Sogeclair: results for the 1st half 2024

Blagnac, France, 04th September 2024 - 5h35pm,
Montreal, Canada

RESULTS FOR THE 1^st HALF 2024
Turnover = €79.1M (+9%)
EBITDA = €4.1M (-7.0%)
Equities = €57.8M in H1 2024 vs €56.8M in H1 2023 (+1.7%)

SOGECLAIR, supplier of innovative solutions with high added value for a safer and less-consuming mobility announces today its results for the 1st half ended June 30, 2024.
The Board of Directors, meeting on September 02^nd 2024, approved the 1^st semester accounts for 2024 closed on 30 June 2024. The limited review procedures on the half-year accounts have been accomplished.

in €M	H1 2024	H1 2023	Variation
Turnover	79.1	72.6	+9 %
EBITDA	4.1	4.4	- 7.0%
As % of turnover	5.2%	6.1%
Operating income	- 0.4	0.3	€-0.7M
As % of turnover	-0.6%	0.4%
Net result	- 1.0	-0.9	€-0.1M
Including group share	-0.9	-0.6	€- 0.3M

Investment in the transformation plan (processes, digital tools, HR, etc.) was stepped up in H1 2024.
Note the rebalancing of structural costs, which weigh on BUs and geographical zones, in favor of the parent company.

By Geographical Area of subsidiaries

in €M	Europe Africa	America	Asia Pacific
Turnover	56.1	20.2	2.8
EBITDA	1.3	2.1	- 0.9
Operating income	- 1.0	1.1	- 1.2

Differences are due to rounding
The holding company generated EBITDA of +1.6M€ and operating income of +0.7M€

Europe/Africa (70.9% of turnover):
- Delay in signing a defense contract.
- Commercial aviation activity below plan, due to supply-chain issues in this sector.
America (25.6% of turnover):
- Business aviation held up well.
- Reorganization of structure and renegotiation of prices with customers contributed to improved turnover and a doubling of profitability.
Asia-Pacific (3.5% of turnover):
- Weak order intake in the rail sector weighed on turnover and profitability.
- A corrective action plan is currently being rolled out, with positive effects expected by 2025.

By Business Unit

in €M	BU Engineering	BU Solutions	BU Conseil
Turnover	38.1	40.9	0.2
EBITDA	1.7	0.9	- 0.2
Operating income	1.3	- 2.2	- 0.2

Differences are due to rounding
The holding company generated EBITDA of +1.6M€ and operating income of +0.7M€

BU Engineering:
- Supply-chain-related delays in commercial aviation have given priority to production over engineering, particularly in R&T.
- Business aviation is doing very well in the America and Europe/Africa, generating turnover and profitability ahead of plan.
- The space sector is suffering from an unfavorable environment in Europe.
BU Solutions :
- Rail business profitability fell sharply due to the delay in order intake in previous years, and to the extra cost of developing OKSYGEN software.
- The Vehicle activity suffered in H1 from the delay in signing a major defense contract.

PERSPECTIVES

The America area, which is driving growth (+25.8% on turnover vs. H1 2023), should continue to perform well in terms of both turnover and result.
The Rail business, which accounted for €1.5M of EBITDA in H1, should significantly reduce its losses, approaching breakeven and returning to profitability by 2026.
After a H1 2024 EBITDA of -0.6M€, the Vehicle business should increase its volume of business thanks to the signing of new contracts from H2 2024, and thus return to breakeven by 2025.
Commercial aviation production rates, whose delay cost 0.4M€ of EBITDA in H1, should only increase from 2025-2026 onwards, given the difficulties associated with the supply chain.
Sogeclair is continuing to invest in its transformation. The first results will be seen in 2025 and should enable to enhance the offer and customer support.

Our markets are dynamic, our technologies are promising for low-carbon mobility and will support our diversification.
Our business growth will be driven in particular by the development of our commercial offering worldwide and the upgrading of our business prices.
SOGECLAIR reiterates its confidence in growth for 2024 and more generally for the execution of its 2030 ONE SOGECLAIR plan, which targets sales of €250 million, with an EBITDA margin of 12%.

Next announcement: turnover for Q3 2024, on October 30^th 2024 after closing of the Stock Market

About SOGECLAIR
Supplier of innovative. high added-value solutions for safer and more efficient mobility. SOGECLAIR brings its skills in high-quality engineering and production to a broad range of cutting-edge sectors. notably aeronautics. space. vehicle. rail and defense. Supporting its customers and partners from the design and simulation stages through to the end of the product’s lifetime. all along the production chain through to entry into service. the collaborators are working worldwide to offer a high-quality. proximity service to all its customers.
SOGECLAIR is listed on Euronext Growth Paris - Indice Euronext® Family Business -Code ISIN: FR0000065864 / (Reuters SCLR.PA – Bloomberg SOG.FP)
Contacts: Philippe ROBARDEY. Chairman of the Board / Olivier PEDRON. Chief Executive Officer / +33(0)5 61 71 70 33
Press contact: Louise-Marie Thabard / SOGECLAIR Communication / louise-marie.thabard@sogeclair.com / +336 75 95 12 20

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