The Bolloré group closes the first half of the year with declining profits, mainly due to the decline in the results of the logistics business in Africa. Provisions for securities also weighed heavily, in particular on the stake in Mediobanca and unfavorable exchange rate effects. As at 30 June, the group led by Vincent Bolloré recorded a 27% drop in net profit to 343 million euros, with a turnover down 7% to 4,95 billion. The operating result is down by 10% to 305 million and the financial result drops to 225 million against 263 million in the first half of 2015.
The contribution to net income of non-operating companies valued at equity amounts to -4 million against +58 million last year. “This evolution mainly integrates provisions on Mediobanca”, explains the note on the accounts. Bolloré is the second shareholder of the Piazzetta Cuccia institute with an 8% stake. The company has decided to pay an interim dividend of 0,20 euro per share as in the previous year.
Turnover in the transport and logistics sector of the Bolloré group fell by 8% to 2,7 billion, that of oil logistics by 18% to 959 million, while the communication sector (Havas, media telecom) recorded an increase of 4% to 1,1 billion and electricity storage rises by 21% to 148 million. Revenues from other assets (agriculture, holding companies, etc.) then increased by 31% to 13 million. In gross data, the impact on turnover of exchange rate variations, which mainly concern the transport and logistics sector, had a negative effect of 137 million euros.
The financial result includes in particular 325 million of net dividends received from Vivendi, of which the Bolloré group is the main shareholder with a stake of approximately 15%, but is also penalized by a negative currency effect of 32 million. The group's net debt increased by 196 million to 4,47 billion, “mainly due to the seasonal evolution of Havas' activities”.
Equity amounted to 9,8 billion euros, with a decrease of 1,46 billion due to the drop in stock market values. The debt-equity ratio rises to 46% from 38% at the end of 2015. The stock market value of the portfolio of listed securities (Vivendi, Mediobanca and Socfin are the main ones) fell on 30 June to 4,2 billion from 4,97 billion at the end of 2015. The group has also decided to dissolve in advance the hedging and financing transaction on 34 million Vivendi shares (2,5%), which in any case "does not change the Bolloré group's stake in Vivendi".
Liquidity is increasing, with an available amount of over 2 billion against 1,8 billion at the end of 2015. The average maturity of the debt has risen to 3,5 years. At the level of the Financiere de l'Odet holding, the group's net profit amounted to 177 million, down 29%. Debt rose by 131 million to 4,8 billion and the debt ratio is 62% from 54%.
