Full Year 2024 Rubis Earnings Call
[music].
Uh huh.
Speaker Change: Good evening, everyone, we'd like to thank you for joining US here. This evening for his presentation of Ruby's business in 2024.
Jake view: There are four people here my name is Jake view I'm here as the managing partner of the group.
Speaker Change: We also have.
Speaker Change: Thanks <unk>.
Speaker Change: And to my left we have John Kristoff, Belgium.
Speaker Change: Who is the direct to general.
Speaker Change: <unk> of our most important subsidiary Ruby energy.
Mark: And Mark is that cool.
Speaker Change: C F O.
Speaker Change: I'd like to point out that John Chris Joe and Mark.
Speaker Change: We will be joining the management board at the group during the year.
Speaker Change: Of course, if the AGM meeting in June a photos.
Speaker Change: Followers on that motion.
Speaker Change: I'd like to start by giving you a quick overview and a reminder of what really is as a group we have presence across three continents.
Speaker Change: 50, or so countries now.
Speaker Change: And it's worth remembering that we have strong presence in all of the countries, where we operate with the exception of course of the countries that we've just added into our scope.
Speaker Change: It's also noteworthy that we have quite an agile and a very decentralized organization.
Speaker Change: Our intent is to work as closely as possible with the end client.
Speaker Change: And clients.
Speaker Change: By doing this we're able to provide them with the energy that they need that meets their needs as closely as possible through our legacy products that we've been distributing so.
Speaker Change: Our G P.
Speaker Change: Bitumen.
Speaker Change: Lubricants and the like.
Speaker Change: Would also more recent low carbon solution, so biofuels or slow.
Speaker Change: <unk> carbon electricity from solar panels.
Speaker Change: To fulfill our mission to be able to provide.
Speaker Change: Customers with a product that is competitively priced and safe we have invested a lot in integration of the value chain.
Speaker Change: This means that we have a very solid logistics.
Speaker Change: We have everything from refineries in the French on T Island, all the way down to specialized teams supplying the entire group that you can find in the Caribbean region and also in the middle Eastern region, specifically Dubai.
Speaker Change: We also have a fleet of ships, which is rare if not unique amongst our peers.
Speaker Change: You can see that we have a fleet of 16 ships 10 of which are self owned.
Speaker Change: These.
Speaker Change: Fully match.
<unk> needs.
Speaker Change: We have a lot of power because the ships are amongst the largest bitumen delivery ships and we also have a whole range of other sizes for agility.
Speaker Change: We of course, then of course have terminals and storage facilities, where we need them, where third party storage is not available or not large enough. We also sometimes have fleets of lorries where that may be required.
Speaker Change: Taken as a whole this enables us to provide the correct solution to our clients and clients I mean.
Speaker Change: In Africa, we have presence in 24 different countries.
Speaker Change: Nearly 650.
Speaker Change: Fuel stations.
Speaker Change: And we are amongst the top three in each of those countries.
Speaker Change: Africa or accounts for a little bit more than 30% of group's overall EBITDA.
Speaker Change: So a very significant weight across the group.
Speaker Change: On the map, we have a color system that shows you, where we have bitumen business.
Speaker Change: Which is developing really strongly and others.
Speaker Change: Now of course.
Speaker Change: Africa has a lot of potential for expansion.
Speaker Change: We also work in the distribution of fuel and LPG.
Speaker Change: In these cases growth is mainly tied to population growth which is strong.
Speaker Change: And also the increase in the size of a middle class I E.
Speaker Change: People, who are able to spend to travel to move around and to contribute to developing the economies at the country further.
Speaker Change: A quick side note on L.
Speaker Change: L. P G, which is developing really quickly in these countries.
Speaker Change: We're seeing industrial and professional development, especially in South Africa on that.
Speaker Change: This should be seen as a product that is transitional from an environmental perspective, it replaces coal in charcoal for cooking and it's having a very big impact on the health of people, especially respiratory disease.
Speaker Change: We are recognizing more and more of the damage that the old legacy fuels have had.
Speaker Change: In the Caribbean, we are still amongst the top three in all of our countries. We've got more than 400 service stations.
Speaker Change: European accounts for more than 50% of group's overall EBITDA.
Speaker Change: So a major region for us.
We're also very good at LPG over there.
Speaker Change: And strong in the countries, where we work to distributing a range of fuels.
Speaker Change: The Caribbean region.
Speaker Change: Is very interesting for us.
Because.
Speaker Change: It is highly connected to the American economy through tourism and travel and also a range of financial services.
Speaker Change: I would like to add that for South America, we have presence in three countries.
Speaker Change: A French.
Speaker Change: Departments, Suriname, and French Guiana, and Guyana. These.
Speaker Change: These are regions, where the population is booming and.
Speaker Change: Development in Guyana, and Suriname is very strong industrially.
Speaker Change: There've been some big oil discoveries off their shows and that has further contributed to a <unk>.
Speaker Change: Influx of money in business into those regions.
Okay.
Speaker Change: In Europe, our traditional business is LPG distribution. This is.
Speaker Change: A business that we provide mainly too.
Non urban and rural.
Speaker Change: Regions, it's very resilient is not easy to replace and it's very good from a cash flow perspective for us it's a very good business.
Speaker Change: And of course, much more recently over the last three years.
Speaker Change: We decided to invest in low carbon energy because of course, it's a big opportunity for European businesses.
As it stands.
Speaker Change: We are one of the major solar panel electricity operators in France, and thanks to that fringe platform, we've been able to start to invest in Italy, and some other countries I'm sure that carriers will be able to give you more details on that.
Speaker Change: Okay.
Speaker Change: Just to give you a quick number we have more than eight gigawatt of.
Speaker Change: Production secured and the portfolio, which is a little bit more than a doubling of our capacity since we added this business into our portfolio.
Speaker Change: Yeah.
