LISI S.A. — Earnings Release 2023

Feb 22, 2024

The LISI Group posts organic growth of 15.5% for the second consecutive year and achieves its financial objectives in 2023

• o Sales revenue reached €1,630.4 M (+ 14.4% compared to 2022), driven by sustained organic growth identical to that of 2022 (+ 15.5%) and increases in sales prices in the Group's three lines of business;
• o At €90.7 M, EBIT is €1.6 M higher than in 2022;
• o The operating Free Cash Flow is positive at + €22.2 M, thanks to the strong performances of the LISI AUTOMOTIVE and LISI MEDICAL divisions.
• o Future outlook:
  • The Group should benefit from the positive dynamics of the various Markets in which it is well positioned;
  • In an environment where inflationary pressure is expected to subside, the Group aims to improve its key financial indicators: EBIT and Free Cash Flow.

The LISI Board of Directors, Meeting under the chairmanship of Mr. Jean-Philippe KOHLER on February 22, 2024, reviewed the final audited accounts for the financial year ended December 31, 2023. They will be submitted for approval to the Ordinary General Meeting on April 26, 2024.

	Key figures as at December 31

12 Months ending December 31,		2023	2022	Changes
Key components of the income statement
Sales	€ M	1,630.4	1,425.2	+ 14.4 %
EBITDA	€ M	178.2	186.5	- 4.4 %
EBITDA Margin	%	10.9	13.1	- 2.2 pts
EBIT	€ M	90.7	89.1	+ 1.8 %
Current operating Margin	%	5.6	6.3	- 0.7 pt
Net profit	€ M	37.5	57.0	- 34.1 %
Net earnings per share	€	0.83	1.08	- 23.1 %
Operating cash flow	€ M	132.5	157.9	- €25.4 M
Net industrial CAPEX	€ M	- 96.7	- 109.7	- €13.0M
Free Operating Cash Flow*	€ M	22.2	19.0	+ €3.2 M
Net debt	€ M	501.1	291.5	+ €209.6 M
Net debt-to-equity ratio	%	53.4	26.1	+ 27.3 pts

*Free Operating Cash Flow: net operating cash flow Minus net CAPEX and changes in working capital requirements

The LISI Group posts organic growth of 15.5% for the second consecutive year

The consolidated sales for 2023 amount to €1,630.4 M, up + 14.4% compared to 2022 and take into account the following elements:

• a price effect estimated at €91.6 M (€50.2 M in 2022) linked to the partial pass-through to customers of the impact of inflation on manufacturing costs;
• a negative exchange rate effect of €16.2 M (1.0% of sales), whereas it had been highly positive in 2022 (€69.9 M, 4.9% of sales). This trend reversal results mainly from the weakening of the average rate of the US dollar against the euro, particularly in the second half (- €21.9 M).

In line with the objective of maintaining positive organic growth in 2023, the increase in revenue adjusted for currency fluctuations and excluding scope effects stands at + 15.5% for the full year.

	Q1		Q2		Q3		Q4		Total
	2022	2023	2022	2023	2022	2023	2022	2023	2022	2023
LISI AEROSPACE	167,9	199,8	178,6	214,7	171,3	200,2	199,5	224,2	717,3	838,9
LISI AUTOMOTIVE	141,1	159,1	135,8	159,4	146,1	150,2	134,6	141,7	557,6	610,4
LISI MEDICAL	33,4	42,6	38,6	46,5	38,6	46,0	40,3	46,8	150,8	181,9
LISI Consolidé	342,4	401,3	352,8	420,4	355,8	396,2	374,2	412,5	1 425,2	1 630,4

Development of published sales per quarter (in € M)

