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Emeis SA reported its financial performance for the second quarter of 2025, revealing a notable increase in EBITDA and a stable net debt position. Despite a negative EPS of -0.85, the market reacted positively, with pre-market trading showing a 6% increase in the stock price to $14.84. According to InvestingPro analysis, the company's current market capitalization stands at $2.87 billion, with a strong free cash flow yield of 14%. The company's focus on innovation and operational efficiency contributed to these results, with organic sales growth reaching 6.2%.
Key Takeaways
- EBITDA increased by 18.4%, with a margin rise from 12.1% to 13.8%.
- Organic sales growth was recorded at 6.2%.
- Net debt remained stable at €4.78 billion.
- Occupancy rates improved to 87%, up 1.7 points.
- The stock price rose by 6% in pre-market trading.
Company Performance
Emeis SA demonstrated robust performance in the second quarter, driven by increased efficiency and strategic initiatives. The company's EBITDA growth of 18.4% and improved occupancy rates reflect effective management strategies, despite challenges in certain markets. The company maintained stable net debt levels while reducing its leverage ratio significantly.
Financial Highlights
- Revenue: 2.91 billion USD
- Earnings per share: -0.85 USD
- EBITDA margin: 13.8%, up from 12.1%
- Net debt: €4.78 billion
Market Reaction
Following the earnings announcement, Emeis SA's stock saw a 6% increase in pre-market trading, reaching $14.84. The stock is currently trading near its 52-week high of $18.79, reflecting strong momentum with a 175% return over the past year. This positive market reaction highlights investor confidence in the company's strategic direction and financial health, despite the reported negative EPS. InvestingPro subscribers have access to 12 additional key insights about Emeis SA's valuation and growth prospects through exclusive ProTips.
Outlook & Guidance
Looking forward, Emeis SA expects EBITDA growth of 15-18% for the year 2025. The company continues to focus on improving occupancy rates and optimizing costs, with a planned capital expenditure of €300 million for maintenance, IT, and new residences. While analysts don't anticipate profitability this year, with a forecasted EPS of -$1.58, the company remains confident in its disposal strategy, aiming to exceed a €1.5 billion target. Discover comprehensive analysis and Fair Value estimates for Emeis SA and 1,400+ other stocks with an InvestingPro subscription.
Executive Commentary
"We are happy to share with you the point that these encouraging achievements... lead our figures to grow in line with our ambition," stated Laurent Guyot, CEO of Emeis SA. CFO Jean-Marc Boursier added, "We have not changed our mind... we will be investing approximately €300 million this year."
Risks and Challenges
- Regulatory changes affecting clinic growth.
- Potential impact of healthcare reforms on pricing.
- Macroeconomic pressures in key European markets.
- Execution risk in achieving disposal targets.
- Managing operational expenses amidst inflationary pressures.
Q&A
During the earnings call, analysts inquired about the company's disposal strategy and its impact on financial health. Emeis SA's management expressed confidence in meeting and potentially exceeding the €1.5 billion target. Additionally, discussions revolved around the company's long-term strategy for staff cost reduction and limited pricing impact from healthcare reforms.
Full transcript - Emeis SA (EMEIS) Q2 2025:
Conference Moderator: Ladies and gentlemen, welcome to the Emeis SA conference call regarding its half year 2025 revenue and business update. I now hand over to Mr. Laurent Guyot, the company's CEO, and Mr. Jean-Marc Boursier, CFO. Gentlemen, please go ahead.
Laurent Guyot, CEO, Emeis SA: Thank you. Good morning to all of you and thank you for attending this conference related to the presentation of our sales figures and business update at the end of June 25th. I hope it may sound clear to you along this presentation that we are particularly happy to deliver this set of figures which provide evidence of the turnaround underway in our operating performance and the further strengthening of our balance sheet. Before going into detail about our performance in the first half of the year, I would like to share with you our pride of becoming a mission-driven company following our AGM in June. These statutes commit us to a future performance on social, societal, and environmental target.
To ensure EMAIS SA as a group will contribute to turn the tide along this adoption of our mission-driven statutes we've recently adopted, we've established four commitments setting up our priorities to that extent. First, one is to change the way the most vulnerable people and their families are perceived and promote their integration in our society. Second, contribute to the fair recognition and attractiveness of our professions. Third is to promote an inclusive approach to vulnerable people in local communities. Fourth is to leverage innovation to deliver care that respects people and climate. These priorities will be converted into specific target objective and monitored by a specific committee dedicated specially to this issue led by experimented professionals and experts with the chairperson being Dr. Didier Pittet, an internationally well-known health specialist.
