Meudon (France),
March 2, 2023
Fourth Quarter and Full Year 2022
Results
- FY 2022
results
in-line with
objectives with
EBITDA of €312 million in Q4 and €715
million for the full
year
- Positive
Free Cash Flow generation of €185 million in H2
driven by strong Q4
performance of €266
million, enabling
Net
Debt reduction
of €363
million
(a)
(b)
- Worldwide
Tubes
business remains
on a positive
trajectory with
particular strength in the
U.S.
- New Vallourec plan well
advanced and being implemented worldwide,
including Brazil
- For FY
2023, expect
a further
improvement in
EBITDA, positive Free Cash
Flow generation and
Net Debt reduction
(a)
(b)
Highlights
Solid Q4 and FY 2022 Performance
- Q4 EBITDA of €312 million, up 129%
year-on-year and by 58% quarter-on-quarter
- Strong Q4 Free Cash Flow generation
of €266 million (a)
- Net Debt reduction of €363 million
in Q4 driven predominately by Free Cash Flow in addition to
disposals and non-cash balance sheet movements (a) (b)
- Iron ore mine production sold of
1.4 million tonnes in Q4 slightly above prior estimate; positive
steps achieved towards full restart of mine
- FY 2022 results in line with
objectives:
- EBITDA at €715 million
- Positive Free Cash Flow generation
in H2 of €185 million (a)
- Net debt on downward trajectory
after peaking in September 2022 due to working capital
investments
Continuing strong commercial dynamic,
with further important new wins
- Three-year Long-Term Agreement with
Petrobras for the supply of 110,000 tonnes of Premium OCTG
products, associated accessories, and specialized physical and
digital services
- Significant orders from LLOG
Exploration Offshore for the supply of 25,000 tonnes of line pipe
for the Salamanca deep-water development off U.S. coast of Gulf of
Mexico
Further improvement expected in FY 2023
- Further improvement in EBITDA
- Positive Free Cash Flow generation
despite higher-than-normal capex related to the Oil & Gas
volumes transfer from Germany to Brazil, and expected one-time New
Vallourec restructuring / other cash outflows (a)
- Further Net Debt reduction expected
(b)
New Vallourec plan on track with new
initiatives added
- On track to generate €230 million
of recurring EBITDA uplift with full effect starting Q2 2024
- New Vallourec plan well advanced
and being implemented worldwide, including Brazil
Philippe Guillemot, Chairman of the
Board of Directors, and Chief Executive Officer,
declared:
“2022 was an excellent year for Vallourec on all
fronts – operational, commercial, and financial. First, our New
Vallourec strategic plan, launched only in May 2022, accomplished
all its key milestones. It is fully on track to generate €230
million of recurring EBITDA uplift, with the full impact starting
in Q2 2024.
2023 will be a pivotal year of the New Vallourec
plan with the closure of our German plants and the full transfer of
the Oil & Gas volumes to Brazil. In addition, since the
original launch of the New Vallourec plan in Q2 of 2022, we have
identified additional initiatives which are being implemented
worldwide.
We have signed a sale contract for our Mülheim
site in Germany which will realize €40 million in proceeds, while
the sale process for our much larger site in Duesseldorf-Rath is
progressing (c).
We have partially mitigated the headwind of the
waste pile slippage at our Pau Branco iron ore mine by securing
alternative solutions to continue operating and minimizing the loss
in production on the Group’s results. We expect to receive the
approval to resume operating at full capacity at the beginning of
Q2 2023.
On the commercial front, we are fully leveraging
the positive market conditions of the global Tubes sector thanks to
our unparalleled technological expertise and customer service. We
have secured several important commercial wins this year, most
recently with Petrobras and LLOG, showcasing the excellence of our
innovative solutions.
Finally, we delivered a strong set of results
fully in line with our objectives, with an EBITDA of €715 million
over the Full Year 2022, a positive Free Cash Flow of €185 million
for the Second Half, both driven by a strong Fourth Quarter
performance, enabling us to reduce Net Debt (a) (b). In 2023, which
will be a key year in the New Vallourec plan, we expect to continue
on this positive trajectory with a further increase in EBITDA,
positive Free Cash Flow generation, and further reduction in Net
Debt (a) (b).
I am extremely proud to be at the helm of
Vallourec to lead its transformation, and together with our
committed employees, look forward to the coming year with
confidence and enthusiasm.”