	Q1 2023		Q2 2023		Q3 2023		Q4 2023		Total 2023
	∆	∆ like for like*	∆	∆ like for like*	∆	∆ like for like*	∆	∆ like for like*	∆	∆ like for like*
LISI AEROSPACE	+19,0%	+15,9%	+20,2%	+20,3%	+16,9%	+20,9%	+12,4%	+15,3%	+17,0%	+18,0%
LISI AUTOMOTIVE	+12,8%	+11,8%	+17,4%	+18,2%	+2,8%	+5,2%	+5,2%	+6,8%	+9,5%	+10,4%
LISI MEDICAL	+27,7%	+25,1%	+20,5%	+22,2%	+19,2%	+24,9%	+16,3%	+20,0%	+20,6%	+23,0%
LISI Consolidé	+17,2%	+15,0%	+19,2%	+19,7%	+11,3%	+14,8%	+10,2%	+12,8%	+14,4%	+15,5%

∆ like for like* = on a like-for-like and constant exchange rate basis

Comments on Q4 activity

Adjusted for currency fluctuations and excluding scope effects, Q4 revenue increases by + 12.8% compared to the same period of the previous fiscal year. It benefits from the good performance of activity across the Group's three divisions. This compares to growth of + 17.7% in Q4 2022. Thus, the increase in revenue remains sustained throughout the entire financial year for all divisions of the LISI Group.

Business analysis by division

LISI AEROSPACE

The LISI AEROSPACE division's annual revenue amounts to €838.9 M, up + 17.0% compared to 2022. Q4 2023 is the eighth consecutive quarter of double-digit growth and stands at €224.2 M (+ 12.4% compared to the same period of the previous year).

This performance must be assessed taking into account the weakening of the US dollar against the euro (- €5.8 M compared to + €11.4 M in Q4 2022).

The "Fasteners" segment in Europe benefits the most from the ramp-up of single-aisle aircraft and general aviation activity, posting the strongest growth for the year (+ 26.5%). The "Fasteners" segment in North America also confirms a positive trend (+ 16.3%) following the significant increase in 2022 (+ 41.6%).

The "Structural Components" activity is up + 7.4% in 2023 after a year of strong growth in 2022 (+ 26.3%). The ramp-up of this segment has been slowed down by challenges in raw Material sourcing and recruitment issues in certain labor Markets.

Adjusted for currency effects and excluding scope effects, the LISI AEROSPACE division's revenue increased by + 15.3% in Q4, representing organic growth of + 18.0% for the whole of 2023.

LISI AUTOMOTIVE

The LISI AUTOMOTIVE division's revenue reaches a record level of €610.4 M, up + 9.5% compared to 2022, driven by the ramp-up of new products for the electromobility market and the partial impact of inflation on selling prices. Q4 2023 stands at €141.7 M (+ 5.2% compared to the same period of the previous year) with the negative impacts of the weakening of the US dollar against the euro (- €2.1 M versus + €3.5 M in Q4 2022) and to a lesser extent strikes in the automotive sector in North America at the end of the year.

Adjusted for currency effects and excluding scope effects, the LISI AUTOMOTIVE division's revenue increased by + 6.8% in Q4, representing organic growth of + 10.4% for the whole of 2023. Compared to + 5.5% growth in the worldwide production of the division's customers, this performance once again demonstrates its ability to conquer new market shares. The division indeed maintains a very good momentum in order intake for new products, amounting to approximately €73.0 M throughout the year 2023, representing 12.0% of sales (€70.0 M in 2022). Order intake is particularly good in "Clipped Solutions" in Europe and the US and in "Safety Mechanical Components" in the braking field in particular.

LISI MEDICAL

The LISI MEDICAL division's revenue shows clear improvement (+ 20.6%) compared to 2022 and amounts to €181.9 M; the cumulative increase since 2021 is thus + 49.1%. Sales growth is driven by new products launched by the division and by the replenishment of inventories among leading customers, whether in orthopedic reconstruction or in the field of minimally invasive robotic surgery.

Adjusted for currency effects and excluding scope effects, the LISI MEDICAL division's revenue increased by + 20.0% in Q4, representing organic growth of + 23.0% for the whole of 2023.

