- 2013 reported revenues up 2.0% to €2,676.2 million
- 2013 organic revenues up 1.2%
- Fourth quarter reported revenues up 4.6% to €781.1 million
- Fourth quarter organic revenues up 4.5%
- Paris, 27 January 2014 – JCDecaux SA (Euronext Paris: DEC), the number one outdoor advertising company worldwide, announced today its revenues for the full-year 2013.
- On a reported basis, 2013 revenues increased by 2.0% to €2,676.2 million compared to €2,622.8 million in 2012. Excluding the significant negative impact from foreign exchange variations (notably emerging market currencies) and the positive impact from changes in perimeter, revenues grew 1.2%.
- Organic revenue growth was mainly driven by our Street Furniture segment, which showed good growth in H2 reflecting some underlying improvement in most of our European markets. Organic revenue growth in the Transport segment was limited in 2013, mainly due to a difficult comparative base from the Olympic Games and the loss of some contracts at the end of 2012. The Billboard segment continued to remain challenging throughout 2013.
- Reported revenues for the fourth quarter increased by 4.6% to €781.1 million compared to €746.6 million in 2012. Excluding foreign exchange variations and change in perimeter effects, organic revenues were up 4.5%, better than anticipated at the time of our Q3 revenue release in November because of good revenues in December.
- Street Furniture
- Full-year revenues increased by 1.8% to €1,191.9 million (+3.3% on an organic basis) with sequential improvement throughout 2013 and sound organic growth during H2. In 2013, France was up, the UK showed good growth and the Rest of Europe was slightly up. In our other Street Furniture markets, Asia-Pacific was up, North America was flat and the Rest of the World delivered strong growth.
- In the fourth quarter, revenues increased by 5.6% to €357.7 million (+7.7% on an organic basis). This reflects further sequential improvement in most of our markets. All of our 6 reporting geographies posted positive growth. In Europe, France was particularly robust, the UK showed modest growth and the Rest of Europe remained in positive territory for the second quarter in a row. All our other regions showed good organic revenue growth, with the Rest of the World being again especially strong.
- Transport
- Full-year revenues increased by 0.1% to €1,014.0 million (+1.7% on an organic basis). Of particular note, UK revenues posted sound growth despite the very difficult comparative base from the 2012 Olympics. Revenues in the Rest of Europe were impacted by the loss of some contracts at the end of 2012 but excluding this were robust. France showed strong growth, reflecting the continued success of our digital program with Aéroports de Paris. Asia-Pacific revenues were up. It is to be noted that the introduction of VAT and the removal of business tax in China in 2013 had a one-off negative impact of 1.2% on total Asia Pacific revenues, with no impact on our operating margin. North America was down and the Rest of the World continued to deliver strong growth.
- During the fourth quarter, revenues increased by 1.0% to €294.9 million (+3.7% on an organic basis). Both France and the UK were strong. Revenues in the rest of Europe were down. Asia-Pacific revenues were up, with good growth in China relative to previous quarters this year. North America was down and the Rest of the World showed strong growth.
- Billboard
- Full-year revenues increased by 7.1% to €470.3 million (-5.3% on an organic basis). The difference between reported and organic growth is mainly due to the impact of the acquisition of 25% of Russ Outdoor which has been proportionately consolidated from February 2013. With our Billboard activities being mainly concentrated in Europe, this segment remained difficult in most markets.
- In the fourth quarter, revenues increased by 10.9% to €128.5 million (-2.7% on an organic basis).
- Commenting on the Group’s 2013 revenue performance, Jean-François Decaux, Chairman of the Executive Board and Co-Chief Executive Officer of JCDecaux, said:
- “JCDecaux achieved another year of record revenues at 2,676 million euros in a context of weak European economic recovery in the second half after a strong crisis. In a market with low visibility and which continues to be volatile, we have seen some positive signs in our European business during the second half of the year with a recovery in our Street Furniture division. Furthermore, after three quarters of slower growth, a better performance was seen in China during Q4 enhancing our Transport division. Transport also continues to benefit from our strong positioning in fast-growing markets which now represent 32% of Group revenues. The organic development of digital, which accounts for 7% of total sales, continues to be a strong driver with revenues increasing 18% this year, reflecting the success of our premium and selective roll-out strategy.
2013 was also marked by the win and renewal of several flagship contracts including Paris bus shelters, Los Angeles and Boston airports as well as the new concourse D at Dubai airport. Recently, we have been installing our advertising clocks in Sao Paulo and look forward to integrating our 85% stake in Eumex which will enable us to become market leader in Latin America, a region where outdoor advertising is expected to see strong growth.
- As usual, we will provide guidance for Q1 when we release our full-year 2013 results on March, 6th.
- Looking forward, we remain convinced that out-of-home retains its strength and attractiveness in an increasingly fragmented media landscape. JCDecaux is well positioned to outperform the advertising market and increase its leadership position in the outdoor advertising industry and we want to take the opportunity to thank all of our teams for their enthusiasm and their commitment. The strength of our balance sheet is a key competitive advantage that will allow us to pursue further external growth opportunities as they arise.”
- Next information:
- 2013 Annual Results: 6 March 2013 (before market)
- 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 annual report registered in France with the French Autorité des Marchés Financiers. Investors and holders of shares of the Company may obtain copy of such annual report 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.