Switching to the results and performance in the first half, a few months ago, you may remember while we were publishing our full year earnings figures, we told you that the resumption of our sales growth and the rising occupancy rate seen started to support our operating margin recovery from the beginning of the second half. 2024 we were particularly happy to show you the evidence of operational recovery which is definitely confirmed in the first half. 2025. Operating margins have indeed entered a phase of growth. We are following the right path. Occupancy rates have improved further everywhere and for every business we do operate. Price effect captured. Again, this first half is proving that occupancy rate recovery are achieved along with positive pricing power. This is critical for us.
This positive momentum on top line is mechanically feeding our operating margins thanks to the good grip we had on operating expenses then. Therefore, EBITDA and EBITDAR in H1 went strongly up, providing confidence for the coming half years. Let's go quickly on a few key figures. Top line is up 6.2% on organic basis, driven up almost in all locations and all businesses, but particularly strong for nursing homes. Occupancy rates have continued to improve. Average occupancy ratio is now 87%, up 1.7 points in 12 months on mature perimeter. Excluding facilities openings in 2024 and early 2025, this would have even reached 88.2%. Strong growth of EBITDAR, almost 20% up, and EBITDA up by 79% basis H1 last year. We are confident that EBITDA should be up in 2025 by 15% to 18% at constant perimeter as per our guidance.
On top of that, we've been able to secure already close to €1.15 billion of disposals since mid-2022, including €482 million of real estate and operational asset disposals cashed in year to date and or under firm commitments to date. Amongst the €2 billion potential disposals under discussion today, we can confirm now that more than €1 billion are in very advanced negotiation phase. This means that our €1.5 billion disposals target from mid-2022 to end 2025 can be comfortably confirmed and is even increasingly likely to be exceeded. The recent publications have shown improvements on occupancy criteria, no exceptions this time, with a further increase almost everywhere and for all businesses year to date. The upside captured is slightly stronger on nursing homes, whose occupancy rate grew on average a bit less than 200 basis points in 12 months.
The positive momentum is not fading out and we expect this momentum to continue. Preliminary figures for July suggest positive feeling for the third quarter as well. This is a result of multiple new processes we put in place focusing on quality and services, including a revised segmentation policy of our supply to ensure we do match the need with our various types of residents and patients. In total, since 2021, average occupancy was up 7 points for nursing homes and more than 5 points for clinics. We can reasonably consider we are not quite yet where we should land ahead. This set of figures is not only showing a continuing supportive momentum on our revenues, but it also indicates a further step ahead in operating performances. Recovering path with strong growth in EBITDA and EBITDA as you can see on this slide.
After reaching a trough in H1 2024, EBITDA has now entered its way forward normalization with an almost 80% EBITDA growth in one year at constant perimeter. My point is to share with you today our confidence that this momentum will continue to feed our growth later this year and for the years ahead. For the years ahead, our market will be very supportive, but we are also building today with our teams of future performance. We do expect positive contribution to our performance from the following elements amongst others on which we do focus already while considering building future performance. Occupancy should still be driven by the favorable momentum I told you about and our policy should provide the capacity to capture further positive price effect as well. We continue to reinvestigate segmentation approaches regularly to tailor Emeis offers to resident needs and purchasing power.
We have started to work on the operating expenses with a relatively good grip, ensuring a good allocation of workforce. We do put in place new processes and new tools to enhance efficiency and better adapt our business to reforms seen these past years. We have also defined for each underperforming facility dedicated action plans to restore performance in line with the group's expectations. Sharing best practices between teams and better adjusting offers to local needs are some of the measures that will drive performance ahead. We are happy to share with you the point that these encouraging achievements, along with the fact that operating expenses have been well kept under control, lead our figures to grow in line with our ambition, confirming that we are now in the right path.
We are obviously still posting figures below our ambition, but we are in the right place on the road to our normalization now. It is fair to say that this set of figures is a good milestone on the road to an embedded recovery that confirms our confidence for 2025 and beyond. Therefore, we can confirm today our guidance for 2025 with the EBITDA expected to grow at constant parameter between 15% and 18% in 2025 versus 2020. Before handing over to Jean-Marc Boursier, I would like also to share with you an update on our disposal plan to date. €1.15 billion have already been sold since mid 2022 or are to date secured. It represents already a bit less than 80% of the €1.5 billion disposal ambition before year end that we disclosed earlier.
