As an integrated Group operating in all event professions, GL events works in three major segments:
event organisation, event venue management and services for fairs, congresses and events.
© Odile Decq architect / Felice Varini – Altitude 150
|Sales (in millions of euros)||2003||2002||Change|
|First-quarter||81.0||75.9||+ 6.7 %|
|Third-quarter||71.2||69.4||+ 2.5 %|
|Fourth-quarter||89.2||91.8||- 2.8 %|
|Total sales||339.8||301.9||+12.6 %|
Sustained organic growth in 2003: + 8.3 %
- Despite a persistently difficult economic environment, GL events demonstrated its ability to achieve sustainable growth in a market where its position as a global provider offers important competitive advantages.
- Organic growth 2003: +8.3%
- Consolidation effect: +5.2% (primarily from the acquisition of Europa Organisation (Cofrata)
- Currency effect: -0.9 % (GBP effect - billings in USD non significant)
Global services for trade shows, exhibitions and events
+2.5% (+4.1% at constant structure and exchange rates)
€187.5 million in 2003 or 55.2% of total sales
- With organic growth of 4.1%, the group registered an excellent performance in 2003 in a market now considered to have reached maturity.
- The marginal decline in 2003 fourth-quarter sales reflects an unfavorable basis effect following the exceptional contribution of the Manchester Skill Festival (€4.2 million) in the 2002 fourth-quarter.
Venue and Event Management
+87.4% (+38.1% at constant structure - no currency effect)
€59.6 million in 2003 or 17.5% of total sales
- The Toulouse Convention Center saw a surge in activity (+45%), hosting 252 events compared with 230 in 2002.
- The integration of Europa Organisation within the event engineering division has proceeded in a very satisfactory manner, already resulting in promising prospects for the 2004 first-half.
- Following the repositioning initiated by the city of Paris, in its first year of operations, the Floral Park's performance in 2003 exceeded forecasts. This trend is expected to continue in 2004 which will be marked by qualitative and quantitative improvements in programming.
- The exhibition hall of the Grande Halle d'Auvergne opened on schedule on 31 December 2003 and 1 January 2004, marking the departure of the Dakar rally and the Zénith concert hall of Clermont Ferrand opened its doors on 4 December 2003. Built by the Auvergne Regional Council and managed by GL events, these two sites of excellent quality hosted 17 concerts and welcomed more than 70.000 guests in December 2003.
The strong growth of Venue and Event Management once again confirmed the pertinence of GL's strategic focus. The quality of its portfolio of national and international clients associated with premium venues assure high growth potential for this business.
Fittings systems and services
+6.1% (constant structure - no currency effect change)
€92.7 million in 2003 or 27.3% of total sales
- The manufacture and long-term leasing of aluminum structures and the sale of aluminum sections for exhibitions and events grew at a satisfactory rate.
- After growing in 2003, the less strategic business of fittings will see a drop in activity in 2004 which will be largely offset by the performances of the other group businesses.
Outlook for 2004
Year 2004 will be marked by major events of the Olympic Games of Athens and the Barcelona Universal Forum of Cultures. GL events' role as a partner of Formula 1 is confirmed with the new contract to provide services for the Spa circuit (Belgium).
In 2004, business volume from large international events should exceed levels recorded in 2003.
Venue and Event Management will benefit from the full-year contribution of Europa Organisation which recently won a call for tenders for the organization of the founding Congress of the World Organisation "United Cities and local Governments" to be held in Paris in May.
The two venues of Clermont Ferrand and the Floral Park of Paris are also expected to pursue their positive growth trends.
On the 29 January 2004, GL events was awarded by the city of Saint-Priest the renewal of the management delegation for its Château. Operated up until now on a cost-reimbursement basis, the site will henceforth be managed under a concession for a period of six years.
Olivier Ginon, Chairman, declared: "We are pleased with this renewal which shows that GL events has successfully performed its mission, the satisfaction and the confidence of our partners being critical to our strategy".
The Group also confirmed its goal of adding to its portfolio two new venues per year.
Next publication date: 2003 earnings and forecasted 2004 sales: 16 March 2004 (after the close of trading)
GL events, bringing people together
Managing Director Corporate Finances and Administration : Erick ROSTAGNAT
Telephone : + 33 4 72 31 54 20
Fax : + 33 4 26 20 42 00
Email : email@example.com
Code ISIN : FR0000066672
Code Bloomberg : GLO FP
Code Reuter : GLTN.PA
Code FTSE : 581