The Group achieves its financial objectives in 2023

The margin on EBITDA reached 10.9%, down - 2.2 points compared to 2022. It is affected by the effects of widespread inflation on manufacturing costs as well as temporary surcharges related to numerous recruitments (approximately 1,850 people), with the anticipated effects on productivity improvement expected from 2024 onwards. The situation gradually improved during the financial year thanks to significant training efforts and the partial pass-through of inflation in sales prices. These latter elements thus make it possible to post a margin on EBITDA of 13.2% for Q4 2023.

Depreciation is down 0.7 points compared to 2022.

Net provision reversals amounted to €13.4 M (€1.6 M in 2022). They benefit in particular from provision reversals linked to inventory depreciation, the rotation of which has been accelerated by the resumption of activity as well as by the increase in backlogs to be delivered across the Group's three divisions. These provision reversals do not improve the bottom line, they compensate the operating expenses for the period.

EBIT increased by + 1.8% to €90.7 M. The current operating margin is down - 0.7 points compared to 2022 and stands at 5.6%. It is subject to the dilutive effect of inflation estimated at - 0.4 points.

Non-current operating income and expenses fell to €4.3 M (€9.7 M in 2022). They mainly concern the costs of moving factories from Bologne to Chaumont as part of the Forge 2022 project.

The financial result stands at - €25.6 M (- €2.1 M in 2022); this is mainly due to the following factors:

• the effects linked to the revaluation of debts and receivables in foreign currencies and the change in the fair value of hedging instruments (- €6.9 M compared to + €2.9 M in 2022),
• the financial expenses, which represent the cost of the long-term net debt, amounted to - €20.4 M (- €6.7 M in 2022), i.e. an average fixed rate of 4.5 % (2.6 % in 2022). They were notably increased by the cost of financing the Public Share Buyback Offer (€6.8 M) carried out in May 2023. Gains on current cash investments are €1.7 M, identical to 2022.

Net financial expenses compared to financial debt excluding IFRS 16 therefore represent 4.1% (2.1% in 2022).

The tax burden, calculated based on corporate tax and expressed as a percentage of net income before tax, reflects an effective average tax rate of 39.7 %. This takes unactivated tax losses into account. The effective tax rate adjusted for these non-activated tax losses is 23.4%. It compares to a rate of 26.6% in 2022.

As a result, the group's share of net income is down - 34.1%, it nevertheless remains largely positive and stands at €37.5 M (i.e. 2.3% of sales), compared to €57.0 M (4.0% of sales) in 2022. Earnings per share benefit from a reduction in the number of shares from 54,114,317 to 46,538,313 shares and stand at €0.83 (- 23.1%).

Operating Free Cash Flow is positive across the Group's three divisions, thanks to effective management of working capital requirements in a context of increasing activity, establishment of safety inventories in the LISI AEROSPACE division, and sustained CAPEX.

The financial balances remain robust with a self-financing capacity of €132.5 M (8.1% of sales) which finances, in compliance with the criteria set by the global CSR plan, CAPEX of €96.7 M (5.9% of sales), slightly down compared to 2022. Actions to improve performance and modernize production resources were continued, particularly in the LISI AUTOMOTIVE division (€28.5 M). Examples include:

• orders for cold heading and machining equipment for the Delle site (France) for the production of a new generation of threaded fasteners intended for assembling the battery trays of electric vehicles;
• the development of digitalization and real-time production supervision solutions for the Fuenlabrada site in Spain based on the model of that of Mélisey (France) - "Industry Showcase of the Future";
• the implementation of a new capacity tranche in Monterrey (Mexico) and Tangier (Morocco) to produce electrical cable channel and vehicle lightweight solutions.

