For over 55 years, we have been creating shared happiness for authentic, positive impact experiences in Europe’s most beautiful destinations.
As a European player in local tourism, we are committed to helping everyone rediscover the essential in a preserved environment. Our business, which is close to the regions, involves relationships of trust with all our stakeholders.
This section is dedicated to the Group’s investor relations and shareholders and presents key figures, share price information, publications, financing operations and financial calendar.
Significant improvement in 2022/2023 half-year results relative to 20222 and 2019:
business momentum and operating control
Confirmation of upgrade to financial forecasts for the full year 2022/2023
Given the progress made to date on the initial objectives for the current financial year, the Group is confident about the challenges ahead, related to a difficult macro-economic backdrop.
Franck Gervais, CEO of Pierre & Vacances-Center Parcs Group, stated:
“The performances achieved over the first half of the year testify to the relevance of the strategic directions of the Reinvention plan and its smooth execution by our fully mobilised teams, who I would like to thank. We continue our strategy to move our offer upscale and to enrich the customer experience, aimed at meeting aspirations for high quality and local tourism. Our first-half results, the level of future reservations ahead of our targets and good control of our operating costs confirm our upgrade to financial guidance for the current year. We are looking ahead with confidence and ambition, while remaining cautious on changes in the macro-economic backdrop.”.
On 13 December 2022, capital and legal reorganisation operations in the Villages Nature Tourism division were completed in application of the conciliation protocol signed on 4 May 2022 and approved on 19 May 2022.
Following this operation, the Group took control of the eight entities of the Villages Nature business line and consolidated them at 100%.
At its meetings of October 3, 2022, March 30, 2023 and May 24, 2023, the Board of Directors granted 1,000 preferred shares known as “ADP 2022-1”, which may give the right, upon conversion, to a maximum of 22,916,004 ordinary shares of the Company at the end of September 2026, to the benefit of members of the Management. On October 3, 2022, the Board of Directors also allocated 205 preference shares known as “ADP 2022-2”, which may give the right, upon conversion, to a maximum of 20,500,000 ordinary shares of the Company for the benefit of Mr. Gérard Brémond from October 2024 until the end of a period of 5 years (extended to 7 years in the absence of a takeover bid for the Company).
These preference shares, which have no voting rights and do not entitle their holders to dividends, are convertible into ordinary shares, either existing or to be issued, depending on the performance and attendance conditions set by the Board of Directors.
The Board of Directors has also decided on the principle of granting a maximum of 5,453,143 free ordinary shares of the Company in three tranches to Group managers, the first tranche of which, representing 1,716,990 shares, was granted on March 30, 2023. These new or existing shares will vest by the end of 2026, subject to performance and presence conditions similar to those of the “ADP 2022-1”.
Following the restructuring and refinancing transactions of 16 September 2022, most of the Group’s debt has been reinstated over a 5-year horizon. The uncertain interest rate backdrop currently prevailing has prompted the Group to hedge its virtually exclusively variable-rate debt against a significant rise in interest rates by setting up rate options. The options set up in November 2022 cover a nominal amount of €136.5 million in debt until June 2024. They have a strike price of 2% over the Euribor 3-month rate. The Group paid a premium of €2 million for these options to be set up.
Note also that a large share of the rise in interest rates is offset by active management of the Group’s portfolio of investments.
In order to reflect the operational reality of the Group’s businesses and the readability of their performance, the Group’s financial communication, in line with operational reporting as monitored by management, continues to include the results of joint ventures on a proportional basis and does not include the application of IFRS 16.
The Group’s results are also presented according to the following operational sectors defined in compliance with the IFRS 8 standard, i.e.:
To recap, the Group’s operational reporting is presented in Note 3 – Information by operational segment in the Appendix to the consolidated half-year financial statements. A reconciliation table with the primary financial statements is presented hereafter.
o/w accommodation revenue
Pierre & Vacances
Major Projects & Senioriales
Revenue from tourism businesses
Revenue other tourism businesses
Revenue from the tourism businesses
The robust growth momentum enjoyed in the first quarter of the year (+19.4%), boosted by the rebound in the tourism sector following the Covid crisis, continued in the second quarter (+20.3%), bringing revenue from the tourism businesses to €704.7 million over the first half. The Group therefore outperformed its budget targets, despite a difficult economic and social backdrop in France in the second quarter.
Accommodation revenue totalled €550.1 million during the first half of 2022/2023, up 20.4% relative to the year-earlier period (partly affected by the emergence of the Omicron variant). This rise in revenue was driven by all brands:
Growth was driven by the number of nights sold (+12.8%) and average letting rates (+7.7%), benefiting from both:
The occupancy rate grew by an average of 3.7 points to 71.9% over the period as a whole.
Growth in revenue was primarily driven by the rise in average letting rates (+10.7%), offsetting the impact of the decline in the number of nights sold (-7.3%).
The occupancy rate for the brand as a whole was down by an average of 4 points to 61.2% over the period. Note that half of this decline stemmed from the exceptional privatisation of the Rouret site by the Ministry of the Armies in the first quarter of the previous year. The average occupancy rate of mountain destinations was 90.6% over H1, including almost 94% during the second quarter (+1.8 points).
The rebound in city residence business continued, underpinned by both a sharp increase in average prices (+34.6%) and growth in the number of nights sold (+11.2%) The occupancy rate grew by an average of 8 points to 73.5% over the period as a whole.
H1 supplementary income totalled €154.7 million, up 18.1% relative to the year-earlier period.
It benefited especially from growth in onsite sales (+20.1%), in line with the rise in accommodation revenue, as well as strong performances by the maeva.com business (+13% of business volume).
