NEOPOST_REGISTRATION_DOCUMENT_2017

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Neopost group activity

Key figures

Key figures

Sales

Current operating margin (1)

Net margin

18.2%

12.0%

-2.2%

organically compared to 2016

of sales

of sales

Sales in 2017 came to 1,112 million euros, down (4.1)% compared with 2016, and down (2.0)% at constant exchange rates. Organic growth was (2.2)%. 2017 current operating margin before acquisition-related expense was 18.2% of sales versus 18.6% in 2016. After acquisition-related expense and non-current items, operating income reached 166 million euros compared to 181 million euros a year before (1) .

Neopost decided to propose to shareholders an ordinary dividend of 1.70 euro per share relative to the 2017 financial year, in line with its revised capital allocation policy announced in September 2015. An interim dividend of 0.80 euro per share was paid on 6 February 2018. The balance, i.e. 0.90 euro per share, will be paid on 7 august 2018, subject to approval by the Ordinary General Meeting of shareholders to be held on 29 June 2018.

11% Enterprise Digital Solutions 4% Neopost Shipping

Sales by division

The Enterprise Digital Solutions division posted a +1.7% increase in sales at constant exchange rates. Restated from scope effects of the acquisition of icon Systemhaus and the divestment of DMTI, sales decrease (0.3)% organically. Sales of the Neopost Shipping division increased +10.7 % at constant exchange rates. The sales of the SME division were down (3.0)% at constant exchange rates. In North America, sales stood at 493 million euros, down (0.7)% at constant scope and exchange rates. In Europe, sales decreased by (4.7)% at constant scope and exchange rates to reach 531 million euros. Sales in Asia-Pacific went up by +4.4% at constant scope and exchange rates and came at 88 million euros.

2017

85% SME Solutions

8% Rest of the world

Sales by region

48% Europe

44% North America

2017

Current operating margin before acquisition-related expenses = current operating income before acquisition-related expense/sales. (1)

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REGISTRATION DOCUMENT 2017 / NEOPOST