BREMBO N.V. FIRST QUARTER REPORT 2024
CONTENTS
Company Officers | 3 |
Summary of Group Results | 4 |
CONSOLIDATED FINANCIAL STATEMENTS | |
Consolidated Statement of Financial Position | 7 |
Consolidated Statement of Income | 8 |
Consolidated Statement of Comprehensive Income | 8 |
Consolidated Statement of Cash Flows | 9 |
Consolidated Net Financial Debt | 9 |
Consolidated Statement of Changes in Equity | 10 |
EXPLANATORY NOTES TO THE FINANCIAL STATEMENTS | |
Accounting Standards and Basis of Preparation | 11 |
Consolidation Area | 11 |
Notes on the Most Significant Changes in Items of the Consolidated Financial Statements | 12 |
Sales Breakdown by Geographical Area and Application | 14 |
Foreseeable Evolution | 15 |
DIRECTORS' REPORT ON OPERATIONS AND SIGNIFICANT EVENTS | |
Macroeconomic Context | 16 |
Currency Markets | 18 |
Operating Structure and Reference Markets | 18 |
Significant Events During the Quarter | 20 |
Opt-out from the Obligations to Publish Disclosure Documents | 20 |
Buy-back and Sale of Own Shares | 20 |
Significant Events After 31 March 2024 | 21 |
2
COMPANY OFFICERS(1)
Chairman Emeritus (2) | Alberto Bombassei |
Board of Directors (3) | |
EXECUTIVE CHAIRMAN | Matteo Tiraboschi (8) |
CHIEF EXECUTIVE OFFICER | Daniele Schillaci (8) |
DIRECTORS | Cristina Bombassei (5) (8) |
Giancarlo Dallera (4) | |
Elisabetta Magistretti (4) | |
Umberto Nicodano (7) | |
Elizabeth M. Robinson (4) | |
Gianfelice Rocca (4) | |
Michela Schizzi (4) (6) | |
Manuela Soffientini (4) (9) | |
Roberto Vavassori (8) |
Independent Auditors
Committees
Deloitte & Touche S.p.A. (10)
AUDIT, RISK & SUSTAINABILITY COMMITTEE (11) | Elisabetta Magistretti (Chairwoman) |
Michela Schizzi | |
Manuela Soffientini | |
REMUNERATION & APPOINTMENTS COMMITTEE | Giancarlo Dallera (Chairman) |
Elizabeth M. Robinson | |
Manuela Soffientini | |
SUPERVISORY COMMITTEE | Giovanni Canavotto (Chairman) (12) |
Elisabetta Magistretti | |
Matteo Tradii (13) |
- Upon the entering into effect of the cross-border conversion, Brembo adopted a one-tier board management and control system pursuant to the Dutch Civil Code that does not provide for a Board of Statutory Auditors or any control body separate from the Board of Directors. Accordingly, the term of Brembo's Board of Statutory Auditors ended on the effective date of the transaction (24 April 2024). The control function will therefore be carried out by the Non-executive Directors, who, in compliance with the Dutch Corporate Governance Code, make up the majority of the members of the Board of Directors. The Dutch law does not provide for the position of the Manager in Charge of the Company's Financial Reports. Therefore, on that same date, Brembo's Manager in Charge of the Company's Financial Reports ceased his position, without prejudice to the Company's capability to ensure an adequate internal control and risk management system, suitable administrative and accounting procedures for preparing the Consolidated and Separate Financial Statements and any other financial disclosure.
- Appointed for an indefinite period.
- In office until the Shareholders' Meeting called to approve the Financial Statements for the year ending 31 December 2025.
- Non-Executiveand Independent Directors.
- The Director also holds the position of Executive Director in charge of the Internal Control and Risk Management System, as well as of Chief CSR Officer.
- Director elected from a minority list.
- Non-executiveDirector.
- Executive Director.
- This Director also holds the position of Lead Independent Director.
- Appointed by the Shareholders' Meeting of 22 April 2021 for the years from 2022 to 2030.
- This Committee also acts as the Related Party Transactions Committee.
