2016: Continued growth
Operating profit (EBIT)
A mixed economic environment
2016 shows no real break with recent years: global economic growth has remained stable at 3% with signs of acceleration at the end of the year. Although weaker than expected, it has nevertheless withstood the slowdown in China and the shocks of Brexit, the election of D. Trump and the Italian referendum. Despite an acceleration in the last quarter, growth in France in 2016 reached 1.1%, which was less than expected (1.4%).
A very decent performance
Given this context, the SOCOMEC Group (SOCOMEC and E'NERGYS) put in a very decent performance in 2016, with a turnover of 491 M€ compared to 471 M€ in 2015, an increase of 4.2% for a net profit of 24.7 M€ (5.0%) compared to 21.6 M€ (4.6%) in 2015. Equity capital amounted to 213 M€, compared to 200 M€ in 2015, with a largely positive liquid assets position at 66 M€, compared to 62 M€ in 2015.
A sustained momentum
In addition to the merger of ALGODUE within the Group, in 2016 SOCOMEC also acquired 35% of the share capital of Full Link, the company's long-standing Chinese distributor based in Hong Kong. This followed the acquisition of Swiss-based UPS Technologies at the end of 2015.
The right strategy, the right resources and the determination to succeed
Our main objective for 2016, which was to maintain the pace of profitable growth, has been achieved. As always, the uncertainties ahead of us are many but we have the cards in hand to make 2017 a great success in terms of financial health, dynamism, clear objectives, commitment and the calibre of our employees. The target of 507 M€ for our turnover in 2017 (an increase of 5.6% for an EBIT of 8%) is in reach. As is our ambition to bring us closer to the performance of our competitors by aiming for an EBIT of 10% in 2020, excluding acquisitions!