Half Year 2019 Spie SA Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Sylvia Pavlova Barker - JP Morgan Chase & Co, Research Division - Analyst : Two questions, please. First of all, on the U.K. You talk about continuing to restructure the business and improve that. Can you just talk about the amount of restructuring cost that you might incur on that? Or alternatively, would you actually be willing to perhaps close that business down? It doesn't seem like it's a business that you'd be able to necessarily sell quickly, and perhaps, it's a difficult environment. Question number two, just on Oil, Gas and Nuclear. You've said that Nuclear might actually be down a little bit for the full year. Could you just kind of clarify where that was running in the first half? And just remind us the margin difference between the 2 businesses, please? And then finally, just on France, on the organic growth. So you've mentioned that commercial installation is recovering. Is that actually -- was that actually growing in the second quarter? And could we expect that that's actually a positive contributor in the second half?

Question: Sylvia Pavlova Barker - JP Morgan Chase & Co, Research Division - Analyst : And sorry, just a follow-up on the U.K. Could you actually give us numbers around kind of how much it's lost and what the revenue decline actually was in the second quarter?

Question: Sylvia Pavlova Barker - JP Morgan Chase & Co, Research Division - Analyst : For the half?

Question: Nicolas Tabor - MainFirst Bank AG, Research Division - Analyst : First question would be on the nature of the U.K. action plan, if that would be possible. What do you intend to do push up the margins? And what level of margin recovery could we expect over H2 and over the next years? And over the full year, should the decline mean the same magnitude of what we've seen in H1? So that's the first one. Then I had another question on disposals. Where are you at with the disposals? And could we expect some positive cash impacts over the full year? I also saw that you had some EUR 17 million in restructuring cash upflow in H1. Could we have some detail about this? without the prior written consent of Thomson Reuters. 'Thomson Reuters' and the Thomson Reuters logo are registered trademarks of Thomson Reuters and its affiliated companies. JULY 26, 2019 / 7:00AM, SPIE.PA - Half Year 2019 Spie SA Earnings Call And then could you give us regarding the top line guidance, some organic growth guidance, let's say, what do you expect, because H1 was quite strong? You said that H2 had so these headwinds in U.K. and a strong comparison basis in Oil & Gas. But what can we expect over the full year in terms of organic growth, to have somewhat of an idea of the breakdown?

Question: Nicolas Tabor - MainFirst Bank AG, Research Division - Analyst : Sorry, for the EUR 15 million in restructuring, where are you meaning at, in the P&L or in the cash flow? Because in the cash flow, you were disclosing EUR 17.2 million restructuring and discontinued operation, excluding IFRS 16. So I just wanted to be sure what it was corresponding to, and what the full year impact would be?

Question: Anna Patrice - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst : Two questions from my side. First, on the M&A, please. You have guided it roughly EUR 200 million of annualized sales to be acquired this year, and you're already done with the service. How is the M&A pipeline looks like? Will the leverage prevent you from doing M&A? And should we expect more M&A in the second half of the year? My second question is a follow-up on France and Germany. The way you were talking about the momentum in both countries, it seems that everything is going quite well, but then we see quite a stark difference between the French organic growth and German organic growth. In the second half, Germany will have much easier comparison basis. So would you expect then some of the organic growth to accelerate? Because the way you were speaking about it, it seems like there's lots of things going on, that you should also have good volume and pricing momentum. So what should be the outlook then for you in Germany?