- Independent Expert.
- Chief Internal Audit Officer.
Brembo N.V.
Legal Seat: Amsterdam (Netherlands) - NL Chamber of Commerce
Business and Corporate Address: Bergamo (BG), Italy, 24126, Via Stezzano 87 - Bergamo Chamber of Commerce
Paid-up Share Capital: Euro 3,339,222.50 Fiscal Code and VAT no. 00222620163
3
Summary of Group Results
ECONOMIC RESULTS (euro million) | 31.03.2020 | 31.03.2021 | 31.03.2022 | 31.03.2023 | 31.03.2024 | % 2024/2023 |
Revenue from contract with customers | 575.9 | 675.1 | 857.6 | 961.9 | 1,004.6 | 4.4% |
Gross operating income | 102.0 | 135.6 | 150.8 | 168.3 | 176.8 | 5.1% |
% of revenue from contract with customer | 17.7% | 20.1% | 17.6% | 17.5% | 17.6% | |
Net operating income | 50.3 | 83.7 | 92.9 | 104.0 | 112.8 | 8.5% |
% of revenue from contract with customer | 8.7% | 12.4% | 10.8% | 10.8% | 11.2% | |
Result before taxes | 42.5 | 81.1 | 94.8 | 105.0 | 105.6 | 0.6% |
% of revenue from contract with customer | 7.4% | 12.0% | 11.1% | 10.9% | 10.5% | |
Net result for the period | 29.8 | 61.4 | 71.7 | 76.8 | 75.2 | -2.2% |
% of revenue from contract with customer | 5.2% | 9.1% | 8.4% | 8.0% | 7.5% | |
4
FINANCIAL RESULTS (euro million) | 31.03.2020 | 31.03.2021 | 31.03.2022 | 31.03.2023 | 31.03.2024 | % 2024/2023 |
Net invested capital | 1,850.7 | 2,058.8 | 2,324.6 | 2,556.5 | 2,797.3 | 9.4% |
Equity | 1,376.5 | 1,594.2 | 1,845.0 | 2,024.6 | 2,228.5 | 10.1% |
Net financial debt | 450.4 | 438.9 | 456.5 | 506.4 | 529.5 | 4.6% |
EMPLOYEES AND INVESTMENTS | ||||||
Employees at end of period (number) | 11,022 | 11,408 | 12,656 | 13,341 | 14,074 | 5.5% |
Turnover per employee (euro thousand) | 52.3 | 59.2 | 67.8 | 72.1 | 71.4 | -1.0% |
Net investments (euro million) | 36.0 | 43.7 | 53.8 | 72.5 | 69.3 | -4.5% |
Increases in leased assets (euro million) | 3.5 | 4.6 | 6.1 | 7.6 | 5.9 | -22.3% |
5
MAIN RATIOS | 31.03.2020 | 31.03.2021 | 31.03.2022 | 31.03.2023 | 31.03.2024 |
Net operating income/Revenue from contract with customers | 8.7% | 12.4% | 10.8% | 10.8% |
11.2%
Result before taxes/Revenue from contract with customers | 7.4% | 12.0% | 11.1% | 10.9% |
10.5%
Net investments (*)/Revenue from contract with customers | 6.2% | 6.5% | 6.3% | 7.5% |
6.9%
Net Financial debt/Equity | 32.7% | 27.5% | 24.7% | 25.0% |
23.8%
Adjusted net interest expense(**)/Revenue from contract with customers | 0.5% | 0.4% | 0.3% | 0.5% |
0.6%
Adjusted net interest expense(**)/Net operating income | 5.8% | 3.3% | 3.2% | 4.9% |
5.4%
ROI | 15.2% | 10,4% | 12.8% | 15.4% |
15.1%
ROE | 14.8% | 10.7% | 12.2% | 14.8% |
13.7%
Notes:
ROI: Net operating income rolling 12 months/Net invested capital.
ROE: Result before minority interests rolling 12 months (net of Result from discontinued operations)/Equity.
-
Net investments in property, plant, equipment and intangible assets, calculated as the sum total of increases (net of decreases) of property, plant, equipment and intangible assets.
