SII: Very Solid Performance in FY18. Reassures on International Operations
SII closed its FY18 with a solid CC/CS 15.6% revenue growth in spite of five lesser working days. Growth was balanced with France up 12.8% at CC/CS to EUR 315m, and international operations up 19.4% to EUR 246m.
In France, SII benefited from good market conditions, and by its recent acquisition Feel Europe, which is back to CC/CS growth (+9%).
The success and the speed of the integration of Feel Europe is a welcome news. Yet, the very good news came from international operations: Poland, its largest geography, remains on a high growth trajectory, and even accelerated in H2, with +35% (at CC/CS) over full-year FY18. The other good news is that its two other largest geographies, Germany, and Spain, which had suffered from flat growth in H1 FY18, resumed solid growth (respectively +9% and +7% over full-year FY18). One caveat, SII is mostly positioned in Catalona, and is suffering from political uncertainty in the region.
Final thought on SII’s brilliant FY18 revenue performance: the company is becoming sizeable with EUR 561m in revenues. With a half billion euros market cap, SII is gradually becoming a mid-sized ER&D and IT service vendor.