Speaker Change: I would just like to give you a kind of overview on some of the highlights of the past financial year with three or four items of note first of all and probably the most important thing is that the volumes are there.
Speaker Change: And in fact, the volumes are up we've seen an increase in distribution volumes of plus 5%, which is excellent and does match performance over the last five years.
Speaker Change: I would say that this is part of a wider trend this well recognized at this point.
Speaker Change: For photo Sul, which is R.
Speaker Change: Solar panel business the volume has increased by 22% so very significant.
Speaker Change: Overall profitability of our business has been good with 342 million net income that is.
Speaker Change: Three or 4% depending on if you look at.
Speaker Change: Like for like or the.
Speaker Change: Final year books.
Speaker Change: But we are slightly down versus 2023, but as a reminder, that was a peak for us.
Speaker Change: So we're somewhere between a peak in 2023 and the previous.
Speaker Change: All time high which is 2022, which is still very good.
Speaker Change: All of this is.
Speaker Change: Done with strong financial discipline.
Speaker Change: With a net debt corporate net debt over EBITDA ratio of 1.4 X.
Speaker Change: Corporate debt excludes.
Speaker Change: The.
Speaker Change: Solar panel funding.
Speaker Change: Otherwise it will be at $1 Nymex.
Speaker Change: And to wrap up on these highlights were going to be recommending to the AGM, a two point or three.
Speaker Change: Euro per share dividend up two 5% versus the previous year.
Speaker Change: I think we're at 29 years on the road on the trough that we've been able to increase the dividend every year.
Speaker Change: And as a reminder, in 2024, we also paid out an exceptional dividend of 0.75 per share.
Speaker Change: Which came from capital gains from the sell off of one of our legacy businesses. Our terminal business that was Ruby terminal.
Speaker Change: I'd now like to give the floor to Clarice for the next part of the presentation. Thank you very much I can good afternoon, everyone.
Speaker Change: As part of the presentation that you just heard I'd like to.
Speaker Change: Follow up with some of the key figures for operational performance.
Speaker Change: Shang just reminded you the sector of energy distribution has shown itself to be remarkably resilient with a gross the growth the growth story and volumes of 5% across all of our regions.
Group EBITDA is down 3% like for like versus 2023.
That is within market guidance and comes in between our two previous record years, where 2022 and 2023.
Speaker Change: Therefore, I believe it's fair to say that our financials are solid despite a political environmental.
And political.
Speaker Change: <unk>.
Speaker Change: Time that it's become more chaotic, especially in Africa, a new approach multi country multi product and strengthening of our control over the supply chain through acquiring ships as Jack remind you. This.
Go to show once again, the effectiveness of our business model and our ability to absorb external shocks and won't be coming back to that.
Speaker Change: We are once again driven by strong performance in English speaking Caribbean above our expectation volume is up and operating profit is up thanks to good performance.
Speaker Change: Of LPG and good performance in Africa, as well, although slightly offset by issues in Kenya in large part due to high inflation and high volatility with an increase in interest rates that has eaten into the margins of our networks and b to b volumes that were down because of that.
Speaker Change: Regarding capex, which is an important item to remember in our future business is up for electricity produced by solar panels in line with the expected and Pos growth as we announced during the photo <unk>.
Distribution is down but 2023 include the purchase of two <unk>.
Speaker Change: Caribbean G L.
Speaker Change: P G ships.
Speaker Change: So these investments have served to support our organic growth, we have been able to penetrate new markets for bitumen.
Speaker Change: And the increase in market share across our market regions and also of course, the maintenance of our infrastructure.
Speaker Change: As you can see corporate net financial debt at Ruby shows that we have been conservative in our management and also show the good financial health of the group as it is all under control and finally on <unk>.
Cash flow generation is still very high up 18% this year versus the previous year.
Speaker Change: Yeah.
Speaker Change: This year. This comes from precise inventory management and good WCS management.
Speaker Change: In an environment, where oil prices have been more favorable near the end of the year.
Speaker Change: Let's get into more detail of the various business lines, starting with energy distribution.
Speaker Change: As I stated earlier, our volumes are up 5% with performance that is very solid in aviation, plus 25% and bitumen plus 10%.
Speaker Change: Gross adjusted margins remained stable across the year.
Speaker Change: And across our geographical regions, we benefited from higher volume plus 6% for Europe, plus 2% for the Caribbean.
Speaker Change: With volumes down 18% in Haiti.
Speaker Change: And plus 16% in Africa.
Speaker Change: Start with the Caribbean in the Caribbean, we are once again satisfied by solid performance.
Speaker Change: In our retail and marketing, but also in logistics support and services.
Speaker Change: As Jack said that this is mainly driven by dynamic tourism thanks to the.
Jack: Thanks to the American economy doing well and thanks to the impressive growth posted by agree Anna which continues to significantly contribute to the profit that the dynamic in 2024 appears to be continuing into 2025. However, we are expecting a slowdown in the increase going forward in.
Speaker Change: Europe.
<unk> is still doing well.
Speaker Change: With volumes that are still a plus 6%.
Speaker Change: Things are also holding firm in our other geographical regions.
Speaker Change: In Europe.
Speaker Change: Demand for LPG is up thanks to good demand in France, and Spain and good.
Speaker Change: Bulk sales in France, and Portugal, and Spain and Morocco.
Speaker Change: In other regions the growth is being driven by <unk>.
Speaker Change: Total sales, which is a lower carbon solution and better for the environment compared to paraffin or charcoal.
Speaker Change: In Africa. Despite the fact that volumes are up 7% mainly in aviation.
<unk> network of service stations in bitumen, we have faced headwinds, especially in Kenya and.
Speaker Change: In Kenya, the Inflationist economic environment has come together with.
Speaker Change: Environmental issues such as flooding.
Speaker Change: And that ate into our margin margins in the network.