(**) This item does not include exchange gains and losses.
6
Consolidated Financial Statements
Consolidated Statement of Financial Position
(euro thousand) | 31.03.2024 | 31.12.2023 | Change |
ASSETS | |||
NON-CURRENT ASSETS | |||
Property, plant, equipment and other equipment | 1,374,391 | 1,353,548 | 20,843 |
Right of use assets | 167,845 | 169,331 | (1,486) |
Development costs | 107,608 | 104,423 | 3,185 |
Goodwill and other indefinite useful life assets | 120,467 | 119,579 | 888 |
Other intangible assets | 74,778 | 76,730 | (1,952) |
Shareholding valued using the equity method | 54,796 | 60,187 | (5,391) |
Investments in other companies | 321,935 | 280,132 | 41,803 |
Derivatives | 17,316 | 20,385 | (3,069) |
Other non-current financial assets | 2,956 | 2,911 | 45 |
Receivables and other non-current assets | 43,865 | 41,743 | 2,122 |
Deferred tax assets | 108,089 | 97,661 | 10,428 |
TOTAL NON-CURRENT ASSETS | 2,394,046 | 2,326,630 | 67,416 |
CURRENT ASSETS | |||
Inventories | 655,090 | 621,697 | 33,393 |
Trade receivables | 717,846 | 604,877 | 112,969 |
Other receivables and current assets | 125,836 | 94,539 | 31,297 |
Derivatives | 11,337 | 12,949 | (1,612) |
Other current financial assets | 2,748 | 3,097 | (349) |
Cash and cash equivalents | 394,371 | 510,058 | (115,687) |
TOTAL CURRENT ASSETS | 1,907,228 | 1,847,217 | 60,011 |
ASSETS FROM DISCONTINUED OPERATIONS | 0 | 21 | (21) |
TOTAL ASSETS | 4,301,274 | 4,173,868 | 127,406 |
EQUITY AND LIABILITIES
GROUP EQUITY
Share capital Other reserves Retained earnings/(losses) Net result for the period
TOTAL GROUP EQUITY
TOTAL MINORITY INTERESTS
TOTAL EQUITY
3,339
91,268
2,026,175
75,151
2,195,933
32,566
2,228,499
34,728 (31,389)
48,184 43,084
1,679,844 346,331
305,039 (229,888)
2,067,795 128,138
31,624 942
2,099,419 129,080
NON-CURRENT LIABILITIES | |||
Non-current payables to banks | 480,985 | 487,615 | (6,630) |
Long-term lease liabilities | 150,471 | 149,785 | 686 |
Other non-current financial payables | 660 | 680 | (20) |
Other non-current liabilities | 4,258 | 3,887 | 371 |
Non-current provisions | 22,867 | 24,180 | (1,313) |
Provisions for employee benefits | 39,217 | 36,445 | 2,772 |
Deferred tax liabilities | 30,306 | 30,956 | (650) |
TOTAL NON-CURRENT LIABILITIES | 728,764 | 733,548 | (4,784) |
CURRENT LIABILITIES | |||
Current payables to banks | 293,018 | 272,269 | 20,749 |
Short-term lease liabilities | 21,549 | 21,455 | 94 |
Derivatives | 1,818 | 160 | 1,658 |
Other current financial payables | 550 | 58,005 | (57,455) |
Trade payables | 752,457 | 742,099 | 10,358 |
Tax payables | 38,904 | 11,560 | 27,344 |
Current provisions | 9,619 | 9,638 | (19) |
Contract liabilities | 73,874 | 75,461 | (1,587) |
Other current liabilities | 152,222 | 150,254 | 1,968 |
TOTAL CURRENT LIABILITIES | 1,344,011 | 1,340,901 | 3,110 |
TOTAL LIABILITIES | 2,072,775 | 2,074,449 | (1,674) |
TOTAL EQUITY AND LIABILITIES | 4,301,274 | 4,173,868 | 127,406 |
7
Consolidated Statement of Income
(euro thousand) | 31.03.2024 | 31.03.2023 | Change | % |
Revenue from contracts with customers | 1,004,635 | 961,935 | 42,700 | 4.4% |
Other revenues and income | 4,280 | 8,686 | (4,406) | -50.7% |
Costs for capitalised internal works | 8,665 | 7,437 | 1,228 | 16.5% |
Raw materials, consumables and goods | (459,859) | (459,096) | (763) | 0.2% |
