Alstom reports a fast progress of the integration of Bombardier Transportation with a contribution for 2 months (February and March 2021) being in line with Alstom accounting methods, the French manufacturer announced on May 11, when unveiled its 2020/21 full year results.
Between 1 April 2020 and 31 March 2021, Alstom booked EUR 9.1 billion of orders, a 14 per cent decrease compared to EUR 9.9 billion over the same period last year. Bombardier Transportation contribution amounted to EUR 664 million. This sustained level of orders in the Covid-19 context results from the commercial activity full recovery after a softer first semester 2020/21.
Alstom was awarded projects mainly for Rolling Stock and Services, including a large order in Spain for 152 regional trains with Renfe for a total of EUR 1.4 billion including 15 years associated maintenance for 56 trains, 200 double-deck cars for the Metra in the US for EUR 650 million, 34 regional trains in Lower Saxony, Germany, with associated 30-year maintenance for nearly EUR 760 million, as well as the first order from its acquired product portfolio for Mumbai metro 4 and 4A. It also booked metro systems in Taipei and in Toulouse in France.
On a Group basis, book to bill stood at 1.04. The backlog amounted to EUR 74.5 billion on 31 March 2021, providing strong visibility on future sales.
During the fiscal year 2020/21, Alstom’s total sales reached EUR 8.78 billion. On an organic basis, sales experienced a moderate decline down 4% organically, as mainly a consequence of the Covid-19 first lockdowns on operations in Q1. Overall, operations resumed nominally in the second half of the year. Bombardier Transportation two-month activity contribution was consistent with previous quarters at EUR 1.12 billion.
In fiscal year 2020/21, rolling stock sales reached EUR 4.53 billion, down by 1%. Signalling sales reached EUR 1.56 billion, up by 3%, with a moderate decline due to a shift in installation during Q1 containments followed by positive evolution in H2 2020/21. Services sales reached EUR 1.74 billion and increase of 2% despite train traffic reduction in particular during the first quarter. Systems sales reached EUR 947 million, decreasing by 32% with an expected ramp-down on Riyadh systems projects, the completion of Dubai contract, a fully traded contract in Panama.
The adjusted EBIT stood at EUR 645 million, integrating former Bombardier Transportation contribution and Covid-19 impact. Adjusted EBIT margin was at 7.3% at a group level and reached 8 per cent on an Alstom legacy perimeter and 2.7 per cent for Bombardier Transportation legacy.
Adjusted net profit amounted to EUR 301 million, including several one-off items, in part related to Bombardier Transportation acquisition.
“We opened a new chapter in our history in 2020/21 by finalising the acquisition of Bombardier Transportation on January 29th, creating a global mobility leader committed to respond to the increasing need for greener transportation worldwide. With the integration of Bombardier Transportation fully on track, the Group is starting the new fiscal year fully focused on customer satisfaction, project execution and on seizing opportunities from the strong commercial momentum supported by a worldwide push for sustainable mobility,” Henri Poupart-Lafarge, Alstom Chairman and CEO said.
In 2020/21 Alstom implemented its development plan by acquiring strategic companies. IBRE, a company specialized in the development, manufacture and supply of cast iron or steel brake discs, was acquired in June 2020, and in January 2021, the Group acquired B&C Transit a transit engineering design and construction firm specializing in the passenger rail sector.
In March 2021, Alstom expanded its maintenance expertise in Benelux with the acquisition of Dutch services company Shunter, while April acquired Flertex and completed the acquisition of Helion Hydrogen.