Seb Sa Unsp/Adr

Good afternoon and welcome to the 2023 full-year results. I'm Stanislas Durand, the general director of the group. I'm going to be handing over the next 45 minutes to share with you the next results for 2023 with Olivier Cassanova, who is on my left, the general director, deputy director in charge of finances for the group. We will be speaking in French. We'll be answering questions in French, but there's a simultaneous translation in the room. I think everybody speaks French in the room and on the webcast to accompany our listeners who are online and who we greet. After the presentation, there will be a Q&A session where you can ask questions directly from the floor or live using this tablet, which is supposed to be sending us the questions you have submitted for our attention. So, 2023, I'm going to be covering It's a classic of financials, major key highlights of 2023, the acquisition of Sofilac, CSR, and we're going to talk about outlooks. 2023 was a very good year for the subgroup. We have a very profitable growth over the year. You've seen the results of sales, 8 billion, 6 million in sales. We broke that barrier of 8 billion. We are up 5.3% like for like compared to 22. This translates or can be converted in operating net profit of 726 million euros in ORFA compared to 620 last year, so that's 17% additional. With an operating margin of 9.41%, that's 129 basis points better than last year. In the net profit, this is translated into 386 million euros, up 70 million or 22% compared to 22. And the last factor relating to performance is net financial debt, which stands at €1,769,000,000, up €204,000,000 compared to the end of 2022, which generates a leverage of 1.8 times EBITDA. And the board of directors that met yesterday is proposing to the General Assembly on 23rd of May a dividend of €2.62 per share, depending on premiums and so forth.

I'm going to hand over now to Olivia Casanova who's going to go into the financial highlights over the year.

Thank you Stanislas. Hello everyone. I'm going to start with comments on sales as we've already heard and commented on at the end of January. So I'm going to move over that quite quickly. Here you have, as Stanislas just explained, you have sales that went past that $8 billion And slightly up, like for like, but which in fact, if you break it down, it was built thanks to organic growth, which came back up by 5.3%, a negative currency effect of roughly the same amount as expected. And I'll get back to that effect in a moment. And the scope effect, which is a contribution of one part of the year. So, just a word about the significant currency effect in 2023, especially in the second half year, compared to $420 million. And this was marked in the second half year. You can see right there, there's almost $300 million. It's almost three times greater than the first half year. So, there's an acceleration in that second half year. We can see that the main impact was a devaluation or the change in RMB compared to Euro. So it's not a very marked, we're talking about a discrepancy of an average of 8%, but it's applied to a sales figures of 8 billion, so that makes a big amount. If we look at the three other currencies of emerging nations, we have Russia, Turkey, and Egyptian pound. We can see that the sales figures in these variations that are applied is much lower than in China, but the changes in devaluation of these currencies is significant which gives an important impact. If we look now at the organic growth since Q2 2023, After four quarters of negative growth, we got back in the second quarter to a like-for-like growth of 6.8%. And that dynamic continued throughout the rest of the year with a Q4 at 8.5%. And if you look division-wise, we're going to talk about professional. We had an excellent performance over the year in professional with a growth throughout the year of TCPC of 26.5% like-for-like. and almost a billion euros in sales. In consumer we have 7 billion 45 million and we can see that in 2023 we got back to positive growth like for like in consumer of 3.2% and this growth is accelerated in fact in that fourth quarter because we have a growth of 7.7% in the fourth quarter. Now I'm going to go over the factors having to do with sales because we spoke about them already. Here you see the growth in Q4 of 16.2%, compared to 22. It was a bit more demanding. That's why this is slightly lower than the average for the year. But we benefited from a market which was still growing, as you know. And additionally, in very good commercial performance, thanks to successes with major clients, and thanks as well to robust business with independent clients. We also benefited from a certain number of product launches of new products and Stanislaus will get back to that in his part. And lastly, we made progress in our strategic plan in 2023 with the acquisition of La San Marco, which is an iconic Italian brand of traditional coffee machines, which adds to our product offering after the acquisition of WMF and Scherer on the one hand and World War Curtis on the other.