H1 2022/2023 revenue from other businesses totalled €104.1 million compared with €127.4 million in H1 2021/2022 (decline with no significant impact on EBITDA), primarily made up of:
Adjusted H1 2022 EBITDA excl. non-recurring income
Pierre & Vacances
Current operating profit/loss
Financial income and expense
Other operating income and expense
Adjusted EBITDA for the first half of 2022/2023 stood at -€46.8 million, showing a clear improvement relative to the first half of 2019 (loss virtually halved), the reference pre-Covid year.
Note that in H1 2021/2022, adjusted EBITDA included the benefits of non-recurring items (government subsidies and impact of agreements concluded with the Group’s lessors due to the health crisis) for a total of €56 million. Adjusted for the impact of these non-recurring items, Group adjusted EBITDA in the first half of 2022/2023 was up by 28% relative to the first half of 2021/2022.
The Group benefits from growth momentum in its tourism businesses (+€117 million in revenue relative to the first half of the previous year), favoured by the rebound in the tourism sector following the Covid crisis, as well as strict management of costs, with a confirmed target of €30 million in savings over 2023 (of which 90% has already been secured).
Net financial expenses stood at -€14.0 million in the first half of 2022/2023 vs. -€22.5 million in H1 2021/2022, on the back of the Group’s widescale debt reduction under the framework of the financial restructuring completed on 16 September 2022.
Other net operational expenses represented -€8.7 million in H1 2022/2023, primarily including:
Note that other operating expenses totalled €19.6 million in H1 2022, mainly including asset and property stock writedowns for Villages Nature for an amount of €12.4 million, as well as the costs incurred by the Group to roll out its strategic plan.
Tax expenses in H1 2022/2023 were virtually zero. In the first half of the previous year, they amounted to €13.8 million, mainly following a reversal of deferred tax assets in France and related to the updating of business projections in the context of the revision of the Reinvention business plan.
The Group’s net loss totalled €93.1 million, stable compared to the first half of the previous year, which recorded 56 million euro of non-recurring income, and an improvement of 23% relative to the net loss seen in H1 2019.
Simplified balance sheet
31 March 2023
30 September 2022
Net fixed assets
Provisions for risks and charges
Net financial debt
Debt related to lease assets obligations
WCR and others
Net financial debt
Gross financial liabilities
The Group had a negative net debt position, generating cash of €405.7 million on 31 March 2023.
The seasonal nature of the tourism businesses causes structural cash burn during the first half of the year.
Net debt increased by 54 million euro in the first half of the year, compared with an approximate structural deterioration of 100 million euro in the past.
Gross financial debt on 31 March 2023 (€393.0 million) therefore corresponded mainly to:
In view of the portfolio of reservations to date, representing more than 85% of the full-year target and ahead of the rate achieved in the previous year, the Group currently expects further growth in revenue compared with the second half of 2021/2022, which was particularly dynamic.
This growth is visible for all brands and stems from both the rise in average letting rates and growth in the number of nights sold.
Underpinned by robust revenue growth in the first half, the very respectable level of new reservations for coming months and the rigorous execution of the Reinvention strategic plan, the Group has raised its guidance for 2022/2023, on the publication of its half-yearly revenue on 18 April 2023, to now expect:
The Group is confident in its ability to deliver this guidance, while remaining cautious in a changeable and uncertain context, and remains fully mobilised in terms of operating performance and cost control.
The Group’s financial communication is in line with operational reporting, which is more representative of the performances and economic reality of the contribution of each of the Group’s businesses i.e.:
The Group’s operational reporting as monitored by management, in accordance with IFRS 8, is presented in Note 3 – Information by operating segment, to the consolidated financial statements as at 31 March 2023.
The reconciliation table with the primary financial statements is therefore set out below.
IFRS 11 adjustments
Impact of IFRS 16
External purchases and services
of which cost of sales of property assets
of which owner rents
Depreciation, amortisation and impairment
Current operating profit (loss)
NET Profit (loss)
DAP net of unused reversals
Net profit (loss)
(1) Of which:
– Cost of sales: +€42.8 million
– Owner rents: +€171.4 million In the Group’s internal financial reporting, rental expenses are recognised as an operating expense. Rental savings, obtained in the form of credit notes or deductibles, are recognised as a deduction from the operating expense at the time the rental liability is legally extinguished. The amount of €171.4 million thus includes a saving of €11 million over the first half of the year, as a result of the application of the agreements concluded with lessors.
Group revenue under IFRS accounting totalled €741.8 million, up 16.5% relative to the year-earlier period, partly affected by the emergence of the Omicron variant. Business grew across all brands, benefiting from the general rebound in tourism after Covid, and also reflecting the strategy of upgrading the offer, with an increase in average selling prices and higher occupancy rates. The Group net loss amounted to €104.4 million euros, an improvement of €10.5 million compared to the first half of the previous financial year, including, in addition to EBITDA of €148.7 million, net depreciation and provisions of €147.7 million and financial expenses of €121.0 million.
Lease/right of use assets
Debt related to lease assets/rental obligations
The Group’s balance sheet under IFRS reflected the following:
Cash flows after interest and tax
Change in working capital requirement
Flows from operations
Net investments related to operations
Net financial investments
Acquisition of subsidiaries
Flows allocated to investments
Operating cash flows
Capital increase in cash
Change in loans and debts
Cash flows from financing operations
Flows allocated to financing
Change in cash
The cash flow statement shows a change in cash and cash equivalents of -€51.9 million in the first half of the 2022/2023 financial year, compared with a change of -€87.0 million in the first half of the previous year.
This change is linked in particular to the positive cash flow from operations recorded in the first half of 2022/2023, stemming from cash flow generated by the change in working capital (+€58.7 million) and investments (+€2.8 million), which partly cover cash consumption linked to financing (- €116.8 million).