Full-Year 2024 results

Commenting on the 2024 results, Jean-Charles Decaux, Chairman of the Executive Board and Co-CEO of JCDecaux, said:

“2024 was a very robust year for JCDecaux in a challenging macroeconomic environment with geopolitical uncertainties. Thanks to our unique and geographically well diversified global OOH media footprint, we are reporting a strong organic revenue growth of +9.7%, including a record performance in Q4 despite the lack of recovery in China which remains well below 2019. Digital Out-of-Home (DOOH), the fastest-growing media segment, grew by 21.9% with programmatic revenue growing by 45.6% and now represents 39% of our total revenue.

Leveraging on this strong revenue growth, all our financial indicators grew double digits. Our operating margin grew by +15.3%, our net income by +23.8%, to reach €258.9 million, combined with a solid free cash flow generation of €231.9 million. Given these solid results and our strong financial structure, we will be proposing a dividend payment of €0.55 per share at the AGM. Going forward, we intend to gradually increase this dividend while maintaining a balanced cash allocation with capex and bolt-on M&A.

With a solid business momentum in early 2025 we expect around +5% organic revenue growth in Q1. Going forward, building on this revenue momentum, we target for 2026 an operating margin rate above 20% and a free cash flow above €300 million.”

A report with an unqualified audit opinion is being issued by the Statutory Auditors.

Following the adoptions of IFRS 11 from January 1st, 2014 and IFRS 16 from January 1st, 2019, the alternative performance measures presented below are adjusted mainly to include our prorata share in companies under joint control, regarding IFRS 11, and to exclude the impact of IFRS 16 on our core business lease agreements (lease agreements of locations for advertising structures excluding real estate and vehicle rental contracts). Please refer to the paragraph “Alternative performance measures” on page 8 of this release for the definition of Alternative performance measures and reconciliation with IFRS in compliance with the AMF’s instructions.
All the comments and numbers below refer to Alternative performance measures, except when indicated as IFRS figures. 
The values shown in the tables are generally expressed in millions of euros. The sum of the rounded amounts or variations calculations may differ, albeit to an insignificant extent, from the reported values.

Revenue

Our 2024 group revenue^(1)&(2) grew by +10.2%, +9.7% on an organic basis, to reach €3,935.3 million, with a balanced growth across all our geographies and activities. While digital grew strongly, analogue revenue was very robust, growing mid-single digit, despite the conversion of some premium sites to digital.

Our Q4 2024 performance was solid as OOH continued to gain market share in a context of economic and political uncertainties in some major markets. Our group revenue grew by +3.6% on an organic basis to reach a new record, above our expectations and above our Q3 performance despite the absence of major sporting events. 
Among our top 10 advertising categories, 6 out of 10 grew double digits in 2024.  Fashion / Personal Care & Luxury Goods continued to grow faster than the group average, while FMCG and TMT advertisers were the best performing sectors in 2024.

Digital revenue
In Digital Out of Home (DOOH), the fastest-growing media segment, our revenue grew by +21.9% in 2024, accounting for 39.0% of Group revenue and reaching 42.9% in Q4, a strong increase of nearly 5 percentage points compared to the previous year, while analogue advertising continued to grow despite the conversion of some premium analogue sites to digital. We continued to focus on the selective roll-out of digital screens in prime locations and the development of our data and programmatic capabilities. 
Programmatic advertising revenues through the VIOOH SSP (supply-side platform), which include mostly incremental revenue from innovative dynamic data-driven campaigns and new advertisers, grew by +45.6% in 2024 to reach €145.9 million i.e. 9.5% of our digital revenue. The DOOH programmatic ecosystem continued to gain traction, with the dynamism and the growing number of DSPs (demand-side platforms) connected to VIOOH (the most connected SSP of the OOH media industry with 46 DSPs connected) now active in 24 countries, including Displayce a DSP connected in 80 countries.

Revenue by activities
All activities grew either high single digit or double digit organically in 2024. Street Furniture grew by +8.3%, including +4.6% in Q4, with continued strong momentum, Transport grew by +13.1%, including +3.5% in Q4, reflecting the solid growth in both airports and public transport systems and Billboard grew by +6.6% driven by its most digitised markets, including -0.1% in Q4.

Street Furniture 
Full-year revenue increased by +8.7% to €1,998.5 million (+8.3% on an organic basis) with a continued strong sales momentum throughout the year. Asia and Rest of the World grew double digit while France and UK grew high single digit.

Q4 revenue increased by +4.8% to €612.2 million (+4.6% on an organic basis) year-on-year. North America and Rest of the World grew double-digit.

Transport 
Full-year revenue increased by +12.8% to €1,390.1 million (+13.1% on an organic basis) year-on-year reflecting the growth of air travel and the rebound of commuter traffic in public transport. France, UK and Rest of Europe grew double-digit year-on-year while Asia-Pacific grew high single-digit.

