May 23, 2003
Global Automotive Logistics S.A.S. ("GAL") announced today the unaudited
financial results for the first quarter ended 31st March 2003. These results
are prepared in accordance with French GAAP.
All figures are in Euros millions unless otherwise indicated.
INCOME STATEMENT 1stquarter 1stquarter
ended ended
March 31, March 31,
2003 2002
Total revenue 287.6 307.7
Total costs of sales (251.0) (269.3)
Gross profit 36.6 38.4
Selling, general and administrative (16.9) (19.5)
expense
Other income and (expense) (0.2) -
Operating income 19.6 18.9
Net financial income (expenses) (5.9) (6.2)
Goodwill amortisation (5.4) (5.1)
Income before income taxes and minority 8.3 7.6
interests
Income taxes expense (5.0) (3.8)
Net income before minority interests 3.3 3.8
Minority interests (0.1) -
Net Income 3.2 3.8
OTHER FINANCIAL INFORMATION
EBITDA 21.7 21.8
Depreciation and amortisation 7.6 8.0
Capital expenditure 1.6 2.3
Acquisition debt 271.2 307.0
Shareholders equity 206.7 198.8
The revenue and costs included in the operating profit for the first quarter
ended 31st March 2003 are:
1stquarter 1stquarter
ended ended
March 31, March 31,
2003 2002
Revenue
Vehicle logistics
Renault 177.1 190.7
Non Renault 39.4 38.8
Total vehicle logistics 216.5 229.5
Logistics overseas
Renault 5.3 4.6
Non Renault 6.3 12.8
Total logistics overseas 11.6 17.4
Logistics cargo
Renault 29.7 27.9
Non Renault 29.8 32.9
Total logistics cargo 59.5 60.8
Total revenue 287.6 307.7
Cost of sales
Direct purchases (208.2) (227.2)
Direct personnel (21.4) (21.8)
Direct other (21.3) (20.3)
Total costs of sales (251.0) (269.3)
First quarter 2003 compared with first quarter 2002
Total Revenue
Total revenue decreased by 6.5% to Euro287.6 million in the first quarter 2003
from Euro307.7 million in the first quarter 2002. This decrease was mainly
attributable to the drop of the volumes in Logistics vehicle activity.
Vehicle Logistics revenue decreased by 5.7% to Euro216.5 million in the first
quarter 2003 from Euro229.5 million in the first quarter 2002. The Western Europe
car market decreased by 5.3% in the first two months of the year but this was
partly offset by an increase in March of 2% to give a 2.4% decrease in the
first quarter. In this declining market, Renault volumes decreased by 9.1%,
mainly in France and Spain where the markets were down by 7.4% and 5.7%
respectively in the first quarter, despite good performance of the new M�gane.
Renault revenue decreased by 7.1% to Euro177.1 million in the first quarter 2003
from Euro190.7 million in the first quarter 2002. This decrease was attributed to
the drop of volumes and to the reduction by 3% of our tariffs, partly balanced
by level of business in Italy.
Non Renault revenue increased by 1.5% to Euro39.4 million in the first quarter
2003 from Euro38.8 million in the first quarter 2002. Nissan activity obtained in
Spain and in Poland overbalanced the weak activity in France (mainly heavy
vehicles and overseas low volumes).
Logistic overseas revenue decreased by 33.3% to Euro11.6 million in the first
quarter 2003 from Euro17.4 million in the first quarter 2002.
Sales to Renault increased by 15.2% to Euro5.3 million in the first quarter 2003
from Euro4.6 million in the first quarter 2002. The high air activity from Mexico
to Europe explained this increase.
Non Renault revenue decreased by 26.7% to Euro6.3 million in the first quarter
2003 from Euro8.6 million in the first quarter 2002 mainly due to a low activity
in industrial projects.
Logistic cargo revenue decreased by 2.1% to Euro59.5 million in the first quarter
2003 from Euro60.8 million in the first quarter 2002. Sales were negatively
affected by the drop of the volumes in France and in Brazil partly balanced by
new customers in Spain, Germany and Poland.
Cost of sales
Cost of sales decreased by 6.8% to Euro251.0 million in the first quarter 2003
from Euro269.3 million in the first quarter 2003. Cost of sales decreased as a
percentage of total revenue to 87.3% in the first quarter 2003 from 87.5% in
the first quarter 2002.
Direct purchases represent the largest portion of CAT's cost of sales. Direct
purchases decreased by 8.4% to Euro208.2 million in the first quarter 2003 from Euro
227.2 million in the first quarter 2002, primarily as a result of volumes
decrease and productivity actions.
