Q1 2024 Key figures1
Revenue of EUR 1,439.5 million in the first quarter of 2024, up 2.5% year-on-year and up 8.0% organically
Strong organic growth from Industry +16.3%, Certification +13.7%, Marine & Offshore +13.6%, compared to the first quarter of 2023; growth of +6.1% for Consumer Products Services, +3.6% for Buildings & Infrastructure and +3.2% for Agri-food & Commodities
The scope effect was a positive 0.1%, reflecting bolt-on acquisitions offset by a small disposal
The currency impact was negative by 5.6% mainly due to the depreciation of some emerging countries’ currencies against the euro
Q1 2024 Highlights
New strategy LEAP | 28, announced on March 20, 2024, to deliver a step change in growth and performance, built around three pillars: Focused Portfolio, Performance-led execution and Evolved People model
Strong growth in every region (Americas, Middle East, Africa, Asia-Pacific and Europe), outperforming many underlying markets
Growth momentum maintained for sustainability services – both transition services and Green Objects - across the entire portfolio
In line with the LEAP | 28 strategy, the Consumer Products Services business line completed the acquisition of three bolt-on companies in South and North-East Asia, expanding the Group’s portfolio into new sectors and diversifying its geographical coverage, adding an annualized revenue of c. EUR 20 million
To execute the share buyback program announced in March at the Capital Markets Day, an acquisition of c. 0.8% of the Group’s own shares on April 5, 2024, was completed under the Wendel placement
Assignment of the first long-term credit rating of Bureau Veritas with a A3 rating from Moody’s, with “stable” outlook, which reflects the Group’s strong financial structure and competitive advantage
New recognition of Bureau Veritas’ CSR commitment by several non-financial rating agencies, including a first ranking in Sustainalytics. Bureau Veritas also joins the United Nations Global Compact.
2024 Outlook confirmed
Leveraging a healthy and growing sales pipeline, high customer demand for ‘new economy services’ and strong underlying market growth, Bureau Veritas expects to deliver for the full year 2024:
Mid-to-high single-digit organic revenue growth;
Improvement in adjusted operating margin at constant exchange rates;
Strong cash flow, with a cash conversion2 above 90%.
The Group expects H2 organic revenue growth above H1 given stronger comparables in Q2.
Hinda Gharbi, Chief Executive Officer, commented:
“In the first quarter of the year, we launched our LEAP I 28 strategy both internally and to our investors. Our commitment to sustainable organic growth, active portfolio management through M&A and yearly margin improvement is in line with our ambition to deliver double-digit shareholder returns.
We have started our strategy execution and Bureau Veritas maintained its growth trajectory with broad organic growth of 8.0% supported by strong market trends in the first quarter of 2024.
In addition, I am pleased to announce the first long-term credit rating of Bureau Veritas. The decision by Moody’s to assign a A3 rating, with stable outlook, confirms our strong financial structure, a leading market position, and a solid business model.
Looking ahead, we confirm our outlook for 2024.”
1 Alternative performance indicators are presented, defined and reconciled with IFRS in appendix 2 of this press release.
2 (Net cash generated from operating activities – lease payments + corporate tax)/adjusted operating profit.