LISI AEROSPACE devoted €51.0 M to the ramp-up of new products with:

• the increase in manufacturing capacity and the optimization of production means at B&E Manufacturing (US) for the Manufacture of high-pressure hydraulic fittings as well as the installation of a production line for this family of products on the Saint-Ouenl'Aumône site (France);
• the continued relocation and modernization of the "Engine" segment at the Bologne (France) site to the Chaumont (France) site as part of the multi-year "Forge 2022" project;
• the increase in manufacturing capacities, particularly in compressor blade activities.

CAPEX also remained high for LISI MEDICAL (€17.1 M) and focused on increasing production capacities for new products such as:

• harmonic scalpels;
• joint reconstruction implants.

The level of working capital requirements is decreasing in terms of days despite the increase in business (i.e. in work in progress) on the one hand, and the maintenance of strategic inventories to meet uncertain procurement lead times and to secure the sustained increase in production levels within the LISI AEROSPACE division in the long term on the other hand.

It stands at 75 days of sales (83 days in 2022) with inventories expressed in number of days of sales also decreasing (105 days in 2023 compared to 111 days in 2022) despite an unfavorable impact of the inflation estimated at 4 days.

Taking these aspects into account and in accordance with the objectives, the operating Free Cash Flow is positive and stands at €22.2 M (1.4% of revenue).

Financial strength preserved after the Share Buyback Public Offering

Net debt stands at €501.1 M and includes €204.6 M of financing linked to the Share Buyback Public Offering and €107.4 M of debt relating to IFRS 16. It represents 53.4% of equity (26.1% as at December 31, 2022). Relative to EBITDA, the net debt ratio stands at 2.8x (1.6x as at December 31, 2022), which is less than the covenant authorized by banking partners (3.5x ). Adjusted for the impact of the financing of the Share Buyback Public Offering, the net debt represents 25.1% of equity, and the debt ratio is 1.6 times the EBITDA.

The return on capital employed before taxes stands at 6.3%, identical to that of 2022.

Furthermore, annual depreciation tests did not reveal any loss of value.

The Board of Directors will propose for approval by the Ordinary General Meeting of shareholders to set the dividend at €0.31 per share for the 2023 financial year (€0.15 per share in 2022).

LISI AEROSPACE

• • 17.0 % growth in sales to €838.9 M (2022: €717.3 M) driven by the increase in singleaisle production rates among the main ordering customers and the good momentum of the helicopter and military market segments;
• Current operating profit maintained at + €50.2 M (2022: + €49.9 M) despite the inflationary context and the acceleration in recruitment which weighs on productivity;
• Maintenance of a positive operating Free Cash Flow at + €7.0 M, in a context characterized by increased activity, high inflation on raw materials, and the continued high level of strategic stocks to secure production ramp-ups.

In €M	2023	2022	Changes
Sales	838.9	717.3	+ 17.0 %
EBITDA	95.8	103.3	- 7.3 %
EBIT	50.2	49.9	+ 0.7 %
Operating cash flow	66.5	80.8	- 17.7 %
Net industrial CAPEX	- 51.0	- 53.3	- 4.3 %
Free Operating Cash Flow	7.0	9.7	- €2.7 M
Employed at year-end	5 871	5,551	+ 5.8 %
Average full-time equivalent workforce**	6,231	5,701	+ 9.3 %

Key figures as at December 31

* Free Operating Cash Flow: net operating cash flow Minus net CAPEX and changes in working capital requirements. ** including temporary workers.

LISI AUTOMOTIVE

• • 9.5 % growth in sales to €610.4 M (2022: €557.6 M) driven by the rise of new products intended for the electromobility market and the partial pass-through of inflation in sales prices;
• Current operating profit at €21.7 M (2022: + €28.1 M) affected by the impact of inflation on all Manufacturing costs and the acceleration of recruitments, which momentarily weigh on productivity;
• Operating Free Cash Flow up sharply to + €25.9 M thanks to the effective adjustment of the working capital requirement to the activity level;
• Continuation of an excellent momentum in the acquisition of orders for new products, reaching a new record in 2023 at €73.0 M.