KEY DATA
in € million |
Q4 2022 |
Q4 2021 |
% change |
FY 2022 |
FY 2021 |
% change |
Tubes volume
sold
(thousand
tonnes) |
514 |
510 |
1% |
1,804 |
1,640 |
10% |
Iron ore volume
sold (million
tonnes) |
1.4 |
1.7 |
(13)% |
4.0 |
8.1 |
(50)% |
Group
Revenues |
1,541 |
1,064 |
45% |
4,883 |
3,442 |
42% |
Group EBITDA |
312 |
136 |
+€176m |
715 |
492 |
+€223m |
(as a % of revenue) |
20.2% |
12.8% |
+7.4p.p. |
14.6% |
14.3% |
+0.3p.p. |
Operating income
(loss) |
164 |
75 |
+€89m |
(122) |
374 |
€(496)m |
Net income,
Group share |
78 |
89 |
(12)% |
(366) |
40 |
€(406)m |
Free Cash
Flow
(a)d |
266 |
17 |
+€249m |
(216) |
(284) |
+€68m |
Net Debt |
1,130 |
956 |
+€174m |
1,130 |
956 |
+€174m |
CONSOLIDATED
RESULTS ANALYSIS
In the Fourth
Quarter of
2022,
Vallourec recorded revenues
of
€1,541
million, up
45%
year-on-year and by
31.5%
at constant exchange
rates. The increase in Group
revenues
reflects:
- 1% volume increase mainly driven by
Oil & Gas in North America
- 31% price/mix effect
- (1)% Mine and Forest
- 13% currency effect mainly related
to weaker EUR/USD and EUR/BRL
For the
Full Year,
revenues totaled
€4,883
million, up
42%
year-on-year and by
28.5% at
constant exchange rates.
The increase in Group revenues
reflects:
- 9% volume increase mainly driven by
Oil & Gas in North America and to a lesser extent in the Middle
East
- 25% price/mix effect
- (6)% Mine and Forest
- 13% currency effect mainly related
to weaker EUR/USD and EUR/BRL
Q4
2022
Consolidated
Results
Analysis
In the Fourth
Quarter of 2022, EBITDA amounted
to €312
million compared with €136 million in Q4
2021; the EBITDA margin
reached
20.2% of
revenues versus 12.8% in Q4 2021. For the
Group, the EBITDA increase reflects:
- An industrial margin of
€415 million, or 26.9% of revenues, versus €219 million or
20.6% of revenues in Q4 2021. The positive contribution of the Oil
& Gas market in North America, both in prices and volumes, was
partially offset by the negative impact of the lower mine and
forest activity.
- Sales, general and
administrative costs (SG&A) of
€89 million or 5.8% of
revenues, versus 7.8% in Q4 2021.
Operating income was
positive at €164
million, compared to €75 million
in Q4 2021. In Q4 2022, the Group booked restructuring charges
amounting to €56 million mainly related to restructuring measures
in Germany and France, consultancy fees and dismantling costs in
France, as well as impairment charges of €36 million, predominantly
related to the German tube plants.
Financial
income was negative at
€(60)
million, compared with €(25)
million in Q4 2021 driven by FX losses among others; net interest
expenses in Q4 2022 stood at €(25) million compared to €(21)
million in Q4 2021.
Income tax amounted
to €(9)
million compared to €40 million
in Q4 2021.
This resulted
in positive net income,
Group share, of €78
million, compared to €89 million
in Q4 2021.
Full Year
2022 consolidated results
analysis
Over the Full Year
2022,
EBITDA amounted to
€715 million, a
€223 million
increase
year-on-year,
resulting in an EBITDA margin of
14.6%.
The EBITDA increase reflects:
- An industrial margin of
€1,076 million or 22% of revenues, up €239 million
compared with FY 2021. The positive contribution of the Oil &
Gas market in North America, both in prices and volumes, was
partially offset by the negative impact of the temporary suspension
of the mine operations.
- Sales, general and
administrative costs (SG&A) of €349
million, or
7.2% of
revenues, versus €316 million and 9.2% of revenues in FY
2021.
Operating income was negative
at €(122)
million compared with €374 million in FY 2021, resulting
mainly from provisions related to the adaptation measures (European
social plans and associated fees) and, to a lesser extent, from
provisions for non-recurring costs related to the iron ore mine
incident.
Financial income was negative
at €(111)
million, compared with €(236)
million in FY 2021; net interest expenses in FY 2022 stood at €(95)
million reflecting the new balance sheet structure.
Income tax amounted to
€(113)
million mainly related to North America and
Brazil.
As a result, net income, Group share,
amounted to
€(366) million,
compared to €40 million in FY 2021.
