SEBYY - SEB SA (SEBYF) Q4 2023 Earnings Call Transcript
2024-02-23 12:33:06 ET
SEB SA (SEBYF)
Q4 2023 Earnings Call Transcript
February 22, 2024 8:30 AM ET
Company Participants
Stanislas De Gramont - General Director of Group
Olivier Casanova - General Director, Deputy Director in-charge of Finance
Conference Call Participants
Marie Fort - Societe Generale
Francis Prêtre - CIC Market Solutions
Presentation
Stanislas De Gramont
Good afternoon, and welcome to the 2023 full year results. I'm Stanislas De Gramont, the General Director of the group. I'm going to be handing over the next 45 minutes to share with you the net results for 2023 with Olivier Casanova, who is on my left and General Director, Deputy Director in-charge of Finance for the group.
We will be speaking in French. We'll be answering your 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 across the 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 SEB group. We have a very profitable growth over the year. You've seen the results of sales, €8.606 billion 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 into operating net profit of €726 million in URFA compared to €620 million last year, we saw about 17% additional with an operating margin of 9.1%. That's 129 basis points better than last year.
In net profit, this has translated into €386 million, up €70 million or 22% compared to '22. And the last factor relating to performance is net financial debt which stands at €1.769 billion, up €204 million compared to the end of '22, which generates a leverage of 1.8x EBITDA. And the Board of Directors that met yesterday is proposing to the general assembling 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 Olivier Cassanova, who's going to go into the financial highlights over the year.
Olivier Casanova
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 to 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 1 part of the year of some acquisitions that were for La San Marco, Pacojet and FORGE ADOUR. So just a word about the significant currency effect in 2023, especially in the second half year compared to €220 million. And this was marked in the second half year, you could see right there, it was almost €300 million. It's almost 3x 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 the renminbi 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 figure of €8 billion, so that makes a big amount....
SEB SA (SEBYF) Q4 2023 Earnings Call Transcript