Key figures as at December 31

In €M	2023	2022	Changes
Sales revenue	610.4	557.6	+ 9.5 %
EBITDA	52.1	61.3	- 15.1%
EBIT	21.7	28.1	- 22.8%
Operating cash flow	39.1	53.5	- 26.9 %
Net industrial CAPEX	- 28.5	- 30.6	- 6.9 %
Free Operating Cash Flow*	25.9	9.4	+ €16.5 M
Employed at year-end	3,202	3,298	- 2.9 %
Average full-time equivalent workforce**	3,292	3,259	+ 1.0 %

* Free Operating Cash Flow: net operating cash flow Minus net CAPEX and changes in working capital requirements. ** including temporary workers.

LISI MEDICAL

• Second consecutive financial year with more than 20% growth which reached the record level of €181.9 M driven by the success of the new products launched by the division and the post-COVID rebound among the division's main customers;
• The current operating margin exceeds 10% (11.5% of sales, or + 2.9 points compared to 2022);
• Operating Free Cash Flow is positive (+ €8.0 M) thanks to a good adjustment of working capital requirements and after significant CAPEX.

Key figures as at December 31

In €M	2023	2022	Changes
Sales	181.9	150.8	+ 20.6 %
EBITDA	31.6	22.7	+ 39.4%
EBIT	20.8	13.0	+ 60.1 %
Operating cash flow	26.8	20.8	+ 28.4 %
Net industrial CAPEX	- 17.1	- 25.7	- 33.5 %
Free Operating Cash Flow*	8.0	1.0	+ €7.9 M
Employed at year-end	846	780	+ 8.5 %
Average full-time equivalent workforce**	890	809	+ 10.0 %

* Free Operating Cash Flow: net operating cash flow Minus net CAPEX and changes in working capital requirements.

** including temporary workers.

Future outlook

LISI AEROSPACE

In civil aeronautics, the outlook offers strong visibility to the entire sector over time with a book-to-bill ratio significantly greater than 1. The other market segments (helicopters and military) are also doing well.

The increase in production levels and the recruitment necessary to cope with them will hold a central place in LISI AEROSPACE's action, in a context where inflationary pressure should however be reduced. Cost increases, those experienced so far as well as those of 2024, will still have to be reflected in sales prices given the inertia of contracts. Concurrently, the reduction in inventories remains a priority objective.

The division will also continue its innovation efforts on products and manufacturing processes to ensure its future growth, and to adapt to the tightening of quality requirements. The Innovation Award recently awarded to LISI AEROSPACE for its OPTIBLIND™ assembly system and the initial deliveries of parts based on TYX technology (alternative to high-power forging technology) constitute important elements of differentiation to the division.

LISI AUTOMOTIVE

The volume of the global automobile market is expected to be stable in 2024. However, it will continue to fluctuate in a context marked by a profound shift in the global competitive landscape, notably with the significant rise of Chinese players.

The LISI AUTOMOTIVE division nevertheless forecasts an increase in sales in 2024: this is based on solid positioning, fueled by record order intake in recent years for new high valueadded products that meet the growing needs of the market in terms of electromobility.

Operationally, priorities will remain focused on adjusting production levels to meet customer needs, continuing efforts to enhance the overall competitiveness of LISI AUTOMOTIVE product offerings, and industrializing and ramping up the production of new products ordered in 2022 and 2023.

LISI MEDICAL

The minimally invasive surgery and orthopedic reconstruction markets are well oriented over the long term. The division enters fiscal 2024 with strong order books that could adjust based on inventory levels in the hospital supply chain.

Priority will be given to the continued development of new products and the ramp-up of production volumes while maintaining the necessary flexibility to cope with possible fluctuations in order books.

