Strong revenue growth in Q4 2010 and increase in Adjusted EBITDA margin in H2 2010 2011 is expected to show a stabilization in the Group’s performance as it accelerates efforts to fuel sustainable growth in its digital businesses
Strong revenue growth in Q4 2010 and increase in Adjusted EBITDA margin in H2 2010
2011 is expected to show a stabilization in the Group’s performance as it accelerates efforts to fuel sustainable growth in its digital businesses
Q4 2010 revenues of €1,155 million, up 21.4% vs. Q4 2009, with improved trends across all activities
H2 2010 revenues of €2,075 million, up 16.9% vs. H2 2009
H2 2010 Adjusted EBITDA1 of €363 million, or 17.5% of revenues, an increase of 1.2 points vs. H2 2009
H2 2010 Group Free Cash Flow2 of €16 million after funding of growth-related capex and working capital
FY 2010 revenues of €3,574 million, down 1.2% vs. FY 2009
FY 2010 Adjusted EBITDA of €505 million, or 14.1% of revenues, up 0.3 point vs. 2009
FY 2010 net result of €(69) million, including items related to the completion of the debt restructuring and of the disposal program, as well as impairments
Net debt as per consolidated financial statements of €993 million at 31 December 2010, down €283 million vs. 30 June 2010
The Group’s objective is to achieve in 2011 slight revenue growth overall at constant rates.
Our focus in 2011 is to favor organic growth and innovation to ensure a solid foundation is laid for the coming years. Notwithstanding this focus, the Group’s objective is to be able to generate an Adjusted EBITDA in 2011 comparable or slightly up compared with the level achieved in 2010.
1 EBIT from continuing operations minus depreciation and amortization (including impairments charges), minus restructuring and minus other income and expenses. A detailed calculation of adjusted indicators is presented in appendix (page 26)
2 FCF from both continuing operations and discontinued operations (see footnotes 3, 5 and 6)
Paris (France), 28 February 2011 The Board of Directors of Technicolor (Euronext Paris: TCH; NYSE: TCH) met today to review the Group’s 2010 results.
Comment by Frederic Rose, CEO
“Our strong second half 2010 performance provide a good foundation for further organic growth, based on our strength in innovation and by taking advantage of technological disruption. Now that our restructuring phase is over, we will continue our investments in 2011 to ensure that Technicolor remains at the centre of the technological innovation in the migration of the media and entertainment industry to an all-digital world. Some of our choices are already starting to bear fruit, such as MediaNavi, our next generation digital home software solution and our continued expansion in digital production. In parallel, we will continue to focus on our operational performance and profitability to ensure that we drive profitable growth and increase our cash generation.”
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Technicolor is a company listed on NYSE Euronext Paris and NYSE stock exchanges, and this press release contains certain statements that constitute "forward-looking statements" within the meaning of the "safe harbor" of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially from the future results expressed, forecasted or implied by such forward-looking statements. For a more complete list and description of such risks and uncertainties, refer to Technicolor’s filings with the U.S. Securities and Exchange Commission and its filings with the French Autorité des marchés financiers.
Technicolor is home to industry-leading creative and technology professionals committed to the creation, management and delivery of entertainment content to consumers around the world. Propelled by a culture of innovation and underpinned by a dedicated research organization, the company’s thriving licensing business possesses an extensive intellectual property portfolio focused on imaging and sound technologies. Serving motion picture, television, and other media clients, the company is a leading provider of high-end visual effects, animation, and postproduction services. In support of network service providers and broadcasters globally, Technicolor ranks among the worlds’ leading suppliers of digital content delivery services and home access devices, including set-top boxes and gateways. The company also remains a large physical media service provider, being one of the world’s largest film processors and independent manufacturers and distributors of DVDs and Blu-ray™ discs.
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