Reliability and Responsiveness

With 652.6 million euros in sales, a slight increase compared to 2006, and an operational income of 5.5% (35.9 million euros), a 15.1% improvement on 2006 figures, 2007 showcased the solidness of our operational and functional processes, and our ability to overcome adversity in a very volatile environment.
 
If our improvement in income is largely due to the increased effectiveness of our organisation in France, then our cash position can be attributed to our dynamism and rigour. It is the culmination of a plan set in motion on various fronts in 2005: installation of an ERP system, the development of rigorous procedures, improvement in the efficiency of our horizontal operationscross-functional operations, increased monitoring of foreign subsidiaries, etc. This administrative attention for detail reached in the financial engineering section made it possible to construct new sites in Paris and Toulouse, which in turn has allowed us to regroup our teams and rationalise our operations.
 
This in-depth approach has since borne fruit in a difficult environment. Assystem’s free cash flow has reached the record level of 55 million euros, making it possible to decrease our net debt and our financial  expenses. Our gearing has been divided by nearly three, and our net debt (27.2 million euros) is now about half of our EBITDA.
 
It is essential that we not be content with these figures, particularly our operating income, and that we ensure that our good management practices continue. But even more importantly, the time has come to take advantage of our solid footing to increase growth.
 
Indeed, our overall stagnation in sales turnover should not overshadow the dynamic growth in some sectors of our operations, particularly the continual progression of Facilities, nor the power of our growth engines, as illustrated by the significant turnaround that we achieved in our three other markets during the second half of the year. We serve the aeronautics industry as a strategic supplier in the engineering and design department; a sector that has proved promising, as our backlog of Airbus orders demonstrates.
In engineering, the rejuvenation of the nuclear sector is particularly favourable to us: Assystem is historically part of the nuclear family, and can only profit from the potential of the global market. But the pursuit of our ambitious goals in engineering also requires the acquisition of additional capacities to ensure progress in infrastructure development. In these two markets, the vertical integration of the value chain could offer new opportunities. Lastly, we must continue to expand our R&D outsourcing in new technologies to fully benefit from market growth.
 
Assystem regards pictures the future with prudence, but with confidence. The reliability of our functional infrastructures, which was a strategic objective, together with our responsiveness, an essential trait of our business personality, allow us to confront the risks of an uncertain short-term world economy. Investments spurred on by concern for sustainable products and processes help the dynamics of our business and offer strong prospects for medium-term growth. Assystem’s image in the profession, with the variety of career paths that it offers, continues to attract the talent we need to further our development and to achieve our long-term goal of being recognised among the world’s top engineering firms.