LISI CONSOLIDATED

The Group is expected to benefit from the positive momentum of various markets in which it is well positioned, thanks to the acquisition of orders for new high-value-added products and innovative solutions that meet evolving customer needs. It is thus reaping the fruits of significant innovation programs and industrial investments implemented in recent years.

The Major point of attention for the coming year will be the ability to adapt production levels to customer demand and ensure program continuity.

In an environment where inflationary pressure is expected to subside, the Group aims to improve its key financial indicators: EBIT and Free Cash Flow.

CONTACT Emmanuel VIELLARD, CEO Email: emmanuel.viellard@lisi-group.com Tel. : +33 (0)3 84 57 00 77 - www.lisi-group.com

Income statement

(in thousands of euros)	12/31/2023	12/31/2022
SALES REVENUES	1 630 444	1 425 212
Changes in inventories, finished products and production in progress	19 400	39 363
Total production	1 649 844	1 464 575
Other income	47 901	38 566
TOTAL OPERATING REVENUES	1 697 745	1 503 141
Consumed goods	(513 070)	(450 558)
Other purchases and external expenses	(385 508)	(319 554)
Taxes and duties	(9 509)	(9 562)
Employee benefits expense (including temps)	(611 461)	(537 010)
EBITDA	178 197	186 458
Depreciation	(100 903)	(98 963)
Net provisions	13 389	1 605
CURRENT OPERATING PROFIT (EBIT)	90 683	89 100
Non-recurring operating revenues	(4 312)	(9 678)
OPERATING PROFIT	86 371	79 423
Financing expenses and revenue on cash	(20 206)	(4 989)
Revenue on cash	1 652	1 719
Financing expenses	(21 858)	(6 708)
Other interest revenue and expenses	(5 415)	2 845
Other financial items	18 329	40 075
Other interest expenses	(23 744)	(37 230)
Taxes (including CVA (Tax on Companies' Added Value))	(24 083)	(20 550)
PROFIT (LOSS) FOR THE PERIOD	36 667	56 729
Attributable as company shareholders' equity	37 533	56 960
Interest not granting control over the company	(866)	(231)
EARNINGS PER SHARE (IN €)	0,83	1,08
DILUTED EARNINGS PER SHARE (IN €)	0,81	1,06

Statement of comprehensive income

(in thousands of euros)	12/31/2023	12/31/2022
PROFIT (LOSS) FOR THE PERIOD	36 667	56 729
Elements not recyclable in result
Revaluation of net liabilities (assets) of defined benefit plans (gross element)	-4 887	6 094
Revaluation of net liabilities (assets) of defined benefit plans (tax impact)	781	-2 301
Elements that can subsequently be recycled as a result
Exchange rate differences resulting from foreign operations	-7 993	15 289
Hedging instruments (gross element)	1 812	661
Hedging instruments (tax impact)	-656	577
TOTAL OTHER PORTIONS OF GLOBAL EARNINGS FOR THE PERIOD, AFTER TAXES	-10 943	20 320
TOTAL OVERALL INCOME FOR THE PERIOD	25 723	77 048
Attributable as company shareholders' equity	26 425	77 388
Interest not granting control over the company	-701	-339

Statement of financial position

ASSETS (in thousands of euros)	12/31/2023	12/31/2022
NON-CURRENT ASSETS
Goodwill	406 722	413 938
Other intangible assets	28 682	31 568
Tangible assets	746 880	730 492
Non-current financial assets	15 120	10 971
Deferred tax assets	44 193	50 912
Other non-current assets	85	165
TOTAL NON-CURRENT ASSETS	1 241 682	1 238 046
CURRENT ASSETS
Inventories	437 323	400 298
Taxes - Claim on the state	14 112	12 790
Trade and other receivables	226 137	203 803
Cash and cash equivalents	139 312	144 149
TOTAL CURRENT ASSETS	816 884	761 040
TOTAL ASSETS	2 058 566	1 999 087

