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
|(millions of euros)||30/06/04||30/06/03||Change|
|% of sales||7.93%||7.81%|
|Net financial expense||-0.9||-1.0|
|Net income of fully consolidated companies||8.6||7.5||+13.5%|
|Amortization of goodwill||-0.9||-0.8|
|Net attributable income||7.3||6.6||+9.2%|
Growth of the Net profit of fully integrated companies: 13.5%
In the 2004 first half, GL events posted further gains in sales and earnings:
- Sales +1.2% (+0.6% at constant structure and exchange rates, +12% for organic growth excluding fittings)
- EBIT: +2.7%; Net attributable income: +9.2%.
Sales: €94.5 million (+5.1%) - EBIT: €4.4 million (+14.4%)
In the Group's historical business, 1H 2004 growth remained satisfactory. In addition to contributions from important recurrent trade shows, 2004 was marked by the Group's presence at the Athens Olympic Games, the Barcelona Forum of Cultures, Vinitaly and the UEFA Euro 2004 football championship. The EBIT margin was 4.6%. Leveraging its competitive advantages and solid reputation, GL events will continue to pursue earnings growth for this division in France and international markets.
Venue and Event Management
Sales: €47.2 million (+38.3%) - EBIT: €7.2 million (+30.6%)
Boosted by the development of recently added venues (Grande Halle and Zenith d'Auvergne, Paris Floral Park, Barcelona International Convention Center) combined with good performances of the other sites and the event organization, sales surged 33.2% for organic growth with an EBIT margin of 15.3%. Characterized by rapid growth and higher margins than the other Group's businesses, Venue and Event management is a major vector of strategic growth by providing a comprehensive and integrated range of solutions to meet the existing needs of customers.
Fittings, Systems and Services for Enterprises
Sales: €39.9 million (-28%) - EBIT: €2.8 million (-39.6%)
Despite a significant decline in sales in relation to the 2003 first half reflecting the redeployment of the fitting business and a maximum basis effect, the 1H2004 EBIT margin was 7.1% compared with 8.5% in 1H2003 and 5.94% for FY2003.
Acquisition in Venue and Event Management
GL events announced the acquisition of Market Place, a leading French event organization and communication specialist that has designed, organized, coordinated and produced events for enterprises and institutions since 1973.
Recognized as a specialist in live communications and a laboratory for new ideas and concepts, Market Place operates in four areas:
- events for enterprises
- events for the general public,
- events for public institutions,
- event design and creation
Market Place has the full range of expertise necessary to develop event communications strategies for every category of customer.
With sales of approximately €17 million and a staff of 30, Market Place produces 100 events per year on behalf of such references as Total, Caisse d'Epargne, EADS, EDF, Canon, the French Ministry of Social Affairs, The City of Paris, Air France, TF1, Renault.
In terms of the acquisition multiple, itis in line with the crietria of this business segment and will be financed from available cash ressources.
This acquisition will reinforce the Group's range of services already proposed by Europa Organisation, Package and Esprit Public and will:
- Accelerate the event organization and communication activity within the Venue and Event Management business
- Allow commercial and financial benefits from moving up the event chain of services
In line with the Group's corporate culture, management and employees will pursue their activity within GL events in a manner that will ensure the rapid integration of this company which will be consolidated on 1 September 2004.
GL events intends to maintain its ambitious external growth strategy: development into international markets, addition of new venues, complementary businesses, etc.
The 2004 second half will be marked by the integration of TEMP A STORE, the leading UK provider of temporary storage and warehousing solutions within the division devoted to "Fittings, Systems and Services for Entreprises" (consolidated effective 1 July 2004) and of Market Place within the Venue and Event Management division.
Upcoming events: publication of T3 sales on 26 october (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