Cerved Group announced its unaudited preliminary financial results for the fiscal year of 2014:

  • Revenues: Euro 331.9 million, +5.9% compared to 313.5 million in 2013;
  • EBITDA: Euro 160.1 million, +5.6% compared to 151.5 million in 2013, resulting in an EBITDA margin of 48.2%;
  • Net Financial Position: Euro 487.6 million as of 31 December 2014, equating to 3.0x last twelve month EBITDA;
  • Expected dividend distribution of approximately Euro 40 million.

Gianandrea De Bernardis, Chief Executive Officer of the Group, commented: ”I am very satisfied with the results for financial year 2014 which, in addition to confirming once again the resiliency of Cerved’s business model, show continuing growth despite the enduring situation of financial difficulty in Italy. In addition to the underlying organic growth in Revenues (+4.0%) and EBITDA (+4.5%), the results also include the contribution of the M&A strategy which has resulted in two deals closing in the last months of 2014.

Cerved 2014 Revenues  12 MonthsThe largest contributor to the group’s growth comes from the Credit Management division, also in virtue of the acquisition of Recus S.p.A.. The stability of revenues within the Credit Information division continues to reflect the difficult macroeconomic situation in Italy and its influence on both the industrial and financial sectors. Nevertheless, the operating leverage of the group and our prudent approach to costs in each of our divisions has allowed EBITDA to grow at a very interesting pace.

Cash generation during the course of 2014 was positive and in line with our expectations, and has allowed us to reach a ratio between net financial position and EBITDA of 3.0x. The results are in line with our objectives therefore we confirm our intention to submit to the shareholders’ meeting on 27 April a dividend payment of approx. Euro 40 million, as anticipated in the press release regarding Q3 results.”

Analysis of Quarterly Revenues:  With respect to the fourth quarter of 2014, total revenue growth was 6.7% compared to the same period in 2013 (2.2% on an organic basis). The Credit Information division contracted by 2.0% compared to 2013, and this results from an increase of 0.7% in the Corporate segment and a decline of 5.2% in the Financial Institutions segment. The Corporate segment however had positive results in terms of the consumption of information by clients. The results of Financial Institutions Cerved Logosegment are not truly indicative of the underlying performance as they are impacted by the redefinition of the business perimeter during the course of 2013. The Credit Management division grew by 60.9%, continuing to benefit from the expansion of the business, as well as from the acquisition of Recus S.p.A.. The Marketing Solutions division grew by 4.6% in Q4.

Source:  Cerved Group Earnings Release