TOTAL EQUITY AND LIABILITIES (in thousands of euros)	12/31/2023	12/31/2022
SHAREHOLDERS' EQUITY
Capital stock	18 615	21 646
Additional paid-in-capital	–	75 329
Treasury shares	(19 638)	(20 135)
Consolidated reserves	866 704	941 394
Conversion reserves	35 908	44 061
Other elements of comprehensive income	(6 554)	(3 599)
Profit (loss) for the period	37 533	56 960
TOTAL SHAREHOLDERS' EQUITY - GROUP'S SHARE	932 565	1 115 656
Interest not granting control over the company	6 171	2 770
TOTAL SHAREHOLDERS' EQUITY	938 736	1 118 426
NON-CURRENT LIABILITIES
Non-current provisions	52 859	50 992
Non-current borrowings	494 383	327 804
Other non-currents liabilities	10 792	7 434
Deferred tax liaibilities	48 897	46 398
TOTAL NON-CURRENT LIABILITIES	606 931	432 628
CURRENT LIABILITIES
Current provisions	10 054	25 211
Current borrowings	145 989	107 838
Trade and other accounts payable	356 027	313 950
Taxes due	829	1 034
TOTAL CURRENT LIABILITIES	512 899	448 035
TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES	2 058 566	1 999 087
* Including short-term banking facilities	21 959	6 851

Consolidated cash flow statement

(in thousands of euros)	12/31/2023	12/31/2022
OPERATING ACTIVITIES
NET PROFIT (LOSS)	36 667	56 729
Elimination of net expenses not affecting cash flows:
- Depreciation and non-recurrent financial provisions	100 368	97 029
- Changes in deferred taxes	8 765	8 552
- Incarne on disposals, provisions for liabilities and others	(11 465)	(7 489)
GROSS CASH FLOW MARGIN	134 335	154 821
Net change in provisions provided by or used for current operations	(1 835)	3 065
OPERATING CASH FLOW	132 499	157 886
Income tax expense elimination	15 318	11 998
Elimination of net borrowing costs	17 986	5 029
Effect of changes in inventory on cash	(37 605)	(68 177)
Effect of changes in accounts receivable and accounts payable	25 974	39 921
NET CASH PROVIDED BY OR USED FOR OPERATIONS BEFORE TAX	154 173	146 657
Tax paid	(17 256)	(12 916)
CASH PROVIDED BY OR USED FOR OPERATING ACTIVITIES (A)	136 916	133 742
INVESTMENT ACTIVITIES
Acquisition of consolidated companies
Acquired cash
Acquisition of tangible and intangible fixed assets	(98 889)	(110 553)
Acquisition of financial assets	(3 000)
Change in granted loans and advances	(67)	(1 096)
TOTAL CASH USED FOR INVESTMENT ACTIVITIES	(101 956)	(111 649)
Divested cash
Disposal of consolidated companies
Disposal of tangible and intangible fixed assets	2 182	884
Disposal of financial assets
TOTAL CASH FROM DISPOSALS	2 182	884
CASH PROVIDED BY OR USED FOR INVESTMENT ACTIVITIES (B)	(99 774)	(110 764)
FINANCING ACTIVITIES
Capital increase	4 106
Capital decrease (OPRA)	(204 552)
Dividends paid to Group shareholders Dividends paid to non-controlling interests in consolidated companies	(7 996)	(15 418)
TOTAL CASH FROM EQUITY OPERATIONS	(208 441)	(15 418)
New long-term loans	267 585	89 728
New short-term loans	621	2 105
Repayment of long-term loans	(23 555)	(3 552)
Repayment of short-term loans	(79 445)	(166 234)
Net interest expense paid	(17 986)	(5 029)
TOTAL CASH FROM LOANS AND OTHER FINANCIAL LIABILITIES	147 221	(82 982)
CASH PROVIDED BY OR USED FOR FINANCING ACTIVITIES (C)	(61 220)	(98 400)
Effect of change in foreign exchange rates (D)	3 643	(1 363)
Effect of adjustments in treasury shores (D)	490	(654)
CHANGES IN CASH (A+B+C+D)	(19 945)	(77 440)
Cash at January 1 (E)	137 298	214 736
Cash at year-end (A+B+C+D+E)	117 353	137 298
Cash and cash equivalents	139 312	144 149
Short-term banking facilities CLOSING CASH POSITION	(21 959) 117 353	(6 851) 137 298

