Elettronica
INGENICO : Sustained growth in the third quarter of 2013
Ingenico: Sustained growth in the third quarter of 2013
Paris - October 30, 2013. Ingenico (Euronext: FR0000125346 - ING) announced today its revenue figures for the third quarter of 2013.
Philippe Lazare, the Chairman and CEO of Ingenico, commented: " We are very pleased with our performance over the third quarter, which illustrates the prompt and efficient execution of our geographically tailored strategy. We are making significant progress in the US market. In addition, we continue to accelerate the expansion of the Services business which accounted for about 50% of revenue in the Europe-SEPA region this quarter thanks to greater traction in the Transactions segment, driven by the successful integration of Ogone.
Thanks to this outstanding performance, our revenue has exceeded the EUR1 billion threshold in nine months, for the first time ever.
Moving forward, we believe that our multichannel strategy - to enable merchants to manage their payment infrastructure through a single provider for both in-store and e-commerce - will perfectly address customers' needs and support the Group's growth going forward.
In this context, we raise our full year guidance in line with our 2016 strategic plan."
Revenue
Performance in the first nine months
In the first nine months of 2013, revenue totaled EUR1,004 million, representing a 18 percent increase on a reported basis, including a EUR40 million contribution from Ogone and a negative foreign exchange impact of EUR34 million. Total revenue included EUR782 million generated by the Payment Devices business and EUR222 million generated by Transaction Services. More generally, the share of total revenue generated by Services amounted to 33 percent, including Ogone's contribution.
On a comparable basis, revenue was up 17 percent, driven by double digit growth in all business segments. Growth in Payment Devices remains particularly dynamic (up 18 percent) thanks to the Group's multi-local presence and the steady growth in Transaction Services (up 11 percent). On a pro forma basis and excluding TransferTo 2 , revenue increased by 12 percent, driven by Ogone's integration process.
Since the start of the year, every region has contributed to the Group's strong overall performance. Ingenico has strengthened its position in its legacy Europe-SEPA markets through solid position in Payment devices and the successful implementation of its strategy to increase its services offering.
As anticipated, the Group has accelerated its growth in North America, particularly in the U.S. (up 49 percent) fueled by the successful deployment of solutions focused on large retailers, and increased traction with the ISOs.
The Group has also generated double digit growth in emerging markets (Latin America, Asia-Pacific and the EMEA region) as a consequence of new equipment supply and technology upgrade in these geographies.
The Group's Central Operations activity has generated a 9-percent increase in revenue notably driven by the growth of TransferTo's business.
Performance in the third quarter
In the third quarter of 2013, revenue totaled EUR348 million, representing a 12 percent increase on a reported basis, including a EUR14 million contribution from Ogone and a negative foreign exchange impact of EUR21 million. Total revenue included EUR272 million from the Payment Devices activity and EUR76 million from the Transaction Services.
On a like-for-like basis , revenue was 14 percent higher than in Q3 2012, fueled by double digit growth both in Payment Devices (up 14 percent) and Transaction Services (up 12 percent). On a pro forma basis and without TransferTo 2 , revenue growth has accelerated to 15 percent.
In the third quarter, Ingenico posted strong organic growth across all regions reflecting the geographically tailored product and services offer.
Performance for the quarter, by geography and on a like-for-like basis compared with Q3 2012, was as follows:
Post-closing events
Ingenico has reached a management buyout agreement (MBO) in principle upon which Ingenico will sell a 70% stake to TransferTo management. This transaction is expected to be closed before the end of the year.
This agreement does not change the Group's 2016 financial perspectives to sustain profitable growth, with revenue over EUR1.8 billion while improving its operational performance with an EBITDA margin above 20%.
Outlook
Over the first nine months of the year, Ingenico has performed extremely well, particularly in Payment Devices while accelerating steadily its evolution towards Transactions thanks to the Ogone acquisition.
On this basis, Ingenico gives further details on its full-year revenue guidance, anticipating organic growth above or equal to 12%, compared to an organic growth above or equal to 10%, as guided previously. This should translate into full-year revenue above or equal than EUR1,370 million, with stronger negative foreign exchange impact expected in the second half of the year. The Group reminds that the fourth quarter of 2012 represents a very high basis for comparison, notably in emerging markets, independent of underlying macroeconomic conditions.
In addition, Ingenico raises its outlook for EBITDA margin and now expects EBITDA margin above 19.5 4 percent, compared to an EBITDA margin above or equal to 19%, as guided previously.
The Group reminds that the guidance for 2013 applies to the expanded consolidated Group, i.e., including Ogone in the accounts for the year. Ingenico also confirms that the Ogone integration process should be neutral to net earnings per share in 2013 (excluding PPA).
Conference call
A conference call to discuss Ingenico's Q3 revenue will be held on October 30, 2013 at 6.00 p.m., Paris time. Dial-in number: 01 70 99 32 08 (French domestic) or +44 (0)20 7162 0077 (international). The presentation will also be available on www.ingenico.com/finance .
This press release contains forward looking statements. The trends and objectives given in this release are based on data, assumptions and estimates considered reasonable by Ingenico. These data, assumptions and estimates may change or be amended as a result of uncertainties connected in particular with the performance of Ingenico and its subsidiaries. These statements are by their nature subject to risks and uncertainties as described in Ingenico registration document ("document de reference"). These forward looking statements in no case constitute a guarantee of future performance, and involve risks and uncertainties. Actual performance may differ materially from that expressed or suggested in the forward looking statements. Ingenico therefore makes no firm commitment on the realization of the growth objectives shown in this release. Ingenico and its subsidiaries, as well as their executives, representatives, employees and respective advisors, undertake no obligation to update or revise any forward looking statements contained in this release, whether as a result of new information, future developments or otherwise.
Ingenico is a leading provider of payment solutions, with over 20 million terminals deployed in more than 125 countries. Its 4.500 employees worldwide support retailers, banks and service providers to optimize and secure their electronic payments solutions, develop their offer of services and increase their point of sales revenue. More information on: www.ingenico.com | twitter.com/Ingenico .
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