FY 2016-17
Full-year revenues up +58% to €24.3 million
(like-for-like contraction of -7% proforma1)
Highlights of the year
The GECI International Group (“the Group”) is reporting full-year revenues of €24.29 million, up 58% from 2015-16 on a reported basis, and down 7% from 2015-16 proforma.
The proforma data factor in the cancelation of the consolidation of ETUD Integral, the company acquired in June 2016, which contributed €2.7 million over nine months (€0.98 million in the fourth quarter). They also reflect the impact of a positive exchange effect for €0.1 million for the year (€0.03 million in the fourth quarter). This contraction is linked to the withdrawal from certain activities, including the sale of the business in Toulouse, France.
The Group would like to remind readers that FY 2015-16 was marked by the acquisition of the EOLEN Group, which has been included in the consolidated accounts since August 1, 2015. To offer a basis for comparison with business for FY 2015-16, a proforma table1 is presented below.
During the past year, the business divisions across the Group's various subsidiaries have been reorganized as specialized Business Units focused on a limited number of activities and markets. In this context, the EOLEN Group has adjusted the positioning of its range of solutions around strong value-added markets, while scaling down activities with limited visibility and low margins (short-term “technician” profiles without renewal or even “operator” profiles in the industry and energy sector). The impacts of this strategy are expected to be seen from next year.
At end-March 2017, the Group had a total of 345 employees, with the reduction in its workforce by 22 people resulting from its withdrawal from certain non-strategic missions, particularly short-term missions or clients with limited potential.
Change in revenues for each quarter
| €M (unaudited consolidated data) | FY 2016-17 | FY 2015-16 reported |
Change |
| 1st quarter (April-June) | 5.50 | 0.40 | x13 |
| 2nd quarter (July-September) | 6.00 | 3.56 | +68% |
| 3rd quarter (October-December) | 6.42 | 5.88 | +9% |
| 4th quarter (January-March) | 6.37 | 5.58 | +14% |
| Full-year revenues | 24.29 | 15.41 | +58% |
Change in revenues for each quarter (proforma)
| €M (unaudited consolidated data) | FY 2016-17 adjusted |
FY 2015-16 proforma |
Change |
| 1st quarter (April-June) | 5.50 | 6.42 | -14% |
| 2nd quarter (July-September) | 5.02 | 5.34 | -6% |
| 3rd quarter (October-December) | 5.58 | 5.88 | -5% |
| 4th quarter (January-March) | 5.53 | 5.58 | -1% |
| Full-year revenues | 21.63 | 23.23 | -7% |
ETUD Integral's contribution has been eliminated for FY 2016-17 (€2.7 million) so that the FINANCIAL data can be compared on a like-for-like basis.
Change in revenues for each business
| Business division | FY 2016-17 | FY 2015-16 reported |
Change (%) |
||
| €M | % of rev | €M | % of rev | ||
| Engineering | 5.97 | 25% | 2.82 | 18% | +112% |
| Finance | 5.48 | 23% | 4.26 | 28% | +29% |
| Telecoms & IT | 12.71 | 52% | 8.32 | 54% | +53% |
| Holding | 0.12 | 1% | 0.01 | 0% | NS |
| Full-year revenues | 24.29 | 100% | 15.41 | 100% | +58% |
Change in revenues for each business (proforma)
| Business division | FY 2016-17 adjusted |
FY 2015-16 proforma |
Change (%) |
||
| €M | % of rev | €M | % of rev | ||
| Engineering | 3.31 | 25% | 4.2 | 18% | -21% |
| Finance | 5.48 | 23% | 6.55 | 28% | -16% |
| Telecoms & IT | 12.71 | 52% | 12.47 | 54% | +2% |
| Holding | 0.12 | 1% | 0.01 | 0% | NS |
| Full-year revenues | 21.63 | 100% | 23.23 | 100% | -7% |
- Engineering
The “Engineering” division's full-year revenues came to €5.97 million, representing 24.6% of consolidated revenues.
In France, the actions taken have helped build loyalty among longstanding clients, while developing new positions in high-growth sectors, such as renewable energies, electric vehicles and urban transport. The division's expert capabilities have also been further strengthened with the activities of ETUD Integral, which offers strong value-added differentiating services.
