Bolloré – 2014 Results
2014 results
March 19, 2015
Bolloré – 2014 Results 1
CHANGES IN SHARE PRICE
Price in euros (monthly average)
Market capitalization as at 03/17/15:
14.9 billion euros
Performance over 10 years
Performance over 1 year
Bolloré – 2014 Results 2
ECONOMIC ORGANIZATION CHART as at March 6, 2015
(as a percentage of capital)
Group structure:
• Disposal of Safacam: the Group disposed of its equity interest in Safa which owned a plantation in Cameroon (Safacam) in return for a 9% stake in Socfinaf(4). As at December 31, 2014, the market value of the stake was 23 million euros.
• Exchange offer on Havas: the public exchange tender offer announced in October 2014 was finalized in February 2015. As at March 6, 2015, Bolloré Group had an 82.5% stake in Havas (see next page).
(4) 8.6% at end 2014 after the transfer of Safa by Socfin to Socfinaf.
Bolloré Ports
COMMUNICATIONBOLLORÉ
TRANSPORT & LOGISTICS
64.0%
Bolloré Logistics
Portfolio of shareholdings
Bolloré Railways
Oil logistics
Bolloré Energy
OTHER ASSETS
Havas
Media, Telecom
ELECTRICITY STORAGE AND
SOLUTIONS
Blue Solutions
Blue Applications - Specialized
terminals and systems
(2) Imperial Mediterranean 0.5% (2) Société Bordelaise Africaine 0.1% Bolloré
Plastic films
Financière de l'Odet90.8%
(1) Sofibol 55.3%(2) Compagnie du Cambodge 19.1%
(2) Société Industrielle et Financière de l'Artois 5.6%(2) Financière de Moncey 4.9%
(2) Impérial Mediterranean 3.6%(2) Nord Sumatra Investissements 2.3%
(1)
(2)
Directly by Sofibol and its 99.5%-owned subsidiary Compagnie de Guénolé. Sofibol is controlled by Vincent Bolloré.
Rivaud Group companies, controlled by Bolloré.
(3) Directly and indirectly
Bolloré – 2014 Results 3
EXCHANGE TENDER OFFER ON HAVAS
Before the exchange offer:
After the exchange offer:
Success of the exchange tender offer on Havas launched in October 2014. Bolloré Group now owns 82.5% of Havas’ share capital. Further to the announcement made, it intends to keep a sufficient float and is studying the ways and means to quickly expand the latter in order to maintain the liquidity of the Havas shares while keeping a significant majority of shareholding.
Bolloré – 2014 Results 4
SUMMARY OF 2014 RESULTS
Group revenue: 10.6 billion euros, down 2.3% (down 1.6%, at constant scope and exchange rates).
Operating income: 650 million euros, up 7% due to the growth in income from the transport and logistics businesses, good progress by Havas, and continued spending on electricity storage.
Net financial income for 2013 included a capital gain of 109 million euros from the sale of remaining shares of Aegis stake. Consolidated net income for 2014 was therefore reduced, at 403 million euros (of which 219 million euros was Group share net income), versus 450 million euros in 2013.
Improved ratio of net debt to equity, at 18%.
Proposed dividend(1): 0.06 euros per share, 0.02 euros of which have already been paid, payable in cash or shares compared with 0.031 euros per share in 2013.
(1) After dividing the par value by 100 in December 2014
Bolloré – 2014 Results 5
CONSOLIDATED NET INCOME
Turnover
Net operating income
Net income
of which Group share
In millions of euros 2014
Net financial income
10,604
(85)
403
219
10,848
606
450
270
30
Share in net income of non-operating companies accounted for by the equity method 71 21
Taxes (236) (211)
The 2% drop in turnover is due to the 15% pull-back of the oil logistics activity following the drop in the prices of oil products and in volumes sold.
However, operating income grew by 7% thanks to the good progress of the transport, logistics and communications businesses.
Net income decreased slightly compared to 2013 which included capital gains of 109 million euros on the sale of the remaining stock in Aegis (6.4%).
650
Workforce: 54,293
-2%
+7%
EBITDA(1) 1,022 957
2013
+7%
Amortization and provisions (372) (351)
2014 vs. 2013
Net income from discontinued operations 3 5
Share in the net income of operational equity-accounted companies 19 19
(1) including earnings from operating equity companies
Bolloré – 2014 Results 6
BALANCE SHEET, PORTFOLIO, LIQUIDITY
Shareholders’ equity
Net indebtedness
Net indebtedness/shareholders' equity ratio
In millions of euros
of which Group share
Ratio of net debt to equity improving, at 18%, thanks to the increase in shareholders' equity and a slight drop in net debt.
Market value of traded stock portfolio (Vivendi, Mediobanca, Socfin, Socfinasia, Socfinaf, Vallourec, etc.): 2.2 billion euros as at December 31, 2014.
High Group Liquidity(2): nearly 1.6 billion euros available confirmed on December 31, 2014.
December 31, 2014
9,806
8,149
1,771
0.18
Market value of listed share portfolio(1)
2,177
December 31, 2013
9,316
7,749
1,795
0.19
(1) Detail on page 27 and taking account of the impact of the financing on Vivendi stock.
2,035
(2) Excluding Havas.