RESULTS ANALYSIS BY
SEGMENT
TUBES
In Q4
2022,
Tubes revenues
were up
49% predominately due to
higher prices. Tubes EBITDA increased from €86 million to
€285 million driven by an increased EBITDA margin of
19.4%.
For the
Full Year
2022, Tubes
revenues increased by 54% predominately
due to higher prices. EBITDA rose
significantly from €148 million to €638
million based on a 10% increase in volumes, coupled with a
40% increase in the average selling price per tonne.MINE
AND FOREST
In Q4 2022, the iron ore mine production
reached 1.4 million
tonnes, compared
to 1.7 million tonnes in Q4 2021. For the Full Year
2022, the mine produced
4.0 million
tonnes, compared
to 8.1 million tonnes over the Full Year 2021, significantly
reduced as a consequence of the waste pile slippage incident at the
beginning of 2022.
Mine and Forest
revenue in Q4 2022 reached
€70 million, slightly
down by 3% year-on-year. For the Full Year
2022, the Mine and
Forest revenue amounted
to €245
million, a 48% decrease compared to FY 2021.
In Q4
2022, Mine and Forest
EBITDA decreased from €41 million to €22 million due to
lower volumes and lower prices reducing the EBITDA margin to 31%.
For the Full
Year 2022,
Mine and Forest EBITDA decreased strongly from €358 million
to only €113 million due to 50% lower volumes and lower
prices.
CASH FLOW
AND FINANCIAL POSITION
Cash flow from operating
activitiesIn
Q4
2022,
cash flow from operating activities
improved to
€161
million, compared to €10 million
in Q4 2021; higher EBITDA and lower income tax cash-out more
than offset the increase in restructuring cash-out and in financial
interest paid. For the
Full Year 2022,
cash flow from operating activities
was €330
million compared to €26 million in FY 2021. The
improvement was predominantly related to increased EBITDA and lower
income tax.
Operating working capital
requirementIn Q4
2022,
the operating
working capital requirement
decreased by
€183
million, versus a decrease of €61 million in
Q4 2021. The net working capital
requirement stood at 80
days of sales, compared to 84 days in Q4
2021.For the Full
Year 2022,
working capital increased by
€355
million versus an increase of €172 million in FY
2021.
CapexCapital
expenditure was
€78 million
in Q4
2022, compared with €54 million
in Q4 2021, and
€191
million in FY
2022 compared to €138 million in
FY 2021.
Free cash
floweAs a result, in
Q4
2022
free cash flow
was €266
million versus €17 million in Q4 2021
(a).Free cash flow for
the Full Year of
2022 was
negative at
€(216)
million, compared with negative
€(284) million in FY 2021, after
a
€355
million working capital increase
over the year. (a)
Asset
disposals and other
itemsIn Q4
2022,
asset disposals and
other items amounted to
€98
million, compared with €19
million in Q4 2021. These amounts reflected €45 million in non-cash
items including accrued interest and fair value adjustments on
debt. Additionally, these amounts reflected a €53 million change in
cash items, including €26 million for disposal on assets and other
items. Over the Full Year
of 2022, asset disposals
and other items amounted to
€44
million.
Net debt and
liquidityAs of
December
31,
2022, net debt stood at
€1,130
million, compared with
€1,493
million on
September
30,
2022. Gross debt
amounted to €1,682 million including €70 million of fair value
adjustment under IFRS 9 (which will be reversed over the life of
the debt). Long-term debt amounted to €1,368 million and short-term
debt totaled €314 million.
As of December 31, 2022, lease debt stood at €71
million following the application of IFRS 16 standards, compared
with €78 million on September 30, 2022.
As of December
31,
2022, the
liquidity position
was strong at
€1,203
million, with cash amounting to
€552 million, an undrawn committed Revolving Credit Facility of
€462 million, and an Asset Backed Loan of $210 million (d).
The
Group has no repayments scheduled
before June 2026.
UPDATE ON PAU BRANCO MINE
Operations at Vallourec’s Pau Branco iron ore
mine were temporarily suspended in January 2022 following slippage
at its Cachoeirinha waste pile. Operations were partially restarted
in May using alternative waste piles, albeit at lower-than-normal
capacity levels. Volumes sold in 2022 amounted to 4.0 million
tonnes, slightly ahead of estimates given at the Q3 2022 results
release.
Permissions have been secured to continue using
alternative waste piles until the beginning of Q2 2023. In
parallel, the Group has finalized all civil works required to
achieve a minimum safety factor and applied for its release. The
solidity of the structure was confirmed during the rainy
season.