Speaker Change: Due to the increase in interest rates. However, we are expecting those to be valued upwards in 2025.
Speaker Change: Nigeria is coming in a little bit under expectations for bitumen, however volumes have.
Speaker Change: <unk> been up across all of the other African countries, especially in South Africa in Cameroon and Guinea.
Speaker Change: For our solar panels.
<unk> is continuing as expected and as announced they're showing their photos sold empty secured portfolio is now more than one gigawatt up 22% in 2024.
Speaker Change: And the project pipeline is now at five four gigawatts with 26% growth.
Speaker Change: Business volume is up a lot.
Speaker Change: With applications for a further 650 megawatts.
Speaker Change: New permits 250 megawatts of which obtained this year that's twice as much as 2022.
Speaker Change: I'd like to remind you that the success rate in the first instance for receiving permission as more than 80% 10 installations are currently under construction Cray is one of them. It will be the second largest solar panel form in France.
Speaker Change: The first megawatts came into service in February 2025, with the rest that will be gradually brought into service across 2025 and 26.
Speaker Change: Sure.
Speaker Change: We are also going to be kicking off development of the first megawatts in Italy, now we have been able to receive guaranteed pricing. Thanks to the first half.
I agree voltaic agreement in it today. It's this is a tender which provides.
Standardize pricing development in France has continued with 900 megawatts.
Speaker Change: Early stage projects in Italy, Spain, and Eastern Europe and.
Speaker Change: And 350 megawatts projects have also been added to the pipeline.
Speaker Change: The Pao at EBITDA. So for photo cell is where we announced it would be during the photo sell day in September 36 million euros.
Revenue and EBITDA for 2024 have not increased in line with the rollout of capacity in the year and that is for a number of reasons that we've already discussed.
Speaker Change: Whether it was very bad in a way that we haven't seen for 15 years.
Speaker Change: Damage to one of the plants that we ended up deciding to completely rebuild to be able to put better panels in and to have better distribution capacity.
Speaker Change: We've also seen impact of market prices I don't know whether you remember this but.
Speaker Change: Their D C. R E implemented some special measures when the war in Ukraine broke out in some electricity was very.
Speaker Change: Expensive to be able to sell some of those megawatts the spot prices have fallen off this year.
Speaker Change: But things have now come back into the Cie ranges at the end of the year and as we announced at the photo so Dave. So there is an increase in development costs in line with the increase in growth, which is in the short term weighing down performance in 2024 until that trend reverts and big.
Speaker Change: It's beneficial in 'twenty six.
Speaker Change: I'd like to finish up my part of the presentation for the time being with a quick update on the governance of Ruby S. C. A.
Speaker Change: As Jack already kind of touched on this.
Speaker Change: As you know management and the supervisory board have done in depth work to strengthen group governance across the year.
Speaker Change: At the end of 2024, the changes brought to the bylaws strengthened the assignments for the supervisory board, especially with the inclusion of three key points.
Speaker Change: And early opinion on major strategic transactions.
Speaker Change: Secondly.
Speaker Change: Formalization of annual updates on our strategy and budget for the group.
Speaker Change: And annual updates on the succession plan for our members of the management Board for major subsidiaries and Ruby SGA finally.
<unk>.
Supervisory board now receives updates on sustainability now that the CSR D has been implemented.
Speaker Change: Furthermore.
Speaker Change: Following the succession plan initiated by Gilles and Jack over the last years, we have.
Speaker Change: Started communicating and this was just before we went live with this evening that we will be continuing changing the group governance.
Speaker Change: Management, therefore, we'd like to put forward the appointment of two.
Speaker Change: New non managing.
Speaker Change: Members.
Speaker Change: To follow up from Sheila <unk>, who would be leaving the management committee at the end of the AGM in 2027 on the books for 2026.
Speaker Change: Therefore at the next AGM in June 2025, we will be seeking a majority to appoint shrunk eastern boundary of the current director General of Ruby energy and market share. The current group CFO, who is also here with me.
Speaker Change: This succession recommended by the management Committee.
Speaker Change: It's fully in line with the needs of our business and sector and also the requirement of a group such as Ruby.
Speaker Change: It brings together experience and skills in energy in the broadest sense of the word and in finance and financial professions Trocar.
Speaker Change: Okay step downs real unlock shekel both have.
Speaker Change: Wealth of experience.
Speaker Change: Over 30 more than 30, and 20 years, respectively, they've been able to build up their own legacy outside of the group in major international groups and publicly traded groups. Thank you very much for listening and I'm sure, we'll be able to come back to this in a minute I'd like now to give the floor to mark when you Miss you guys. Thank you.
Clave: Clave is so before going into the details of the financials, it's important to understand what.
Comprises them and to compare things the EBIT da bridge shown on the slide is in the same spirit of that which we shared with you in the first half.
Speaker Change: Refers to items that you're familiar with on the.
Speaker Change: Lift we restate 2023 of the overall billings done to clients in order to offset some of the Forex losses in Nigeria and adjustment of the price formula in Madagascar concerned early 'twenty two had a positive impact 'twenty three that's for.
Speaker Change: <unk> 3 million adjustment that something that youre fully familiar with so we can leave that aside.
Speaker Change: Removing the various impacts concerning.
Speaker Change: Share based comp.
Speaker Change: Compensation that I mentioned in the first half and the accounting impacts of hyper inflation, it's a non cash.
Speaker Change: Approach linked to Ifr is higher.
Speaker Change: Three consecutive years of hyper inflation.
Speaker Change: Reaching or some are 100% happy candidates Haiti and Suriname.
Speaker Change: <unk> two.
Speaker Change: To a lesser extent the impacts are pretty much similar in 'twenty three 'twenty four.
Speaker Change: The 22, and 24 million euros for EBITDA, but we highlight them here because they have a stronger more unfavorable impact.
Speaker Change: When we go down to net income so the real.