Bolloré – 2014 Results
Transportation and logistics Oil logistics
Communication
Electricity storage
and solutions Other
7
TURNOVER
In millions of euros 2013 2014
5,469 5,630
Oil logistics 3,288 2,781
Electricity storage and solutions 229 237
Other (agricultural assets, holdings) 25 25
Turnover 10,848 10,604
Change
+3%
-15%
+4%
+1%
-2.3%
At constant scope and exchange rate, turnover benefited from the growth in the transport and logistics (5%) and communication (5%) businesses. Conversely, Oil Logistics declined by 16% due to the decline in prices for oil products and in volumes sold, a situation strongly aggravated by particularly mild weather.
At comparable turnover, foreign exchange fluctuations, which primarily affected the transport and logistics businesses, had a negative effect of 88 million euros on turnover.
Change at constant scope and
exchange rates
+5%
-16%
+4%
-2%
-1.6%
Transportation and logistics
Havas, communication, media 1,837 1,931 +5% +5%
Bolloré – 2014 Results 8
OPERATING INCOME BY BUSINESS
Transportation and logistics(1)
Oil logistics
Electricity storage and solutions
Other (agricultural assets, holdings)(1)
Net operating income
In millions of euros 2013 2014
541
39
(120)
(43)
606
567
26
(120)
(33)
650
Operating income increased by 7% on account of:
the increase in profits of the transport and logistics businesses, which benefited in particular from the sustained level of freight forwarding volumes in Europe and port developments in Africa;
a decrease in the oil logistics business because of the rise in volumes and prices;
growth in the net income from the communication sector thanks to the improvement in Havas' results;
sustained expenditure in electricity storage (batteries, supercapacitors, electric vehicles, stationary storage).
580 593
(1) Before trademark fees. (2) Of which 7 million euros of expenses linked to the launch of new railway developments in Africa.
Havas, communication, media 188 210
Total Bolloré Transport & Logistics
+5% (2)
Bolloré – 2014 Results 9
FINANCIAL INCOME
Net financial income
Dividends and income from investments in marketable securities
Net financing expenses
Other financial income and expenses
In millions of euros 2013 2014
74
(100)
56
30
79
(95)
(69)
(85)
The net financial income for 2014 cannot be compared with that of 2013, which included a capital gain of 109 million euros on the disposal of the remaining Aegis stake.
It included in particular the 36 million euros of impairment of Vallourec stock following the sharp drop in its stock exchange price.
Bolloré – 2014 Results 10
NET INCOME FROM NON-OPERATIONAL EQUITY-ACCOUNTED COMPANIES
Share in net income of non-operating companies equity-accounted companies
In millions of euros 2013 2014
21 71
The share of non-operational equity affiliates in net income primarily includes income from Groupe Socfin plantations, which dropped slightly, and from Mediobanca, which posted high growth.
Bolloré – 2014 Results 11
CHANGES IN INDEBTEDNESS
Change in WCR (+= reduction)
Net cash flow from operations
Net capital expenditures
In millions of euros
Net financial investment
Dividends paid
Change in net indebtedness (- = increase in indebtedness)
Cash flow(1)
2013
Increase in share capital, change in fair value and in scope and other items
2014
(1) After elimination of gains and before financial charges.
Net financial charges paid
(514)
(116)
105
80
(617)
802
(23)
781
21
(151)
83
23
(90) (94)
50
814
695
(119)
Net debt at December 31, 2014 dropped by 23 million euros compared to December 31, 2013. The changes in net debt can be seen mainly in:
net cash flow from operations which rose 12% thanks to the excellent performance of businesses, despite the increase in tax payments;
a significant increase in industrial investments, especially in transport and logistics in Africa and electricity storage;
net financial disposals including the disposal of Bolloré stock for 210 million euros in 2014 and the disposal of 6.4% of Aegis stock for 212 million euros in 2013;
an increase in dividends paid.
Bolloré – 2014 Results 12
PARENT COMPANY NET INCOME - DIVIDEND PROPOSAL
(1) After dividing the par value by 100 on December 1, 2014. (2) Maximum theoretical amount taking into account the option to receive share dividends.
Changes in dividends paid(1)
Net income for 2014: 325 million euros vs. 89 million euros in 2013, benefiting from the capital gains from the reclassification of non-traded stock within the Group.
Distributable amount: 1,539 million euros.
Proposal of doubling of the dividend (1): 0.06 euros (of which 0.02 euros of interim dividend already paid in 2014), versus 0,031 euros the previous year, with the possibility of receiving the dividends in shares, representing a maximum amount of 170 million euros.
The ex-dividend date will be June 9, 2015 (payment on June 29, 2015).
Bolloré – 2014 Results 13
TRANSPORTATION AND LOGISTICS
In millions of euros
Investments
2013 2014
541 567
350
Turnover
Net operating income(1)
238
5,630 5,469
Branches
+3%
+5%
+47%
(1) Before trademark fees.
Bolloré – 2014 Results 14
BOLLORÉ LOGISTICS
ONE OF THE WORLD’S LEADERS IN TRANSPORTATION AND LOGISTICS
Turnover rose by 4.4% in 2014 to 3,073 million euros thanks to the increase in volumes in Europe, Asia, as well as flows within Asia. At constant scope and exchange rates, it increased by 5.3%.
