Groupe Beneteau results: ‘very solid financial position’

“Groupe Beneteau’s teams once again showed their outstanding ability to adapt, faced with the significant changes on the boat markets in 2024,” says Bruno Thivoyon, Groupe Beneteau’s CEO. “The efforts made by all our employees enabled the group to achieve over one billion euros of sales for the year, as well as the upper range of its full-year profitability forecast.”

This statement comes as the company releases what it calls a ‘good financial performance for 2024 in an unfavourable context’. Within that, as reported in early February 2025, the boat division recorded revenues of €1,034.4m in 2024, down 29.4 per cent compared with 2023. Sales to end customers contracted by 7 per cent over the period. The slowdown in retail demand volumes was particularly marked for the sailing business (-€140m, i.e. -24 per cent versus a high basis for comparison). On the motor business segments, the 11 per cent decrease in the volumes delivered by the distribution network impacted sales by -€60m.

Highlights of the year include income from ordinary operations of €76m in 2024 (7.3 per cent of revenues), which is higher than forecast. And, says Thivoyon: “The sale of the housing business will enable the group to accelerate its development on the boat markets, while ensuring a fair return for shareholders.” The company says as exceptional dividend of €100m (€1.21/share) is to be paid on 27 March 2025, followed by a current dividend of €18m (€0.22/share)

It’s forecasting revenues of €0.9bn to €1.0bn for 2025, affected by the continued contraction in the markets and dealer stock in H1’25 and believes it has a strong plan going forward.

While the macroeconomic context is currently affected by various factors, says a statement, including the geological uncertainty, risks concerning changes in customs duties, and the fluctuations in exchange rates and interest rates, the group believes it is able to benefit from a solid financial position to continue adapting its operations to the main boating market challenges and accelerating its developments with a view to outperforming the market on the various segments covered.

“It is when boat markets are down that launching new models and new ranges will enable solid operators to bounce back,” says Thivoyon, who’s looking to launch some 66 new models between 2025 and 2027 (versus 44 for 2022-2024).

During Cannes 2024, the company announced that ‘innovation [is the] key to bouncing back’.

Accelerated product development and volume production

The company’s accelerating its product development with a view to relaunching organic growth, while continuing to closely monitor opportunities for gradual external growth. Twenty eight new premium models will be launched over the period from 2025 to 2027 which it’s hoped will enable the group to position itself in new high-end market segments.

Alongside this, to relaunch demand in terms of volumes, the group is launching 38 models over the next three years to step up the renewal of its entry-level offering. With the Lagoon 38 and Beneteau First 30 for the sailing business, or the Prestige 4.3 and the Fourwinns Freedom Series for the motor business, it hopes it will attract new owners, who are today focused on the pre-owned market. (Details of the group’s brands can be found on the company’s website.)

This means that overall, some 66 new models will be launched between 2025 and 2027 (versus 44 for 2022-2024). Adapting the levels of industrialisation to the size of series produced will make it possible to keep the investment budget at €75m to €85m per year over this period. While dealer stock levels will be normalised, this acceleration will enable the group to support organic growth, outperforming its markets, and target revenues of €1.5bn in 2028, as well as an operating margin of 10 per cent by this horizon. This ambition is based on a scenario for the boat market to be stable over the period from 2025 to 2028.

European market difficult for Groupe Beneteau

The company says the European market is becoming more difficult, and the end of the subsidy programs in Greece is continuing to penalise demand for sailing catamarans, particularly among charter professionals. The challenges relating to customs duties and tariffs are introducing further uncertainty in the United States.

In this context, the group expects retail demand to contract by 5 per cent to 10 per cent over the year [2025], while the continued destocking within the distribution networks is estimated at €50m to €100m, concentrated primarily over the first half of the year. In 2025, the group’s revenues could reach €0.9bn to €1.0bn.

During the first part of the year, the slowdown in business will be compounded by the base effect on the multihull sailing segments and by the impact of the new ERP’s launch at the Bordeaux site, with organisational measures rolled out for production to gradually start up again in the first quarter.

However, in the second half of 2025 the group plans to launch and ramp-up 20 new models (as above), which will be presented at the Cannes show among other events, at a time when dealer stock levels will be normalised, supporting a realignment between order intake and retail demand.

