STEF Group is experiencing a steady growth momentum, confirmed in 2012 with an 8.8% growth in turnover (+5.9% on a like for like basis) and with a 13.5% growth in operational income to 96.6 M €. Signs of a poorer economic environment which appeared during the second semester did not affect STEF’s positive development.
Through an effective and homogeneous positioning, every STEF business has adapted to slower economic growth and to lower food consumption, particularly in the second half of 2012. In France, Transport and Logistics businesses have increased their cooperation, with solutions meeting the new challenges of massification and flow acceleration. This led to a 2.5% volume increase in fresh product activity in the transport division and a 10.1% increase in logistics.
This performance contrasts with the overall recession in food production, the difficulties encountered by the poultry-meat industry and with the stagnant frozen sector. In Europe, STEF’s growth rate was higher than its markets’, with sales up significantly in the Group’s major domestic locations and European activity. The international side of the business thus confirms its role as a major growth driver.
2012 was also noticeable for a positive momentum in terms of cost control (particularly concentrated on energy savings). To be noted however, the commissioning of the Piana led to an increase in expenses (€ 5.9 M over the year). Modernisation of logistics real estate resulted in revenue from disposal of assets (€ 9.5 million with 10 sites sold). The operating margin reached 3.9% of turnover (3.7% in 2011).
The increase of taxes in France, where the Group generates most of its taxable income, has limited the increase in net income Group share (+6.4%). Outlook 2013 STEF starts the year 2013 with a financial strength further improved by a lower debt to equity ratio. This gives the Group the flexibility needed for the deployment of its model. Investment projects will be more sustained, on operational equipment as well as for acquisitions in France and in Europe.
On the maritime side, STEF has, for several months, has been in partnership with the Collectivité Territoriale of Corsica working to renew its public service delegation between Marseille and Corsica over a period of 10 years. Finally, the Group will continue its efforts to adapt to a difficult economic environment.