Vicat's turnover eased by 0.2 per cent in 2016 to EUR2453.8m while EBITDA was up by the 3.2 per cent to EUR458m, while at unchanged exchange rates and other parameters there would have been increases of 4.1 and eight per cent, respectively. The trading profit improved by five per cent to EUR258m, with the increase at unchanged parameters being 9.6 per cent. The net financial charge was EUR10.1m lower at EUR38.1m and after an increase in the contribution from associates from EUR4.9m to EUR13.7m, the pretax profit improved by 14.9 per cent to EUR231.5m. After a 7.6 per cent higher tax charge of EUR66.7m and a 21.3 per cent higher minorities charge of EUR25.7m, the net attributable profit emerged 17.6 per cent higher at EUR139.1m.
The net debt at the end of the year was 10.4 per cent lower at EUR912m and represented 36.9 per cent of total shareholders' funds, compared with 45.2 per cent a year earlier. Capital investment in the year was reduced by 16 per cent to EUR136m, while and net spending on acquisitions rose from EUR19m to EUR63m.
In terms of activity split, turnover in cement eased by 0.3 per cent to EUR1490m and accounted for 52.9 per cent of the total, while cement deliveries increased by 10.5 per cent to 21.88Mt and EBITDA improved by 6.5 per cent to EUR380m. The concrete and aggregates operations turned over 1.6 per cent more at EUR928m while EBITDA declined by 7.3 per cent to EUR57m with volumes improving by 5.5 per cent to 22.11Mt in aggregates and by 3.4 per cent to 8.83Mm³ in ready-mixed concrete. Other products and services produced a 0.4 per cent reduction in turnover to EUR399m while EBITDA contribution declined by 18 per cent to EUR20m. In terms of turnover, France accounted for 32.4 per cent, Switzerland and Italy for 16.7 per cent, the USA for 14.8 per cent, Asia for 21.9 per cent and Africa and the Middle East for 14.1 per cent.
The French turnover improved by 2.3 per cent to EUR795m while EBITDA rose by 6.1 per cent to EUR115m and the trading profit advanced by 16.3 per cent to EUR59m. Cement deliveries were marginally lower, with exports holding up better than domestic deliveries and EBITDA staged a 12.4 per cent improvement though the average selling price was slightly lower. Turnover in aggregates and concrete improved by 1.3 per cent as volumes were stable in aggregates and improved by four per cent in ready-mixed concrete while prices were slightly lower in both aggregates and in concrete and EBITDA deteriorated further but remained positive. Other products and services saw a turnover improve by 5.9 per cent while EBITDA rose by 40.8 per cent.
In the rest of Europe, turnover declined by 3.2 per cent, to EUR411m and EBITDA came off by eight per cent to EUR94m and the trading profit fell by 21.8 per cent to EUR59m. The Swiss turnover came off by 3.3 per cent and the EBITDA by 7.5 per cent. The underlying Swiss cement turnover declined by 2.6 per cent while EBITDA improved by 1.5 per cent. The turnover in concrete and aggregates recovered by two per cent. Prices declined in concrete but were ahead in aggregates. Volumes were stable in ready-mixed concrete and improved in aggregates. The other Swiss activities reported an underlying eight per cent reduction in turnover and a 49.2 per cent fall in EBITDA, as sales of railway sleepers declined. The Italian turnover showed a marginal 0.7 per cent recovery, thanks to a near four per cent in volumes, but prices continued to weaken and EBITDA showed a 27.2 per cent fall.
The United States turnover improved by 6.2 per cent to EUR363m, boosted by a slight further improvement in the US dollar and EBITDA rose by 39.1 per cent to EUR59m with the trading result advancing by 91.8 per cent to EUR33m. Cement volumes rose by almost four per cent and the turnover improved by an underlying 12.4 per cent and by a reported 12.7 per cent and the EBITDA jumped by 55.2 per cent. Turnover in ready-mixed concrete was ahead by a marginal 0.1 per cent as volumes declined by almost five per cent because of weakness and unfavourable weather in California while average selling prices improved both in California and the southeast. As a result, EBITDA declined by 9.4 per cent.
The Asian turnover declined by 5.3 per cent to EUR538m, while EBITDA came off by 11.5 per cent. The Turkish turnover increased by 3.4 per cent to EUR219m in constant currency, but this meant an actual decline of 6.5 per cent in euros and EBITDA improved by an underlying 2.1 per cent. In cement the underlying turnover was 2.9 per cent ahead but declined by seven per cent in euro terms, with cement deliveries being ahead, but prices were lower and EBITDA showed an underlying improvement of 2.1 per cent. In aggregates and concrete, the turnover improved by 9.7 per cent in local currency as aggregates prices improved, but ready-mixed concrete prices eased. Deliveries advanced in both products and EBITDA staged a 55.7 per cent recovery following the 67.4 per cent drop in the previous year.
In India turnover improved by an underlying seven per cent to EUR275m with cement volumes were more than 20 per cent ahead to more than 4.8Mt, but prices were lower because of competitive pressures and EBITDA came off by 5.6 per cent as the margin declined from 24.1 per cent to 22.1 per cent. In Kazakhstan volumes improved by two per cent while the turnover was lower at EUR44m because of the considerable devaluation of the local currency and EBITDA margin fell further from 30.4 per cent to 25.4 per cent..
The African and Middle Eastern turnover edged ahead by 0.1 per cent in euro terms to EUR346m while EBITDA staged a 26.3 per cent recovery to EUR70m, while the trading profit jumped by 93.5 per cent to EUR33m. In Egypt the turnover improved by 3.5 per cent to EUR117m as shipments improved by more than 27 per cent. The African turnover came off by 1.6 per cent to EUR229m, while volumes improved by almost three per cent.
The current year should, in the view of the Vicat management, see continued improvements the USA, India and France and a return to growth in other Europe and in Kazakhstan.
