In This Article:
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Total Revenue: EUR2.9 billion, growth of more than 12%.
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EBITDA: EUR1,265 million, like-for-like growth of 19%.
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EBITDA Margin: Increased by 130 basis points to 44.3%.
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EPS: EUR2.07, increase of 21% reported for 2024.
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Free Cash Flow: EUR881 million, with a conversion ratio of 70%.
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Net Debt: Leverage ratio of 1.4 times.
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Operating Revenue Growth: 11.4% growth, with Europe at 10%, Latin America at 15%, and Rest of the World at 20% like-for-like.
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Other Revenue: EUR247 million, growth of 26.2% like-for-like.
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Funds from Operation: Up 19.2%.
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Shareholder Return: EUR664 million, including dividends and share buyback.
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Dividend Proposal: EUR1.21 per share, up 10% from last year.
Release Date: February 18, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Edenred SE (EDNMY) delivered a strong financial performance in 2024, with total revenue reaching almost EUR2.9 billion, marking a growth of more than 12%.
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The company exceeded its 2024 guidance with a like-for-like EBITDA growth of 19%, surpassing the initial 12% target.
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Edenred SE (EDNMY) increased its shareholder return significantly, reaching a total of EUR664 million through dividends and share buybacks.
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The company is well-positioned for further profitable growth in 2025, despite uncertain European economic conditions, with a target of more than 10% like-for-like EBITDA growth.
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Edenred SE (EDNMY) made significant progress in ESG performance, being recognized by leading ESG ratings and joining the Dow Jones Sustainability World Index.
Negative Points
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Edenred SE (EDNMY) faces economic uncertainty in Europe, which could impact its growth trajectory in 2025.
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The company anticipates a EUR60 million EBITDA impact in Italy due to regulatory changes, posing a challenge for 2025.
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Interest rates are expected to decrease, potentially leading to a EUR30 million reduction in other revenue and EBITDA.
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The company experienced slower growth in Q4 2024, with some business lines, such as complementary solutions, remaining flat.
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Edenred SE (EDNMY) is undergoing a portfolio review, which may lead to exits from certain underperforming segments, potentially impacting revenue.
Q & A Highlights
Q: How many one-off factors from Q4 2024 will persist into 2025, and what is the outlook for Brazil regulation? A: The Belgian consumption voucher and CESU impacts are not expected to affect 2025. EBV Finance is expected to rebound, and the exit from some banking as a service clients will impact H1 2025. Regarding Brazil, discussions on portability and interoperability continue, but no immediate regulatory changes are expected.