As you already know, potential additional disposals of €2 billion are under discussion, but among them we can tell you today that more than €1 billion are now currently in advanced negotiations, thus enabling us to envisage that the group's ambition in terms of disposal could be exceeded. I now hand over to Jean-Marc Boursier, our Deputy CEO and Group CFO, who will present in greater detail the main financial achievements of the first half of the year. Thank you, Laurent.
Jean-Marc Boursier, Deputy CEO and Group CFO, Emeis SA: Thank you to all of you for attending this call this morning. We are very happy to be able to present our preliminary key figures today. By way of introduction, I should point out that these figures are unaudited and may be potentially marginally modified between now and the publication of our afferent results in September. That said, they are in line with the economic reality that we see emerging. The publication today highlights four main elements which we will come back in detail through this presentation. First, the solid sales growth of over 6.2% on an inorganic basis, benefiting from both favorable occupancy increases and a positive price effect. Second, a strong recovery in our EBITDAR and EBITDA margin thanks to a solid revenue growth but also to operating expenses kept well under control.
Third, net debt stood in IFRS perfectly stable at €4.78 billion with a cash position at half year end of €398 million. Fourth, as a consequence of the above, a sharp prediction of our leverage ratio. Let's start with our sales. Sales posted substantial organic growth of 6.2% driven as you can see on this slide by a combination of three factors which all have a positive impact. A price effect of 3.4% in line with Q1 but slightly below 2024, an occupancy rate effect of plus 1.8%, and the effect of the ramp up of recently opened facilities for 0.9%. This favorable growth trend can be mostly observed on nursing homes for which turnover is up by 8.6%.
Clinics have been more muted with a 1.8% gross increase given changes in regulation in France that occurred recently, but also impacted by a lower number of full days of sterilization in healthcare facilities which reduced the volume of business generated by private rooms. Without going too much into details here, it is worth noting that all geographical sectors recorded growth except for France which posted organic growth of 1% but which is showing very encouraging signs as explained by Laurent, particularly in terms of occupancy rates, to which I will return later. All other regions posted remarkable growth rates in Austria, in Belgium, in Germany, in Spain, in the Netherlands. Price effect contributed to a like-for-like growth between 4% and 8%. These are the markets where segmentation was particularly efficient.
Occupancy contributed to sales growth everywhere, but notably in Austria, in the Netherlands, in Germany with contribution between plus 2% and plus 3%. Note as well that the ramping up facilities recently fed growth primarily in the Netherlands and in Iberia. We've been showing the next slide to you several times since a year and today we can confirm that the momentum is still going on with occupancy rates continuing to improve everywhere. As said by Laurent, the group average occupancy rate rose by 1.7% to 87% versus 85.3% a year ago, continuing the gradual recovery in these aggregates that began to start early 2024. The recovery was mainly driven by nursing homes where the average occupancy rate rose by 1.9 points year on year to 86.5% versus, I remind you, 85.3% at the end of 2024 and 82.1% at the end of 2023.
In Central and Southern Europe, the levels achieved are now above or close to 92%, back to pre-COVID levels, especially if we remove from this computation the ramp up sites whose occupancy rates are naturally lower than those of mature sites. Note that excluding ramp up facilities, occupancy rate of the group would have been today 88.2%. A few words now about our two largest markets, namely Germany and the French nursing homes. In France, it is interesting to note that the improvement in occupancy rate for nursing homes is gradually confirmed quarter after quarter since more marks each quarter than the previous one. As you can see on the right side of the slide, the gap in occupancy rate versus the previous year is growing every single quarter and is now 2% above last year where it was only plus 0.5 points a year ago.
This acceleration clearly illustrates, as you can see, that the recovery in France is well underway since 2024 and is gaining momentum. This provides confidence for the coming years. In Germany, the recovery is following a steady and constant pace and here again the momentum does not seem to fade out, fueling our confidence for this market as well. In terms of operating margin, the improvement year on year is considerable. EBITDA, which we break down on this slide, is up 18.4% and even 19.5% on the like-for-like basis. If we exclude the effect of the disposal of our activities in Czech Republic, if we isolate the pure operating performance, which we exclude the effect of disposal, change in perimeter, change in real estate capital gain, and the impact of exchange rates, we see that this performance increased.
