Aix-en-Provence, 19 October 2022 (6 p.m.)
HIGHCO: SLIGHT GROWTH IN Q3 (GP: UP 0.5%); 2022 GUIDANCE CONFIRMED
Slight business growth in Q3 2022 driven by the strong momentum of Mobile
- Q3 2022 gross profit1 of €18.81 m, up 0.5% on a reported basis and LFL2.
- 9-month 20221 gross profit of €57.12 m, an increase of 1.1% on a reported basis and LFL2.
- Growth in digital businesses (Q3 down 0.9% LFL; 9-month YTD up 1.5% LFL) and good resistance of offline businesses (Q3 up 3.9% LFL; 9-month YTD up 0.2% LFL).
- Business growth in France (Q3 up 1% LFL; 9-month YTD up 1.8% LFL) and a decline in International businesses (Q3 down 2.7% LFL; 9-month YTD down 3.5% LFL).
2022 guidance confirmed
- Slight business growth.
- Rise in operating margin3 of 50 basis points.
| Gross Profit (in € m)1 | 2022 | 2021 | 2022/2021 Change |
| Q1 | 18.80 | 18.59 | +1.1% |
| Q2 | 19.51 | 19.21 | +1.5% |
| Q31 | 18.81 | 18.72 | +0.5% |
| 9-month total1 | 57.12 | 56.52 | +1.1% |
1 Unaudited data.
2 Like for like: Based on a comparable scope and at constant exchange rates (i.e. applying the average exchange rate over the period to data from the compared period).
3 Headline profit before interest and tax: Profit before interest, tax and restructuring costs. Operating margin: Headline PBIT/Gross profit.
Didier Chabassieu, Chairman of the Management Board, stated, "HighCo's third-quarter performance was in line with expectations (up 0.5%), driven by the strength of mobile businesses (up 11.2%) and the good resistance of offline businesses. In terms of business mix, the Group continues to advance in its transformation, with two-thirds of its gross profit generated by digital businesses. In an economic climate that remains uncertain, HighCo can capitalise on its financial soundness and must continue to innovate to seize new opportunities."
SLIGHT BUSINESS GROWTH IN Q3 2022 DRIVEN BY THE STRONG MOMENTUM OF MOBILE
HighCo showed slight growth in Q3 2022 and posted a 0.5% increase in gross profit to €18.81 m.
Over the first nine months of the year, the Group's businesses grew 1.1% to €57.12 m.
This level of business growth is mainly due to:
- Double-digit growth in Mobile (Q3: up 11.2%, 9-month YTD: up 17.8%);
- The coupon clearing business, whose overall volumes are increasing (Q3: down 4%, 9-month YTD: up 5%);
- Drop in the business of traditional promotion management;
- Decline in marketing & communication consulting.
Digital showed a very slight drop in Q3 2022 (down 0.9%) but has risen 1.5% since the beginning of the year. As a result, its share in gross profit increased slightly and accounts for two-thirds of the Group's total business, rising from 66.4% over the first nine months of 2021 to 66.6% over the same period in 2022.
Offline businesses continued to hold up well (Q3: up 3.9%; 9-month YTD: up 0.2%).
Growth in France
| FRANCE | Gross Profit (in € m) | 2022/2021 Change | % Total gross profit | |
| 2022 | 2021 | |||
| Q1 | 16.14 | 15.98 | +1.0% | 85.9% |
| Q2 | 17.05 | 16.50 | +3.4% | 87.4% |
| Q3 | 16.46 | 16.30 | +1.0% | 87.5% |
| 9-month total | 49.66 | 48.79 | +1.8% | 86.9% |
In France, Q3 2022 gross profit grew 1% to €16.46 m. This growth continued to be driven by the very strong momentum of Mobile businesses (up 9.4%).
For the first nine months of 2022, growth in France was 1.8%, accounting for 86.9% of the Group's gross profit since the beginning of the year. The main reasons for this growth are: double-digit growth in Mobile businesses (up 16.2%), the substantial rise in volumes of coupons cleared (up 9%), while traditional promotion management and marketing & communication consulting businesses were down.
Digital businesses have grown 2.1% since the beginning of the year, and their share in total business has risen slightly to more than two-thirds of gross profit (67.3%). This growth in Digital came directly from Mobile business, which accounts for more than one quarter of business in France (25.6%).
Impacted by the loss of a marketing & communication consulting client, offline businesses have held up well and grown 1.2% since the beginning of the year.
Decline in International business
| INTERNATIONAL | Gross Profit (in € m) | 2022/2021 Change | % Total gross profit | |
| 2022 | 2021 | |||
| Q1 | 2.65 | 2.61 | +1.8% | 14.1% |
| Q2 | 2.46 | 2.71 | -9.5% | 12.6% |
| Q3 | 2.35 | 2.42 | -2.7% | 12.5% |
| 9-month total | 7.46 | 7.74 | -3.5% | 13.1% |
In International business, Q3 2022 gross profit fell 2.7% to €2.35 m and accounted for 12.5% of the Group's gross profit.
In Belgium, gross profit retracted 7.2% and continued to be impacted by a sharp drop in the volume of coupons cleared and the significant slowdown in the promotion management business.
With growth in double digits (up 38.8%) and fully digital, business in other countries (Spain and Italy) remained very strong and accounted for 1.7% of the Group's gross profit.
For the first nine months of the year, International businesses fell 3.5% to €7.46 m, accounting for 13.1% of the Group's gross profit. The share of Digital in International businesses represented 62.1% of gross profit.
2022 GUIDANCE CONFIRMED
With its financial performance in Q3 in line with expectations, the Group confirms its guidance for 2022:
- Slight growth in gross profit (2021 gross profit: €76.52 m);
- Rise in operating margin (headline PBIT/gross profit) of 50 basis points (2021 operating margin: 20.3%).
About HighCo
As an expert in data marketing and communication, HighCo continuously innovates to work with brands and retailers in meeting the retail challenges of tomorrow.
Listed in compartment C of Euronext Paris, and eligible for SME equity savings plans ("PEA-PME"), HighCo has more than 500 employees and has achieved Gold status from EcoVadis, meaning that the Group is ranked in the top 5% of companies in terms of CSR performance and responsible purchasing.
Your contacts
Cécile Collina-HueCynthia Lerat
Managing DirectorPress Relations
+33 1 77 75 65 06+33 1 77 75 65 16
comfi@highco.comc.lerat@highco.com
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Q4 and FY 2022 Gross Profit: Wednesday, 25 January 2023
HighCo is a component stock of the indices CAC® Small (CACS), CAC® Mid&Small (CACMS), CAC® All-Tradable (CACT), Euronext® Tech Croissance (FRTPR) and Enternext® PEA-PME 150 (ENPME).
ISIN: FR0000054231
Reuters: HIGH.PA
Bloomberg: HCO FP
For further financial information and press releases, go to www.highco.com
This English translation is for the convenience of English-speaking readers. Consequently, the translation may not be relied upon to sustain any legal claim, nor should it be used as the basis of any legal opinion. HighCo expressly disclaims all liability for any inaccuracy herein.
Attachment
- HighCo CP T3 2022 MB_VDEF_EN