The 2014 financial year was marked by:
- an increase in net income in France, thanks to the resumption of volumes in air freight forwarding, and sustained performance by the industrial projects business which benefited from major energy and automotive contracts;
- an increase in net income in Europe, particularly in the Benelux, Germany, and the UK thanks to the industrial projects business;
- for the Asia-Pacific region, the success of the logistics platform in Singapore and the development of energy sector projects in China, Australia and India are to be noted;
- in the Americas, there was sustained activity in oil projects but this was offset by a drop in mining projects in Canada and the United States. Excellent growth of operations in Mexico.
Broadening of our presence in the Middle East with the extension of the Dubai platform and the upcoming opening in Qatar. Opening of new agencies in Hungary, Czech Republic and Norway.
In France, Bolloré Ports, operating in the secondary ports (Dunkerque, Dieppe, Rouen, Cherbourg, la Rochelle, Montoir, Saint Nazaire,…).
Bolloré – 2014 Results
Corridors
Agencies
Port concessions
Railway concessions
15
THE LARGEST INTEGRATED LOGISTICS NETWORK IN AFRICA
BOLLORÉ AFRICA LOGISTICS
At 2,556 million euros, turnover for 2014 rose 1.2% thanks to the increase in volumes handled in the ports. At constant scope and exchange rates, it increased by 3.6%.
The 2014 financial year was marked by:
good performance by the port businesses, particularly Congo Terminal, TICT in Nigeria, Benin Terminal, which is going to receive a new extension, Abidjan Terminal in Ivory Coast and Conakry Terminal in Guinea, which benefited from increased volumes;
the increase in logistics business in Africa, mainly in Cameroon, Nigeria, Congo, Ghana and Kenya;
However, the discontinuation or slowdown of mining projects was felt in Burkina Faso, Sierra Leone, Democratic Republic of Congo and South Africa.
Ramp-up of operations at the Pemba oil port in Mozambique and the RORO terminal in Dakar, Senegal, the extension in Benin and Pointe-Noire. Bolloré Africa Logistics is also continuing the development, with a local partner, of its first project outside Africa, the port of Tuticorin in India and is planning other port developments in Asia and Central America.
Bolloré – 2014 Results 16
BOLLORÉ AFRICA LOGISTICS
Bolloré Group, which operates the railways in Cameroon (Camrail) and between Côte d’Ivoire and Burkina Faso (Sitarail), has decided to reinforce its presence in railway concessions in Africa, thereby increasing its logistics flow capacities.
Major investments over several years are focused on the following projects:
- the rehabilitation and reinforcement of the 1,260 km of roads which link Abidjan (Côte d'Ivoire) to Kaya (Burkina Faso). The aim is to have a road network able to cope with the expected growth of mining traffic passing through the port of Abidjan;
- the completion of the Abidjan-Cotonou railway loop (2,740 km) via Kaya and Niamey with the construction of the following stretches: Kaya-Niamey (410 km), Niamey-Parakou (630 km) and the rehabilitation of the Parakou-Cotonou stretch (440 km). A work site was opened in the spring which will allow the railway to connect Niamey with Dosso (140 km) by summer 2015.
This major project to open up the hinterland will facilitate the export of agricultural and mining resources, increasing the volumes processed by the ports of Abidjan, Cotonou and ultimately Lomé (Togo). Bolloré Group will also install Bluezone, inland container depots with handling and storage capacities, as well as fiber optic networks (Internet, voice/data) all along this railway.
These projects represent total investments that could be as high as 2 billion euros in the next eight years.
In Guinea, it is restoring the Conakry-Kagbelen railway line that will open up Conakry.
THE LARGEST INTEGRATED LOGISTICS NETWORK IN AFRICA
Bolloré – 2014 Results 17
BOLLORÉ ENERGIE
Turnover
Net operating income
In millions of euros
Investments
2014 2013
3,288
13
2,781
26
10
39
SECOND-LARGEST DISTRIBUTOR OF DOMESTIC FUEL IN FRANCE
Branches and depots
LCN (Branches and storage)
SFDM pipeline
Against a backdrop of an 18% decline in the domestic market as a result of mild weather and a drop in oil product prices, the turnover from the oil logistics business fell 15% compared with 2013.
The operating income was 26 million euros versus 39 millions euros in 2013. It includes:
- the drop in net income from the distribution business in France, negatively affected by particularly mild weather (severity index 0.80 vs. 1.06 in 2013) as well as the drop in prices at the end of the year;
- the smooth running operations in logistics, transportation and depots; - in Europe, the results of Calpam, in Germany and CICA, in Switzerland, which followed
the same trend that in France.
At the beginning of 2014, the Group acquired the remainder of LCN's shares, as planned, and now holds 100%. The acquisition of shares in LCN in 2011 enabled the Group to take 15% of the domestic market share.
In partnership with Valgo, responsible for clean-up, Bolloré Energie has applied to take over the depots at the site of the former Pétroplus refinery in Petit-Couronne, near Rouen, to improve its own distribution in the area and store strategic stock there.
Bolloré – 2014 Results 18
COMMUNICATION
In millions of euros
Investments
2013 2014
188 210
62
Turnover
Net operating income
80
1,931 1,837
Turnover of 1,931 million euros mainly corresponds to Havas' turnover (1,865 million euros). At constant scope and exchange rates, turnover also increased 5%.
Operating income benefited from the strong performance of Havas over the year and the improved results from its free newspaper (Direct Matin).
+5%
+12%
Bolloré – 2014 Results 19
COMMUNICATION
(1) Source: OJD. (2) Average 2014/Source Google Analytics.
