Press release
Third quarter 2024 revenue
Sales up 17.1% on a reported basis
Increased contribution from “Connected Home”
Slower decline for “Supply Chain Services”
Continued successful integration of Home Networks activities
GUIDANCE CONFIRMED
Paris (France), November 7, 2024 - Vantiva (Euronext Paris: VANTI) today announced its unaudited revenue for the third quarter of 2024.
The "Connected Home" business posted sales growth of 28.6% over the quarter, thanks to the integration of Home Networks and diversifications.
“Supply Chain Services" sales fell by 11.9% over the quarter.
- Group sales totaled €554 million for the quarter, up 17.1% (+19.4% at constant exchange rates).
- “Connected Home” contributed €436 million, an increase of 28.6% (+31.4% at constant exchange rates). This amount includes a contribution of €26 million from diversification activities that did not contribute in 2023.
- The contribution from “Supply Chain Services” totaled €118 million, down 11.9% (-10.9% at constant exchange rates).
- The integration of Home Networks activities continued according to plan.
- The 2024 guidance (EBITDA and FCF1) is confirmed
1 after interest and taxes and before restructuring costs
I- Q3 and 9M 2024 revenues
| Q3 | 9M | |||||||
| In millions of euros, continuing operations | 2024 | 2023 | Change at current rate | Change at constant rate | 2024 | 2023 | Change at current rate | Change at constant rate |
| Sales figures | 554 | 473 | 17.1% | 19.4% | 1 557 | 1 511 | 3.1% | 4.1% |
Q3 2024 Highlights
Demand for telecom equipment was further impacted by the reduction in investment programs by major operators and the need to reduce inventories. In addition, the geopolitical environment and the threat of strikes at US East Coast ports led to longer delivery times.
The “Supply Chain Services” business was impacted by the slowdown in consumption in North America. On the other hand, demand for optical disc held up better than expected.
Outlook
The successful integration of Home Networks activities and the speed with which we have streamlined our operations have enabled us to confirm our guidance for 2024.
- EBITDA > 140 million euros
- FCF(1) > 0 million euros
1 after interest and taxes and before restructuring costs
II- Sector review for the third quarter and first nine months of the year
Connected Home
Breakdown of revenues by product
| Q3 | 9M | |||||||
| In millions of euros, continuing operations | 2024 | 2023 | Change at current rate | Change at constant rate | 2024 | 2023 | Change at current rate | Change at constant rate |
| Sales figures | 436 | 339 | 28.6% | 31.4% | 1 233 | 1 146 | 7.6% | 8.8% |
| of which broadband | 268 | 284 | (5.4)% | (3.2)% | 744 | 931 | (20.1)% | (19.2)% |
| of which video | 142 | 55 | nm | nm | 429 | 215 | nm | nm |
| of which diversification | 26 | nm | nm | 60 | nm | nm | ||
“Connected Home” revenues accounted for 79% of Group revenues for the quarter (72% in Q3 23), and totaling 436 million euros, an increase of 28.6%. At constant exchange rates, the increase would have been 31.4% compared to Q3 2023. All regions reported higher contributions. Video activities benefited from the consolidation of Home Networks sales. The broadband business experienced weak demand from certain operators, who are reducing their inventories. In addition, longer delivery times due to security issues around the Suez Canal and the threat of strikes in U.S. East Coast ports have delayed some deliveries into the next quarter.
Supply Chain Services
| Q3 | 9M | |||||||
| In millions of euros, continuing operations | 2024 | 2023 | Change at current rate | Change at constant rate | 2024 | 2023 | Change at current rate | Change at constant rate |
| Sales figures | 118 | 134 | (11.9)% | (10.9)% | 324 | 365 | (11.3)% | (10.7)% |
“Supply Chain Services” sales for the quarter represented 21% of Group sales (28% in Q3 23) and amounted to 118 million euros for the quarter, down 11.9% compared to Q3 23. At constant exchange rates, the decline would have been 10.9%. This decrease is explained by the continued decline in the optical disk business, which however performed better than our expectations. Growth activities continued to grow rapidly.
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Warning: Forward Looking Statements
This press release contains certain statements that constitute "forward-looking statements", including but not limited to statements that are predictions of or indicate future events, trends, plans or objectives, based on certain assumptions or which do not directly relate to historical or current facts. 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 Vantiva’s filings with the French Autorité des marchés financiers (AMF). The Universal Registration Document (Document d’enregistrement universel) for fiscal year 2023 was filed with the Autorité des marchés financiers on April 30, 2024, under no. D.24-0375.
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About Vantiva
Pushing the Edge
Vantiva shares are admitted to trading on the regulated market of Euronext Paris (VANTI).
Vantiva, formerly known as Technicolor, is headquartered in Paris, France. It is an independent company which is a global technology leader in designing, developing and supplying innovative products and solutions that connect consumers around the world to the content and services they love – whether at home, at work or in other smart spaces. Vantiva has also earned a solid reputation for optimizing supply chain performance by leveraging its decades-long expertise in high-precision manufacturing, logistics, fulfillment and distribution. With operations throughout the Americas, Asia Pacific and EMEA, Vantiva is recognized as a strategic partner by leading firms across various vertical industries, including network service providers, software companies and video game creators for over 25 years. The group’s relationships with the film and entertainment industry goes back over 100 years by providing end-to-end solutions for its clients.
Following the acquisition of CommScope’s Home Networks in January 2024, Vantiva continues its 130-year legacy as a global leader in the connected home market.
Vantiva is committed to the highest standards of corporate social responsibility and sustainability across all aspects of their operations.
For more information, please visit vantiva.com and follow Vantiva on LinkedIn and Twitter.
Contact
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vantiva.press@image7.fr investor.relations@vantiva.com
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