STEF (STF) H1 2024 earnings summary

Executive summary

• Revenue rose 7% year-over-year to €2,325.2M in H1 2024, driven by acquisitions and international growth, despite sluggish food consumption in Europe.

• Net income from continuing operations fell 14% to €68.1M, reflecting lower volumes, higher financial charges, and weak French activity.

• EBITDA increased 16% to €218.9M, while EBIT declined 6% to €106.6M, with margin down to 5.2% from 6.0%.

• International activities now account for over 42% of group revenue, with strong contributions from Italy, Spain, Portugal, Belgium, and the Netherlands.

• Major acquisitions included Bakker Logistiek (Netherlands), Fernandez Centeno (Spain), Montfrisa (Spain), Long Lane Deliveries (UK), and a pending deal for TDL Fresh Logistics (Belgium); divestment of STEF Logistique Santé completed.

Financial highlights

• Revenue: €2,325.2M (+7% YoY); France +1.5%, International +19.1% (+3.8% organic).

• EBIT down 6% to €106.6M; EBIT margin at 5.2% vs. 6.0% last year.

• Net income from continuing operations down 14% to €68.1M.

• EBITDA up 16% to €218.9M.

• Free cash flow turned negative at -€94.5M vs. +€115.1M last year.

Outlook and guidance

• Focus on monitoring consumption trends and adjusting resources to economic and political conditions in key markets.

• Persistent inflationary pressures expected on interest and labor costs for the remainder of 2024.

• Continued pursuit of strategic external growth and investments, especially in energy transition.