Egis is pleased to report healthy financial results for 2019, illustrated by higher turnover and a very substantial increase in its profitability. However, the current public health crisis resulting from the Covid-19 outbreak has caused disruption in all the Group’s activities in France and around the world. In view of this, Egis is today focussing on guaranteeing the safety of its employees and the operational continuity of its essential activities.
While the crisis will inevitably affect the Group’s results for 2020, Egis’ people and management teams are already at work preparing an exit strategy and ensuring the Group’s resilience.
"In 2019 we beat the growth and profit targets that we had set ourselves thanks to excellent results in our various markets. Although the Group is today experiencing the effects of the Covid-19 pandemic, we are taking steps to guarantee its resilience by adjusting our activities in response to new market constraints. And we are already making plans for continued growth once the crisis is over.” - Nicolas Jachiet, chairman and CEO of Egis."
The Group’s managed turnover for the year amounted to €1.22 billion (+7.9%). Most of the growth recorded (+5.1%) was organic, and growth was higher outside France (+5.9%) External growth also continued with contributions from our latest acquisitions: Inhabit, the Hong Kong design consultancy specialising in building engineering (envelopes and environment) and the consultancy Plantier, a French design office specialising in building structure design and construction studies.
Breakdown of turnover by market
The order intake for engineering amounted to €881 million (+6% compared with 2018), with some very valuable contract awards such as the engineering of the Route Centre Europe Atlantique (RCEA) or large EPC lots for the Seine Nord Europe Canal (SNEC).
The order book stood at 18 months of turnover, slightly down on the previous year as the growth in order intake was slower than that of turnover.
Geographical breakdown of managed turnover in 2019
Our EBITDA (profit before provisions, depreciation, financial expenses and tax) amounted to €113.8 million, up by €24.7 million on the 2018 figure.
Our Distributable Net Profit was up by €18.9 million compared to 2018, increasing in both operations (+€10.7 million) and engineering (+€8.2 million). This figure is a 5-year high.
With its new strategic plan Vision 2025, our Group has chosen to reassert its identity, values and vocation to act in the interests of the planet, people and social progress.
In view of the scale of the challenges ahead, one of our key choices has been to accelerate and amplify our actions in response to the climate emergency which we have designated an absolute priority in our development strategy. In 2019, the Group furthered its public commitments by adding its signature to several charters (Syntec Ingénierie, Women’s Forum, Engineers Declare, etc.). We strive to offer our clients a range of engineering and operation services that rise to this challenge by harnessing our low-carbon solutions, developing eco-design in all our areas of activity and systematically making environmental recommendations for construction and operation phases. Egis is also taking steps to act responsibly and consistently with these values through a policy to reduce the carbon footprint of its own internal operations with a view to reaching carbon neutrality by 2050 at the latest.
Finally, another crucial priority for our Group is the development of digital technology which is profoundly changing the organisation and very nature of our lines of business. Between now and the end of 2020, 90% of the design work on our projects will be accomplished using BIM. In the digital field, we have launched a comprehensive transformation plan to change our internal processes, develop new service offerings, reinforce the structural technological bricks of digital tech and enhance our skills in all job areas connected with this sector of the future.
To meet these challenges, Egis intends to channel its development efforts towards two major strategic priorities: transportation and mobility of the future on the one hand and sustainable city construction on the other. In these two business areas can be found many of the challenges that we seek to address in order to prepare for tomorrow and make our contribution to inventing a sustainable future.