Direct personnel decreased by 1.8% to Euro21.4 million in the first quarter 2003
from Euro21.8 million in the first quarter 2002.
Direct other increased by 4.9% to Euro21.3 million in the first quarter 2003 from
Euro20.3 million in the first quarter 2002.
Gross Profit
As a result of the above, gross profit decreased by 4.7% to Euro36.6 million in
the first quarter 2003 compared to Euro38.4 million in the first quarter 2002.
However, gross profit increased as a percentage of revenue to 12.7% in the
first quarter 2003 from 12.5% in the first quarter 2002.
Selling, General and Administrative Expense
Selling, General and Administrative expense decreased by 13.3% to Euro16.9 million
in the first quarter 2003 from Euro19.5 million in the first quarter 2002.
Selling, general and administrative expense decreased as a percentage of total
revenue to 5.9% in the first quarter 2003 from 6.3% in the first quarter 2002.
Productivity actions launched in the year 2002 explain this evolution.
Operating Income
Operating income increased by 3.7% to Euro19.6 million (6.8% of revenue) in the
first quarter 2003 from Euro18.9 million (6.1% of revenue) in the first quarter
2002.
Net Financial Income (Expense)
Net financial expense decreased to Euro5.9 million in the first quarter 2003 from
Euro6.2 million in the first quarter 2002 primarily as a result of debt
reimbursement in the year 2002 and to the reduction of the margin applied on
the rate in accordance with our covenants.
Goodwill amortisation
The amount in the first quarter 2003 was Euro5.4million against Euro5.1 million in
the first quarter 2002 and represented the depreciation of the goodwill on the
acquisition of CAT on July 17th, 2001 after the final price allocation.
Income Tax Expense
Income tax expense increased to Euro5.0 million in the first quarter 2003 from Euro
3.8 million in the first quarter 2002.
Minority interests
Minority interests were (0.1) in the first quarter 2003 versus nil in the first
quarter 2002.
Net Income
As a result of the factors described above, net income decreased to Euro3.2million
in the first quarter 2003 from Euro3.8 million in the first quarter 2002.
EBITDA
EBITDA remained at the same level for the both period: Euro21.7 million in the
first quarter 2003 versus Euro21.8 million in the first quarter 2002.
Depreciation
Depreciation decreased to Euro2.2 million in the first quarter 2003 from Euro2.9
million in the first quarter 2002.
Capital Expenditure
Our total capital expenditures were Euro1.6million in the first quarter 2003,
lower than Euro2.3million in the first quarter 2002. Most of our capital
expenditures were used for information technology software's and for the
maintenance of our centres in France.
Three months of the year 2003
An Income Statement, a Balance Sheet and a Cash Flow Statement are appended to
this report.
About Global Automotive Logistics S.A.S.
GAL is the holding company for Compagnie D'Affr�tement et de Transport S.A.
("CAT"), one of Europe's largest lead logistics providers for the automotive
industry, managing and organising primarily outbound transportation and
distribution requirements on a global, regional or national basis through a
multi-modal network of road, rail sea and air subcontractors.
GAL was formed by a consortium of leading logistics operators in Europe to
acquire CAT from Renault S.A. The shareholders of GAL include AutoLogic
Holdings plc, TNT Post Group N.V. and Wallenius Wilhelmsen Lines. The
acquisition of CAT occurred on 17th July 2001.
For further information please contact:
Hubert De Contenson Alain Rouas Philip Nuttall
Finance Director Directeur G�n�ral Director
Tel: 00 33 1 41 03 71 05 Tel: 00 33 1 41 03 74 44 Tel: 00 44 207 420 0555
GLOBAL AUTOMOTIVE LOGISTICS S.A.S.
CONSOLIDATED BALANCE SHEET
(Euros in Thousands)
March 31,
2003 2002
ASSETS
CURRENT ASSETS:
Cash and cash equivalents . 80,321 88,003
Accounts receivable, net of allowance for doubtful 212,077 237,276
accounts of Euro9,115K and Euro9,201K ...
Deferred tax assets 18,339 20,067
Other current assets ... 58,133 60,734
Total current assets 368,870 406,080
NON-CURRENT ASSETS:
Fixed assets, net of accumulated depreciation of Euro36,951K 26,774 36,682
and Euro55,130K ..
Intangible assets, net of accumulated amortization of Euro 402,685 410,278
52,585K and Euro28,143K ...
Other non-current assets 3,335 2,893
Total non-current assets 432,794 449,853
TOTAL ASSETS .. 801,664 855,933
GLOBAL AUTOMOTIVE LOGISTICS S.A.S.
