TOUAX: REVENUE FROM ACTIVITIES 2019: +9.4%

PRESS RELEASE                                                                                                              Paris, 28 February 2020 – 5.45 p.m.

YOUR OPERATIONAL LEASING SOLUTION

REVENUE FROM ACTIVITIES 2019: +9.4%

ANALYSIS OF REVENUE FROM ACTIVITIES

Q4 2019 revenue totalled €49.4 million compared with €40.5 million in Q4 2018, an increase of 22%.

Over the 2019 financial year, revenue from activities thus totalled €169 million (€164.2 million at constant scope and currency), up 6.3% compared to 2018.

This good performance was mainly driven by the 11.2% increase in leasing revenue on owned equipment (€50.2 million) and sales of equipment which stood at €32.2 million (€31 million at constant scope and currency), compared with €18.7 million in 2018, notably thanks to trading activity in new and used containers.

Syndication fees and capital gains not linked to recurring activities came to €1.9 million versus €1.3 million the previous year.

ANALYSIS OF THE CONTRIBUTION BY DIVISION

Revenue from the Freight Railcars division totalled €61.1 million, a 8.5% increase from €56.3 million the previous year.

• Leasing revenue was up 9.3% at €58.4 million over the period, thanks to an increase in leasing prices and in the utilization rate (88.7% on average versus 84.9% a year earlier).
• Sales of railcars were down, but syndication margins increased, mainly due to a railcar disposals during the 4th quarter to investors for which Touax maintains their management.

Revenue from the River Barges division came to €11.8 million compared to €14.5 million over 2018, during which barges were sold for €2.1 million. Leasing revenue fell to €11.7 million, mainly due to the temporary lacklustre market in South America.

Revenue from the Containers division totalled €81.8 million over 2019, an increase of 7.1%.

• The accretive and value-creating strategy of investments on the balance sheet made during the past 18 months boosted the growth of revenue from the leasing of Group-owned equipment which was up 53.5% to €7.6 million (+45.5% at constant currency). Revenue from investor-owned equipment was, as expected, down at €49 million (€46.4 million at constant currency) due to the temporary impact of the reduction in the fleet under management. The average utilisation rate over the period remained high at 97.1%, reflecting the good resilience of leasing businesses in a context of weaker global growth.
• The buoyant trading activity in new and used containers generated strong growth in container sales which reached €16.6 million at 31 December 2019 versus €8.1 million in 2018, i.e., an increase of 105.5%. Syndication fees were stable at €0.4 million.

Revenue from the sales of modular buildings in Africa presented under the “Miscellaneous” line more than doubled during 2019 to €13.9 million, highlighting the turnaround of the activity.

OUTLOOK

The strategic refocusing on the three long-term transport equipment leasing businesses is reaping rewards and business is continuing to grow.

Global economic growth remains positive at 3.3% in 2020* which should continue to support equipment transportation activities and equipment leasing demand.

It remains too early to determine the impact of the Coronavirus, although current analyses point to a weaker activity during the first quarter of 2020 followed by a recovery during the second half of the year. Long-term leasing activities are generally relatively unaffected by temporary fluctuations due to public health crisis.

*source IMF 20/01/2020.

UPCOMING EVENTS

• 25 March 2020: 2019 annual results –  SFAF presentation
• 27 March 2020: Conference call to present annual results
• 15 May 2020: Q1 2020 Revenue from activities

TOUAX Group leases out tangible assets (freight railcars, river barges and containers) on a daily basis worldwide, both on its own account and for investors. With nearly €1.2bn in assets under management, TOUAX is one of the leading European players in the leasing of such equipment.

TOUAX SCA is listed on the EURONEXT stock market in Paris - Euronext Paris Compartment C (ISIN code: FR0000033003) - and is listed on the CAC® Small, CAC® Mid & Small and EnterNext©PEA-PME 150 indices.

For further information please visit:

Contacts:

TOUAX                                                                                                                                    ACTIFIN

Fabrice & Raphaël WALEWSKI

Managing partners                                                                                                  Ghislaine Gasparetto

                                                                                              

                                                                                                    Tel: +33 1 56 88 11 11

Tel: +33 1 46 96 18 00                                                                                                                                                                    

¹ Revenue corresponds to revenue from activities that generate leasing revenue, sales of equipment, syndication fees and other capital gains.

² Based on a comparable structure and 2018 average exchange rates.

³ CQGR = 10%.

Attachment