5th consecutive year of growth
The Bénéteau Group has announced its final results for the 2018-2019 fiscal year. Overall sales amounted to ?1.336 billion, up +2.6% at constant exchange rates. The Boat Division, the mainstay of the French yachting leader, posted revenues of ?1.144 billion, up +3.2% at constant exchange rates. This fifth consecutive year of growth was marked by a more timid trend, with the percentage increase being three times less significant.
Recurring operating income adjusted for expense coverage, at 78.2 million euros, is down -13.8%. The Bénéteau Group explains this trend by the rise in depreciation and amortization and the increase in provisions.
Net cash decreased by 40% to 97 million euros, after a year marked by the acquisition of the Delphia and Seascape brands.
Multihulls and boat rental companies lead sales
Outboard powerboats and multihulls are the main growth drivers for the Bénéteau Group, confirming its European and global leadership respectively. Sales to boat rental companies rose sharply, up 29.7% at constant exchange rates.
Europe and North America continued to grow by nearly 5%, while the rest of the world declined, affected by the drop in the market for motor yachts over 60 feet.
Uncertainties about 2019-2020 and market reactions
The Bénéteau Group is revising its profitability ambitions for 2019-2020 downwards, particularly in terms of ROC, but expects to see growth in sales. Strategic announcements by new CEO Jérôme de Metz are scheduled for April 29, 2020. The latter indicates that he has identified "the areas of loss or underperformance" without specifying the future policy. It is worth noting that the official communication of the Bénéteau Group insists on the difficulties of motor yachts over 60 feet, for which we can anticipate a probable reorganization, already begun with the departure of Carla Demaria.
The lack of visibility on the industrial and commercial policy makes investors doubt. The share, which had risen after the Bénéteau Group's re-entry conference at the Cannes Yachting Festival, fell by 10% at the opening on Wednesday 30 October 2019.
