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PRESS RELEASE |
IFRS - 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
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% |
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% |
- 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.
| Software & Services | Change 2024/2023 reclassified | ||||
| in millions of euros | 2024 | 2023 reclassified (*) | 2023 as reported | ||
| Revenue | 307.8 | 302.3 | 326.6 | +5.5 | +1.8% |
| Cegedim Santé | 80.2 | 76.5 | 76.5 | +3.7 | +4.8% |
| Insurance, HR, Pharmacies, and other services | 176.7 | 173.3 | 197.6 | +3.4 | +2.0% |
| International businesses | 50.9 | 52.5 | 52.5 | -1.6 | -3.0% |
| Recurring operating income(4) | 5.1 | 2.3 | 4.2 | +2.8 | +126.7% |
| Cegedim Santé | 0.3 | -2.9 | -2.9 | +3.2 | +111.9% |
| Insurance, HR, Pharmacies, and other services | 13.3 | 12.8 | 14.7 | +0.5 | +4.4% |
| International businesses | -8.5 | -7.6 | -7.6 | -0.9 | -12.4% |
- Flow: Revenue rose 7.9%, propelled by e-business, e-invoicing, and digitized data exchanges (+5.6%), and by the Third-party payer business (+9.9%), which was supported by the powerful momentum of its fraud detection and long-term illness detection offerings.
The €1.3 million improvement, or +11.8% increase, in recurring operating income was driven by the rapid growth in the business and by a tight grip on expenses and payroll costs.
- Data & Marketing: Revenue came to €125.9 million, up +9.6% on the back of a record performance by the Marketing division. It posted growth of 19.9%, underpinned by its phygital media communication strategy and boosted by special campaigns during the Olympic Games. Even though performance in 2023 was highly impressive, the Data business still managed to post growth of 1.6% in 2024.
- BPO: the division's revenues grew 15.8% in 2024 compared with 2023, owing principally to services managed on behalf of health and personal protection insurers, which grew by 20.2% as a result of its flourishing overflow business and a favorable comparison linked to the start of the new contract with Allianz on April 1, 2023. Revenues from services management on behalf of HR departments rose 5.5%.
- Cloud & Support: the Cloud & Support division posted a revenue increase of €3.9 million on the back of its expanded range of sovereign cloud-backed products and services, which earned the ANSSI security visa for SecNumCloud
Highlights
To the best of the Company's knowledge, there were no events or changes during 2024 that would materially alter the Group's financial situation.
- Acquisition of Visiodent
- INPS
- New financing arrangement
- Tax
In the event of an unfavorable ruling, based on the tax losses used up to December 31, 2024, Cegedim S.A. would have to book tax expense of €30.8 million in its P&L, of which it has already paid €23 million, and to cancel €4.1 million in deferred tax assets, which would not entail any cash outflow.
In the last quarter of 2023, the Company referred this dispute to the administrative court, and the dispute is likely to continue for several years.
Significant transactions and events post December 31, 2024
To the best of the Company's knowledge, there were no post-closing events or changes after December 31, 2024, that would materially alter the Group's financial situation.
Outlook
Based on the currently available information, the Group expects 2025 like-for-like(1) revenue growth to be in an approximative range of 2-4% relative to 2024. Recurring operating income should continue to improve, following a similar trajectory to 2024.
These targets are not forecasts and may need to be revised if there is a significant worsening of geopolitical, macroeconomic, or monetary risks.
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The Audit Committee met on March 26, 2025. The Board of Directors, chaired by Jean-Claude Labrune, met on March 27, 2025. It approved the consolidated financial statements at December 31, 2024, and will ask the Shareholders' Meeting to approve the financial statements for the year 2024. The consolidated accounts have been audited. The statutory auditors' report will be issued once the formalities required for submission of the Universal Registration Document have been completed.
The Universal Registration Document will be available in a few days' time, in French and in English, on our website.
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(1) At constant scope and exchange rates.
| WEBCAST ON MARCH 27, 2025, AT 6:15 PM (PARIS TIME) |
| The webcast is available at:www.cegedim.fr/webcast |
The fiscal 2024 results presentation is available on the website: https://www.cegedim.fr/finance/documentation/Pages/presentations.aspx |
| 2025 | March 28 at 10:00 am April 24 after the close June 13 at 9:30 am July 24 after the close September 25 after the close September 26 at 10:00 am October 23 after the close | SFAF meeting Q1 2025 revenues Shareholders' meeting H1 2025 revenues H1 2025 results SFAF meeting Q3 2025 revenues |
Disclaimer
This press release is available in French and in English. In the event of any difference between the two versions, the original French version takes precedence. This press release may contain inside information. It was sent to Cegedim's authorized distributor on March 27, 2025, no earlier than 5:45 pm Paris time.
The figures cited in this press release include guidance on Cegedim's future financial performance targets. This forward-looking information is based on the opinions and assumptions of the Group's senior management at the time this press release is issued and naturally entails risks and uncertainty. For more information on the risks facing Cegedim, please refer to Chapter 7, "Risk management”, section 7.2, "Risk factors”, and Chapter 3, "Overview of the financial year”, section 3.6, "Outlook”, of the 2023 Universal Registration Document filed with the AMF on April 3, 2024, under number D.24-0233.
About Cegedim:
Founded in 1969, Cegedim is an innovative technology and services group in the field of digital data flow management for healthcare ecosystems and B2B, and a business software publisher for healthcare and insurance professionals. Cegedim employs nearly
6,700 people in more than 10 countries and generated revenue of over €654 million in 2024.
Cegedim SA is listed in Paris (EURONEXT: CGM).
To learn more please visit: www.cegedim.fr
And follow Cegedim on X: @Cegedimgroup, LinkedIn, and Facebook.
| Aude Balleydier Cegedim Media Relations and Communications Manager Tel.: +33 (0)1 49 09 68 81 aude.balleydier@cegedim.fr | Damien Buffet Cegedim Head of Financial Communication Tel.: +33 (0)7 64 63 55 73 damien.buffet@cegedim.com | Céline Pardo Becoming RP Agency Media Relations Consultant Tel.: +33 (0)6 52 08 13 66 cegedim@becoming-group.com |
Consolidated financial statements at December 31, 2024
- Assets at December 31, 2024
| In thousands of euros | 12/31/2024 | 12/31/2023 |
| Goodwill arising on acquisitions | 235,747 | 199,787 |
| Development costs | 857 | 1,562 |
| Other intangible assets | 190,555 | 192,616 |
| Intangible assets | 191,412 | 194,178 |
| Land |
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