Havas
As of December 31, 2014, the Bolloré Group held 36.06% of Havas, fully consolidated. Following the public exchange offer for Havas, which closed in February 2015, the Group holds 82.5% Havas.
Net income for the 2014 financial year published for Havas show:
- income of 1,865 million euros, organic growth of 5.1%;
- operating income up by 8.4% to 245 million euros thanks to strong performance by the media businesses;
- improved operating margin of 13.2% versus 12.7% in 2013;
- Group share of net income of 140 million euros, up 9.4%;
- high level of new business: 2,246 million euros;
- net cash of 42 million euros, versus net debt of 90 million euros at the end of 2013.
Media
The free paper Direct Matin is the second-ranked national daily distributing on average nearly 900,000 copies(1) and reaching 2.5 million readers per issue. All regional editions are now distributed under the single brand Direct Matin. The digital edition Directmatin.fr hosts 750,000 visitors and approximately 4 million page views monthly(2).
Bolloré – 2014 Results 20
COMMUNICATION
(1) Not consolidated
Telecoms
WiMax:
- Bolloré Telecom owns 22 regional licenses, which gives it national coverage (427 stations in operation on Bolloré Telecom frequencies).
- Accumulated expenses at this stage: around 135 million euros including the licenses.
- In the agreement with ARCEP stipulating a network rollout between 2015 and 2107, Bolloré Telecom deployed 3.5 stations at the end of 2014. Next to 1,100 points will be installed by this summer.
Wifirst which sells a high-speed wireless internet service, particularly in student residences, generated turnover of 16 million euros, versus 12 million euros in 2013, thanks to an increase in large contracts. The park now totals 300,000 rooms installed.
Other activities
The Group also holds nearly 10% of the equity in Gaumont and owns the Mac-Mahon movie theater in Paris.
It controls 100% of the CSA, Institute of Research and Surveys (turnover of 21 million euros in 2014).
It has a 21.4% holding in Bigben Interactive(1) one of the leading European video game accessory design and distribution companies.
Harris Interactive: The 14% stake in this American company specializing in internet research, was contributed to the offer launched by Nielsen in February 2014 for 12 millions euros, producing a gain of 10 million euros in the 2014 results.
Euro Media Group (EMG): In July 2014, Bolloré sold 16% of EMG, i.e. most of its shareholding acquired in 2001 when SFP was privatized. It retains a 2.5% shareholding in EMG.
Bolloré – 2014 Results 21
ELECTRICITY STORAGE AND SOLUTIONS
Turnover(1)
Operating income
In millions of euros
Investments
2014 2013
229
(120)
113
237
(120)
183
BLUE SOLUTIONS, BLUE Applications, Plastic films
(1) Excluding Blue Solutions' turnover generated with Group entities, eliminated from the Bolloré accounts.
+4%
Turnover from industrial activities (electricity storage, plastic films, terminals and specialist systems) up 4%, to 237 million euros. The turnover of Blue Solutions with Blue Applications entities (95 million euros versus 47 million euros in 2013) is eliminated at the Bolloré Group level.
Strong increase in investment with the growth of car sharing and developments in buses and stationary renewable energy activities.
Bolloré – 2014 Results
14.516
17.519
20.522
23.525
26.528
29.531
32.534
35.537
38.540
Oct 302013 IPO
Jan-13-14 Mar-24-14 Jun-5-14 Aug-14-14 21-Oct-14 2-Jan-15
Blue Solutions price
+87%
Closing price of March 17, 2015: 27.18 euros
22
BLUE SOLUTIONS
71%
18%
11%
Bolloré Bolloré Participations Public
Blue Solutions shareholder base
Blue Solutions, which produces electric lithium metal polymer batteries in its factories in Brittany and Canada, has a capacity of 10,000 batteries which will ultimately rise to 32,500 batteries.
On October 30, 2013, the company Blue Solutions was floated on the first market of the Nyse-Euronext Paris market, at a price of 14.50 euros.
At its current price of 27.18 euros, its market capitalization is 784 million euros.
Price change since initial public offering
Bolloré – 2014 Results 23
Results for the financial year 2014 published by Blue Solutions
In millions of euros 2013 2014
Turnover 47 97
EBITDA (13) 11
Impairment (15) (17)
Net operating income (28) (6)
Net financial income (8) 0.5
Net income (36) (6)
BLUE SOLUTIONS
In 2014, Blue Solutions delivered to market 2,396 battery packs versus 1,056 packs in 2013.
The company's turnover stood at 97 million euros, compared with 47 million euros in 2013. This growth is essentially due to the upsurge in activity with Bluecar (2,004 batteries delivered versus 836) and with Bluestorage for charging stations (280 battery packs versus 136).
Shareholders' equity stands at 134 million euros, for a net indebtedness of 20 million euros, a slight decrease despite the investments made during the period.
Blue Solutions holds options that are exercisable between 2016 and 2018 within entities composing the scope of Blue Applications Bluecar-Bluecarsharing-Autolib’, Bluebus, Bluetram, Blueboat, Bluestorage, IER, Polyconseil.