CONSOLIDATED BALANCE SHEET (Continued)
(Euros in Thousands)
March 31,
2003 2002
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable .. 217,342 225,791
Accrued payroll . 25,202 22,459
Taxes payable ... 33,285 19,067
Current portion of long-term debt . 30,364 25,664
Provision for profit sharing current portion 686 905
.......
Provisions .. 10,339 5,366
Deferred tax liabilities ... 2,201 1,840
Other liabilities .. 15,902 23,044
Total current liabilities .. 335,321 354,136
NON-CURRENT LIABILITIES:
Long term debt .. 240,870 281,330
Provisions for pensions and other benefits 14,437 16,096
Provision for profit sharing non current portion 4,175 4,042
Total non-current liabilities ... 259,482 301,468
Total liabilities .. 594,803 655,604
COMMITMENTS AND CONTINGENCIES .. - -
MINORITY INTERESTS 213 1,483
SHAREHOLDERS' EQUITY:
Share capital, Euro10 par value, authorized, issued and 187,000 187,000
outstanding: 18,700,000 shares ...
Share premium .. 3,618 3,000
Foreign currency translation .. (4,163) (475)
Retained earnings .. 20,193 9,321
Total shareholders' equity . 206,648 198,846
TOTAL . 801,664 855,933
GLOBAL AUTOMOTIVE LOGISTICS S.A.S.
CONSOLIDATED STATEMENTS OF INCOME
(Euros in Thousands)
Quarter ended
March 31,
2003 2002
REVENUE 287,574 307,654
COST OF SALES . (250,956) (269,301)
GROSS PROFIT ... 36,618 38,353
Selling, general and administrative (16,885) (19,461)
...
Other income and (expenses) (200) -
OPERATING INCOME ... 19,533 18,892
FINANCIAL INCOME (EXPENSE)
Interest and other financial income 1,008 634
...
Interest and other financial expense (6,868) (6,802)
..
Total financial income (expense) .. (5,860) (6,168)
Amortisation of goodwill and purchased intangible assets (5,370) (5,148)
INCOME BEFORE INCOME TAXES AND MINORITY INTERESTS 8,303 7,576
...
Income tax expense ... (5,022) (3,786)
INCOME BEFORE MINORITY INTERESTS ... 3,281 3,790
Minority interests .. (69) 23
NET INCOME .. 3,212 3,813
GLOBAL AUTOMOTIVE LOGISTICS S.A.S.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Euros in Thousands)
Quarter ended
March 31,
2003 2002
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income 3,281 3,790
Adjustments to reconcile net income to net cash provided
by operating activities:
Depreciation and amortization .. 7,534 8,081
Loss (gain) on sale of subsidiary and fixed assets 77 -
.
Provision for deferred taxes .. (2,167) (2,117)
Minority interests .. (69) 23
Other non-cash items 6,244 3,561
Provisions .. 1,301 (717)
Changes in operating assets:
Accounts receivable .. 3,540 (7,074)
Other current assets ... 573 1,218
Changes in operating liabilities:
Accounts payable .. 16,340 16,624
Other creditors ... (3,056) (837)
Net cash inflow from operating activities 33,598 22,552
..
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures .. (1,562) (2,297)
Proceeds from disposals of subsidiary and fixed assets 2,382 100
.
Net cash flow from investing activities 820 (2,197)
.
CASH FLOWS FROM FINANCING ACTIVITIES:
Term loans and other financing . (17,028) (2,600)
Net cash outflow from financing activities (17,028) (2,600)
................
INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS 17,390 17,755
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH (331) (700)
EQUIVALENTS ...
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 63,262 70,948
CASH AND CASH EQUIVALENTS, END OF PERIOD .. 80,321 88,003
A conference call has been scheduled in connection with the above announcement
of the results of Global Automotive Logistics S.A.S. and GAL Finance S.A. for
the 1st quarter ended March 31, 2003.
The details of the conference call are as follows -
Date: Tuesday 27th May 2003
Time: 10.30 am (UK time)
Reference: GAL Results (AutoLogic)
Dial in: 0871 700 0300 from the UK
00 44 1452 542 300 from all other countries
If you are unable to participate in the conference call, a transcript of the
conference call will be available 48 hours after the call. Please contact
Shanny Looi if you would like to receive a copy of the transcript.
Name of contact and telephone number for queries - Shanny Looi
Telephone: 00 44 20 7420 0555
E-mail: slooi@autologic.co.uk
Name and signature of authorised company official responsible for making this
notification
Shanny Looi
END