Alstom posted operational results for 2010/11

Alstom posted operational results for 2010/11 in line with guidance and achieved a marked increase of orders during the second half 

Between 1 April 2010 and 31 March 2011, Alstom registered sales of 20.9 billion and an income from operations of 1,570 million, corresponding to an operating margin of 7.5%. The net result decreased to 462 million, due to the adverse impact of non-recurring charges. At 19.1 billion, orders were up from the low level of last year. After a trough in the first semester, a marked rebound of orders was achieved in the second one. In parallel, the free cash flow strongly recovered in the second half of 2010/11 with 447 million generated, as compared to the 963 million outflow in the first half. At its next Annual General Meeting, Alstom will propose a dividend of 0.62 per share, after 1.24 last year.

Results of fiscal year 2010/11 showed an operational performance in line with expectations. After three semesters of low orders, the second half of 2010/11 was characterised by a strong commercial rebound with, as announced, a fourth quarter higher than the third one. This positive commercial evolution triggered a significant improvement of the cash generation in the second half of the year. The recovery in orders intake has been driven by numerous successes in emerging markets where demand is expected to continue to grow, while activity in the developed economies remains sluggish. This geographical shift of demand opens a new business phase to Alstom. To seize the upcoming opportunities whilst maintaining its competitiveness, the Group plans to adapt its geographical presence to the expected demand and strengthen its best-in-class offering. During the year, Alstom continued to build up its industrial footprint in the BRIC countries and signed several strategic partnerships in these key markets, whilst capacity adjustment plans were launched in Europe and North America. Research and development expenses have ben maintained at a high level to keep the lead in technology. Encouraged by the commercial recovery of the second half 2010/11, the Group confirms that the operating margin of fiscal year 2011/12 should stay within the 7% to 8% bracket, said Patrick Kron, Alstoms Chairman and Chief Executive Officer.

This is a short version of the global press release. Please visit our global Investor relations section for more information.
 

Alstom is a global leader in the world of power generation, power transmission and rail infrastructure and sets the benchmark for innovative and environmentally friendly technologies. Alstom builds the fastest train and the highest capacity automated metro in the world, provides turnkey integrated power plant solutions and associated services for a wide variety of energy sources, including hydro, nuclear, gas, coal and wind, and it offers a wide range of solutions for power transmission, with a focus on smart grids.Philippe Kasse or Stéphane Farhi (Alstom Corporate)
Tel: +33 1 41 49 29 82 or +33 1 41 49 33 08
Email: philippe.kasse@chq.alstom.com or stephane.farhi@chq.alstom.com