For Q1 2023, Vallourec estimates production of
approximately 1.5 million tonnes. The release of the core waste
pile and resumption of normal operations is expected at the
beginning of Q2 2023.
NEW VALLOUREC PLAN ON TRACK WITH NEW
INITIATIVES ADDED
The New Vallourec plan, announced in May 2022,
remains fully on track. The plan aims to generate €230 million of
recurring EBITDA uplift and around €20 million CAPEX reduction with
the full impact starting in Q2 2024. It will contribute to making
the Group cycle-proof and generating positive Free Cash Flow,
before change in working capital, even at the bottom of the cycle.
(a) f
In 2022 firm social agreements were secured in
France, Germany, and the UK, substantially de-risking the plan and
allowing our teams to focus on execution. Employees at the sites to
be closed or downsized will begin to leave the company in Q1 of
2023 with the last wave of departures in 2024. The industrial CAPEX
plan in Brazil is on track to ensure the full transfer of Oil &
Gas volumes from Germany throughout the course of 2023.
In February 2023 we signed a contract to sell
our Mülheim site for €40 million (c). The sale process for our much
larger site in Duesseldorf-Rath is ongoing. g
Moreover, we are implementing New Vallourec initiatives in other
geographies, including Brazil, as well as production increases in
the U.S. and Saudi Arabia.
In addition, a value-over-volume strategy
incorporates portfolio rationalization to drive profitable growth.
Vallourec aims to achieve best-in-class profitability levels and
close the margin gap with peers over the cycle.
OUTLOOK
2023
Based on our market assumptions, as well as our
progress throughout 2022, we are confident that 2023 will see a
further significant enhancement in our financial results, with
notably:
- An improvement in EBITDA, which
will be driven by both our Tubes business and Mine and Forest
business
- After a positive Free Cash Flow generation in H2 2022, our
ambition is to be also Free Cash Flow positive for the Full Year
2023. This is despite CAPEX of around 220 million euros and the
expected one-time New Vallourec restructuring cash outflows of
about 350 million euros (a)7
- And we expect further Net Debt
reduction in 2023 (b)h
Information and Forward-Looking Statements
This press release
includes forward-looking statements. These forward-looking
statements can be identified by the use of forward-looking
terminology, including the terms as “believe”, “expect”,
“anticipate”, “may”, “assume”, “plan”, “intend”, “will”, “should”,
“estimate”, “risk” and or, in each case, their negative, or other
variations or comparable terminology. These forward-looking
statements include all matters that are not historical facts and
include statements regarding the Company’s intentions, beliefs or
current expectations concerning, among other things, Vallourec’s
results of operations, financial condition, liquidity, prospects,
growth, strategies and the industries in which they operate.
Readers are cautioned that forward-looking statements are not
guarantees of future performance and that Vallourec’s or any of its
affiliates’ actual results of operations, financial condition and
liquidity, and the development of the industries in which they
operate may differ materially from those made in or suggested by
the forward-looking statements contained in this presentation. In
addition, even if Vallourec’s or any of its affiliates’ results of
operations, financial condition and liquidity, and the development
of the industries in which they operate are consistent with the
forward-looking statements contained in this presentation, those
results or developments may not be indicative of results or
developments in subsequent periods. By their nature,
forward-looking statements involve risks and uncertainties because
they relate to events and depend on circumstances that may or may
not occur in the future. These risks include those developed or
identified in the public documents filed by Vallourec with the
French Financial Markets Authority (Autorité des marches
financiers, or “AMF”), including those listed in the “Risk Factors”
section of the Registration Document filed with the AMF on April
19, 2022, under filing number n° D.22-0305. Accordingly, readers of
this document are cautioned against relying on these
forward-looking statements. These forward-looking statements are
made as of the date of this document. Vallourec disclaims any
intention or obligation to complete, update or revise these
forward-looking statements, whether as a result of new information,
future events or otherwise, except as required by applicable laws
and regulations. This press release does not constitute any offer
to purchase or exchange, nor any solicitation of an offer to sell
or exchange securities of Vallourec. or further information, please
refer to the website www.vallourec.com.
Presentation of
Q4 2022
results
Conference call / audio webcast on Thursday,
March 2nd at 9:30 am CET
- To listen to the audio webcast:
https://channel.royalcast.com/landingpage/vallourec-en/20230302_1/
- To participate in the conference
call, please dial (password: “Vallourec”):
-
+44 (0) 33 0551 0200 (UK)
-
+33 (0) 1 70 37 71 66 (France)
- +1 786 697 3501 (USA)
- Audio webcast replay and slides
will be available at:
https://www.vallourec.com/en/investors
About Vallourec
Vallourec is a world
leader in premium tubular solutions for the energy markets and for
demanding industrial applications such as oil & gas wells in
harsh environments, new generation power plants, challenging
architectural projects, and high-performance mechanical equipment.
