Getlink Se

Getlink reports results for 2018. Jacques Guenon, a warm welcome to you. You are the CEO and Chairman of Getlink. Now, you're presenting FY results. They're positive, but with Brexit just around the corner, can the success continue?

Hi. First of all, I would like to commend 2018, which has been an excellent year, really excellent year. And I would say, if I may summarise 2018, better than expected. in all ways and all businesses. I know that there is a certain level of uncertainty about the Brexit outcome but, as I will explain, I don't think that this could have a significant impact on our businesses even if we are, let's say, Brexit-ready in all assumptions which could happen. And the best way in order to give such evidence of confidence in the future is the fact that the Board has decided to propose to the next AGM a significant increase of the dividend this year an increase by 20% which means 36 cents by share which is really something in order to, let's say, highlight the fact that the only thing which is certain at the present time is the fact that our dividend policy will continue to be implemented.

Let's get back maybe to this excellent year as you said.

I think we need to give some figures, some key figures, of course. Revenues have been up by 5%. More importantly, EBITDA grew by 9%, up to 569 million euros. 569 million euros, an historical record. Very robust profit. If we consider free cash flow, it's plus 7%. And at the end of the day, which is, let's say, the first time we have such a long-term historical record, it's the net profit 130 million euros up by 21%. So we can say, yes, 2018 has been really a very excellent year and we are in a very robust positioning in order to address 19 years later.

Could you tell us more about the lines of business?

First of all, Eurotunnel, the fixed link, the channel tunnel, of course, is a unique asset. Incredible unique asset. And you know that traffic has been better than expected once again. 21 million of passengers and both Eurostar and Le Château has been very successful. 1.7 million of trucks, historical records. 2.7 million cars. So really booming everywhere. Having said that, and if we consider 19 and perhaps the Brexit consequences, we do think that there is a sole need to cross very rapidly the channel that both goods and customers, passengers, have this unique mean to cross the channel in the easiest way and the fastest way. I would say we are in a time where time is absolutely key and we are offering both quality of service and time saving. It's why we are very confident on long term.

How about your guidance for 2019 and beyond?

I think we must assume two key different Brexit outcomes. Of course, no deal or a kind of soft Brexit. First of all, I would like, of course, to ask negotiators to continue to deliver the best agreement they can reach. And I am still in a way to considering that this could happen. I know that the Confederation of British Industry made some very tough comments about the potential negative consequences of the Brexit, but I must just remind that on our own stream, which is, let's say, just in time, but also express deliveries and things like that, we have a key positioning. I do think that this business will not be the most impacted business. Having said that, we are Brexit ready. What does it mean? It means that, of course, we work with both states in order for them to have the best organization to deliver custom controls. But beyond that, we are recruiting some interim staff in order to support our customer, let's say a kind of marshals in order to say the control border is there and not there, and to ease all, by every means, the possibility for our customers to keep What is our key strength? Which is the fluidity of the border, a frictionless border, a smart border we are working on. And so we have two main assumptions for 2019. If there is a deal, such level. If there is no deal, of course, it would be worse than if there is a deal. But it's something which is the result of a very cautious, very conservative approach I account the fact that it could have some significant, even if it is relatively small, disruptions in Q2. We have accounted them then, and beyond this disruption period, we are ready to be back to what has been our increased profitability year after year.

Jacques Guenon, thank you.

Thank you.