Q4 revenue grew by +3.9% to €409.3 million (+3.5% on an organic basis) year-on-year. UK grew double-digit year-on-year.
Transport remained affected by the low level of activity in China compared to pre-Covid.

Billboard
Full-year revenue increased by +9.7% to €546.6 million (+6.6% on an organic basis) year-on-year driven by the most digitised markets.

Q4 revenue increased by +4.0% to €158.0 million (-0.1% on an organic basis) year-on-year. 

Revenue by geographic areas
All geographies grew strongly organically in 2024 including UK growing double-digit and France, Rest of Europe, Asia-Pacific and Rest of the World growing high single digit. China which now represents c.10% of our revenue grew mid-single digit in 2024.

Analysis of FY 2024 key financial figures

Our solid 2024 revenue momentum drove a significant increase across all our key financial aggregates.

Operating Margin⁽³⁾
Our operating margin demonstrated a good operating leverage as it increased +15.3% year-on-year including margin improvement across all segments to reach €764.5 million.

For the full-year of 2024, our operating margin has improved by €101.4 million to reach €764.5 million (vs €663.1 million in 2023), a +15.3% increase year-on-year, above the revenue growth. The operating margin as a percentage of revenue was 19.4%, +80bp above prior year, with all business segments improving their operating margin rates.

Street Furniture: In 2024, operating margin increased by €44.1 million to €518.3 million. As a percentage of revenue, the operating margin was 25.9%, an improvement limited to +10bp above prior year despite double-digit revenue growth, due to 2023 benefitting from one-off positive impacts from contract renegotiations.

Transport: In 2024, operating margin increased by €26.1 million to €155.8 million. As a percentage of revenue, the operating margin was 11.2%, +70bp above prior year despite a lack of recovery in China, the dilutive impact of the start of some new contracts and the lower level of rent abatements compared to 2023.

Billboard: In 2024, operating margin increased by €31.2 million to €90.5 million. As a percentage of revenue, the operating margin was 16.6%, +470bp above prior year, primarily due to revenue growth from the most digitised countries and the first positive effects of the rationalisation plan implemented in France.

EBIT⁽⁴⁾
Our EBIT grew by +44.8%, +€126,5 million, to reach €408.7 million, mainly driven by the growth of our operating margin (+€101.4 million) and the capital gain from the sale of part of our stake in APG|SGA (€45.0 million). Excluding this transaction, our EBIT margin, before impairment, reached 9.0% of revenue, +150bp vs 2023.

All activities improved their EBIT margin rates, driven by the improvement of the operating margin rates: +10bp in Street Furniture, +220bp for Transport and +590bp for Billboard, before impairment. Including the capital gain on the sale of APG|SGA shares, the Group EBIT rate reached 10.2%, a 270bp year-on-year increase.

The net impairment on tangible and intangible assets was a positive impact of €8.4 million in 2024 (vs +€16.0 million in 2023 – mainly related to the reversal in 2023 of the provision for onerous contracts recognised on the Guangzhou metro contract at the end of 2022). EBIT, after impairment charge, has improved by €126.5 million from €282.2 million in 2023 to €408.7 million in 2024.

Net Financial Income / Charge, IFRS⁽⁵⁾
In 2024, net financial result amounted to -€136.4 million, including -€75.3 million financial interests on IFRS 16 lease liabilities and -€61.1 million other net financial charges, improving by €10.9 million vs 2023. 
The financial interests relating to IFRS 16 liabilities improved by €8.5 million thanks to the reduction of the IFRS 16 liabilities from €2.7 billion as of December 31st 2023 to €2.3 billion as of December 31st 2024.   
Other net financial charges of -€61.1 million, includes net financial interest at -€32.7 million, which are stable year-on-year. They also include -€28.3 million of various financial costs, including a -€22.6 million impairment loss on a loan in China, offset by favourable impacts from discount and FX effects, reducing these costs by €2.2 million.

Equity Affiliates, IFRS
In 2024, the share of net profit from equity affiliates was €45.8 million compared to €52.0 million in 2023, a decrease of €6.2 million due to a €5.9 million impairment charge on our minority stake in Clear Media due to the situation in China and to a reduction in the contribution from APG|SGA following the decrease in our stake from 30% to 16.44%. These were partially offset by improved contributions from our other equity affiliates.

Net Income Group Share, IFRS
Our net income rose strongly by +23.8% to reach €258.9 million, up 36.8% to €281.5 million before impairment, an improvement driven by a solid operational performance and the capital gain from the APG|SGA transaction. Excluding non-recurring items such as the capital gain on APG|SGA, the net income group share increased also by 38% year-on-year.

Capital Expenditure
In 2024, net capex (acquisition of property, plant and equipment and intangible assets, net of disposals of assets) were at €324.2 million, i.e. contained at 8.2% of revenue, with digital representing 41.8% of the total net capex.