The EBITDA increased by €94 million in the first half versus the first half of last year, and this trend is particularly strong and is due to not only the solid organic growth in revenue but also the limited increase in operational expenses. As you can see, operational expenses is only plus 3.1% versus last year. If we break down the evolution of the cost by nature, as you can see, staff costs have been reduced by 1 point as a percentage of sales versus last year, reflecting the measures we progressively implemented during the last quarters to optimize the allocation of our human resources.
At the same time, as you can see as well, we benefited from the initial effect of our cost rationalization measures launched in H1, which led to a reduction in key intensity of the other cost as well, as you can see, minus 0.6 points as a percentage of sales. As a result, these measures are enabling us to maximize the conversion of revenue growth into operational profitability. As a consequence, our EBITDA margin went up from 12.1% in H1 2024 to 13.8% in H1 2025. If we combine in addition to that the steady performance of our rental expenses that we have started to rationalize, you can see that the margin on EBITDA went up more than 2%, 2.1% to reach 5.4% this year, more than the same on the next slide. This chart illustrates that operating margins have started their ways towards normalization in euro terms.
The positive trend in sales, +€136 million year on year, was largely transferred into EBITDA, +€62 million, EBITDA +€62 million, and EBITDA +€66 million. This is evidence that our operational leverage to the upside is strong and will continue to be strong again. Ahead, a few words about our disposal program. Laurent told you that €1.5 billion have already been cashed in or are already secured by contract and will be cashed in soon. This represents already more than 75% of the total €1.5 billion disposal ambition that we have between mid 2022 and the end of 2025. If I were to break down this €1.15 billion, I would say that €706 million of OPCO disposal have already been cashed in by the group. If we add on the OPCO disposal that we've cashed in, namely the disposal of Czech Republic, Chile, and Latvia, it adds up to €915 million.
If we are also considering the transactions that are signed but not yet closed, we end up to €1.15 billion. In addition, as said by Laurent, we are currently in discussion regarding nearly €2 billion in potential additional disposals. More importantly, more than half of these potential disposals, let's say more than €1 billion, are now at a very advanced stage of negotiation. This allows us to envisage that our disposal targets is now increasingly likely to be exceeded. If I enter a little bit more into what we've done since the beginning of the year, as you can see on this slide, our M&A and real estate team have been very busy.
If I start by PROPCO disposal, a total of €346 million have been received since the beginning of the year or are under S&P agreement to date, of which €127 million were collected and cashed in between January and the end of July, of which €65 million have been cashed in by the end of June. Already these disposals have been closed since the beginning of the year at an average capitalization rate slightly below 6%, which is remarkable, and have generated €5 million of capital gain. A further €219 million is already secured via S&P agreements and the proceeds of those disposals will be collected in the coming months. At the same time, we have collected for OPCO disposals this time €136 million in the first half. This is the impact of the disposal of our Czech Republic entity. A few words about our net financial debt.
This is the result of three factors in my opinion. First, real estate, OPCO and OPCO disposal program completed during the first half, as I just told you. Second, a sharp improvement of our recurring free cash flow, which although still negative, was up €82 million compared to the same period last year. This improvement in the recurring free cash flow is a result of the recovery of our operational margin, but also a better management of our CapEx and working capital. Third explanation for the debt stability is the continuous rationalization of our real estate development program. A consequence of a stabilized net debt and a sharp increase in EBITDA is obviously the rapid improvement of our leverage ratio, which has been reduced in six months from 19.5 times to 15.4 times. For the record, this ratio was 23 times a year ago.
At the end of June, our cash position was €398 million. Please note to be clear with you that this amount does not include liquidity that we can expect first, from the proceeds of disposal already secured. As a reminder, €62 million were cashed in by the group in July. Second, it does not include the potential contribution that one could reasonably expect from the transactions which are today in advanced negotiation. Finally, it does not include a new factoring program that we signed in July for a further €120 million. Ladies and gentlemen, thank you very much for your attention and I hand over to Laurent to conclude this presentation.
Laurent Guyot, CEO, Emeis SA: Thank you, Laurent. Thank you. Before answering your questions and the question we have, I would like to summarize his presentation with key elements. First, the positive trends of top line continue with a strong organic growth of 6.2% and even 8.7% on nursing homes, supported by the positive momentum on occupancy rates and positive price effect. Second, this strong momentum on top line and thanks to a good grip on cost, is giving strong momentum also on operating margins, up almost 20% for the EBITDA and almost 80% for the EBITDAR. Interesting to keep in mind that the largest contributor in million euro are France and Germany. Third, as a consequence, the positive trend seen in H2 2024 is continuing and we do reiterate our guidance for 2025.
