SOMFY - Half-Year Financial 2020

01 2020 HALF-YEAR BUSINESS REPORT

01

2020 HALF-YEAR BUSINESS REPORT

KEY FIGURES

Group had to close the majority of its manufacturingsites (1) for several weeks, in order to comply with administrativeguidelines and to protect employees and the various partners. In descendingorder,themostheavilyimpactedregionshavebeen Southern Europe (down 22.1% on a like-for-like basis over the half-year), France (down 17.2%), Latin America (down 16.3%), Africa& theMiddleEast (down13.6%),Asia-Pacific(down10.3%), North America(down9.3%) andNorthern Europe(down3.3%). The other territories, namely Central and Eastern Europe, have been less impacted,due in particularto the differentevolutionof the pandemic,and continuedto post positivegrowth(up 6.7%and 19.7% respectivelyon a like-for-likebasis over the six months), thereby reflecting the vitality of theirmarkets. The impactof the crisis was particularlyevidentat the start of the second quarter, when the low point was reached, before easing significantly thereafter (down 45.4% in April and 20.3% in May, and then up 19.9% ona like-for-likebasis in June). All regions– with the exceptionof Latin America,which continues to be impacteddue to the pandemicarriving there later – began their recovery midway through the second quarter, ending the half-year on an upward trend, significantly so in the case of Eastern Europe, France, Central Europe, Northern Europe and North America. Sales of the equity-accounted subsidiary Dooya totalled €83.2 millionover the period, a decline of 4.8% (down 3.8% on a like-for-like basis, comprising a drop of 17.0% over the first quarterand an increaseof 8.4%over the second).Sales also fell in China, a country hit hard by the virus at the start of the year (down 15.7% on a like-for-likebasis), but grew in the rest of the World (up 5.9%). CHANGEINCURRENTOPERATING RESULT Current operating result stood at €102.6 million over the half-year, down 10.7% year on year, and represented 18.0% of sales. The declinewas due to the fall in sales causedby the health crisis at one of the key points of the year (2) . This crisis led to a shortfall in earnings due to lost sales, and caused disruption to the productionand supply chains as a result of the temporaryclosure of several manufacturing sites. Its impact has, however, been partially offset by the savings made, notably in consultancyfees, marketing and travel, thanks to the measures undertakenat the first signsof thecrisis.

€ millions

30/06/20 30/06/19 % change

Sales

568.9 102.6

615.1 114.9

-7.5%

Current operating result Consolidated net profit Net investments in intangible assets and property, plant and equipment New rights-of-use assets

-10.7% -11.3%

80.9

91.2

22.5

24.3

-7.5%

7.5

14.1

-46.7% +0.2%

Cash flow

117.7

117.4

Net financial debt

-325.6 -174.7

—

Net financial surplus. (-)

Founded in France in 1969, and today operating in 58 countries, Somfy is the global leader in opening and closing automationfor both residential andcommercial buildings. A pioneer in the connected home, the Group is constantly innovating to guarantee comfort, wellbeing and security in the home and is fully committed to promoting sustainable development. For 50 years, Somfy has been using automationto improve living environmentsand has been committed to creating reliable and sustainable solutions, which help promote better living and wellbeingfor all. SALESGROWTHBYCUSTOMER LOCATION Group sales totalled €568.9 millionfor the first six months of the financial year, a decline of 7.5% (down 7.2% on a like-for-like basis) compared with the same period last year. It recorded an increase of 2.9% over the first quarter (up 2.8% on a like-for-like basis), to €291.3 million, and a fall of 16.4% over the second quarter (down 15.7% on a like-for-likebasis),to €277.6 million. The health crisis resulting from the spread of Covid-19 explains the change recorded between the two quarters and similarly conceals the very positive start to the year seen in a majority of countries(up 11.1%on a like-for-likebasisover the twomonthsto end February). The pandemic has disrupted procurement and distributions channels, as well as the productionchain, since the

The Groupsuspendedits operationsat its productionsites in ClusesandGray,France;Gallieraand Schio,Italy;and Zaghouan,Tunisia,betweenthe end of (1) March andmid-April. The secondquarter is usuallythe most important,notablydue to the seasonalityof sales of awnings.It accountedfor 54% of first-halfsales last year (2) comparedwith 49%this year,and for 28%offull-year sales.

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SOMFY – HALF-YEAR FINANCIAL REPORT 2020