In South Africa, the Group has achieved strong growth in sales. A significant multi-year contract has been ramped up thanks to the strengthening of its range of specialized training programs for highly regulated industries.
- Finance
The “Finance” division generated full-year revenues of €5.48 million, representing 22.6% of consolidated revenues.
The division's offers have been repositioned around activities such as operational consulting, IT project management and user project management, benefiting from strong demand and higher value-added. This strategy MADE it possible to further strengthen listings at the end of the year.
- IT & Telecoms
Full-year revenues for the “IT & Telecoms” division came to €12.71 million, representing 52.3% of consolidated revenues.
In France, the division has been repositioned around four areas of expertise: network engineering, embedded IT, web and business application development, and Big Data.
This strategy to capitalize on the various areas of expertise has made it possible to sign new contracts with leading telecoms equipment manufacturers and operators. It has also helped drive growth in the IT outsourcing business and has been accompanied by the strong development of innovative offers, particularly in the High Performance Computing (HPC) sector, supported by the acquisition and renewal of multi-year contracts.
The Brazilian subsidiary has confirmed its dynamic development, with continued growth in its business volume, against a backdrop of sustained demand in the finance sector and the gradual diversification of offers in the multimedia sector.
Change in revenues for each region
At March 31, 2017, the breakdown of the Group's consolidated revenues was as follows: 83% in France, 13% in Brazil and 4% in South Africa.
| FY 2016-17 | FY 2015-16 reported |
Change (%) |
|||
| €M | % of rev | €M | % of rev | ||
| France | 20.08 | 83% | 13.08 | 85% | +54% |
| Brazil | 3.22 | 13% | 1.69 | 11% | +91% |
| South Africa | 0.99 | 4% | 0.64 | 4% | +55% |
| Full-year revenues | 24.29 | 100% | 15.41 | 100% | +58% |
| FY 2016-17 adjusted |
FY 2015-16 proforma |
Change (%) |
|||
| €M | % of rev | €M | % of rev | ||
| France | 17.42 | 81% | 20.08 | 86% | -13% |
| Brazil | 3.22 | 15% | 2.51 | 11% | +28% |
| South Africa | 0.99 | 4% | 0.64 | 3% | +54% |
| Full-year revenues | 21.63 | 100% | 23.23 | 100% | -7% |
Outlook
In 2017, the Group's actions are targeting strong progress with growth, focused on expanding its client base and further strengthening the quality of its offers.
The Group is looking to capitalize on opportunities for development in engineering, telecoms and IT. By capitalizing on its expert capabilities and knowledge of international markets, while developing strategic and industrial partnerships, the Group is extending its range to include high-potential niches, such as new mobility solutions or cybersecurity.
With its highly complementary and innovative expert capabilities, the Group is supporting major industrial firms, SMEs and startups with designing and developing smart services and solutions, ensuring the success of their digital transition.
Next date:
- 2016-17 full-year earnings: end-July 2017.
About GECI International: Smart Solutions for a Smart World
The GECI International Group, created in 1980, has established itself as a high-tech engineering specialist. Today, GECI International is targeting high-growth, strong value-added market segments, focusing in particular on engineering, IT, telecommunications and smart products and services. With its world-renowned credibility for advisory services, its expertise and its ability to deploy the most qualified skills, GECI International is supporting businesses with their digital transition and their efforts to design and develop new smart services and solutions.
GECI International - French limited company (société anonyme) with capital of €720,419.36
Registered office: 48 bis Avenue Kléber - 75116 Paris – France - Paris trade and companies register: 326 300 969
GECI International is listed on the regulated market Euronext Paris – Compartment C
isin (shares): FR0000079634 – GECP
ISIN (equity warrants): FR0013141249 - GECBS
Contact:
GECI INTERNATIONAL
Investor Relations
Tel: +33 (0)1 44 34 00 20
relation.investisseurs@geci.net
CALYPTUS
Cyril Combe
Tel: +33 (0)1 53 65 68 68
geci@calyptus.net
1 The proforma data are to be understood as if the EOLEN Group had been acquired on April 1, 2015 in order to have a full year for FY 2015-16. ETUD Integral has been included in the GECI International Group's accounts since it was acquired on June 21, 2016. Its contribution has been eliminated for FY 2016-17 to enable a comparison on a like-for-like basis.
