This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
See Cramer's multi-million dollar portfolio for FREE and get his new book Get Rich Carefully! Learn More

Edenred : Sharp Increase In 2011 Financial Results

EBIT up 11.2% like-for-like to €355 million, at the high end of the €340-360 million target range

Operating EBIT (which excludes financial revenue) rose by a strong 9.9% like-for-like in 2011 to €263 million. Underpinning this good performance, the operating flow-through ratio [ 14] stripped out from the extra costs generated by the digital transition [15] stood at 47%, in line with the Group's objective of 40% to 50%.

Financial EBIT (corresponding to financial revenue) was 15.2% higher like-for-like at €92 million.

Recurring profit after tax up 23.1%

After deducting net financial expense of €40 million, income tax expense [16] of €101 million and minority interests of €11 million, recurring profit after tax came to €203 million, an increase of 23.1% from €165 million in 2010.

Net profit, Group share stood at €194 million for the year , compared with €68 million for 2010.

A solid financial position

The Group had net cash [17]   of €74 million at December 31, 2011 as opposed to net debt of €25 million at end-2010. The ratio of adjusted funds from operations to adjusted net debt stood at 93%, corresponding to a strong investment grade rating [18].

The float (created by a structurally negative working capital requirement) amounted to €2,343 million at December 31, 2011, an increase of €94 million from the year-earlier figure on a reported basis. The medium-term goal is to improve the average rate of interest earned on the float, while holding firm to the prudent investment guidelines issued by the Group in terms of counterparties and instruments. To help meet this goal, investment periods were extended in 2011, particularly in Brazil. At the year-end, 30% of the float at Group level was invested at maturities of more than one year, compared with 13% at end-2010. The average rate of interest earned by the Group was 4.3% in 2011.

The Edenred business model, which generates large amounts of cash, helped to lift funds from operations before non-recurring items (FFO) to €257 million and free cash flow to €306 million in 2011. The 20.8% like-for-like growth in FFO was considerably higher than the Group's normalized target of over 10% a year.

DIVIDEND POLICY

Stock quotes in this article: EDEN 

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
DOW 16,408.54 -16.31 -0.10%
S&P 500 1,864.85 +2.54 0.14%
NASDAQ 4,095.5160 +9.2910 0.23%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs