excluding acquisitions, revenue of the period and for transfers, revenue of the previous period, in order to create a scope which is identical to the previous period. This alternative measure enables to identify the real performance of the Group in terms of activity on the chosen period.

This alternative measure enables to identify the real performance of the Group in terms of activity on the chosen period.

€M 2020
Revenue
2021
Revenue
% Change
Revenue on a like‐for‐like
basis
2,319.1 2,617.4 12.9%
France 895.8 970.9 8.4%
International 1,423.3 1,646.4 15.7%
Scope variation 12.8 313.4 12.8%
France 11.7 61.0 5.3%
International 1.1 252.4 17.6%
Exchange rate impact ‐ 5.6 ‐ 0.2%
France
International ‐ 5.6 ‐ 0.4%
Group revenue 2,331.9 2,925.2 25.4%
France 907.5 1,031.9 13.7%
International 1,424.4 1,893.3 32.9%

Evolution of business in 2021

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