Vallourec’s pioneering spirit and cutting edge R&D open new
technological frontiers. With close to 16,000 dedicated and
passionate employees in more than 20 countries, Vallourec works
hand-in-hand with its customers to offer more than just tubes:
Vallourec delivers innovative, safe, competitive and smart tubular
solutions, to make every project possible.
Listed on Euronext in
Paris (ISIN code: FR0013506730, Ticker VK), Vallourec is part of
the CAC Mid 60, SBF 120 and Next 150 indices and is eligible for
Deferred Settlement Service. In the United States, Vallourec has
established a sponsored Level 1 American Depositary Receipt (ADR)
program (ISIN code: US92023R4074, Ticker: VLOWY). Parity between
ADR and a Vallourec ordinary share has been set at 5:1.
Financial
Calendar
May
17th
2023 May
25th 2023 |
First Quarter 2023 results Ordinary and Extraordinary Shareholders’
Meeting |
For further information, please
contact:
Investor
relations Investor.relations@vallourec.com |
Press
relations Héloïse RothenbühlerTel: +33 (0)1 41 03 77
50 heloise.rothenbuhler@vallourec.com
|
Individual
shareholdersToll Free Number (from France): 0 800 505 110
actionnaires@vallourec.com |
|
Appendices
Due to rounding, numbers presented throughout this and other
documents may not add up precisely to the totals provided and
percentages may not precisely reflect the absolute figures.
Documents accompanying this release:
- Sales volume
- Forex
- Tubes revenues by geographic
region
- Tubes revenues by market
- KPI per segment
- Summary consolidated income
statement
- Summary consolidated balance
sheet
- Free cash flow
- Net Debt
- Indebtedness
- Definitions of non-GAAP financial
data
Tubes sales volume
in thousands of tonnes |
2022 |
2021 |
% Change |
Q1 |
395 |
358 |
10% |
Q2 |
433 |
381 |
14% |
Q3 |
462 |
391 |
18% |
Q4 |
514 |
510 |
1% |
Total |
1,804 |
1,640 |
10% |
Mine sales
volume
in millions of tonnes |
2022 |
2021 |
% Change |
Q1 |
0.14 |
1.9 |
(93)% |
Q2 |
1.0 |
2.3 |
(57)% |
Q3 |
1.5 |
2.2 |
(33)% |
Q4 |
1.4 |
1.7 |
(13)% |
Total |
4.0 |
8.1 |
(50)% |
Forex
Average exchange rate |
FY 2022 |
FY 2021 |
EUR / USD |
1.05 |
1.18 |
EUR / BRL |
5.44 |
6.38 |
USD / BRL |
5.17 |
5.39 |
Tubes
revenues by
geographic region
in € million |
Q4 2022 |
Q4 2021 |
% change |
FY 2022 |
FY 2021 |
% change |
|
|
|
|
|
|
|
Europe |
137 |
135 |
1.4% |
606 |
537 |
12.9% |
North America |
744 |
311 |
139.0% |
2,094 |
828 |
153.0% |
Middle East |
111 |
127 |
(12.7)% |
434 |
334 |
29.7% |
Asia |
111 |
121 |
(8.4)% |
389 |
402 |
(3.3)% |
South America |
241 |
211 |
14.2% |
855 |
726 |
17.7% |
Others |
123 |
81 |
52.1% |
285 |
203 |
40.5% |
Total Tubes Revenues |
1,467 |
986 |
48.7% |
4,663 |
3,030 |
53.9% |
Tubes
revenues by
market
in € million |
Q4 2022 |
Q4 2021 |
% change |
FY 2022 |
FY 2021 |
% change |
|
|
|
|
|
|
|
Oil & Gas and
Petrochemicals |
1,185 |
687 |
72.3% |
3,419 |
1,950 |
75.3% |
Industry |
252 |
255 |
(1.3)% |
1,063 |
908 |
17.1% |
Other |
31 |
44 |
(29.8)% |
181 |
172 |
5.1% |
Total Tubes Revenues |
1,467 |
986 |
48.7% |
4,663 |
3,030 |
53.9% |
Q4 2022 KPI per SEGMENT
in € million |
Tubes |
Mine and Forest |
Holding companies
and others |
Inter-segment transactions |
Total |
|
Q4 2022 |
Q4 2021 |
% change |
Q4 2022 |
Q4 2021 |
% change |
Q4 2022 |
Q4 2021 |
% change |
Q4 2022 |
Q4 2021 |
% change |
Q4 2022 |
Q4 2021 |
% change |
|