Bolloré – 2014 Results 24
BLUE APPLICATIONS
Car sharing: - success of the car sharing services, Autolib' in Ile-de-France (to which has just been
added Utilib’), Bluely in the greater Lyon region and Bluecub in the Bordeaux Urban Community. The second phase of Bluely will be launched on April 2, 2015 equipped with 110 stations and a fleet of 250 vehicles;
- the Bolloré Group has been chosen to develop a car-sharing scheme in Indianapolis (USA), BlueIndy which has been in a trial phase since May 2014 for a launch before summer 2015;
- it has also been named to manage a network of 1,400 charging stations in London, BluePointLondon, which began operating in September 2014. 600 charging stations will be replaced by new-generation independent stations. An electric car sharing service will also be rolled out there in spring 2015;
- key figures for car sharing as of end February 2015: 74,500 annual subscribers (versus 40,900 at the end of 2013), 5,700 charging stations in 1,036 stations (of which nearly 5,000 on the Autolib'
network shared over more than 900 stations), over 3,300 Bluecar vehicles in circulation (including 3,080 on Autolib’), 8.5 million rentals since the launch of Autolib’ on December 5, 2011.
In addition, the Group sells and leases (LDD) Bluecar vehicles (Bluecar, Blueutility, Bluesummer) to individuals, companies and local authorities. Bluebus has just won a tender proposal from RATP (Paris transport authority). Bolloré Group buses, in a 6-meter and 12-meter version will make their debut during 2015 on RATP-run routes. The Group inaugurated the Bluetram factory in January 2015 which represents an investment of 10 million euros for production capacity of 100 Bluetrams per annum (which will ramp up to 200 Bluetrams per annum starting in 2016-2017 with a further investment of 20 million euros).
At the beginning of February 2014, the Group received ministerial agreement to deploy 16,000 charging stations across France, representing an investment of 150 million euros between 2015 and 2018.
Bolloré – 2014 Results 25
BLUE APPLICATIONS
Other than mobility, the Group is also developing stationary renewable energy applications: - batteries for individuals to optimize energy use by storing
electricity at off-peak times and using it at times of heavy use. This solution also helps offset the instability of electricity distribution networks;
- Bluestorage is developing electricity storage solutions, in the form of containers filled with LMP batteries, for businesspeople, individuals and local councils aiming to optimize energy use, and offset the uneven supply of renewable energies;
- Bluesun is a joint venture between Total Energie Développement and Bluestorage, which aims to add storage projects including LMP batteries into the latest generation solar panels produced by Sunpower, a Total subsidiary.
Therefore, from these stationary applications, Bolloré Group has created an innovative solution for the African continent: the Bluezone.
Bluezones have LMP batteries and solar panels which, when combined, make it possible to produce, store and distribute clean, free electricity in places without a standard electricity network. This environmentally-friendly and inexhaustible electricity supplies the Bluezones which provide lit areas, buildings with electricity, drinking water, Internet, health and wellness centers for youth, schools providing e-learning courses, sports, artisan workshops, etc. In 2014, the Group developed Bluezones in Benin, Togo, Guinea and Niger. In Abidjan, Yaoundé and Angkor in Cambodia, the Group is developing a completely energy-independent solution thanks to a station that links LMP batteries and solar panels to charge electric vehicles (Bluebus, Bluecar and Bluesummer).
Bolloré – 2014 Results 26
BLUE APPLICATIONS, PLASTIC FILMS
IER
IER, which produced all the terminals for Autolib’, Bluely, and Bluecub (subscriptions, rentals, electrical charging) and the onboard software for the Bluecar vehicles, is now a major player in the marketing of car-sharing solutions and in smart connected recharging technology.
In 2014, IER continued its development in car sharing and electric charging services (Indianapolis launch, Autolib' network growth, etc.). In particular, IER developed a new generation of independent charging stations which will be installed in London and throughout France (16,000-station project).
Furthermore, charging stations for air and rail transport has been a very strong business.
Automatic Systems has seen good business in the access control and barrier sector, which shows strong growth in North America, and despite the end of projects to equip the subways in Brussels and Stockholm. Automatic Systems is also a candidate in many calls for bids in the passenger control sector. Polyconseil
Polyconseil, which delivers IT services and consulting and designs software, also plays an important role in car-sharing systems and electrical storage management. Plastic films
Turnover in 2014 for plastic films fell by 2%, due to decreasing volumes of dielectric films, partly offset by a rise in the selling price of packaging films.
Bolloré – 2014 Results 27
OTHER ASSETS
(1) Consolidated by the equity method.
(2) Including 0.02% held by Financière de l’Odet.
Principal equity investments as of December 31, 2014:
Vivendi (5.15 %): Following the sale of the Direct 8 and Direct Star channels in exchange for 1.7% of Vivendi and additional share purchases on the market in 2012, the Group holds a 5.15% stake in Vivendi. Market value of the holding on December 31, 2014: 1,339 million euros (and 2,381 million euros on March 5, 2015 after the purchase of an additional 3%).
Mediobanca(1) (7.5%), Generali (0.13%) and Unipolsaï (0.04%)(2): Market value of the holdings: 473 million euros as of December 31, 2014. The main shareholding is Mediobanca, in which the Group is the second-largest shareholder, and has three representatives on the Board of Directors. The Group's shareholding in Mediobanca, which was up to 8%, was reduced to 7.5% in 2014.
Socfin(1) (38.7%) - Socfinasia(1) (21.8%) - Socfinaf(1) (8.6%): Market value of the holdings: 282 million euros as of December 31, 2014.
Vallourec (1.6%): Market value of the holding: 47 million euros as of December 31, 2014.
The market value of listed securities held by Bolloré Group amounted to 2,178 million euros as of December 31, 2014.
