CIE Automotive beats all its records with a historic first quarter; Exceeds 14% EBIT margin on sales for the first time Record EUR93 million in quarterly net profit
May 09, 2024 at 11:06 am EDT
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Bilbao - CIE Automotive today presented its results for the first quarter of 2024 during its General Shareholders' Meeting, which took place at the Euskalduna Conference Centre in Bilbao.
During the event, the company announced that it had a turnover of EUR1,036 million in this quarter, 3% more than in the same period of 2023, with an EBITDA (gross operating profit) of EUR191.6 million, up 7%, representing 18.5% of sales, and an EBIT (net operating profit) of EUR146.0 million. an increase of 9%, which represents 14.1% of sales, the highest in its history.
These excellent figures are complemented by a record quarterly profit of EUR93 million, and more importantly, with an operating cash generation of EUR121.7 million, which implies a 66% conversion ratio of EBITDA into operating cash, one of the keys to reducing the company's leverage to below 1.5 times Net Financial Debt / EBITDA.
During his speech, Jesus Maria Herrera, CEO of CIE Automotive, highlighted that, 'despite the slowdown in vehicle production in some of our main markets, this has been a historic quarter, with very strong organic growth, almost 5 points above the market, and with outstanding results that consolidate us as one of the most profitable companies in the sector'.
Regarding the future and more specifically with regard to the 2025 Strategic Plan, he commented that, 'given the positive evolution of the Plan and our good prospects for the coming quarters, we can confirm the maintenance of all our ambitious commitments, both financial and non-financial'.
CIE Automotive SA is a Spain-based company engaged, through its subsidiaries, in the production of biofuels, as well as in the supply of components and subassemblies for the automotive industry. The Company is also involved in the Information Technology (IT) sector, with the provision of technological solutions for the healthcare, education, sustainability, transport and communications sectors. The Company is a parent of Grupo CIE Automotive, a group which comprises a number of controlled entities with operations established in Spain, Portugal, France, Lithuania, Morocco, Czech Republic, Romania, Brazil, Argentina, China, Russia, Guatemala and Mexico, among others. The Company has such subsidiaries as Global Dominion Access SA, CIE Inversiones e Inmuebles Sociedad Limitada and CIE Berriz Sociedad Limitada, among others. In February 2014, the Company acquired a 50% stake in RS Automotive NV owned by VEP Fund I Holding Cooperatief WA.
CIE Automotive beats all its records with a historic first quarter; Exceeds 14% EBIT margin on sales for the first time Record EUR93 million in quarterly net profit