Income (expenses) from non-financial investments | 4,571 | 4,824 | (253) | -5.2% |
Other operating costs | (203,339) | (193,100) | (10,239) | 5.3% |
Personnel expenses | (182,150) | (162,389) | (19,761) | 12.2% |
GROSS OPERATING INCOME | 176,803 | 168,297 | 8,506 | 5.1% |
% of revenue from contracts with customer | 17.6% | 17.5% | ||
Depreciation, amortisation and impairment losses | (63,982) | (64,318) | 336 | -0.5% |
NET OPERATING INCOME | 112,821 | 103,979 | 8,842 | 8.5% |
% of revenue from contracts with customer | 11.2% | 10.8% | ||
Net interest income (expense) | (7,222) | 976 | (8,198) | -840.0% |
Interest income (expense) from investments | 19 | 5 | 14 | 280.0% |
RESULT BEFORE TAXES | 105,618 | 104,960 | 658 | 0.6% |
% of revenue from contracts with customer | 10.5% | 10.9% | ||
Taxes | (29,643) | (27,938) | (1,705) | 6.1% |
Result from discontinued operations | 0 | (4) | 4 | -100.0% |
RESULT BEFORE MINORITY INTERESTS | 75,975 | 77,018 | (1,043) | -1.4% |
% of revenue from contracts with customer | 7.6% | 8.0% | ||
Minority interests | (824) | (176) | (648) | 368.2% |
NET RESULT FOR THE PERIOD | 75,151 | 76,842 | (1,691) | -2.2% |
% of revenue from contracts with customer | 7.5% | 8.0% | ||
BASIC/DILUTED EARNINGS PER SHARE (euro)
0.23
0.24
Consolidated Statement of Comprehensive Income
(euro thousand)
31.03.2024
31.03.2023 Change
RESULT BEFORE MINORITY INTERESTS
Other comprehensive income/(losses) that will not be subsequently reclassified to income/(loss) for the period:
Fair value measurement of investments
Tax effect
Total other comprehensive income/(losses) that will not be subsequently reclassified to income/(loss) for the period
Other comprehensive income/(losses) that will be subsequently reclassified to income/(loss) for the period:
Effect of hedge accounting (cash flow hedge) of derivatives Tax effect
Change in translation adjustment reserve
Total other comprehensive income/(losses) that will be subsequently reclassified to income/(loss) for the period
COMPREHENSIVE RESULT FOR THE PERIOD
Of which attributable to:
- Minority Interests
- the Group
75,975
41,794
(502)
41,292
(5,130)
1,041
15,902
11,813
129,080
942
128,138
77,018 (1,043)
34,484 7,310
- (89)
34,071 7,221
(25,226) 20,096
4,963 (3,922)
(13,194) 29,096
(33,457) 45,270
77,632 51,448
-
1,193
77,883 50,255
8
Consolidated Statement of Cash Flows
(euro thousand)
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD
Result before taxes
Depreciation, amortisation/Impairment losses Capital gains/losses
Income/expense from investments, net of dividends received
Financial portion of provisions for defined benefits and payables for personn Long-term provisions for employee benefits
Other provisions net of utilisations Result from discontinued operations
Cash flows generated by operating activities
Current taxes paid
Uses of long-term provisions for employee benefits (Increase) reduction in current assets:
inventories financial assets trade receivables
receivables from others and other assets Increase (reduction) in current liabilities:
trade payables
payables to others and other liabilities Translation differences on current assets
Net cash flows from/(for) operating activities
Investments in:
property, plant and equipment intangible assets
financial assets (shareholdings)
Price for disposal or reimbursement value of fixed assets
