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GROUP ACTIVITY FOR THE FINANCIAL YEAR AND OUTLOOK FOR THE COMING YEAR
2.1
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LISI CONSOLIDATED
At €1,643.4million consolidated sales for the 2017 financial year were up
4.6% and include the following items:
■■
a scope effect of €21.7 million corresponding to:
•
•
a negative impact of -€13.4 million or 0.8% of consolidated sales
revenues that reflects the sale of Précimétal Fonderie de Précision
(Belgium) on February 2, 2017,
•
•
theincrementalcontributionbyLISIMEDICALRemmele(consolidated
as of May 1, 2016) for €22.8 million, i.e. 1.4% of the consolidated sales
revenue,
•
•
€12.3 million (0.75% of consolidated sales revenue) contributed by
the integrationwithin LISI AUTOMOTIVE of theUS company TERMAX,
a leading designer and manufacturer of metal and plastic fastening
solutions for the automotive industry, effective November 1, 2017;
■■
a negative currency effect of €10.2million;
■■
€60.8 million generated by organic growth.
Comments regarding business
€ million
LISI Consolidated
of which
LISI AEROSPACE
of which
LISI AUTOMOTIVE
of which
LISI MEDICAL
Q1
444.3
277.6
128.9
37.9
Q2
417.4
258.3
123.7
35.6
Organic growth H1 2017/H1 2016
+ 6.1%
+ 7.4%
+ 3.7%
+ 7.1%
Q3
369.7
222.6
116.2
31.1
Q4
412.0
242.4
137.3
32.5
Organic growth H2 2017/H2 2016
+ 1.0%
- 1.1%
+ 9.6%
- 8.6%
2017
1,643.4
1,000.9
506.0
137.0
Expressed at constant scope and exchange rates, the change in sales
revenues was +3.6% (+4.6% in 2016).
Analysis by half-year
Organic growth slowed in the second half of the year (+1.0%) after steady
growth in the first half (+6.1%), especially in the LISI AEROSPACE and
LISI MEDICAL divisions. Trends in the LISI AUTOMOTIVE division are
favorable.
Analysis by quarter
Compared with the same period last year, the fourth quarter posted
overall organic growth of +2.8% and was mainly driven by “Structural
Components” activity in the aerospace sector and the entire
LISI AUTOMOTIVE division. The “Fasteners” activities in Aerospace and
the Medical Division showed no sign of improvement over the fourth
quarter of the previous year.
Analysis by division
On a like-for-like basis and restated for foreign exchange effects,
LISI AEROSPACE’s consolidated annual sales revenues increased 3.3%
andexceededonebillioneurosforthefirsttime in itshistory.Thedivision
experienced a decline in the second half of the year (-1.1%) compared to
the first (+7.4%). The “Fasteners” activity in Europe suffered not only
from the negative effect of the Airbus inventory reductions, but also
the accelerated depreciation of the US dollar against the euro. In the
United States, “Fasteners” activity picked up steam at Boeing, while the
active repositioning of LISI AEROSPACEwith the distribution sector was
hampered by low activity levels for business and regional aircraft. The
“Structural Components” activity had good momentum throughout the
year, thanks in particular to the continued ramp-up of new programs,
including the LEAP engine.
The LISI AUTOMOTIVE division experienced an acceleration in sales
between the first and second half of the year (+3.6% in H1, +9.6% in H2)
in a European market that remains solid. The increase in sales revenue
is particularly significant in the Clipped Solutions and the Safety
Mechanical Components segments, resulting in gains in market shares
and the ramp-up of new products. As a result, sales revenues reached
thehistorical levelof€506.0million,up8.8%comparedto2016,with6.5%
organic growth supported by high order intake for new projects of over
10%of sales revenue.
The LISI MEDICAL division benefited from the full-year effect of the
integration of LISI MEDICAL Remmele (incremental sales revenue of
€22.8 million over the period). At constant scope and exchange rates,
sales decreased by 2.3% with the second half-year clearly showing a
decrease (-8.6%) comparedwith the first (+7.1%). LISI MEDICAL Remmele
had to cope with a temporary delay in the ramping-up of some of its
products in for minimally invasive surgeries and also saw two significant
products reassigned to other production processes.
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LISI 2017 FINANCIAL REPORT
FINANCIAL SITUATION
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