Speaker Change: Operating performance of of this year on a like for like basis, 3% drop.
Speaker Change: Dar representing 18 billion then we have the same principle for a bit this time its a 10%.
Speaker Change: It creates some when we go down to net income it brings us.
Speaker Change: To a comparable decrease of.
Speaker Change: Net income of 4% as mentioned so the conclusion of all this is really to say that rebate is a fine.
Speaker Change: Machine with very.
Speaker Change: Very good fundamentals.
Speaker Change: Let's now look in greater detail about their activities.
Speaker Change: And the EBIT from here on the like for like 564 million and 23 to 519 million in 2024 here, it's quite a strike.
Speaker Change: Striking africa's suffered from difficult conditions are particularly Kenya I'd want to.
Speaker Change: Recall, what floppies mentioned.
Yes.
Speaker Change: Extensive flooding in Kenya, and H, one demonstrations against the finance build has had a negative impact on.
Speaker Change: Volumes, but excellent volumes in aviation that.
Speaker Change: Makers confidence, but that business segment going forward, but on margin margin, we had the fluctuation of the Kenyan Chile vote Rose in Q1 that was pretty unusual occurrence that had an impact on the value of our inventory degraded our margins that was.
Speaker Change: Essentially in H, one we also had a price.
Speaker Change: The formula for retail.
Speaker Change: 10 year in a highly inflationary context is no longer.
Speaker Change: Suited to the industry cost base or what.
Speaker Change: Counting on the Kenyan government to adjust and Zhengzhou increased John will no doubt tell you a bit more about that.
Speaker Change: Caribbean continued to be the leading contributor to the group's performance in excess of 50% excellent activity Jamaica Barbados.
Speaker Change: The guy on the.
Speaker Change: <unk> worked very well to the security political situation in Haiti deteriorated sharply be the subject of particular attention in 2025, and you see that it had a negative impact of 7 million euros on.
Speaker Change: This year Europe. The contribution is stable at a high level of support and services the bitumen trading Trans Atlantic was no longer possible.
Speaker Change: However, managing to maintain a relatively stable level and good activity.
In Caribbean more trading over shorter distances as renewable.
Speaker Change: Energy production 49 million revenues stable versus 2023 in spite of an increase in operating assets, but clouds.
Speaker Change: Explained all those developments to on the expenditure from the costs of course are.
Speaker Change: Increasing which is a good good news because the increasing.
Speaker Change: In line with our assets under operation of course, but also with development costs that are increasing to drive growth in our future.
Speaker Change: Expansion plan does this a hockey stick curve and that'll be the case still in 'twenty two.
Speaker Change: 25, so this business model are well diversified maintaining.
Speaker Change: Our solid performance in spite of <unk>.
Speaker Change: <unk> difficulties in the two regions mentioned.
Speaker Change: A work a word on the P&L.
Speaker Change: Mentioned EBITDA a bit our net income from associates only Q1, the Ruby terminal 2023 that was full year you see that.
The capital gains of the sale or disposal of Ruby terminal.
Speaker Change: 89 million.
Speaker Change: Net financial charges costs up 13 billion, that's linked to the increase in interest rates, but more more more specifically in Kenya with the rise in the local currency almost doubled and Ruby energy some credit lines that were renewed.
Speaker Change: <unk> and 'twenty four.
Speaker Change: For the that we had to reset.
Speaker Change: Of.
Speaker Change: The swap hedges and of course, the interest expense linked with further solid increases in line with the debt, which is consistent with our assets under offer exchange rate losses.
Speaker Change: 7%, 32% in Q1 down.
Speaker Change: 32% versus last year familiar with is that certain countries, where we can't.
Speaker Change: Hedge the currency in.
Speaker Change: Kenya, and Nigeria, notably and in that case, we put in place.
Speaker Change: The policies too.
Speaker Change: For our balance sheet to try and hedge these currency fluctuations and we manage that rather well that's.
Speaker Change: <unk> seen for the second half of the year that policy working in fingers cross going forward needs for these currency lost sleep.
Speaker Change: Of the <unk>.
Functional and additional expense of 8 million over the previous year, which is going to hyper in flash and you.
See.
The.
Speaker Change: For taxes, the impact of pillar two.
Speaker Change: The global minimum.
Speaker Change: Tax of the OECD, which has an impact on our financial $23 million and like we mentioned a range of between 20 and 25, that's a new standard in a new norm.
That will be in the.
Speaker Change: For the coming years 342, net income in the range that we announced last autumn and that in spite its an impact of $10 million linked to hyperinflation that negative.
Speaker Change: Which is an impact that's very difficult to forecast.
Which is a non cash so on a comparable basis when we read state.
Speaker Change: The for the EBIT da items that I mentioned that we remove the capital gain the rubik terminal the impact of pillar two of the minimum tax well its net income on a comparable basis that is down 4% versus 2023 that was.
Speaker Change: Excellent level total net debt stands at $1 3 billion euros at the end of 2020 full so it.
Speaker Change: On the corporate debt reaches 861, very good leverage of 1.4 times total leverage including all five.
Speaker Change: Financial debt.
Speaker Change: It's at one nine times.
Speaker Change: Let me remind you that we are.
Speaker Change: <unk> issued a USB P to extend the average maturity of the debt to four five years, which gives us access to new liquidity facility. That's always welcome variation of net debt well, obviously, that's true to a very favored.
Speaker Change: Pro Bowl.
Speaker Change: Free cash flow 320, operating cash flow almost 700 million taxes paid for 168 million.
Speaker Change: Working capital requirement, that's positive, but the 39 million, which is the <unk>.
Speaker Change: The result of the decrease in the price of <unk>.
Speaker Change: Products.
That.
Speaker Change: It leads to a positive impact on WC, all Capex totaled 248 million as cloudy as mentioned Ruby energy.
