Record free cash flow in 2020 Record operating margin and recurring net income in H2 2020
- Responsible management of the health crisis with regard to all of the Group’s stakeholders; solid achievements in ESG, with new commitments for 2030
- Successful completion of “Transform & Grow”, a year earlier than planned
- Strong 4.8% organic growth in sales in H2, accelerating to 6.4% in Q4
- Sharp rebound in operating income in H2 2020 up 22.4% like-for-like, with a record operating margin of 10% (up 160 bps versus H2 2019)
- Increase of 20 bps in the EBITDA margin5 to 11.6% for the full year, and of 200 bps in H2
- Record recurring net income in H2, up 23.4% to €1,198 million
- Record free cash flow1 of €3,044 million in 2020 (up 64%), and net debt reduced to €7.2 billion
- Reduction in the number of shares outstanding, to 530 million from 542 million at end-2019
- 2020 dividend at €1.33 per share, to be paid wholly in cash
- Evolution in Saint-Gobain governance with effect from July 1st, 2021
Evolution in Saint-Gobain governance
The Board has unanimously decided to appoint Benoit Bazin as Chief Executive Officer with effect from July 1, 2021. PierreAndré de Chalendar will continue to serve as Chairman of the Board of Directors.
Pierre-André de Chalendar, Chairman and Chief Executive Officer of Saint-Gobain, commented: “The record results of the Group for second-half 2020, in a year in which the world suffered its worst crisis in decades, confirms the pertinence of the Group’s differentiation strategy and the success of its profound transformation begun several years ago. Its new decentralized organization closely aligned with its markets and customers gives it the agility, efficiency and responsiveness it needs to capture all opportunities and maximize synergies. In reshaping its portfolio, the Group is focusing its energies on businesses offering the highest potential for profitable, sustainable growth. Our record free cash flow generation, the result of operational improvements and strict financial discipline, has enabled us to significantly reduce our debt despite the difficult economic environment. I would like to sincerely thank the teams for these excellent results achieved and for their unwavering commitment and solidarity.
Benoit Bazin, Chief Operating Officer of Saint-Gobain, commented: “The Group’s performance in 2020 testifies to the impressive reaction of our teams in our new organization by country and by market, who took the right health decisions from the very outset of the crisis, and then in the second half successfully seized all opportunities for growth."