INCOME STATEMENT |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Volume sold
(e)4i |
514 |
510 |
1% |
1.4 |
1.7 |
(13)% |
|
|
|
|
|
|
|
|
|
|
Revenues |
1,467 |
986 |
49% |
70 |
73 |
(3)% |
61 |
43 |
43% |
(57) |
(38) |
51% |
1,541 |
1,064 |
45% |
|
Average Selling Price (in € per
tonnes) |
2,853 |
1,936 |
47% |
|
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA |
285 |
86 |
231% |
22 |
41 |
(46)% |
2 |
(2) |
na |
3 |
13 |
(77)% |
312 |
136 |
129% |
|
CASH FLOWS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital Expenditures |
61 |
41 |
49% |
14 |
8 |
75% |
3 |
4 |
(25)% |
0 |
0 |
na |
78 |
54 |
44% |
|
FY 2022 KPI per SEGMENT
in € million |
Tubes |
Mine and Forest |
Holding companies
and others |
Inter-segment transactions |
Total |
|
FY 2022 |
FY 2021 |
% change |
FY 2022 |
FY 2021 |
% change |
FY 2022 |
FY 2021 |
% change |
FY 2022 |
FY 2021 |
% change |
FY 2022 |
FY 2021 |
% change |
|
INCOME STATEMENT |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Volume sold
(e) |
1,804 |
1,640 |
10% |
4.0 |
8.1 |
(50)% |
|
|
|
|
|
|
|
|
|
|
Revenues |
4,663 |
3,030 |
54% |
245 |
469 |
(48)% |
210 |
186 |
13% |
(234) |
(243) |
(4)% |
4,883 |
3,442 |
42% |
|
Average Selling Price (in € per
tonnes) |
2,584 |
1,848 |
40% |
|
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA |
638 |
148 |
330% |
113 |
358 |
(68)% |
(37) |
(16) |
135% |
1 |
2 |
(53)% |
715 |
492 |
45% |
|
CASH FLOWS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital Expenditures |
142 |
87 |
63% |
44 |
41 |
7% |
5 |
9 |
(44)% |
0 |
0 |
na |
191 |
138 |
38% |
|
na = not applicable
Summary consolidated income statement
FY 2022 |
FY 2021 |
Change |
In € million |
Q4 2022 |
Q4 2021 |
Change |
4,883 |
3,442 |
41.9% |
Revenues |
1,541 |
1,064 |
44.8% |
-3,807 |
-2,605 |
46.1% |
Cost of sales |
-1,126 |
-845 |
33.3% |
1,076 |
837 |
28.6% |
Industrial Margin |
415 |
219 |
89.5% |
22.0% |
24.3% |
(2.3)p.p. |
(as a % of revenue) |
26.9% |
20.6% |
6.3p.p. |
-349 |
-316 |
10.4% |
Sales, general and administrative costs |
-89 |
-83 |
7.2% |
(7.2)% |
(9.2)% |
(2.0)p.p. |
(as a % of revenue) |
(5.8)% |
(7.8)% |
(2.0)p.p. |
-11 |
-29 |
(62.1)% |
Other |
-14 |
- |
na |
715 |
492 |
€223m |
EBITDA |
312 |
136 |
€176m |
14.6% |
14.3% |
0.3p.p. |
(as a % of revenue) |
20.2% |
12.8% |
7.4p.p. |
-183 |
-160 |
14.4% |
Depreciation of industrial assets |
-45 |
-39 |
15.4% |
-44 |
-42 |
4.8% |
Amortization and other depreciation |
-10 |
-10 |
na |
-36 |
-5 |
na |
Impairment of assets |
-37 |
-5 |
- |
-574 |
89 |
na |
Asset disposals, restructuring costs and non-recurring items |
-56 |
-7 |
na |
-122 |
374 |
€(496)m |
Operating income
(loss) |
164 |
75 |
€89m |
-111 |
-236 |
(53.0)% |
Financial income/(loss) |
-60 |
-25 |
€35m |
-233 |
138 |
€(371)m |
Pre-tax income
(loss) |
104 |
50 |
€54m |
-113 |
-101 |
11.9% |
Income tax |
-9 |
40 |
na |
-18 |
-5 |
na |
Share in net income/(loss) of equity affiliates |
-15 |
-1 |
na |
-363 |
32 |
€(395)m |
Net income |
80 |
89 |
€(9)m |
3 |
-8 |
na |
Attributable to non-controlling interests |
2 |
- |
na |
-366 |
40 |
€(406)m |
Net income,
Group share |
78 |
89 |
€(11)m |
(1.6) |
0.3 |
na |
Net earnings per share |
0.34 |
0.4 |
na |
na = not applicable
Summary
consolidated balance sheet |
In € million
j |
|
|
|
|
|
Assets |
12/31/2022 |
12/31/2021(f) |
Liabilities |
12/31/2022 |
12/31/2021(f) |
|
|
|
Equity - Group share |
1,643 |
1,763 |
Net intangible assets |
