2018 annual results
Record sales, profitability and cash - strong order intake
Proposed divided of 1.25€ per share, up 14% year-on-year
Continued sales outperformance, strong profitability and cash in 2019
All 2018 financial targets achieved, record sales, profitability and cash
- Sales of €17.5 billion, up 7% at constant currencies and 810bps above worldwide automotive production growth (-1.1%, source: IHS Markit January 2019)
- Operating income up 10% to €1,274 million and operating margin at 7.3% (+50bps year-on-year)
- Net income (Group share) and EPS up 17% to €701 million and €5.11 respectively
- Net cash flow up 21% to €528 million
- Solid financial structure with net debt at 0.2x EBITDA at year-end
Another year of strong order intake
- 2016-2018 three-year rolling order intake at €63 billion: best ever, supported by best-in-class execution and strong focus on Total Customer Satisfaction
Proposed dividend of 1.25€ per share
- Up 14% year-on-year and representing a pay-out ratio of 24%
- Subject to approval at the Annual Shareholders’ Meeting to be held in Nanterre on May 28
2019 Guidance (including impact of IFRS16 implementation as of January 1, 2019)
- In an environment that remains uncertain and assuming that worldwide automotive production should be down 1% in 2019 vs. 2018:
- FY 2019 sales growth at constant currencies should outperform worldwide automotive production by 150 to 350bps (excluding Clarion consolidation)
- FY 2019 operating income should increase in value and operating margin should be at least 7% (including Clarion consolidation as from April 1)
- FY 2019 net cash flow should be at least €500m (including Clarion consolidation as from April 1)
In 2018, we once again met all our financial targets for the year, despite an environment that worsened in the second half. This demonstrates the agility and resilience of Faurecia’s business model. In addition, we have recorded another year of strong order intake, including a significant contribution from our New Value Spaces, ensuring our future profitable growth. I thank all Faurecians for their effective contribution to this performance.
In 2019, in a very uncertain environment, we assume that automotive production will be slightly negative. In this context, we are committed to further demonstrate the resilience of Faurecia. We will outperform the market and maintain strong profitability and cash generation. At the same time, we will continue to deploy our “Cockpit of the Future” and “Sustainable Mobility” strategy. The acquisition of Clarion, which should be closed during the first quarter, will enable us to become a global leader in cockpit electronic systems.
For more information, please check the full press release below.