The group says it will therefore continue rolling out its measures to adapt and reduce its costs, while safeguarding its capacity to bounce back. Looking beyond the impacts of the change in business and the inflation balance, which is now expected to be neutral, the group’s operating margin will be marked by the continued rollout of its new ERP, the gradual turnaround of profitability for the American brands, expected to break even in 2026, and the ramp-up of the Monfalcone site (Italy) and Gandra site (Portugal).

Groupe Beneteau’s 2024 financials in detail

In February 2025, the boat division recorded revenues of €1,034.4m in 2024, down 29.4 per cent compared with 2023, a record year that benefited from an increase in inventory across the distribution networks by nearly €240m. As expected, the increase in interest rates, combined with the impacts of inflation, resulted in dealers reducing their stock levels by nearly €110m over 2024, contributing around 23 per cent to the decrease in business between the two years.

Sales to end customers contracted by 7 per cent over the period. The slowdown in retail demand volumes was particularly marked for the sailing business (-€140m, i.e. -24 per cent versus a high basis for comparison). On the motor business segments, the 11 per cent decrease in the volumes delivered by the distribution network impacted sales by -€60m. However, the boat division was able to benefit from the success of its premiumisation strategy, illustrated by this year’s value-driven growth of €110m (+9 per cent). Specifically, this was supported by the ramp-up of the Prestige M-Line power catamaran range, as well as the penetration by units over 9 meters on the dayboating segments.

The boat division generated €75.9m of income from ordinary operations, with a margin representing 7.3 per cent of revenues, higher than the latest forecasts for 4 per cent to 6 per cent. Anticipated since 2023, the industrial rationalisation measures and the use of the various furlough and multi-year working time arrangements, helped limit the impacts of the contraction in business. The reduction in indirect costs (€20m) offset the residual cost of maintaining the capacity to bounce back (€13m) and the appreciation of the Polish zloty (€7m). This result factors in an operating loss for the American brands (-€21m), as well as development costs linked to the new ERP’s deployment (-€15m), partially offset by the positive impacts of effectively anticipating inflation (+€25m).

The boat division’s EBITDA [earnings before interest, taxes, depreciation and amortisation] came to €136.3m, representing 13.2 per cent of revenues (vs. 17.9 per cent in 2023).

Sale of housing business strengthens position

Full-year net income (group share) came to €92.9m for 2024, including a €38m capital gain on the sale of housing business securities to Trigano, on November 30, 2024, for a value of €235m (including earnout paid at the start of 2025 and the costs for the year relating to this project). Over the first 11 months of the year, the housing division generated nearly €25m of net income, recognised under income from discontinued operations.

Financial income and expenses balanced in 2024 (vs. +€7m in 2023). Net income from interest on investments, up €1m from the previous year, offset the expenses relating to the non-unwinding of dollar hedging.

For the year, the share of the group’s associates represented an €18.6m expense (vs. -€0.5m in 2023). This decrease is linked for €5m to a deterioration in the profitability of the charter companies in which the group is a minority shareholder, and for €13m to the depreciation of the securities of these companies whose business model is fragile faced with inflation and rising interest rates.

During the year, the group recorded €1.9m of free cash flow.

For the boat division, the reduction in internal inventory levels, primarily during the second half of the year, totalled €83m. Other working capital requirements items increased due to the impact of the exceptional performance from 2023 on employee profit-sharing and company performance bonuses, the end-of-year rebates and the tax payment instalment mechanisms (€82m), as well as the reduction in trade payables (€45m) and client deposits (€28m), resulting from the changes in the group’s business. Lastly, the boat division’s net investments came to €69m (vs. €72M in 2023).

The housing business’ contribution to the change in net cash came to €230m for the year, resulting from the cash flow generated over the 11 months of the year, as well as the sales price of the securities.

After dividend payments and share buybacks for €64m, net cash represented €357m at 31 December 2024 (vs. €234m at end-2023).

The group’s robust financial position is also illustrated by the increase in its shareholders’ equity to €886m at 31 December 31 2024, compared with €856m at 31 December 2023.