Expecting EBITDA to grow between 15% and 18% on constant perimeter and €1.5 billion disposal target before end of 2025 is perfectly on track with our expectations and could even be exceeded given the €1 billion advance negotiations ongoing now. Thank you for your attention and we are now available with Jean-Marc Boursier to answer the question you may have.
Conference Moderator: Thank you. Ladies and gentlemen, if you wish to ask a question, please press star one on your telephone keypad. We'll pause for just a moment while waiting for them to queue for questions. Thank you. We'll take our first question from Flavian Bodemon of Bernstein. Your line is open. Please go ahead.
Good morning, gentlemen. I have a question on behalf of Alexander Petek. I'd like to have a little bit more color on the disposal you mentioned in the press release. Is it only one asset, multiple assets in one country, or in multiple countries? Can we have further more detail please, if it's possible?
Laurent Guyot, CEO, Emeis SA: On disposals, we have multiple negotiations ongoing at the same time and multiple in advanced negotiations in different categories of assets, both real estate, small size, the big size, and operations. I understand that it may seem a little bit vague, but it is multiple operations ongoing at the same time. That's why we are confident. Even if we are in advanced negotiation, that does not mean. That means at the same time we have the choice, and we will do the operation that seems to us attractive for the shareholders.
Okay, and I guess there is a mix between OPCO and OPCO disposal as well.
Yeah, exactly. Which is the reason why we are confident. Because, I mean, when we are in one single negotiation, you never know really if you have 100% chance to conclude. If you are in multiple negotiations at the same time, well advanced, you may. I mean, a probability that everything is failing is quite low, and hence our confidence to achieve our target.
Okay, great. Thank you.
Conference Moderator: Thank you once again. As a reminder, if you would like to ask a question, please press star one on your telephone keypad. We'll now move on to our next question from Constantine Gemeniter of Carriers Capital. Your line is open. Please go ahead.
Hi, good morning, Laurent. As I'm Marc, congratulations on the results. Two sets of questions, if I may. One on staff costs, you mentioned that you have certain measures that are being planned or implemented. Could you please perhaps give us a little bit more color as to what your ambition is for the second half and perhaps 2026 when it comes to staff cost levels? Secondly, on capex, could you just—I know you have it in the various buckets of numbers you've disclosed—could you just lay out what the year-to-date capex spend is, maintenance plus growth, and what the expectation is for the second half, please?
Laurent Guyot, CEO, Emeis SA: Yeah, I would take the first one on staff cost. Clearly, we have now a better grip on this cost of targets to continue to reduce the staff cost rate. Obviously, this is a progressive trend because it means some reorganization house by house, it means some evolution of the way we work in each house. It's a progressive evolution and it will go throughout the next years. I understand that I'm not giving you a guidance right there because the staff cost is so important in our total cost that if I give you a guidance on that, I give you guidance on the EBITDAR, which I have not given for the years following 2026. This combination with occupancy rate, further occupancy rate and price increases in the second half and a good grip on cost lead us to be confident for guidance for the full year 2025.
This is a long term trend. This will lead to results in 2025, but also in 2026 and 2027, because we know we have some room for improvement there. Jean-Marc on the capex, good morning.
Jean-Marc Boursier, Deputy CEO and Group CFO, Emeis SA: Constantin on the capex. We have not changed our mind since the beginning of the year. We will be investing this year approximately €300 million, which can be basically broken down into two parts. First, maintenance and IT, which are badly needed because we need to modernize our IT systems for Emeis and maintain in good conditions our properties. That's for roughly €200 million, and €100 million would be dedicated to development of new residence. That's the order of magnitude and we haven't changed our mind with Laurent. This is what we are willing to invest for 2025.
Understood, thank you. A follow up question, if I may, different line. On the pricing, your competitor Clarion yesterday mentioned that in particular in Germany, the way pricing pass through works for this year, a lot of it is going to be heavily skewed towards the second half. Are you observing a similar dynamic in your business?
Laurent Guyot, CEO, Emeis SA: In Germany, we have a good momentum in H1 already in pricing evolution, which really is leading to a nice improvement of German operations. At the same time, for our German operations, we also work strongly on cost, so that's what's driving our margin up. I don't see a significant difference between H1 and H2 in pricing or prices that went up already quite well in the first half.
Understood. Thank you very much.
Conference Moderator: Thank you. We have no further questions in queue. Currently handing it over to the room for written questions. Thank you.
