Ingenico Group posted record growth for its consolidated revenue (unaudited) in the fourth quarter of 2007, reaching Ã¢âÂ¬165.1m, up 26.6% on a like-for-like basis from last year.
Over the full year, consolidated revenue totalled Ã¢âÂ¬567.9m, up 12.2% from last year and up 9.3% on a like-for-like basis.
Business review in Q4
* The Asia Pacific zone mainly benefited from the Group’s increasing penetration in China and South-eastern Asia, while Australia stalled after an excellent third quarter. * After three relatively sluggish quarters in Northern Europe, the Group subsequently benefited from an increase in volumes at many financial institutions, including Barclays. This paved the way for growth in excess of 28% in comparison with the fourth quarter of 2006. * Southern Europe primarily benefited from the buoyancy of the Italian market, while the French and Spanish markets remained relatively stable. * The EEMEA zone recorded further sustained growth in Eastern Europe, the Middle East and Africa. The contribution of revenue posted in Turkey by the former Planet (now called Ingenico Ãâdeme) in the fourth quarter totalled Ã¢âÂ¬6.6m and accounted for Ã¢â¬” given its former status as a distributor of Ingenico products Ã¢â¬” Ã¢âÂ¬1.2m in additional revenue. * In line with the information given when third-quarter sales were published, North America enjoyed a record fourth quarter with an increase of more than 42% in terms of sequential growth and 59% from last year at constant exchange rates. This growth resulted primarily from robust growth in sales in the United States, related to a catching-up effect at the end of the year in mass retailing and banks * Latin America enjoyed a satisfactory fourth quarter boosted in particular by the good level of sales in Brazil and the ongoing penetration into Central American countries.
Group’s business in the year
Sales at constant exchange rates grew 14.4% to Ã¢âÂ¬579m. The acquisitions of Moneyline and Planet accounted for slightly more than one-third of this growth, i.e. 5.1%. Virtually all zones contributed to organic growth.
KEY FACTS IN Q4
Ingenico and Sagem Securit(C) signed an agreement on 3 December 2007 aimed at merging their electronic payment system operations, and thus give birth to the global leader in the sector. Under the terms of the agreement, Sagem S(C)curit(C) will bring to Ingenico its payment terminal activities operated by its subsidiaries Sagem Monetel and Sagem Denmark. It was cleared by Safran’s Executive Board on 13 December 2007. It will be submitted to the approval of the General Meeting of Ingenico’s shareholders that is to be held during March 2008.
Moreover, the Group published a press release on 21 January 2008 informing holders of bonds convertible into and/or exchangeable for new or existing shares maturing on 1 January 2012 (hereafter OCEANEs) of its decision to carry out an early redemption of all outstanding OCEANEs. OCEANE holders keep the option of exercising their right to convert the bonds into shares (1,005 shares for one bond) and thus waive redemption rights. In order to safeguard the interests of its shareholders and reduce dilution, the Group has already redeemed early one million OCEANEs and 4,067,793 OCEANEs remain outstanding to date.
Given the high level of activity in 2007, the Group confirms the confidence it had already voiced in December 2007 when the finalisation of the agreement with Sagem Securit(C) was announced and currently believes it will likely be able to post an EBIT margin of at least 10% (1) for full year 2007.
The Group will announce its full year results on March 19, 2008. (1) Unaudited figures
Throughout the world, banks and retailers rely on Ingenico for secure and expedient electronic transaction acceptance. Ingenico solutions leverage proven technology, established standards and unparalleled ergonomics to provide optimal reliability, versatility and usability. This comprehensive range of products is complemented by a global array of services and partnerships, enabling businesses in a number of vertical sectors to accept transactions anywhere their business takes them.
For complete details on Ingenico’s latest results visit CardData ([www.carddata.com]).