WILLIAMS GRAND PRIX HOLDINGS PLC (FRA:WGF1) Williams Reports Half Year Results

Directive transparence : information réglementée

10/09/2019 09:02

DGAP-News: Williams Grand Prix Holdings PLC / Key word(s): Statement
Williams Reports Half Year Results

10.09.2019 / 09:02
The issuer is solely responsible for the content of this announcement.

Williams Grand Prix Holdings PLC (WGPH, Ticker: WGF1) today announced the Group's interim results for the six months to 30 June 2019. WGPH is the ultimate holding company of the Williams group of companies, which includes Williams Grand Prix Engineering Limited and Williams Advanced Engineering Limited.

Group revenue was lower in the first six months of 2019 at £77.8m, compared to £82.6m in the same period last year. The EBITDA loss widened to £18.8m during the first half of this year, from £2.7m in the prior year. The Formula One operation generated revenue of £46.3m in the six months to 30 June 2019 (2018: £60.7m) with an EBITDA loss of £16.8m (2018: profit of £0.2m). Williams Advanced Engineering increased revenue to £30.9m in 2019 (2018: £21.5m) with an EBITDA of £2.5m (2018: £2.2m).

Our financial results reflect a challenging half year for our Formula One operations, yet also demonstrated continued growth in the Williams Advanced Engineering business" said Mike O'Driscoll, Group Chief Executive Officer.

"The Formula One financial results primarily reflect our finishing position in last year's Constructors' Championship and the consequent reduction in prize money (which is paid a year in arrears).  There was also an overall reduction in partnership income compared to the first half of 2018, although we secured major new partnerships with ROKiT and Orlen."

"Although we are enduring another tough season on track, we have seen some recent signs of improvement, and we continue to attract interest from potential partners as one of the longest standing Formula One teams. This is best demonstrated by the recent two-year extension to our title partnership deal with ROKiT who will now continue with us until at least 2023. Negotiations with Formula One management and Liberty Media regarding the future of the sport from 2021 have been productive and we believe, when finalised, will represent a much-needed opportunity for Williams to benefit from a more level financial playing field, as well as new technical regulations."

"Williams Advanced Engineering continues to grow and attract new customers, following a robust performance in 2018. The significant growth in revenue during the first half of 2019 was generated across a diverse range of projects, reflecting an excellent reputation for outstanding programme delivery. The modest growth in EBITDA through the first half of the year is largely a function of timing.  The focus remains on providing energy-efficient and technically advanced performance solutions in sectors as diverse as motorsport, aerospace, defence and healthcare."

"Although we continue to face challenges in a very dynamic environment, we currently believe the majority of the impact on EBITDA for the full year has already been captured in these interim results.  We continue to believe we are well placed to respond to the challenges ahead, with world class facilities and a strong and talented organisation."

Key Statistics
  F1 WAE Other1 Group
Revenue (£m) 46.3 30.9 0.6 77.8
EBITDA (£m)2 (16.8) 2.5 (4.5) (18.8)
Operating free cash flow3       (10.2)
Revenue (£m) 60.7 21.5 0.4 82.6
EBITDA (£m)2 0.2 2.2 (5.1) (2.7)
Operating free cash flow3       1.8
  1. Williams Heritage, Williams Conference Centre, Group costs, and other projects delivered outside of F1 and Williams Advanced Engineering.
  2. EBITDA represents earnings before interest, taxes, depreciation and amortisation and excludes non-cash share-based payment charges and mark-to-market charges on financial derivatives.
  3. Operating free cash flow represents cash flows from operating activities including capital expenditure and disposals of fixed assets.

Notes to Editors

Williams Grand Prix Holdings PLC
Williams Grand Prix Holdings PLC is the holding company of the Williams group of companies which includes Williams Grand Prix Engineering Limited. The Group employs close to 900 people and generates its revenues from its long-standing Formula One business and its more recently developed Advanced Engineering operation. The Group's aim is to be a championship-winning Formula One team and a world-class engineering and technology business generating consistent and satisfactory returns for its shareholders.

Williams Grand Prix Engineering Limited
Williams Grand Prix Engineering Limited's core competencies are the design and development of racing cars to compete in the Formula One World Championship. As one of the world's leading Formula One teams, the company has secured 16 FIA Formula One World Championship titles since its foundation in 1977. Nine of these titles have been won in the Constructors' Championship in association with Cosworth, Honda and Renault. The remaining seven titles were won in the Drivers' Championship with Alan Jones, Keke Rosberg, Nelson Piquet, Nigel Mansell, Alain Prost, Damon Hill and Jacques Villeneuve.

Williams Advanced Engineering Limited
Williams Advanced Engineering Limited operates a technology and engineering services business and is part of the Williams Group.

In 2010, Williams Grand Prix Engineering Limited began diversifying its operations, leading to the establishment of the Williams Advanced Engineering division, which has now become Williams Advanced Engineering Limited. Combining cutting edge technology and the industry's best engineers with precision and speed to market derived from four decades of success in the ultra-competitive environment of Formula One, Williams Advanced Engineering provides world class technical innovation, engineering, testing, manufacturing and operational consultancy services to the automotive, motorsport, aerospace, defence, health and energy sectors. Working in close collaboration with its customers, Williams Advanced Engineering helps meet the sustainability challenges of the 21st century and improve performance, with its expertise in aerodynamics and thermodynamics, electrification, advanced lightweight materials and vehicle integration. The Company was honoured with the Queen's Award for Enterprise in Innovation 2018.

Mark Biddle
General Counsel

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Language: English
Company: Williams Grand Prix Holdings PLC
Grove, Wantage
OX12 0DQ Oxfordshire
United Kingdom
Phone: +44 (0) 1235 777700
Fax: +44 (0) 1235 764705
E-mail: enquiries@williamsf1.com
Internet: http://www.williamsf1.com
Listed: Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt (Scale), Munich, Stuttgart, Tradegate Exchange
EQS News ID: 871029

End of News DGAP News Service

871029  10.09.2019