Latecoere: increased loss in 2023, despite sales growth

(CercleFinance.com) - Latecoere announced on Monday that it had achieved strong growth in 2023, despite a supply chain still under strain and persistent inflationary pressures.


The aeronautical equipment manufacturer reports that sales climbed 33% to 622.3 million euros last year, against a backdrop of increased production to meet customer demand.

On an organic basis, i.e. at constant exchange rates and scope of consolidation, organic growth came to 17.5%.

In a press release, the manufacturer of doors, fuselage, cables and on-board systems explained that it had benefited from the increase in production rates, more particularly from the resumption of the B787 program in the aerostructures sector, and the A350 and ATR programs in the Interconnect systems sector.

In terms of profitability, Latecoere's recurring operating loss (Ebitda) widened to 18.6 million euros, reflecting persistent inflationary pressures and a global supply chain under strain.

Latecoere expects further sales growth and a significant reduction in its operating loss in 2024.

The Group is counting on the realization of operational and commercial initiatives, an improved supply chain situation, and increased activity in key segments of the commercial, business jet and defense markets.

The company also expects to significantly improve its operating cash flow, which was negative by €118.2 million at the end of 2023.

Latecoere shares were up 1.4% on Monday on the Paris Bourse following this publication.

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