Speaker Change: That had capex of 165 million, which is a.
Speaker Change: The down versus 'twenty, three and slightly below our normative next year will no doubt be higher.
Speaker Change: And lastly, further so.
Speaker Change: Capex of $82 million that sell of Rubis terminal has to be noted generated 125 million.
Speaker Change: Million of.
Cash flow, we redistribute to 77.
Speaker Change: And in the form of dividends.
Speaker Change: Yeah.
Speaker Change: Following that sale and we have the usual.
Speaker Change: Dividend that we paid in June and then non recourse debt is up 65 million in line with photos so capex.
Speaker Change: At the end we have a very.
Speaker Change: Healthy balance sheet very comfortable cash ship to address 2025.
Speaker Change: Thanks, Mark what I wanted to share with you is really our vision the vision that we co constructed with our teams managers across the.
Speaker Change: Geographies in which we operate for the next three to five years of various geographies businesses, starting with that bridge as you can see Africa is a growth territory for Ruby energy be it for LPG fuel a bit bitumen.
Speaker Change: L. P J president primarily of Morocco, South Africa, and East Africa, we have ambitions to see the market grow between two and four.
Speaker Change: Person with too.
Speaker Change: Drivers clean cooking in the growth to transition between the use of wooden.
The charcoal which of course to uses that in no way reduce the carbon footprint of those countries. So clean cook the sale of gas.
Speaker Change: Cylinders and increasingly to support our b to B clients, who wish.
Speaker Change: To move.
Speaker Change: Move.
From high carbon intensity heavy fuel diesel.
Two LPG.
Speaker Change: Facility. So we have an important opportunity.
Speaker Change: Ruby will position itself fueled primarily president in East Africa strong growth in our demographics Africa will see its population go from $1 5 billion.
Speaker Change: People to over $2 billion by 2050, so of course, that's going to require a major energy needs and Ruby will be there to support those needs and mobility will expand growing populations.
Speaker Change: Increasing middle class share of the population, we're going to focus a great deal on what we're seeing expanding across our geographies in the service station networks.
Larger ecosystems, and just really selling fuel with ancillary.
Speaker Change: Services and activities to attract.
Speaker Change: Consumers and create value rebids must seize those opportunities for it's simple.
Speaker Change: Simple reason, we have small.
Speaker Change: Competitors, who are taking a market share fuels don't have the expertise and financial cloud to develop these ancillary systems.
But our customers.
See bitumen major infrastructure projects that are in the population, but also with the.
Speaker Change: Regularly elections or other.
Speaker Change: Events that require infrastructure projects. So we're very confident as to the growth of.
Speaker Change: Bitumen activities in Africa, so in conclusion.
Speaker Change: Africa gross opportunity full rebids through rebates energy.
Speaker Change: Caribbean, an area, where we're well established and.
Speaker Change: We see this continual expansion of tourism in industrial.
Speaker Change: Activity supporting tourism growth good.
Speaker Change: Prospects, both for LPG and few special word for Guyana, and Suriname, Guyana is up and running with oil production on the rise in Suriname, It said that the oil.
Speaker Change: Production should.
Speaker Change: Beginning in 'twenty 'twenty a with the.
Speaker Change: Exploration and production projects once again Caribbean, although the area is more mature than Africa will offer Reuben some number of opportunities do you see the growth rates that are quite a sizable that we're anticipating lastly, Europe, notably L.
Speaker Change: L. P G bus.
Speaker Change: Business, that's significant Spain.
Portugal, France, and Switzerland, as Clarence said, thanks to this act.
Speaker Change: Activity, we have a fine contribution of L. P. G and a result volumes in certain countries are slightly down but through.
Speaker Change: Savings in our Opex efficiencies good price management, we can maintain the level of profitability that is quite satisfactory that allows us to remain very confident for the out years. So overall, we're operating in growth markets with significant.
Speaker Change: Pick into opportunities for Rubis. These growth markets. These opportunities have enabled us to define for the.
Speaker Change: Yes.
Speaker Change: Our roadmap for Ruby energy.
Speaker Change: Based on six priorities that I'll run through the first is significant.
The.
Maine.
Speaker Change: Driver I would say for Rebase energy in terms of profitability is this organic growth as I've said over the past five years theres been steady continuous organic growth over the next five years, we expect that to continue with organic growth rates for a vote.
Speaker Change: <unk> for our margins of the order of 5% per annum. We're on markets that are growing and all of these growing markets. We're confident in the quality of our teams to outperform the market. That's the goal we've set ourselves so very strong organic growth and that is once again the pillar of our strategy.
Speaker Change: The latest acquisition in 2019, which this one we've had some ups and downs in between then and now of course Covid and there's also been some discussions about transitions, which meant the market is still needed to find its footing, but it certainly seems that in 2024.
Speaker Change: More and more so in 2025.
Speaker Change: The M&A market has become much more dynamic and that should open up some opportunities for us going forward into 2025 and beyond.
And as always Ruby will be ready to seize opportunities as they arise so long as they make sense in line with our strategies and so long as they are going to create value for us.
Speaker Change: We have identified some must haves in that.
Speaker Change: Acquisition strategy.
Speaker Change: Including our need to significantly optimize the assets that we buy up we need to make sure that we're in an environment where.
Speaker Change: The competitive landscape is.
Speaker Change: What it relatively well controlled in terms of numbers basically avoid the more chaotic market.
Speaker Change: And we want to be able to developing countries, where our logistics that we've already discussed at length in our control of our supply chain enable us to have an edge over.
Speaker Change: Competitors and over anyone else in the marketplace.
Speaker Change: If we're able to achieve all of this will be able to generate further investments that will generate further value going forward.
Speaker Change: Beyond developing margins and volumes. We also are cautious to continue to develop.
Speaker Change: Healthy management of our business controlling opex controlling capex controlling WCS.