Statement of changes in equity

(in thousands of euros)		Capital stock Capital-linked premiums	Treasury shares	Consolidated reserves	Conversion reserves	Other elements of comprehensive income	Profit for the period, Group share	Group's share of shareholders' equity	Interest not granting control over the company	Total shareholders' equity
SHAREHOLDERS' EQUITY AT JANUARY 1, 2022	21 646	75 329	(19 480)	908 804	28 629	(8 595)	44 048	1 050 383	3 110	1 053 493
Profit (loss) for the period N (a)	–	–	–	–	–	–	56 960	56 960	(231)	56 729
Translation differences (b)	–	–	–	–	15 432	–	–	15 432	(143)	15 289
Payments in shares	–	–	–	1 354	–	–	–	1 354	–	1 354
Restatement of treasury shares	–	–	(655)	(39)	–	–	–	(694)	–	(694)
Revaluation of net liabilities (assets) of defined benefit plans (c)	–	–	–	–	–	3 793	–	3 793	–	3 793
Appropriation of N-1 earnings	–	–	–	44 048	–	–	(44 048)	–	–	–
Dividends distributed	–	–	–	(15 418)	–	–	–	(15 418)	–	(15 418)
Restatement of financial instruments (d)	–	–	–	–	–	1 204	–	1 204	35	1 238
Various	–	–	–	2 643	–	–	–	2 643	–	2 643
SHAREHOLDERS' EQUITY AT DECEMBER 31, 2022	21 646	75 329	(20 135)	941 394	44 061	(3 599)	56 960	1 115 656	2 770	1 118 426
including total income and expenses reported for the year (a) + (b) + (c) + (d)	–	–	–	–	15 432	4 996	56 960	77 388	(339)	77 048
SHAREHOLDERS' EQUITY AT JANUARY 1ST, 2023	21 646	75 329	(20 135)	941 394	44 061	(3 599)	56 960	1 115 656	2 770	1 118 426
Profit (loss) for the period N (a)	–	–	–	–	–	–	37 533	37 533	(866)	36 667
Translation differences (b)	–	–	–	–	(8 153)	–	–	(8 153)	160	(7 993)
Payments in shares	–	–	–	2 302	–	–	–	2 302	–	2 302
Capital increase	–	–	–	–	–	–	–	–	4 102	4 102
Capital decrease (OPRA)	(3 030)	(75 329)	–	(126 193)	–	–	–	(204 552)	–	(204 552)
Restatement of treasury shares	–	–	497	43	–	–	–	540	–	540
Revaluation of net liabilities (assets) of defined benefit plans (c)	–	–	–	–	–	3 793	–	3 793	–	3 793
Appropriation of N-1 earnings	–	–	–	56 960	–	–	(56 960)	–	–	–
Dividends distributed	–	–	–	(7 996)	–	–	–	(7 996)	–	(7 996)
Restatement of financial instruments (d)	–	–	–	–	–	1 150	–	1 150	5	1 155
Various	–	–	–	191	–	–	–	191	–	191
SHAREHOLDERS' EQUITY AT DECEMBER 31, 2023	18 615	–	(19 638)	866 704	35 908	(6 554)	37 533	932 565	6 171	938 736
including total income and expenses reported for the year (a) + (b) + (c) + (d)	–	–	–	–	(8 153)	(2 955)	37 533	26 425	(701)	25 723