• E-mail
• Print
• Comment
• Font Size
• Digg
• del.icio.us
• Discuss article

Groupe Silicomp : PR 2005 Final Results

Posted on: Monday, 3 April 2006, 06:00 CDT

PARIS, April 3 /PRNewswire-FirstCall/ -- - Groupe Silicomp Posts 2005 Net Profit of EUR 3.5 Million (+32%)

Groupe Silicomp (Paris FR0000063794) - The Board of Directors met on 16 March 2005 to approve the Group financial statements. The 2005 audited revenue of EUR104,769 thousand represents an increase of 16.7%. Operating profit, previously forecast to be above EUR5 million, was EUR 5,233 thousand, an increase of 114% on 2004, representing an operating margin of 5%. Cash flows generated from operations amounted to EUR4.5 million.

The Group share of 2005 net profit is EUR 3,476 thousand, an improvement of 32% compared to 2004, resulting from the favourable impact of combining two North American subsidiaries and controlling financial expenses.

Income Statement (EUR thousands) FY 2005 FY 2004 Change Revenue 104,769 89,781 +16.7% Other operating income 340 514 Materials and goods consumed (14,576) (12,637) Personnel costs (52,498) (46,713) External expenses (28,973) (25,398) Duties and taxes (2,382) (1,846) Amortisation and depreciation charges (1,521) (1,706) Provision charges 233 458 Movement in work-in-progress and finished products 22 - Other operating income/expense (98) 15 Profit from operations (including goodwill amortisation and writedown) 5,315 2,468 +115.3% Other operating income/expense (92) (22) Operating profit 5,223 2,447 +113.5% Finance cost (581) (576) Other financial income/expense 359 (150) Income tax (1,534) 910 Share in earnings of associate companies - - Net profit 3,468 2,631 +31.8% . group share 3,476 2,584 . minority interests (8) 47 Earnings per share 0.77 0.59 +30.2% Diluted earnings per share 0.68 0.55 +23.5% Operating results by geographic area are as follows: Results by Revenue Profit Operating geographic area from Margin (EUR thousands) operations 2005 France 80,787 3,586 4.4% Excl. France 23,982 1,729 7.2% GROUP 104,769 5,315 5.1%

France and Europe are the most profitable of the geographic zones, with operating margins of 4.4% and 14.7% respectively. North America and Asia achieved operating margins of 4.4% and a loss of 5.3% respectively, following a year marked by cyclically lower sales due to the size of projects handled by these regions.

The Group has a very strong balance sheet with equity of EUR 23 million and a gearing ratio of 30% (23% excluding real estate).

2006 OUTLOOK (x)

With a workforce of 1,113 at the end of February 2006, up 20% on February 2005, the Group's planned growth strategy is going according to plan. The activity level of the engineers in the Information Technology division has improved in relation to 2005 by 1 basis point.

Revenue will be significantly increased in the first quarter of 2006, due in part to the number of working days in the quarter (65 days in 2006 compared to 63 days in 2005). This strong growth is however not fully representative of the growth expected for the entire year. This latter, although higher than 10%, will not be as strong.

The Group's objective for 2006 is to maintain double-digit organic growth and to improve its operating margin in relation to 2005 by one and a half basis points. This should increase earnings per share to EUR 1, representing an increase of 30% on a like-for-like basis.

Organic growth, when combined with the development of the Indian production centre, will be an essential factor in the realisation of this objective. The integration of FIME and CADIMES should be earnings enhancing for the Group in 2006.

The Group is proud of its acquisition of two specialized companies in cards, e-passports and payment terminals consulting and testing, and will depend on them in its opening of a laboratory early in 2006 in Singapore, the first in the world to test electronic passports and verify their interoperability.

GROUPE SILICOMP acquired FIME at the end of July 2005, and announced its acquisition of CADIMES at the beginning of January 2006 in order to expand its expertise in electronic banking and contactless technologies. The latter possesses exceptional know-how in the area of contactless technologies, conferring its recognised status as world leader. The acquisition of CADIMES is the next logical step after the FIME takeover.

- FIME employed some 30 persons in France and around 10 in Taiwan when it was acquired, and is currently expanding its workforce. In 2005, FIME operated profitably and revenue grew strongly to over EUR 3.8 million, of which EUR 1.7 million was consolidated in GROUPE SILICOMP revenues from date of its debt-free acquisition, 1 August 2005.

- CADIMES itself employs 7 persons in France. This highly profitable company realised revenue of EUR 0.8 million in 2005, up more than 70% over the previous year, with its results to be consolidated in GROUPE SILICOMP from 1 January 2006.

Thanks to its resources and increased cash flow that have placed it in a position of strength, GROUPE SILICOMP plans to revise its dividend policy. This measured policy will not compromise the resources available for targeted external growth to complete its geographic coverage or its technological advance, notably as regards its Integration and Network business.

(x) Forward-Looking Statements (including preliminary unaudited data)

This press release contains forward-looking statements, which are subject to a certain number of risks and uncertainties. These statements concern estimated or forecast 2006 full year results, that may materially differ from those estimated or forecast depending on a number of factors, such as the adequacy of estimated expense accruals and reserves and quarter end adjustments arising from the customary review by Group management, the Audit Committee and the Independent Auditor, notably as concerns post Balance Sheet events that are not yet known to GROUPE SILICOMP.

These statements also concern future financial performances and risks linked to the sector, activity and performances objectives forecast by GROUPE SILICOMP. The facts or actual results may, accordingly, differ significantly to those estimated or forecast. Although the Group strives to set reasonable objectives, these do not constitute any guarantee as to events that unfold, the activity and actual performances. These risk factors are among others: information services market trends, the level of investments by our corporate clients, the capacity of the Group to maintain its technological advance, litigation, its capacity to define and implement strategic partnerships in its principal sectors of activity, its capability to develop and profit from new software and services. Given the uncertain nature of these forward-looking statements, the reader is advised that they do not constitute a guarantee by the Group or others as to the realisation of GROUPE SILICOMP objectives and projects. Neither the Group nor others assume any responsibility for the accuracy and completeness of the aforementioned forward-looking statements. The latter strictly apply to the present press release. The Group is in no way bound by to update such forward-looking statements.

About Groupe Silicomp

Groupe Silicomp is a leading Information Technology Solutions provider of innovative, high-technology content solutions. The Group is active in consulting and implementation services, and is a recognised specialist in computer security. The Group's unique know-how for developing communicating systems for your future needs are reflected in its control and integration of network systems, industrial applications and real time, on-board computing. With a presence on three continents, Groupe Silicomp is the preferred partner of major manufacturers.

Shares of Groupe SILICOMP (ISIN code: FR000063794) trade on the Euronext Paris Stock Exchange Nouveau Marche since 16 June 1998.

For more information please contact: Press Contact Company Contact Bernard GARRIGOU-TORCHY Jean-Michel GLINER, Chairman BGT Communication Groupe SILICOMP Tel: +33-(0)1-46-474096 Tel: +33-(0)4-76-416666 e-mail: BGTcom@wanadoo.fr e-mail: info@silicomp.fr or visit our web site at http://www.silicomp.fr/

Groupe Silicomp

CONTACT: Press Contact, Bernard GARRIGOU-TORCHY, BGT, Communication,Tel: +33-(0)1-46-474096, e-mail: BGTcom@wanadoo.fr, Company Contact,Jean-Michel GLINER, Chairman Groupe SILICOMP, Tel: +33-(0)4-76-416666,e-mail: info@silicomp.fr

Source: PRNewswire-FirstCall

More News in this Category