On March 5, 2015, following the purchase of an additional 3% of Vivendi, the market value of listed securities was 3,299 million euros.
Bolloré – 2014 Results 28
OTHER ASSETS
(1) company data before restatement under IFRS. Socfin group plantations are accounted for under the equity method in the Bolloré financial statements.
(2) not consolidated.
Socfin Group(1): The Group holds nearly 39% of Socfin, which manages
179,000 hectares of plantations in Asia and Africa. The results were penalized
by the drop in the average price of natural rubber (-32%) due to the
slowdown in demand, and of palm oil (-4%) as a result of the good soya
harvest in the Americas.
Socfindo, in Indonesia, (48,000 hectares of palm trees and rubber trees): net
income of 55 million euros versus 57 million euros in 2013, following the drop in
rubber prices.
Okomu, in Nigeria, (18,500 hectares of palm and rubber trees): net income of 7.5
million euros versus 10 million euros the previous year, penalized by the drop in
rubber prices.
Socapalm (35,000 hectares of palm and rubber trees) and Ferme Suisse (refining
unit), in Cameroon: net income of 9 million euros versus 8 million euros in 2013 ,
due to increased oil production.
Safacam, in cameroon, (9,800 hectares of rubber trees and oil palms): net income
of 3 million euros versus 4 million euros the previous year, penalized by the drop in
rubber prices.
Lac and Salala, in Liberia, (18,500 hectares of rubber trees): net income stable, due
to the health crisis and a significant drop in price.
SOGB, in Côte-d’Ivoire, (23,500 hectares of palm and rubber trees): net income of 7
million euros versus 9 million euros in 2013, because of the drop in rubber prices.
SCC(2): net income of 1.9 million euros versus 0.8 million euros in 2013, thanks to
increased production.
Bolloré – 2014 Results 29
OTHER ASSETS
(1) not consolidated
(2) 8.59% at the end of 2014 after support by Socfin of Safa and Socfinaf.
Developments: Creation of 12,000 hectares of rubber plantations in Cambodia,
6,600 hectares of which have already been planted, replanting of 6,100 hectares of
oil palms in the Democratic Republic of the Congo and 11,000 hectares of oil
palms in Sierra Leone(1) (a new plantation of 18,000 hectares).
Other agricultural assets:
In 2014, Bolloré Group sold Safa which owns a plantation in Cameroon (Safacam),
for 9% of Socfinaf (2). At the end of 2014, the market value of the Socfinaf shares
held was 23 million euros.
American farms: the three farms cover 3,000 hectares. The farmland was planted
with cotton and corn this year. Operating income, which is -0.7 million euros versus
0.8 million euros in 2013, has been penalized by inferior yields to those forecast
and by the sharp drop in corn prices.
Vineyards: The Domaines de La Croix et de la Bastide Blanche cover 242 hectares including 116 hectares with wine-growing rights. Increased turnover to 3.5 million euros (+8%) with sales of 580,000 bottles. The EBITDA of this business is now positive.
Bolloré – 2014 Results 30
2014 FINANCIAL STATEMENTS
Bolloré – 2014 Results 31
INCOME STATEMENT
CONSOLIDATED INCOME STATEMENT
(in thousands of euros) 2014 2013
Turnover 10,603,730 10,848,489
Goods and services bought in (7,286,166) (7,691,449)
Staff costs (2,359,055) (2,262,198)
Amortization and provisions (372,207) (350,855)
Other operating income 219,534 181,845
Other operating expenses (175,259) (139,379)
Share in net income from operating companies accounted for using the equity method 19,336 19,205
Net operating income 649,913 605,658
Net financing expenses (94,525) (100,108)
Other financial income 203,117 366,782
Other financial expenses (193,178) (236,840)
Net financial income (84,586) 29,834
Share in net income of non-operating companies accounted for by the equity method 71,212 20,541
Corporate income tax (235,701) (211,220)
Net income from ongoing activities 400,838 444,813
Net income from discontinued operations 2,591 5,011
Consolidated net income 403,429 449,824
Consolidated net income Group's share 218,639 270,148
Non controlling interests 184,790 179,676
Earnings per share (1) in (euros):
2014 2013
Net income, Group's share
- basic 0.09 0.11
- diluted 0.09 0.11
Net income from ongoing activities, Group's share:
- basic 0.09 0.11
- diluted 0.09 0.11
(1) Excluding treasury shares.