Free Cash Flow⁽⁶⁾
Our free cash flow generation has been solid in 2024, reaching €231.9 million, an increase of €232.8 million compared to 2023. This growth comes from improved operational performance and, above all, normalization of working capital requirements and capex levels after in 2023 the payments of rental arrears in relation with some contract renegotiations and the last payments for Shanghai Metro intangible capex for €27 million. The change in working capital requirements had a positive impact of €25.5 million on the cash generation during the period, despite the double-digit revenue growth, mainly thanks to an effective cash collection management.

Net Debt⁽⁷⁾
Our financial structure is very solid with a c.25% decrease in net debt in 2024, bringing it down to €756.3 million, less than one time our 2024 operating margin.

Our financial net debt reduced by nearly €250 million, mainly thanks to the free cash flow generated over the period. Financial investments represent in 2024 an inflow of €37.7 million, due to the proceeds from the APG|SGA transaction for €87.6 million, which were partly used for the M&A transactions of the year.

This net debt includes a strong liquidity with nearly €1.3 billion in cash and €825 million in confirmed revolving credit line, undrawn, with a maturity in mid-2026, and a well-secured debt profile with bond maturities largely covered by available cash until 2028 as well as an optimised management of our liquidity allowing relatively stable net financial expenses over the period.

Dividend
At the next Annual General Meeting of Shareholders on May 14th, 2025, the Supervisory Board will recommend the payment of a dividend of €0.55 per share for the 2024 financial year. 
Going forward, we intend to gradually increase this dividend while maintaining a balanced cash allocation with capex and bolt-on M&A.

Right-of-use & lease liabilities, IFRS 16 
Right-of-use IFRS 16 as of December 31st, 2024 amounted to €1,954.7 million compared to €2,230.1 million as of December 31st, 2023, a decrease of €275.4 million related to the amortisation of right-of-use, renegotiations and terminations of contracts partially offset by new contracts, contract renewals, updates of minima guaranteed and a positive impact of foreign exchange rate and changes in scope.
IFRS 16 lease liabilities decreased by €319.7 million from €2,657.0 million as of December 31st, 2023, to €2,337.3 million as of December 31st, 2024. The decrease, mainly related to repayments of lease liabilities and to renegotiations and terminations of contracts is partly offset by new contracts, contract renewals, updates of minima guaranteed and a positive impact from foreign exchange rates and changes in scope.

ESG performance

We have confirmed once again the excellence of our ESG performance, recognised as best-in-class by extra-financial rating agencies including our placement on the CDP A List for the second year in a row and the Gold Medal status from EcoVadis. 
Our business model is virtuous to meet climate challenges, as illustrated by its high share of revenue, nearly 50%, aligned with the Green Taxonomy European regulation. Our climate trajectory aiming to achieve Net Zero Carbon by 2050 was approved by the SBTi in June 2024. Thanks to our continued environmental actions, the Group has reduced its greenhouse gas emissions (scopes 1, 2, 3 – market based) by nearly 30% in 2024 compared to 2019.

Outlook

With a solid business momentum in early 2025, we expect around +5% organic revenue growth in Q1.
Going forward, building on this revenue momentum, we target for 2026 an operating margin rate above 20% and a free cash flow above €300 million. 

Forward looking statements
This news release may contain some forward-looking statements. These statements are not undertakings as to the future performance of the Company. Although the Company considers that such statements are based on reasonable expectations and assumptions on the date of publication of this release, they are by their nature subject to risks and uncertainties which could cause actual performance to differ from those indicated or implied in such statements.
These risks and uncertainties include without limitation the risk factors that are described in the universal registration document registered in France with the French Autorité des Marchés Financiers.
Investors and holders of shares of the Company may obtain copy of such universal registration document by contacting the Autorité des Marchés Financiers on its website www.amf-france.org or directly on the Company website www.jcdecaux.com.
The Company does not have the obligation and undertakes no obligation to update or revise any of the forward-looking statements.

Appendices

Quarterly revenue growth 

Alternative performance measures

Under IFRS 11, applicable from January 1st, 2014, companies under joint control are accounted for using the equity method.
Under IFRS 16, applicable from January 1st, 2019, a lease liability for contractual fixed rental payments is recognised on the balance sheet, against a right-of-use asset to be depreciated over the lease term. As regards P&L, the fixed rent expense is replaced by the depreciation of the right-of-use in EBIT, below the operating margin, and a lease interest expense on the lease liability in financial result, below EBIT. IFRS 16 has no impact on cash payments, but payment of debt (principal) is booked in funds from financing activities.
However, in order to reflect the business reality of the Group and the readability of our performance, our operating management reports used to monitor the activity, allocate resources and measure performance continue:

• To integrate on proportional basis operating data of the companies under joint control and;
• To exclude the IFRS 16 impact on our core business (lease agreements of locations for advertising structures excluding real estate and vehicle rental contracts).

