Paris, April 23, 2020 - As indicated on March 13th and 15th of this year,
Compagnie des Alpes was forced to close all of its ski resorts prematurely, as
well as those of its leisure parks that were already open, in compliance with
the decisions made by public authorities in the countries where the Group
operates, in order to fight against the spread of Covid-19. These closures had
a significant impact on sales for the second quarter of 2019/2020, which ended
March 31, 2020.
Despite a good first quarter and a solid level of sales up to the dates on
which the affected sites closed, consolidated sales through the first six
months of FY 2019/2020 for Compagnie des Alpes reached EUR470.5 million, a
contraction of 5.6% (-6.2% on a comparable scope basis) compared with the first
half of the previous financial year.
Consolidated sales, October 1, 2019 through March 31, 2020
(In thousands of EUR) 1st half 1st half Change Change
2019/2020 2018/2019 Comparable
Ski Areas 350 183 384 660 -9.0% -9.0%
Leisure Parks 103 167 93 131 +10.8% +7.2%
Holdings & Support 17 152 20 401 -15.9% -15.9%
Total 470 502 498 192 -5.6% -6.2%
(1) : The change on a comparable scope basis excludes Familypark sales (Leisure
Parks), consolidated as of April 1, 2019.
SKI AREAS: A SATISFACTORY SEASON UNTIL THE EARLY CLOSURE OF RESORTS
Ski Area sales for the first six months of FY 2019/2020 reached EUR350.2
million which, due to the early closure of ski resorts on March 14, 2020, is a
sharp decline of 9.0% versus the first six months of the preceding year. Lift
ticket sales alone fell by 9.2%. Accordingly, neither the number of skier days
(-11.4%) nor the average revenue per skier day (+2.2%) constitute indicators
that are representative of sales for the period under review.
After a dynamic start to the season, notably during the second week of
Christmas vacation, sales remained satisfactory until March 14, 2020. On this
date, which was the date on which all of the Group's ski resorts were forced to
close, the increase in sales since the beginning of the season was around
The early closure of ski resorts thus eliminated sales for the second quarter
during a two-and-a-half-week period that usually makes a strong contribution to
revenue. Sales for the second quarter thus declined by EUR39.9 million, or
-12.1% compared with the same period one year prior.
LEISURE PARKS: A GOOD FIRST HALF BUT THE REMAINDER OF THE SEASON IS IN DOUBT
Leisure Park sales for the first six months of FY 2019/2020 were up by a
substantial +7.2%, on a comparable scope basis versus the same period last
year. Factoring in the acquisition of Familypark, sales totaled EUR103.2
million, an increase of +10.8% that was driven by the 7.4% increase in
attendance, in addition to a 3.4% rise in spend per visitor.
Business was particularly dynamic over the course of the first quarter (+16.1%)
thanks to the strategic initiatives deployed by the Group, particularly during
the Halloween period and at the end of the year, with the successful opening to
the general public of Parc Astérix for the first time ever during the
Christmas school holiday season. Sales growth was also driven by the
Bellewaerde Aquapark, which is still in its first year of operation, as well as
the increased hotel capacity at Parc Astérix and the acquisition of Familypark.
For the six facilities that were open, this solid dynamic continued over the
course of the second quarter, most notably at Futuroscope, until mid-March,
when the Group had to shut them down in compliance with official orders from
governments in France, Belgium, Switzerland, and Canada, for the purpose of
fighting the spread of Covid-19. As a result, despite the elimination of
two-and-a-half weeks of operation, sales for the second quarter reached EUR22.7
million, which is slightly lower than the level seen for the same period one
In total, from the start of the season through mid-March the Leisure Parks
division posted growth of 12.1% on a comparable scope basis and 15.9% on a
HOLDINGS & SUPPORT: SALES ALSO MARKED BY COVID-19
Over the course of the first six months of financial year 2019/2020, sales for
the Holdings & Support division fell by 15.9%, to EUR17.2 million. The
confinement order in force in France and across Europe had an adverse impact on
Travelfactory and the real estate agencies toward the end of the period.
The consulting business was penalized by the timing of contracts compared with
the first six months of the previous financial year.
THE REST OF THE FINANCIAL YEAR AND MEASURES RELATED TO COVID-19
* Ski Areas
The winter ski season ended definitively on March 14, 2020. At this time, there
is no guarantee that the ski resorts will reopen for the summer season but, as
a reminder, the 4th quarter represents less than 2% of annual sales for this
division. Accordingly, despite the good performances recorded up to the date of
the closure, the Group confirms that it expects annual sales from Ski Areas to
be down by around 20% compared with the preceding financial year, a decline of
EUR85 million to EUR90 million.
* Leisure Parks
Today, all Compagnie des Alpes parks are closed. They will be reopened on a
case-by-case basis, in accordance with the recommendations of the public
authorities in the countries or regions where they are located and in
compliance with the preferred scenarios pertaining to ending confinement.
Compagnie des Alpes teams thus remain fully mobilized and prepared to be
operational so that parks can be reopened quickly when the time comes while
complying with all relevant public health and safety guidelines imposed.