Bolloré – 2014 Results 32
BALANCE SHEET
CONSOLIDATED BALANCE SHEET
(in thousands of euros) 12/31/2014 12/31/2013
Assets
Goodwill 2,798,208 2,754,080
Intangible assets 1,080,127 1,010,499
Property, plant and equipment 1,834,797 1,608,615
Investments in equity affiliates 828,960 654,861
Other financial assets 5,969,511 5,976,012
Deferred tax 202,199 160,620
Other assets 143,623 61,572
Non-current assets 12,857,425 12,226,259
Inventories and work in progress 278,384 349,094
Trade and other receivables 4,349,912 4,088,241
Current tax 68,070 133,284
Other financial assets 15,772 14,084
Other assets 86,780 64,518
Cash and cash equivalents 1,379,103 1,578,659
Assets tied to activities available for sale 0 44,710
Current assets 6,178,021 6,272,590
Total assets 19,035,446 18,498,849
Liabilities
Share capital 439,704 437,471
Share issue premiums 549,251 508,129
Consolidated reserves 7,160,251 6,803,064
Shareholders' equity, Group's share 8,149,206 7,748,664
Non controlling interests 1,657,205 1,566,854
Shareholders’ equity 9,806,411 9,315,518
Long-term financial debt 1,623,216 2,155,130
Provisions for employee benefits 254,621 206,143
Other provisions 181,557 191,716
Deferred tax 231,377 207,821
Other liabilities 136,113 208,769
Non-current liabilities 2,426,884 2,969,579
Short-term financial debt 1,533,862 1,218,925
Provisions (due within one year) 85,298 75,571
Trade and other payables 4,835,104 4,636,168
Current tax 118,938 185,571
Other liabilities 228,949 89,420
Liabilities tied to activities available for sale 0 8,097
Current liabilities 6,802,151 6,213,752
Total liabilities 19,035,446 18,498,849
Bolloré – 2014 Results 33
CHANGE IN CONSOLIDATED CASH FLOW
CHANGES IN CONSOLIDATED CASH FLOWS
(in thousands of euros) December 2014 December 2013
Cash flow from operating activities
Net income from ongoing activities, Group's share 216,736 266,990
Non-controlling interests' share in ongoing activities 184,102 177,823
Consolidated net income from ongoing activities 400,838 444,813
No-cash income and expenses:
- elimination of impairment, amortization and provisions 404,120 351,460
- elimination of change in deferred taxes (14,481) (2,964)
- other income and expenses not affecting cash flow or not related to operating activities (101,536) (23,431)
- elimination of capital gains or losses upon disposals (13,553) (104,981)
Other restatements:
- net financing expenses 94,525 100,108
- income from dividends received (77,509) (74,213)
- tax charges on companies 238,671 209,633
Dividends received:
- dividends received from associates 40,299 37,033
- dividends received from non-consolidated companies and discontinued activities 78,756 77,876
Income tax on companies paid up (246,873) (201,439)
Impact of the change in working capital requirement: (22,643) (118,535)
- of which inventories and work in progress 91,643 (66,801)
- of which payables 122,483 139,489
- of which receivables (236,769) (191,223)
Net cash from ongoing operating activities 780,614 695,360
Cash flow from investing activities
Disbursements related to acquisitions:
- property, plant and equipment (475,436) (381,603)
- intangible assets (71,693) (69,138)
assets arising from concessions (92,180) (83,081)
- securities and other non-current financial assets (94,462) (229,295)
Income from disposal of assets:
- property, plant and equipment 19,225 11,838
- intangible assets 195 553
- securities 28,078 266,509
- other non-current financial assets 9,392 161,825
Effect of changes in scope of consolidation on cash flow (82,011) (53,187)
Net cash from investments in ongoing activities (758,892) (375,579)
Cash flows from financing activities
Disbursements:
- dividends paid to parent company shareholders (43,163) (2,540)
- dividends paid to minority shareholders net of distribution tax (107,412) (113,186)
- financial debt repaid (918,841) (593,125)
- acquisition of minority interests and treasury shares (44,513) (65,415)
Receipts:
- capital increase 45,291 100,692
- investment subsidies 3,347 7,724
- increase in financial debt 635,512 903,357
- disposals to non-controlling interests and disposals of treasury stock 211,404 29,926
Net interest paid (93,995) (90,054)
Net cash from ongoing activities (312,370) 177,379
Effect of exchange rate fluctuations 41,366 (29,468)
Impact of reclassification of discontinued operations 0 (5,579)
Other 98 3,834
Net incease in cash and cash equivalents from ongoing activities (249,184) 465,947
Cash and cash equivalents at the beginning of the period 1,449,307 983,360
Cash and cash equivalents at the end of the period 1,200,123 1,449,307
Bolloré – 2014 Results 34
CHANGE IN SHAREHOLDERS' EQUITY
(in thousands of euros) Number of shares excl. treasury shares Share capital Share issue premiums Treasury shares held IAS 39 fair value Translation adjustment Actuarial (losses) and gains Reserves Shareholders' equity, Group's
share Non controlling interests TOTAL
Shareholders’ equity as at 01/01/2013 2,420,648,000 429,926 376,038 (170,485) 2,256,416 (35,099) (27,499) 3,038,873 5,868,170 1,396,490 7,264,660