Net cash flows from/(for) investing activities
Change in fair value of derivatives
Reimbursement of lease liabilities
Repayment of long-term loans and other financing
Net cash flows from/(for) financing activities
Total cash flows
Translation differences on cash and cash equivalents
CASH AND CASH EQUIVALENTS AT END OF THE PERIOD
31.03.2024
345,867
105,618
63,982
(4)
5,410
276
4,165
4,676
0
184,123
(27,184)
(1,839)
(37,160)
(45)
(115,314)
(18,421)
10,358
9,645
5,870
10,033
(60,285)
(9,796)
(9)
821
(69,269)
1,279
(6,657)
(70,315)
(75,693)
(134,929)
(547)
210,391
31.03.2023
254,013
104,960
64,318
(245)
2,671
193
2,740
4,136
(4)
178,769
(20,186)
(1,362)
(26,778)
37
(98,087)
(4,773)
60,475
5,242
(6,658)
86,679
(65,533)
(7,445)
(2,834)
677
(75,135)
(2,130)
(71,716)
(8,884)
(82,730)
(71,186)
545
183,372
Consolidated Net Financial Debt
(euro thousand)
31.03.2024
31.12.2023
- Cash
- Cash equivalents
- Other current financial assets
- Liquidity (A + B + C)
- Current financial debt (including debt instruments, but excluding current portion of non-current financial debt)
- Current portion of non-current financial debt
- Current financial debt (E + F)
- Net current financial debt (G - D)
- Non-currentfinancial debt (excluding current portion and debt instruments)
- Debt instruments
- Non-currenttrade and other payables
- Non-currentfinancial debt (I + J + K) M Total financial debt (H + L)
394,371
0
14,085
408,456
207,897
109,038
316,935
(91,521)
621,064
0
0
621,064
529,543
510,058
0
16,046
526,104
243,811
108,078
351,889
(174,215)
628,983
0
0
628,983
454,768
9
Consolidated Statement of Changes in Equity
Share | Other | Retained | Net result | Group | Equity of | ||
earnings | Minority | Equity | |||||
Capital | Reserves | for the period | Equity | ||||
(losses) | Interests | ||||||
(euro thousand) | |||||||
Balance at 1 January 2023 | 34,728 | 158,690 | 1,427,630 | 292,833 | 1,913,881 | 33,132 | 1,947,013 |
Allocation of profit for the previous year | 292,833 | (292,833) | 0 | 0 | 0 | ||
Components of comprehensive income: | |||||||
Fair value measurement of investments | 34,071 | 34,071 | 0 | 34,071 | |||
Effect of hedge accounting (cash flow hedge) of derivatives | (20,263) | (20,263) | 0 | (20,263) | |||
Change in translation adjustment reserve | (12,767) | (12,767) | (427) | (13,194) | |||
Net result for the period | 76,842 | 76,842 | 176 | 77,018 | |||
Balance at 30 March 2023 | 34,728 | 125,660 | 1,754,534 | 76,842 | 1,991,764 | 32,881 | 2,024,645 |
Balance at 1 January 2024 | 34,728 | 48,184 | 1,679,844 | 305,039 | 2,067,795 | 31,624 | 2,099,419 |
Allocation of profit for the previous year | 305,039 | (305,039) | 0 | 0 | 0 | ||
Reclassification | (31,389) | 31,389 | 0 | 0 | 0 | ||
Components of comprehensive income: | |||||||
Fair value measurement of investments | 41,292 | 41,292 | 0 | 41,292 | |||
Effect of hedge accounting (cash flow hedge) of derivatives | (4,089) | (4,089) | 0 | (4,089) | |||
Change in translation adjustment reserve | 15,784 | 15,784 | 118 | 15,902 | |||
Net result for the period | 75,151 | 75,151 | 824 | 75,975 | |||
Balance at 30 March 2024 | 3,339 | 91,268 | 2,026,175 | 75,151 | 2,195,933 | 32,566 | 2,228,499 |
10
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Brembo NV published this content on 09 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 09 May 2024 12:52:05 UTC.
