Brussels – September 1st, 2023 – Aliaxis, a world leader in fluid management solutions that enable access to water and energy, discloses solid first-half 2023 results despite a challenging market environment.
Highlights – 6-month period ended June 30, 2023
- Revenue of €2.1 billion, a like-for-like1 decrease of 5.7% vs H1 2022 and increase of 13.1% vs H1 2021
- Recurring EBITDA2 of €340.1million, decrease of 18.4% as reported, a decrease of 16.4% on a like-for-like basis vs H1 2022 and a decrease of 4.0% vs H1 2021
- Net profit of €220.3 million, including a net accounting gain of €72 million on shares in Uponor, down 0.4% vs H1 2022 and up 26.3% vs H1 2021
- Net financial debt3 of €1.3 billion, an increase of €0.6 billion vs December 31, 2022, largely due to acquisitions, including 20.05% of issued shares in Uponor
- Leverage of 2.0x last-twelve-months Recurring EBITDA, or 1.3x pro-forma for acquisitions and the possible sale of all shares held in Uponor4
- Strategic acquisitions of Valencia Pipe Company, expanding our presence in the Western United States, Zypho in Europe, at the forefront of drain water heat recovery solutions, and Comspec, a recycling specialist in New Zealand
CEO Eric Olsen comments on the 2023 first-half results:
“After strong results in 2021 and 2022, the first half of 2023 reflects a solid performance for Aliaxis as we continue investing in our Growth with Purpose strategy while we faced declining markets throughout the world. Our revenue was €2.1 billion, down 5.7% on the outstanding first half of 2022, but remaining up 13.1% against H1 2021. Our Recurring EBITDA margin was 16.2%, down 2.5 p.p. since the prior period (0.6 p.p compared to full year 2022), largely driven by a challenging inflationary environment and continued investments that will serve our long-term growth trajectory.
We made several strategic acquisitions in the first half of the year: Valencia Pipe Company, expanding our presence in the Western United States; Zypho in Europe, at the forefront of drain water heat recovery solutions; and Comspec, a recycling specialist in New Zealand.
We continue to grow as a leader in tackling the world’s water challenges and are now a member of the United Nations Global Compact Initiative. We are making great progress on our sustainability and innovation priorities, for example, we have transitioned about a third of our operations to renewable electricity, when we were at a quarter at the end of 2022. The percentage of sales from new products (less than five years old) has risen steeply from 6.2% end of 2022 to 8.3% end of H1, representing €44 million in additional sales.”
Download the full press release below.
- 1 H1 2021 and H2 2022 adjusted on a pro-forma basis to reflect the impact of the acquisition of Harco Fittings LLC in April 2022, Aquarius Spectrum in August 2022, OptiRTC Inc. in November 2022, Lareter in December 2022, and the discontinued operations in Russia in June 2022. Impact of FX excluded to reflect underlying performance at constant exchange rate.
- 2 Recurring EBITDA is Operating income (EBIT) exclusive of adjusted items plus depreciation, amortisation, and impairment (other than goodwill impairment).
- 3 Includes IFRS 16 leases
- 4 Adjusted on a pro-forma basis to reflect the impact of the acquisition of Valencia Fittings LLC in June 2023 and the possible sale of all shares in Uponor (at the public offer price of €28.85)