As regards the P&L, it concerns all aggregates down to the EBIT. As regards the cash flow statement, it concerns all aggregates down to the free cash flow.
Consequently, pursuant to IFRS 8, Segment Reporting presented in the financial statements complies with the Group’s internal information, and the Group’s external financial communication therefore relies on this operating financial information. Financial information and comments are therefore based on these alternative performance measures, consistent with historical data, which is reconciled with IFRS financial statements.

In 2024, the impacts of IFRS 11 and IFRS 16 on our alternative performance measures are:

• -€302.7 million for IFRS 11 on revenue (-€274.1 million for IFRS 11 in 2023) leaving IFRS revenue at €3,632.6 million (€3,295.9 million in 2023).
• -€71.9 million for IFRS 11 and €603.8 million for IFRS 16 on operating margin 
  (-€68.0 million for IFRS 11 and €665.1 million for IFRS 16 in 2023) leaving IFRS operating margin at €1,296.3 million (€1,260.3 million in 2023).
• -€55.3 million for IFRS 11 and €95.6 million for IFRS 16 on EBIT before impairment charge (-€56.6 million for IFRS 11 and €145.2 million for IFRS 16 in 2023) leaving IFRS EBIT before impairment charge at €440.6 million (€354.8 million in 2023).
• -€55.3 million for IFRS 11 and €95.0 million for IFRS 16 on EBIT after impairment charge (-€56.6 million for IFRS 11 and €144.5 million for IFRS 16 in 2023) leaving IFRS EBIT after impairment charge at €448.4 million (€370.1 million in 2023).
• €30.4 million for IFRS 11 on capital expenditure (€17.9 million for IFRS 11 in 2023) leaving IFRS capital expenditure at -€293.8 million (-€337.2 million in 2023).
• €3.8 million for IFRS 11 and €600.8 million for IFRS 16 on free cash flow (€2.4 million for IFRS 11 and €762.5 million for IFRS 16 in 2023) leaving IFRS free cash flow at €836.5 million (€764.1 million in 2023).

The full reconciliation between alternative performance measures and IFRS figures is provided on page 10 of this release.

Definitions notes

^{(1) Revenue: It includes on proportional basis the revenue of the companies under joint control.
(2) Organic growth: The Group’s organic growth corresponds to the adjusted revenue growth excluding foreign exchange impact and perimeter effect. The reference fiscal year remains unchanged regarding the reported figures, and the organic growth is calculated by converting the revenue of the current fiscal year at the average exchange rates of the previous year and taking into account the perimeter variations prorata temporis, but including revenue variations from the gains of new contracts and the losses of contracts previously held in our portfolio. 
(3) Operating Margin: Revenue less Direct Operating Expenses (excluding Maintenance spare parts) less SG&A expenses. It includes on proportional basis the data of the companies under joint control and excludes the IFRS16 impact on our core business (lease agreements of location for advertising structures excluding real estate and vehicle rental contracts).
(4) EBIT: Earnings Before Interests and Taxes = Operating Margin less Depreciation, amortisation and provisions (net) less Impairment of goodwill less Maintenance spare parts less Other operating income and expenses. It includes on proportional basis the data of the companies under joint control and excludes the IFRS16 impact on our core business (lease agreements of location for advertising structures excluding real estate and vehicle rental contracts).
(5) Net financial income / charge: Excluding the net impact of discounting and revaluation of debt on commitments to purchase minority interests (-€8.3 million and -€2.7 million in 2024 and 2023 respectively). 
(6) Free cash flow: Net cash flow from operating activities less capital investments (property, plant and equipment and intangible assets) net of disposals. It includes on proportional basis the data of the companies under joint control and excludes the IFRS16 impact on our core business (lease agreements of location for advertising structures) and non-core business (real estate and vehicle rental contracts).
(7) Net debt: Debt net of managed cash less bank overdrafts, excluding the non-cash IAS 32 impact (debt on commitments to purchase minority interests), including the non-cash IFRS 9 impact on both debt and hedging financial derivatives, and excluding IFRS 16 lease liabilities.}

Organic revenue growth

RECONCILIATION BETWEEN APM FIGURES AND IFRS FIGURES

^{(1) IFRS 16 impact on the core business contracts of controlled entities.
(2) Amortisation and provisions (net) include, under APM figures, amortisation net of reversals for respectively €(400.0) million and €(382.2) million in 2024 and in 2023, and net reversals of provisions for respectively €39.8 million and €54.7 million in 2024 and in 2023. 
(3) Including impairment charge on net assets of companies under joint control.}

^{(1) IFRS 16 impact on the core and non-core business contracts of controlled entities.}