Laurent Guyot, CEO, Emeis SA: Yeah, we have a question from Guillaume. Thanks for. I read the question first and I will answer. Thanks for the call. Could you provide some color on the French nursing home dynamic looking forward, assumption regarding occupancy and its fundings? Thank you. Concerning the dynamic, we continue to see in July a good dynamic on occupancy rates. You have seen in the slide presented by Jean-Marc Boursier that in the second half or in Q2 2025, we are progressing well compared to last year. The dynamic and the spread between this year and last year has further increased in Q2 compared to Q1. For sure, the comparison basis is becoming a little bit tougher in Q3 compared to last year. Nevertheless, the dynamic in the first.
Part in July remains quite strong.
We hope to be able to continue to improve our occupancy rate. This will be something that we will confirm obviously in October, but the dynamic remains quite strong. I think the changes that we've made during last year and beginning of this year in terms of marketing, but also the change of the brand last year in March and all the segmentations that we put in place allowed us to have at the same time good pricing evolution.
In.
Housing parts of the sector of our sales, but also at the same time good improvement of occupancy rate. Knowing that our potential improvement in occupancy rate, we are way behind the market standards. I would say our potential for improvement remains quite high and quite strong. We have a second question from Susanna concerning the remaining operating disposals non cashed in yet. Can you please confirm that the SPA was signed and now you are only expecting regulatory approval for the transaction to close? Do you expect to receive regulatory approval by N25? Thank you. Jean-Marc. Yes.
Jean-Marc Boursier, Deputy CEO and Group CFO, Emeis SA: When we account for transaction in our 1.15, it means that all of that is under SPA. We don't dare to include that in our counter if we had no SPA signed. Everything has been signed under SPA, sometimes with effectively condition precedent, like regulatory approval, but all of that is signed.
Laurent Guyot, CEO, Emeis SA: Do we expect to cash in all?
Jean-Marc Boursier, Deputy CEO and Group CFO, Emeis SA: Of it or most of it by the end of 2025? The answer is yes. I just remind you that our disposal program of €1.5 billion shall be considered as being cashed in during the period, I mean between the 1st of July 2022 and the end of December 2025. Yes, it is everything under SBA and most of it, if not all of it, will be cashed in before year end.
Conference Moderator: Once again, as a final reminder, if you would like to ask a question via the audio, please press Star one on your telephone keypad. We'll pause for a further moment. Thank you.
Laurent Guyot, CEO, Emeis SA: No further question.
Jean-Marc Boursier, Deputy CEO and Group CFO, Emeis SA: Maybe one more.
Conference Moderator: There are no further questions in queue.
Laurent Guyot, CEO, Emeis SA: Okay, if there is no further question, I would like to conclude this call. To remind you and summarize a little bit, the key element of this presentation. Is there a general question? Just last minute question, Ariz. Could you please give a little bit more color on the clinics business? In particular, are you seeing any drag.
In pricing from the SML reform?
Are you expecting any catch up in H2?
The pricing of SML reform in France is indeed quite low. In 2025 from the government we received a pricing evolution of 0.5% for the full year, which is clearly below inflation, especially if you take into account that there are special adjustments, which means in reality a much more flattish price on a comparable basis. This is clearly weighting on our top line and bottom line in the first half of the year, things that we have compensated by cost reduction in the first half. I'm not expecting any significant trend in the second half of the year because the prices are fixed, and we continue to work on our cost to be sure that we continue to improve our profitability in the clinics in France, as it is the case in the first half compared to the first half last year.
No huge impact, I would say a small impact on the fact that we don't have prices that are sufficient. This is a discussion that we have constantly with the government, but we are compensating it a little bit more by cost reduction. As it was the last question, last minute, last question, I just wanted to remind you the main points of this presentation. Good trend on top line driven by occupancy rate and recovery and positive price effect. This is leading, thanks to a good grip on our cost, to a strong improvement on our EBITDA almost 20% and EBITDAR almost 80%. We expect this trend to continue, and we reiterate our guidance for 2025, so we should continue to expect an EBITDA growth between 15% and 18% at constant perimeter.
Lastly, our disposal strategy is well on track to reach and even exceed our €1.5 billion target by the end of 2025, given the fact that we have many different negotiations ongoing. Thanks a lot for your time. Thanks a lot for your attention. Jean-Marc Boursier and myself, we thank you, really, for being with us today. Thank you.
Conference Moderator: Thank you. Ladies and gentlemen, this concludes the conference call. Thank you all for your participation. You may now disconnect.
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