37 |
46 |
Non-controlling interests |
42 |
45 |
Goodwill |
40 |
38 |
Total equity |
1,685 |
1,808 |
Net property, plant and equipment |
1,829 |
1,753 |
Bank loans and other borrowings (A) |
1,368 |
1,387 |
Biological assets |
63 |
38 |
Lease debt (D) |
51 |
50 |
Equity affiliates |
16 |
35 |
Employee benefit commitments |
105 |
137 |
Other non-current assets |
187 |
169 |
Deferred taxes |
52 |
29 |
Deferred taxes |
238 |
239 |
Provisions and other long-term liabilities |
296 |
153 |
Total non-current
assets |
2,410 |
2,318 |
Total non-current
liabilities |
1,872 |
1,756 |
Inventories |
1,312 |
1,015 |
Provisions |
355 |
69 |
Trade and other receivables |
824 |
571 |
Overdraft and other short-term borrowings (B) |
314 |
190 |
Derivatives - assets |
34 |
4 |
Lease debt (E) |
20 |
17 |
Other current assets |
217 |
168 |
Trade payables |
787 |
601 |
Cash and cash equivalents (C) |
552 |
620 |
Derivatives - liabilities |
36 |
26 |
Other current liabilities |
285 |
258 |
Total current
assets |
2,939 |
2,378 |
Total current
liabilities |
1,797 |
1,161 |
Assets held for sale and discontinued operations |
9 |
52 |
Liabilities held for sale and discontinued operations |
4 |
23 |
Total assets |
5,358 |
4,748 |
Total equity and
liabilities |
5,358 |
4,748 |
|
|
|
|
|
|
Net debt
(A+B-C) |
1,130 |
956 |
Net income (loss), Group share |
(366) |
40 |
Lease debt
(D+E) |
71 |
67 |
|
|
|
Free cash flowk
FY 2022 |
FY 2021 |
Change |
In € million |
Q4 2022 |
Q4 2021 |
Change |
715 |
492 |
+€223m |
EBITDA |
312 |
136 |
+€176m |
-53 |
-34 |
€(19)m |
Provisions and other non-cash elements |
-15 |
-37 |
+€22m |
662 |
458 |
+€204m |
Cash EBITDA |
297 |
99 |
+€198m |
-112 |
-95 |
€(17)m |
Interest payments |
-51 |
-28 |
€(23)m |
-79 |
-180 |
+€101m |
Tax payments |
-23 |
-41 |
+€18m |
-141 |
-157 |
+€16m |
Other (including restructuring charges) |
-62 |
-20 |
€(42)m |
330 |
26 |
+€304m |
Operating cash flow before change in WCR |
161 |
10 |
+€151m |
-355 |
-172 |
€(183)m |
Change in operating WCR [+ decrease, (increase)] |
183 |
61 |
+€122m |
-25 |
-146 |
+€121m |
Operating cash flow |
344 |
71 |
+€273m |
-191 |
-138 |
€(53)m |
Gross capital expenditure |
-78 |
-54 |
€(24)m |
-216 |
-284 |
+€68m |
Free cash flow1 |
266 |
17 |
+€249m |
Net debt
FY 2022 |
FY 2021 |
In € million |
Q4 2022 |
Q4 2021 |
330 |
26 |
Cash flow from operating activities |
161 |
10 |
(355) |
(172) |
Change in operating WCR [+ decrease, (increase)] |
183 |
61 |
(25) |
(146) |
Net cash flow from operating activities |
344 |
71 |
(191) |
(138) |
Gross capital expenditure |
(78) |
(54) |
44 |
1,540 |
Asset disposals and other items |
98 |
19 |
(172) |
1,256 |
Change in net debt [+ decrease, (increase)] |
363 |
36 |
1,130 |
956 |
Financial net debt (end of period) |
1,130 |
956 |
Indebtedness
In € million |
12/31/2022 |
Bond issue – maturing in June 2026 |
1,135 |
PGE |
220 |
ACC ACE |
282 |
Other |
43 |
TOTAL GROSS FINANCIAL INDEBTEDNESS |
1,681 |
Cash |
552 |
TOTAL NET FINANCIAL INDEBTEDNESS |
1,130 |
Definitions of non-GAAP financial data
Data at constant exchange
rates: the data presented « at constant exchange
rates » is calculated by eliminating the translation effect
into euros for the revenue of the Group’s entities whose functional
currency is not the euro. The translation effect is eliminated by
applying Year N-1 exchange rates to Year N revenue of the
contemplated entities.