Whatever the operating conditions under which the parks will be allowed to
operate after they are reopened, the Group's top priority remains ensuring the
health of its employees, customers, and all the people with whom the Group
interacts, in a spirit of responsibility aimed at continuing to fight the
spread of Covid-19.
As a reminder, sales for this division in the 3rd quarter of 2018/2019 amounted
to EUR117 million.
* Cost adjustment plan
As Compagnie des Alpes indicated in its March 30th release, given the lack of
visibility, linked mainly to the uncertainty of the dates for the reopening of
leisure parks, it remains premature to estimate the impact of the situation on
2019/2020 results. As a reminder, the Group has also suspended the 2019/2020
EBITDA margin targets that it communicated for each of its two divisions last
The day after the closure of its sites, the Group launched a major cost
adjustment plan. Compagnie des Alpes has nearly 5,000 FTEs (full-time
equivalent employees), of which almost 60% are seasonal workers. The part-time
work measures concern both permanent and seasonal employees, encompassing 90%
of the workforce. The workforce has been adjusted to ensure the upkeep,
maintenance and security of the sites. Hires for the summer period will be
based on reopening dates. The other items in this plan relate to energy
savings, variable costs, and reductions in or postponements of other operating
The Group thus confirms the estimate communicated on March 30th, according to
which the loss of revenue during the periods of closure of its sites could be
offset, for a little more than 40%, by this plan to reduce operating costs,
both for ski areas and for leisure parks.
In order to limit its cash outflows and protect its financial situation, the
Group has decided to adjust, insofar as possible and in compliance with its
contractual commitments, its investment plans for the end of the 2019/2020
financial year. The situation is, however, very different for its two
For Leisure Parks, almost all of the investments planned for the financial year
have already been made or are committed. Flagship projects such as the third
hotel at Parc Astérix and the major attractions to be inaugurated at
Futuroscope and Bellewaerde are therefore not called into question and will
open as soon as possible.
Most of the adjustments that the Group will be able to carry out this year will
therefore concern the Ski Areas, with spring traditionally corresponding to a
major investment phase. The Group has decided to postpone until next season
certain expenditures not yet committed.
In total, the Group estimates that it will be able to reduce its investment
budget for the 2019/2020 financial year by around EUR30 million. It has also
already planned to seek ways to reduce its investment spending during the next
financial year, 2020/2021, in particular with regard to Leisure Parks, with the
aim of enhancing the attractiveness of its sites.
* The Group's liquidity position
As of March 31, 2020, the Group's net debt amounted to EUR 465.3 million. At
the same date, it had nearly EUR 300 million in cash, undrawn lines of credit
and overdraft. Finally, the Group has no significant debt maturities by the end
of the year. Given its long-term financing structure, the adjustment measures
adopted, and the possibility of using additional credit lines, the Group
remains confident in its ability to cover its liquidity needs until the end of
the year, including under a deteriorated scenario.
* Measures pertaining to executive pay
In the challenging context that the Group is going through, the Chairman and
Chief Executive Officer has decided to lower his fixed compensation by 20%,
while the other members of the Executive Committee as well as site managers
have decided on 15 % and 10% decreases in their pay, respectively. Lastly, the
members of the Board of Directors have decided to waive their directors' fees.
These measures are applicable for the duration of the confinement period.
* Half-year 2019/2020 results:
Tuesday, May 26, 2020, after stock market closes
* 3rd quarter 2019/2020 sales:
Thursday, July 23, 2020, after stock market closes
* 4th quarter 2019/2020 sales:
Thursday, October 22, 2020, after stock market closes
Consolidated sales, October 1, 2019 through March 31, 2020
(In thousands of) FY 2019/2020 FY 2018/2019 Change
Ski Areas 60 050 54 608 +10.0%
Leisure Parks 80 459 69 309 +16.1%
Holdings & Support 3 050 2 902 +5.1%
(1: The change on a comparable scope basis excludes Familypark sales (Leisure
Parks), consolidated as of April 1, 2019.
Since it was founded in 1989, Compagnie des Alpes has established itself as an
uncontested leader in the leisure industry. At the helm of 11 of the world's
most prestigious ski resorts (Tignes, Val d'Isère, Les Arcs, La Plagne, Les
Menuires, Les 2Alpes, Méribel, Serre-Chevalier, etc.) and11 renowned leisure
destinations (Parc Astérix, Grévin, Walibi, Futuroscope, etc.), the company
is steadily expanding in Europe (France, the Netherlands, Belgium, etc.) and,
more recently, at the international level (Grévin Montré al in 2013,
Chaplin's World by Grévin Prague in April 2016, and engineering and management
assistance contracts (China, Russia, Georgia, Kazakhstan, Turkey, Morocco,
Japan)). CDA also owns stakes in 4 ski areas, including Chamonix.
During the financial year ended September 30, 2019, CDA facilities welcomed
more than 23.5 million visitors and generated consolidated sales of 854.0 MEUR.
With nearly 5,000 employees, Compagnie des Alpes works with its partners to
build projects that generate unique experiences, the opposite of a standardized
concept. Exceptional leisure activities for everyone.
CDA is included in the following indices: CAC All-Tradable, CAC Mid &
Small et CAC Small.
ISIN: FR0000053324; Reuters: CDAF.PA; FTSE: 5755 Recreational services