And as Mark has already said it a number of times, we're keen to find tools that will enable us to hedge risks for currencies.
Speaker Change: These are things that have weighed us down in the past and I think that now.
Speaker Change: To Mark's teams, we've been able to get our hands on a number of tools that help us to avoid that risk and to continue to develop.
Speaker Change: Without being overly exposed.
Speaker Change: The energy transition is of course very important there are two major components to this festival, we need to continue to find businesses that create value.
Speaker Change: In a low carbon sectors.
Speaker Change: This is fundamental as we want to make sure that our low carbon activities do not destroy any added value for the company that means that these low carbon businesses need to have rois that are in line with what the group would expect from rupee energy.
Speaker Change: Also.
Speaker Change: Lowering the carbon emissions of our business and shipping and S. A a specialty.
Speaker Change: S. A is our entities.
Speaker Change: Refinery there is both account together for 90% of our emissions and we've already started to reduce dose.
Finally, a major priority for Ruby is going to be continuing to be.
Speaker Change: An innovative company working closely with customers and as part of that.
Speaker Change: We're looking ever more ways that we can leverage digital technologies.
AI that you would've heard about everywhere.
Speaker Change: And data management.
Speaker Change: I think you've maybe had the expression turn data into value and that's at the heart of what we want to do and that means that we are confident in our ability over the next five years to continue to develop at a pace that is at least.
Speaker Change: On par with what we've had over the last five years. Thank you very much and I'd like to now give the floor back to carriers.
Speaker Change: Thank you Sean Christian now very briefly on this slide I'd like to kind of summarizing.
Speaker Change: Few words on what we have so once again solid operational performance. Thanks to a diversified business model that is very relevant to today's environment.
Speaker Change: EBITDA is stable.
Speaker Change: On a like for like basis.
Speaker Change: In line with our guidance.
Speaker Change: Cash flow generation is still high which shows the good health of management at the financials.
Speaker Change: Net profit like for like is down 4% versus 2023 that is very much under control as we've already said and as Jack has said for the 29th year in a row, we are increasing our dividend to two point or three euros per share.
Speaker Change: So what should you expect after 2025, well depending on business line. Some of the 'twenty 'twenty four trends will continue into 2025 in Europe, we're expecting a continued moderate growth of LPG, but still growth, which will continue to generate cash and we're going to.
Speaker Change: Continue to develop protocell.
Speaker Change: There will however be development costs that will be up in 2025 as we've previously mentioned in Africa, we're expecting margins for service stations to climb backup bitumen volume volumes are likely to continue to grow as we develop a new countries.
Speaker Change: In the Caribbean business is likely to remain at a high level.
Speaker Change: And for the group so the second pillar, we're now business as usual so we're kind of entering a new landscape here.
Speaker Change: And Forex management has improved a lot this year and we'll continue to keep a very close eye on it.
Speaker Change: A working theory is for 2025 include an adjustment of prices in Kenya, some time throughout the year.
Speaker Change: No further decrease in the security and economic situation in Haiti.
Speaker Change: And hyperinflation identical to 2024.
Given these working hypotheses.
Speaker Change: Guidance range to the markets for EBITDA.
Speaker Change: It is between 710 and 760 million euros.
Speaker Change: And we're expecting to continue our policy of increasing dividend that we've always had.
Speaker Change: I'd like to thank you for your attention.
Speaker Change: And we'd like to now answer any questions you may have.
Our first question is from Kepler Shufu.
Speaker Change: Given the 2025 outlook.
Speaker Change: If we're expecting earnings per share to be down versus 2024.
Speaker Change: And if that is indeed the case.
Speaker Change: How sustainable is the growth in dividend policy.
Well there are a number of answers I can bring to that question.
Speaker Change: First of all we're not giving you guidance for next year on EPS, you do have EBITDA guidance and.
Speaker Change: You know that as we develop photo so we'll likely.
Speaker Change: To see <unk>.
Speaker Change: Financial costs that might uptick slightly in 2025.
Speaker Change: There's still uncertainty and our experience of the past leads us to be cautious when it comes to Forex, Although we have implemented a great number of measures to.
Speaker Change: Hedge our position.
Speaker Change: And also we don't sell off rupees terminal every year.
Speaker Change: So that's what I can share at this point on.
Speaker Change: Likely changes on earnings per share.
Speaker Change: As to the sustainability of the dividend policy, it's always been a priority for the group we've always been very clear on that when we've spoken to the market.
Speaker Change: Rubis has the means indeed has the cash on hand.
Speaker Change: To continue to.
Speaker Change: Pay out this dividend.
Speaker Change: And I'd also like to draw your attention to the fact that we're not paying out 100% of our profit.
Speaker Change: That's also something that you should take into account when you consider what we're doing.
Speaker Change: We're currently in a photo saw a ramp up period with photo cell that is running at a loss right now, but we're absolutely able to bridge the.
Speaker Change: The ramp up period, the growth period waiting to reach.
Speaker Change: Cruising altitude.
Next question from Sean hormone.
CIC analyst.
Speaker Change: He was asking if unitary gross margins have changed in Africa, especially Kenya at the end of the year and should we expect.
Speaker Change: Tend to normative levels in 2025 next question.
Speaker Change: Are there any.
Speaker Change: Countries that rubis could pull out of that are dragging them down.
Speaker Change: Let me answer on Kenya.
Speaker Change: Gross margins in the second half didn't improve because there was no valuation adjustment and no margins change, although we hope that that might have happened.
It appears that the government is finally now come out and discussed margins that may be adjusted in the coming months.
Speaker Change: The first adjustment on the 15th of March as a reassessment of margins is done at the middle of every month.
Speaker Change: We're still waiting for confirmation, we're still being very conservative, but we believe there's a high likelihood that the process of reassessment of margins will kick off mid March and should probably lead us.
Speaker Change: To sum results after three or four months.
