Laurent Germain, CEO of Egis, and Olivier Gouirand, chief financial officer, today unveiled Egis’ financial results for 2021. A year marked by a return to excellent financial performances and the implementation of the Group’s strategic orientations aimed at achieving ambitious growth targets and a tangible commitment to the environment.
2021 in figures
- Turnover: 1.16 billion euros (+9% compared with 2020)
- Engineering order book at 1.44 billion euros (+16% year-over-year), representing 19 months of consolidated turnover
- 62% of business generated outside France
- EBITDA: 144 million euros (+21% compared with 2020)
- Operating margin: 12.4% (up by 1.2 points on 2020)
- Net profit, Group share: 40 million euros
- Free Cash Flow: 93 million euros
- 12 new acquisitions in 2021
2021: a year of strong growth
2021 was an excellent year for Egis, with financial performance indicators well above the Group's forecasts. The engineering order intake reached €1.13 billion (up 21%), confirming the commercial vitality of Egis' markets and the positive impact of the new commercial organisation. At the end of December 2021, Egis' engineering order book represented 19 months of consolidated turnover, which is a record.
Egis' turnover in 2021 amounted to €1.16 billion, up 9% compared to 2020. This growth is due in particular to Egis' ability to win very large projects in a variety of fields, such as a road project in Peru, the Manila metro in the Philippines, the Dhaka metro in Bangladesh, the project management of a large leisure complex in Saudi Arabia, and cable transportation in Ile-de-France.
Among the geographical zones in which Egis operates, Asia-Pacific and the Middle East are particularly buoyant, with growth rates of 15% and 14% respectively.
Particularly solid financial indicators
The Group's profitability, as measured by EBITDA, bounced back in 2021 by +21% to reach €144 million. The operating margin is 12.4%, up 1.2 points on 2020, and above the figure for 2019 (12.2%). Net profit (group share) amounted to €40 million, up 46% compared to 2021. This reflects the strong improvement in Egis' profitability, in both engineering and operations.
The Group's balance sheet also shows healthy financing capacity: the net cash position was positive at the end of 2021 at €23 million. Egis also concluded a new borrowing arrangement with a pool of banking partners amounting to €460 million, most of which will be used to finance its external growth policy.
Development accelerating outside France
In addition to the Group's organic growth, Egis' development is fuelled by a dynamic acquisition policy. In 2021, 12 new companies joined the Group, allowing it to round out its areas of expertise (building, mobility, rail, nuclear, digital, geotechnics, asbestos removal, etc.) and strengthen Egis' footprint in its target geographical areas (Australia, United Kingdom, Asia, etc.). These companies already contributed €29 million to Group turnover and €3 million to EBITDA in 2021.
Tangible commitments to environmental protection
Egis’ main sectors of activity - cities, buildings and transport - account for more than 50% of global greenhouse gas emissions. The Group therefore has a crucial role to play in the fight against climate change alongside its clients, and in particular national and local government. Consequently, Egis is making its contribution to environmental protection through five tangible pledges:
- Cut Egis’ greenhouse gas emissions worldwide, with the emissions reduction amounting to 80% by 2050.
- Reduce the emissions of Egis’ clients’ projects, and limit their impact on biodiversity. In 2030, 100% of Egis’ projects will be eco-designed, even when this is not requested by the client.
- Contribute to increased carbon sequestration, notably through nature-based solutions, such as Smart Soil, which improves the carbon sequestration potential of land holdings.
- Reinforce the resilience of communities and infrastructure to extreme climate risks (floods, wildfires, etc.) by contributing to the necessary adaptation of communities.
- Adjust the company’s business portfolio by developing a third business pillar dedicated to the energy transition, with an increase in the Group’s activity in low carbon energy (including nuclear power, in which Egis is already a leading figure) and the ambition to become a leader in the renewable energy sector.
A new majority shareholder to support Egis’ ambitions
Tikehau Capital has become the majority shareholder of Egis with a 40% stake, through its fund T2 Energy Transition. Tikehau Capital's acquisition of an interest in Egis comes as a major step towards the fulfilment of its strategic plan "Impact the Future", which is focused on international markets and aims to establish Egis as one of the world's top 10 engineering companies, doubling its turnover within five years. Tikehau Capital intends to support Egis' ambition to be a leading player in intelligent and sustainable infrastructure to combat climate change, preserve biodiversity and improve people's quality of life. Caisse des Dépôts, the Group's historical shareholder, will retain a 34% holding in the company.