The Board of Directors of Thomson multimedia met on February 9th, 2001 to review the 2000 consolidated accounts. The Board welcomed the achievement, reached more than one year in advance, of the objectives set at the time of the November 1999 IPO. The acceleration of the Groupís profitable growth reflects its successful repositioning strategy to seize opportunities arising from the digital transition and a continued focus on operational performance. Following a very good fourth quarter, the Group reached for the full year revenues of 9,094 million euros, a +36% increase compared to 1999, while increasing its profitability, with a 6% EBIT margin. Net result reached 394 million euros, or 4.3% of revenues.
Strong revenue growth and improvement of operational profitability
The consolidated revenues for the year 2000 totaled 9,094 million euros, an increase of 35.9% versus 1999. Excluding the impact of currency appreciation, the Groupís revenue increased by 22.6%. During the second semester, the Group posted strong revenue growth of 29,4%, with 24.6% for the fourth quarter 2000, a level significantly above the very strong fourth quarter 1999.
The Groupís EBIT reached 546 million euros, an increase of 49% compared to 1999. This improvement is driven by the very strong performance of Displays & Components, Consumer Products and Patents & Licensing, each of them having significantly reinforced their growth and profitability. This progress provides the Group with a robust and diversified profitability profile enabling it to accelerate its development strategy in new business segment at the core of the digital transition, particular in New Media Services which posted its first material revenues in 2000, and Digital Media Solutions.
Net Result of 394 million euros, or 4.3% of revenues
The consolidated net result increased by 70% to reach 394 million euros, a 4.3% net margin. This result includes a financial result of (77) million euros, and a non current result of (92) million euros, composed principally of a (105) million euros restructuring provision, in order for the Group to further increase its productivity in 2001.
Strong cash position
The Group generated, like every year since 1997, positive cash flow which amounted in 2000 to 107 millions euros. The Group strengthened its cash situation with the capital increase and bond offering realized during Fall 2000. It enjoys today a strong cash position with financial resources of approximately 1 billion euros after taking into account the impact of the acquisitions of Philipsí professional broadcast activities and of Technicolor.