Speaker Change: That of course means that we have confidence in our ability to get back to strong profitability in Kenya and in Africa as a whole as we've already stated on a number of occasions. Despite the fact that profitability is down because of the effects that we have a broadly discussed up until now over this period volumes also continued to increase consumer.
Speaker Change: European market share as well that means that once the situation changes, there's going to be a strong ramp up in profit and that's very good news.
Speaker Change: So we're pretty confident very confident in fact in eastern Africa.
Speaker Change: And Kenya.
Speaker Change: As to.
Speaker Change: The countries that we could cut loose.
Speaker Change: I think somebody's, maybe got Haiti, and the back of their mind, then Hey T is.
Speaker Change: And seeing some.
Speaker Change: Pretty big.
Speaker Change: Societal and political upheaval right now.
Speaker Change: But shrunk restocking you might have some ideas on that but.
Speaker Change: I imagine that that's what the question was pointing towards because there's no country really dragging us down in our portfolio, Hey, Chi is going through a very difficult time and this is a country that has 11 million inhabitants.
Speaker Change: Public security crisis, and we're all waiting for the International Police force that is supporting the Haitian Police force.
Speaker Change: Comes in and is deployed in a more meaningful way.
Speaker Change: Yeah.
Speaker Change: All it would take is for the situation to improve in the economy can kick off again.
Speaker Change: A large number of our service stations for example are not accessible right now what it would take is for.
Speaker Change: The situation in the capital to come down and then business can resume so things could shift on a dime.
Speaker Change: And.
Speaker Change: This is a country, where we had very good business until it is unfortunate kind of civil war outcome Trumpf.
Jacques Cousteau: Jacques Cousteau short follow up.
Jacques Cousteau: Well, we've already known for a number of years and we have been.
Jacques Cousteau: Talking about this in a kind of minimalist way from an investment perspective, and our spending perspective, but.
Jacques Cousteau: Right now.
Jacques Cousteau: We're in a situation where it would honestly be difficult to do worse in 2024.
Speaker Change: No I'm not going to say, we're very confident but were at least optimistic.
Jacques Cousteau: On the results improving.
Speaker Change: As Jack said, if the environment were to improve and we'd be able to get back to.
Jacques Cousteau: Much better business very quickly.
Jacques Cousteau: We also.
Jacques Cousteau: You made a number of decisions the Haiti situation should be seen as the bottom of the trough right now and what we need to do is make sure we keep market share versus our competitors. We've deployed a number of logistic means to achieve that we got two boats that we'll be getting.
Jacques Cousteau: In two the region at the end of this month and the end of next month that should increase our ability to supply our clients. We have a lot of clients that aren't receiving fuel lots of service stations that aren't receiving fuel.
Jacques Cousteau: So we're hoping that 2025 will be a bit better.
Jacques Cousteau: Yeah.
Emmanuel: The next series of questions comes from Emmanuel metal from the first question.
Emmanuel: What of the discussions with the Kenyan authorities on.
Emmanuel: Reevaluation of the unitary margin should we be concerned for photo sole ft energy purchase prices changes.
Emmanuel: It could.
Emmanuel: The government limit Agri volt take farms.
Emmanuel: What about the maritime transport bitumen next up why have you not give us given us any guidance for net profit for this financial year.
Emmanuel: When you did in the previous years.
Emmanuel: And what.
Speaker Change: What will happen after Mrs. Misters Goober Henri you leave for governance in 2027.
Speaker Change: Well first of all I would like to reassure you that to rubis is.
Speaker Change: Corporate structure will not change the management Committee governance.
Speaker Change: Is being adjusted.
Speaker Change: Given.
Speaker Change: She'd Gabon myself stepping down.
Speaker Change: But you shouldn't expect a second step coming behind it.
Speaker Change: And the discussions of margins in Kenya, I think Theres yonker stuff is kind of already answered that in his previous answer.
That.
Speaker Change: The first effects that we've been expecting for a while.
Speaker Change: Likely to come in in two days.
Speaker Change: So there will be a first upward valuation.
Speaker Change: On the 15th.
Speaker Change: She is very good news for Kenya.
Speaker Change: As to solar energy purchase prices carries.
I think this is.
A reference to what is known as PPE three.
Speaker Change: Targets will remain in the range as was announced.
Speaker Change: And.
Speaker Change: Cuts for soda will not affect ground base solar farms.
So for the time being we're not expecting any issues and we don't see any particular roadblocks for developing protocell and our development plan.
Speaker Change: A word on bitumen now.
Indeed, there are still opportunities to do.
Speaker Change: <unk> bitumen in African regions.
Speaker Change: We recently entered the South African market with a great outlook for growth that I set out so kind of first answer.
Speaker Change: We've also been able to strengthen our position in Angola, Angola is important because we.
Speaker Change: We have important development projects on the short to medium term and also potentially in this is currently being studied way into the Democratic Republic of Congo.
So yes, there are still opportunities on bitumen and we're working on them.
Speaker Change: And finally to answer the lack of guidance on net profit for the year, we're giving you our operating guidance.
Speaker Change: I've given you some ideas of.
Speaker Change: The net debt situation you know how much we're being taxed.
Speaker Change: And you also know that there's a fair amount of volatility when it comes to foreign exchange markets. Although as I have said, we want to make sure we can keep those losses to a minimum.
Speaker Change: Okay.
Speaker Change: I think that based on that you can come up with your own estimates and also.
Speaker Change: We have that hyperinflation standard that could create some volatility in our accounts and.
Speaker Change: It actually doesn't really help understanding the performance of the group.
Speaker Change: So that's why we have decided I have decided to not give a precise guidance either at least don't want to commit to our guidance on net profit.
Speaker Change: Theres volatility under EBIT down.
Speaker Change: And that's why we have preferred to provide guidance and we're comfortable in providing for creating value and operational performance.
