Ingenico Group (Euronext: FR0000125346 - ING) announced today its first-quarter 2015 revenue.
Specified guidance for 2015: organic 1 growth greater than or equal to 10%, EBITDA 2 margin of about 21%
Philippe Lazare, Chairman and CEO of Ingenico Group, commented:
“Ingenico Group continues to deliver outstanding performance, recording double digit growth in both business segments in this first quarter.
Our multi-local positioning gives our Payment Terminals business a major competitive edge and, as expected, the United States and China are the main growth drivers in this segment.
The Payment Services segment, and more specifically our e-Payments business, have shown strong growth momentum in Europe and globally, leveraging the strong complementarity of our assets and the integration of GlobalCollect.
We are also very proud of our first steps towards the integration of payment acceptance into connected devices, highlighted by the announcement of our partnership with Intel and the success of the pilot solution we specifically designed to collect donations through advertising screens in France.
In view of the Group’s performance and the favorable business environment, we are confirming our objective to generate growth greater than or equal to 10% in 2015.”
Telium Tetra, at the cutting edge of secured payments
Lane, the Telium Tetra terminal mainly designed for the retail industry, recently received the PCI PTS 4.0 certification, meeting the highest security standards and confirming Ingenico Group’s leadership to its clients and partners. This certification is a major step in the deployment of Telium Tetra’s new range of products.
Innovation at the core of the Group’s transformation
In the first quarter of 2015, Ingenico Group secured some promising breakthroughs, leveraging changes in usage patterns, increasing customer interaction points, and offering the most advanced technology in the industry. The Group announced a partnership with Intel, world leader in computing innovation, to integrate payment acceptance into tablets and enter the emerging market of connected devices. Alongside this initiative, Ingenico Labs developed a contactless pilot solution for the Curie Institute’s annual anti-cancer campaign, integrating payment acceptance into advertising screens.
A new communication toolset to promote a new positioning
Following its rebranding last year, Ingenico Group intensified its communication activities, namely in the digital space. The Group unveiled its new website, released its new corporate video and increased its social media reach, doubling the number of its LinkedIn followers within a year. In March, the Group received the French e-Transformation ACSEL Award for its successful digital transformation.
To reflect the evolution of its business scope, Ingenico Group is now organized around 4 geographic regions and one business entity: Europe & Africa (ex-SEPA and EMEA, without Middle-East), Asia-Pacific and Middle-East, Latin America, North America and e-Payments.
To facilitate assessment of the Group’s performance, consolidated revenue for first quarter of 2015 is compared with pro forma revenue with effect from January 1st, 2014 to reflect GlobalCollect contribution carried out in 2014.
In the first quarter of 2015, revenue totaled €498 million, representing a 53 percent increase on a reported basis, and included a positive foreign exchange impact of €32 million and a €96 million contribution from GlobalCollect. Total revenue included €337 million generated by the Payment Terminals business and €161 million generated by Payment Services.
On a comparable basis 1, revenue was 17 percent above the Q1 2014 figure driven by a double digit growth in both segments. The Group’s outperformance in Payment Terminals (+16%) was fueled by its multi-local footprint in strong growth markets, specifically in the United States and China. Payment Services business grew a solid 17 percent, thanks to good overall results, and particularly online payment solutions (+18%), mainly resulting from higher transaction volumes.
Performance for the first quarter, by geography and on a like-for-like basis1 compared with Q1’14, was as follows:
During the first quarter, Ingenico Group has continued to achieve an outstanding performance on both segments and business seems also well oriented for the next months.
The Group provides more specific revenue guidance for 2015 and now expects organic growth greater or equal to 10%, based on pro forma 2014 revenue of €1,846 million (including GlobalCollect contribution as of January 1st, 2014).
In 2015, the Group also expects its EBITDA margin to be around 21%, reflecting the evolution of its product and geographical mix and ongoing investment.
A conference call to discuss Ingenico Group’s Q1 2015 revenue will be held on April 29, 2015 at 6.00 pm, Paris time. Dial-in number: 01 70 99 32 12 (French domestic), +1 334 323 6203 (for the United-States) and +44 20 7162 0177 (international).
The presentation will also be available from here
1On a like-for-like basis at constant exchange rates
2EBITDA is not an accounting term; it is a financial metric defined here as profit from ordinary activities before amortization, depreciation and provisions and before expenses of shares distributed to employees and officers.