Cegedim Full year 2024 results: Operating profitability improved
PRESS RELEASE
Quarterly financial information as of December 31, 2024IFRS - Regulated information - Audited
Full year 2024 results: Cegedim's operating profitability improved
2024 revenues rose 6.3% to €654.5 million
Recurring operating income(1) increased 24.7% to €39.5 million
Recurring operating margin came to 6.0% in 2024, up from 5.1% in 2023
Boulogne-Billancourt, France, March 27, 2025, after the market close
Cegedim generated consolidated revenues of €654.5 million in 2024, an increase of 6.3%, and recurring operating income(1) of €39.5 million, a 24.7% increase. Recurring operating margin was 6.0%, up from 5.1% one year earlier.
Consolidated income statement
2024
2023
Change
(in €m)
(in %)
(in €m)
(in %)
(in %)
Revenue
654.5
100%
616.0
100.0%
+6.3%
EBITDA(1)
123.6
18.9%
108.8
17.7%
+13.5%
Depreciation and amortization
-84.1
-12.8%
-77.2
-12.5%
+9.0%
Recurring operating income(1)
39.5
6.0%
31.7
5.1%
+24.7%
Other non-recurring operating income and expenses(1)
-28.4
-4.3%
-11.7
-1.9%
-143.0%
Operating income
11.1
1.7%
20.0
3.2%
-44.5%
Financial result
-20.9
-3.2%
-11.9
-1.9%
-75.8%
Total tax
-5.8
-0.9%
-14.8
-2.4%
-61.1%
Net profit attributable to owners of the parent
-14.7
-2.2%
-7.4
-1.2%
-98.6%
Earnings per share (in euros)
-1.1
-
-0.5
-
-120.0%
Consolidated revenues: rose €38.5 million, or +6.3%, to €654.5 million in 2024 compared with €616.0 million in 2023. The positive scope effect of €8.2 million, or 1.4%, was attributable to the first-time consolidation of Visiodent starting March 1, adjusted for the deconsolidation of INPS from Cegedim's accounts since December 10. The positive currency impact was €1.1 million, or 0.2%. Like-for-like(2) revenue increased +4.7% over the period.
Recurring operating income(1): rose €7.8 million in 2024 to €39.5 million compared with €31.7 million in 2023. It amounted to 6.0% of 2024 revenue compared with 5.1% in 2023. This increase was driven chiefly by the profitability improvement in the insurance businesses, especially the Software and BPO offerings, as well as further strong growth in Cegedim Business Services in Human Resources and in digitalized flow services for businesses and healthcare. Another highlight of the year's results was the very strong performance of the marketing in pharmacies offering and the positive contribution from the first-time consolidation of Visiodent.
Other non-recurring operating income and expenses(1): amounted to an expense of €28.4 million in 2024 compared with an income of €11.7 million in 2023. Following the voluntary placement of its INPS subsidiary in administration, the Group recognized a capital loss of €8.8 million. The remainder consists of an €8.6 million asset impairment charge on its software for pharmacies business in France and the United Kingdom and a goodwill impairment charge of €4.7 million related to its Clamae subsidiary. Of this total of €28.4 million, the cash impact was only €5.7 million, related principally to payroll costs.
Depreciation and amortization expenses: rose €6.9 million in 2024. Amortization of R&D costs rose €6.0 million year on year compared with 2023, and depreciation of capital expenditures rose €2.4 million as a result of investments in the operations of cegedim.cloud and C-Media. Amortization of intangible assets and depreciation of right-of-use assets declined by €1.5 million.
EBITDA: the €14.8 million or 13.5% increase between 2023 and 2024 was the result of a stabilization in payroll costs, external expenses and purchases used relative to the pace of revenue growth, reflecting the special attention the Group paid to cost control.
Financial result: was a loss of €20.9 million, down €9.0 million compared with 2023, owing to a provision related to the voluntary placement of INPS in administration and the increase in interest expense owing to the new financing arrangement put in place in the summer.
Total tax: came to a charge of €5.8 million, down €9.0 million compared with 2023. As a reminder, note that in 2023 the Group made a €12.3 million accounting adjustment to previously recognized deferred tax assets. The adjustment had no cash impact and was intended to reflect recent developments in judicial precedent that led the Group to measure its potential unrealized gain more conservatively.
Analysis of business trends by division
in millions of euros
Total
Software & Services
Flow
Data & Marketing
BPO
Cloud & Support
Revenue
2023 as reported
616.0
326.6
95.9
114.9
71.5
7.1
2023 reclassified (*)
616.0
302.3
93.4
114.9
71.5
33.9
2024
654.5
307.8
100.3
125.9
82.7
37.8
Change
+6.3%
+1.8%
+7.3%
+9.6%
+15.8%
+11.3%
Recurring operating income(3)
2023 as reported
31.7
4.2
12.1
15.9
4.0
-4.5
2023 reclassified (*)
31.7
2.3
11.2
15.9
4.1
-1.8
2024
39.5
5.1
12.5
16.5
7.2
-1.9
Change
+24.7%
+126.7%
+11.8%
+3.5%
+77.2%
-5.0%
Recurring operating margin
2023 as reported
5.1%
1.3%
12.6%
13.9%
5.5%
-62.9%
2023 reclassified (*)
5.1%
0.8%
11.9%
13.9%
5.7%
-5.2%
2024
6.0%
1.7%
12.4%
13.1%
8.7%
-4.9%
(*) As of January 1, 2024, our Cegedim Outsourcing and Audiprint subsidiaries—which were previously housed in the Software & Services division—as well as BSV—formerly of the Flow division—have been moved to the Cloud & Support division in order to capitalize on operating synergies between cloud activities and IT solutions integration.
Software & Services: 2024 revenue rose 1.8%, boosted by the HR solutions, insurance businesses and the first-time consolidation of Visiodent from March 1, 2024. The pharmacy business and Cegedim Santé felt the impact of comparisons with Ségur public health investment spending, while the international businesses recorded a business contraction owing to the decision to wind down, then shutter its software for doctors business in the United Kingdom.
Recurring operating income (REBIT) amounted to €5.1 million in 2024, a €2.8 million increase compared with income of €2.3 million in 2023. Of this income, €3.2 million flowed from the firmer business trends at Cegedim Santé, chiefly as a result of the first-time consolidation of Visiodent. This cost control policy together with strong activity levels boosted the Insurance business, and HR solutions also made a positive contribution to the improvement in recurring operating income. The pharmacy software business in France was adversely affected by the slowdown in equipment sales after many pharmacies updated their equipment in 2023. The international businesses recorded a small decrease in their recurring operating income owing to the deconsolidation of INPS, which incurred expenses for the Pharmacy business in the United Kingdom.
Software & Services
Change 2024/2023 reclassified
in millions of euros
2024
