D’Ieteren shares rise on strong FY24 profits

Published 11/03/2025, 10:54
© Reuters.

Investing.com -- Shares of D’Ieteren Group (EBR:DIE) climbed 1% following the announcement of their FY24 adjusted pre-tax profit, which saw a 10% increase to €1,065m, surpassing the consensus estimate of €1,008m.

The uptick in profit was attributed to better-than-expected performance across most of its divisions, with Automotive, TVH Parts, and PHE seeing increases of 13%, 30%, and 20% respectively. These gains helped to mitigate weaker results from Belron, which grew by 2%, and Moleskine which turned loss-making.

Excluding foreign exchange factors and financing costs of €25m related to shareholder consolidation, D’Ieteren’s pre-tax profit actually rose by 13%, outpacing the company’s guidance for mid to high single-digit growth.

This result was bolstered by a significant acceleration in the second half of the year, jumping from 6% in the first half to 20% in the second half, primarily due to improved profitability in the Automotive and Belron sectors.

The company also reported a 22% increase in free cash flow to €740.6m, despite a 52% drop to €200.6m in the second half of the year. Despite the positive financial results, D’Ieteren announced it will propose a 57% lower ordinary dividend of €1.60, following an extraordinary dividend of €74.0 in December.

Looking ahead to FY25, D’Ieteren anticipates a slight increase in pre-tax profit on a comparable financing perimeter, before taking into account additional financial charges of €180m, compared to €25m in FY24. This projection suggests potential low-single digit downgrades to the FY25 consensus estimates.

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