Transactions with shareholders 42,706,600 7,545 132,091 (14,393) 25,459 (8,831) 1,218 (113,871) 29,308 (57,561) (28,253)
Capital increase 42,706,600 7,545 132,091 139,636 0 139,636
Dividends distributed (75,667) (75,667) (99,852) (175,519)
Transactions on treasury securities (14,393) 2,926 (11,467) (1,743) (13,210)
Share-based payments 2,223 2,223 47 2,270
Change in scope 25,549 (6) (55) (47,891) (22,403) 44,816 22,413
Other changes (8,825) 1,273 4,538 (3,014) (829) (3,843)
Comprehensive income items 1,646,678 (64,774) (866) 270,148 1,851,186 227,925 2,079,111
Net income for the period 270,148 270,148 179,676 449,824
Change in items recyclable in profit and loss
Translation adjustment of controlled entities (33,134) (33,134) (7,518) (40,652)
Change in fair value of financial instruments of controlled entities 1,625,469 1,625,469 55,594 1,681,063
Other changes in comprehensive income 21,209 31,640 (10,431) 834 (9,597)
Changes in items that will not be recycled through profit or loss
Actuarial (losses) and gains from controlled entities (3,960) (3,960) (757) (4,717)
Actuarial (losses) and gains from entities accounted for using the equity method 3,094 3,094 96 3,190
Shareholders' equity at 12/31/2012 2,463,354,600 437,471 508,129 (184,878) 3,928,643 (108,704) (27,147) 3,195,150 7,748,664 1,566,854 9,315,518
Transactions with shareholders 58,382,700 2,223 41,122 54,725 9,557 77 124 63,101 170,939 (82,911) 88,028
Capital increase 13,950,700 2,223 41,122 (601) 42,754 0 42,754
Dividends distributed (615,300) (77,601) (77,601) (92,551) (170,152)
Transactions on treasury securities 45,047,300 54,725 150,050 (204,775) 2,875 207,650
Share-based payments 4,386 4,386 1,815 6,201
Change in scope 9,557 (760) 43 (2,848) 5,992 2,869 8,861
Other changes 837 81 (10,285) (9,367) 2,081 (7,286)
Comprehensive income items (18,117) 47,964 (18,883) 218,639 229,603 173,262 402,865
Net profit/loss for the period 218,639 218,639 184,790 403,429
Change in items recyclable in profit and loss
Translation adjustment of controlled entities 29,946 29,946 (761) 29,185
Change in fair value of financial instruments of controlled entities (47,764) (47,764) (3,831) (51,595)
Other changes in comprehensive income 29,647 18,018 47,665 1,884 49,549
Changes in items that will not be recycled through profit or loss
Actuarial (losses) and gains from controlled entities (18,807) (18,807) (8,819) (27,626)
Actuarial (losses) and gains from entities accounted for using the equity method (76) (76) (1) (77)
Shareholders' equity at 12/31/2014 2,521,737,300 439,704 549,251 (130,153) 3,920,083 (60,663) (45,906) 3,476,890 8,149,206 1,657,205 9,806,411
Bolloré – 2014 Results
19.1 (0.0) Compagnie du Cambodge**
5.6 (0.0) Société Industrielle et Financière de l'Artois**
4.9 (0.0) Financière Moncey**
3.6 (0.0) Imperial Mediterranean **
2.3 (0.0) Nord-Sumatra Investissements **
0.5 (0.0) Imperial Mediterranean **
0.1 (0.0) Société Bordelaise Africaine**
10.0(2)
22.8
61.8 64.2
4.1(3)
36.7
15.2
8.9
48.2
42.1 64.6(4)
71.2 14.0
17.8(9)
11.5
56.5
55.5
5.0
58.8
27.0
6.8
13
By convention, shareholdings under 1% are not mentioned.
(1) Directly and indirectly by fully-owned subsidiaries
(2) Of which < 10.0% by Compagnie du Cambodge.
(3) 4,10% by SFA, a 98.4%rowned subsidiary of Plantations des Terres Rouges.
(4) 64.6% by its 53.4%-owned direct subsidiary Socfrance.
(5) 30.2% by Société Bordelaise Africaine and 6.8% by its 53.4%-owned direct subsidiary Socfrance.
(6) 1.9% by Plantations des Terres Rouges.
(7) Of which 5.3% by its 99.5%-owned direct subsidiary Compagnie de Guénolé.
(8) including 0.002% owned by Bolloré Participations
(9) including 17.8% by Bolloré Participations
(10) Indirectly, by a fully-owned subsidiary.
8.9
31.5
100.0
100.0(10)
Bolloré Railways
12.0
26.6
7.3
27.4
Bolloré Énergie
Oil logistics
100.00
Société Industrielle et
Financière de l'Artois
37.0(5)
Bolloré Logistics
ELECTRICITY STORAGE AND
SOLUTIONS
Bolloré Ports
BOLLORÉ
TRANSPORTATION &
LOGISTICS
Blue Applications
IER
Media, telecoms
52.4
100.0(1)
Listed companies
47.6
15.1
COMMUNICATION
Shareholdings
Plantations
1,9(6)
28.6
Percentage of share capital outside the Group
Bolloré Transport & Logistics
Energy storage and industry
Controlled by Bolloré
Communication, media, advertising and telecoms
16.7
1.8(1)Socfinaf
**
9.3
% (%) % of capital (% of voting rights at General Meeting)
*
32.5
Havas
Bolloré
Plantations des Terres
Rouges
(Luxembourg)
64.0(8)
(64.4)
100.0 (1)
Nord-Sumatra
Investissements
67.2(1)
55.3(7)
(92.0)
Financière de l'Odet
Forestière Équatoriale
(Republic of Côte
d'Ivoire)
Financière Moncey
17.5
3.3
37.1(1)
Sofibol
25.3(1)
Compagnie du
Cambodge
29.2(1)
90.5(1)
Compagnie des Tramways de Rouen
Société des Chemins de Fer et Tramways du
Var et du Gard
4.3*
3.7*
1.1*
4.6*6.0*
2.5*
9.2*
Plastic films
Financière deSainte-Marine
35.4*
Compagnie de Pleuven
Socfin ex-Socfinal
(Luxembourg)
Socfinasia(Luxembourg)
Société Bordelaise Africaine
Imperial Mediterranean
Blue Solutions
Financière du Perguet
Compagnie deCornouaille
6.0* 3.9*
11.0*
17.5*
35
GROUP STRUCTURE AS OF MARCH 6, 2015 (in percentage of share capital)