EBITDA: Earnings Before
Interest, Taxes, Depreciation and Amortization is calculated by
taking operating income (loss) before depreciation and
amortization, and excluding certain operating revenues and expenses
that are unusual in nature or occur rarely, such as:
- impairment of goodwill and
non-current assets as determined within the scope of impairment
tests carried out in accordance with IAS 36;
- significant restructuring expenses,
particularly resulting from headcount reorganization measures, in
respect of major events or decisions;
- capital gains or losses on
disposals;
- income and expenses resulting from
major litigation, significant roll-outs or capital transactions
(e.g., costs of integrating a new activity).
Industrial margin: the
industrial margin is defined as the difference between revenue and
cost of sales (i.e. after allocation of industrial variable costs
and industrial fixed costs), before depreciation.
Operating working capital
requirement: includes working capital requirement
as well as other receivables and payables.
Net working capital
requirement: defined as working capital requirement net of
provisions for inventories and trade receivables; net working
capital requirement days are computed on an annualized quarterly
sales basis.
Working capital requirement:
defined as trade receivables plus inventories minus trade payables
(excluding provisions).
Gross capital expenditure:
gross capital expenditure is defined as the sum of cash outflows
for acquisitions of property, plant and equipment and intangible
assets and cash outflows for acquisitions of biological assets.
Free cash flow: Free Cash Flow
defined as EBITDA adjusted for changes in provisions, less Interest
and Tax Payments, changes in Working Capital, less Capex, and less
Restructuring/Other Cash Outflows.
Net debt: consolidated net debt
is defined as Bank loans and other borrowings plus Overdrafts and
other short-term borrowings minus Cash and cash equivalents. Net
debt excludes lease debt.
Change in Net Debt: Change in
Net Debt defined as Free Cash Flow less Asset Disposals/Other
Lease debt: defined as the
present value of unavoidable future lease payments
a Free Cash Flow defined as EBITDA adjusted for changes in
provisions, less Interest and Tax Payments, changes in Working
Capital, less Capex, and less Restructuring/Other Cash Outflowsb
Change in Net Debt defined as Free Cash Flow less Asset
Disposals/Othera Free Cash Flow defined as EBITDA adjusted for
changes in provisions, less Interest and Tax Payments, changes in
Working Capital, less Capex, and less Restructuring/Other Cash
Outflows b Change in Net Debt defined as Free Cash Flow less Asset
Disposals/Otherc Mülheim subject to closing conditionsa Free Cash
Flow defined as EBITDA adjusted for changes in provisions, less
Interest and Tax Payments, changes in Working Capital, less Capex,
and less Restructuring/Other Cash Outflowsa Free Cash Flow defined
as EBITDA adjusted for changes in provisions, less Interest and Tax
Payments, changes in Working Capital, less Capex, and less
Restructuring/Other Cash Outflowsa Free Cash Flow defined as EBITDA
adjusted for changes in provisions, less Interest and Tax Payments,
changes in Working Capital, less Capex, and less
Restructuring/Other Cash OutflowscgSubject to closing conditionsd
$8.5 million letter of credit issued as per end 2022a Free Cash
Flow defined as EBITDA adjusted for changes in provisions, less
Interest and Tax Payments, changes in Working Capital, less Capex,
and less Restructuring/Other Cash Outflowsb Change in Net Debt
defined as Free Cash Flow less Asset Disposals/Othere diVolumes
sold in thousand tonnes for Tubes; Volumes sold in million tonnes
for the Iron Ore Minef Restated figures as of December 31st 2021a
Free Cash Flow defined as EBITDA adjusted for changes in
provisions, less Interest and Tax Payments, changes in Working
Capital, less Capex, and less Restructuring/Other Cash Outflows
- Vallourec-press-release - Q4 FY 2022 results
Vallourec (EU:VK)
Gráfico Histórico do Ativo
De Mar 2024 até Abr 2024
Vallourec (EU:VK)
Gráfico Histórico do Ativo
De Abr 2023 até Abr 2024