Speaker Change: And please understand that we are doing the best we can.
Speaker Change: Next question from Mohammed more sour.
Speaker Change: Given the current low valuation of the shares why not replace a dividend payout with a share buyback program that would be more optimal for shareholders and would create more value than paying out a dividend.
Speaker Change: Wow, that's a big topic there.
Speaker Change: And quite a theoretical kind of abstract debate as well.
Speaker Change: Share prices.
Not always predictable.
Speaker Change: Especially when you've got share buybacks.
Speaker Change: In theory, it can create value sometimes though.
Speaker Change: It is important to realize that for this year. So the year that we're discussing we also did have.
Speaker Change: Share buybacks with a view to canceling their shares.
Speaker Change: To offset a small dilution that may have occurred due to.
Speaker Change: Awarding shares two stuff.
Speaker Change: That's only part of the answer but indeed.
Speaker Change: We have been discussing things we have ongoing open channels of communication with our shareholders and for the time being we're not expecting.
Speaker Change: Expecting any major share buyback programs as the question implied.
Speaker Change: We have Nikola why you.
Speaker Change: Asking can you give us an estimation of the extra temporary tax in France in 2025.
Speaker Change: Can you explain the difference between the managing and known managing members of the board.
Speaker Change: And what is the amount you would consider for further acquisition so maximum leverages.
Speaker Change: <unk>.
Speaker Change: Continuing to invest in Photoshop, well for that first question I'm not sure I can really answer you.
Speaker Change: What I can tell you is that our recently.
Speaker Change: Temporary things have ended up not being all that temporary but that's maybe it's just my opinion on the matter.
Speaker Change: Now the difference between managing non managing members given our corporate structure.
Speaker Change: We have.
Speaker Change: As you can go back and myself, who.
Speaker Change: We have a mandate from the share holders and shareholders of course.
Speaker Change: And then the company.
So we have.
Speaker Change: Have finite at.
Speaker Change: We have control over our assets.
Speaker Change: The managing members in charge of managing the group.
Speaker Change: And they can either have a.
Speaker Change: A mandate from the shareholders are not known as commodity or not in French law.
Speaker Change: So.
Speaker Change: Our two new members would receive that commodity status.
Based on shareholder decisions and.
Speaker Change: Moving them to other parts of our corporate status would be a different consideration that won't be being put to the shareholders.
Speaker Change: There would be five managing members.
Speaker Change: By the end of the year.
Speaker Change: <unk> Goodbye and myself would be putting out a year and a half after that.
Speaker Change: So that will be the end of a long process.
Speaker Change: There were all sorts of steps that we expected.
Speaker Change:
Speaker Change: So that the transition is done in a <unk>.
Speaker Change: Predictable and solid way.
Speaker Change: And this is the.
Speaker Change: The next step working with.
Limited by shares members.
Speaker Change: Okay.
Speaker Change: And this will lead us to longer term evolution within the group I don't know whether there was another question as part of that.
Speaker Change: There was that question on French taxes.
Speaker Change: I think that this extra tax is going to have minimal impact on us in 2025.
Speaker Change: Okay.
Speaker Change: And that was our final question.
Speaker Change: Yeah.
Speaker Change: The amount available for M&A.
Speaker Change: Okay.
Speaker Change: That's kind of an interesting question.
Speaker Change: Probably for a managing members, but I think I can answer part of it.
Speaker Change: So the question related to potential leverage gearing.
Speaker Change:
Speaker Change: You could look at corporate debt.
Speaker Change: Our banking Covenant says we've discussed are at about 3.5 X EBIT.
Speaker Change: We're at 1.4 right now.
Speaker Change: And managing directors would probably tell you that they would.
Speaker Change: Prefer lower gearing.
Speaker Change: Two maybe two five years I can agree that is indeed the case.
Speaker Change: We tried to remain reasonable but.
Speaker Change: I'd also like Q2 remember.
Speaker Change: That with the sale of Ruby terminal there was a significant windfall capital gains and that means that.
Speaker Change: Borrowing potential is solid as mark has expressed.
Speaker Change: We're not setting an M&A envelope because.
Speaker Change: Is it wouldn't really make sense to paint.
Speaker Change: Paint ourselves into a corner like that.
Speaker Change: But we are keeping our eyes open for the right asset in the right place.
Speaker Change: And this is something that we've been doing well for decades now within the group.
So there's no risk that we would engage at the financial situation of the group too.
Speaker Change: Overreach, but.
Speaker Change: Please remain assured that we will be dynamic and looking at new targets.
It feels like we're coming out of a period of cheap money with.
Speaker Change: The COVID-19 period, and low interest rates and now we can maybe start seeing opportunities brought out by groups that are looking to divest from some of their own assets.
Speaker Change: And we're keeping our eyes open we are studying a number of opportunities.
Speaker Change: It's the kind of thing we want to talk about but we cant really at all.
Speaker Change: So, let's let's be honest.
Speaker Change: I'm, not saying that that's something that will be announced tomorrow.
Speaker Change: Do we have another question sure number two questions from Mr. Lombardi, So you're indicating mid term god for that.
Speaker Change: <unk> LPG fuel for Africa can you.
Mr. Lombardi: Detailed the revenues in each of these segments. Currently second question average growth rate for Ruby energy consolidated for the next few years.
Well Africa.
Mr. Lombardi: Is 40% of the business give or take a L. P. G. We don't really talk too much in revenue rather more in margin terms a L. P G.
Mr. Lombardi: The 30% of the business bitumen, 25% and few.
Mr. Lombardi: The remainder of 45%.
Mr. Lombardi: It's weighed by margin because the cost of petroleum products vary greatly in nominal terms, but of course, our business is based is margin based.
Mr. Lombardi: And.
Mr. Lombardi: The solid serious a benchmark really is that the heart of our business and mid term trend Junkies, John Bair show on said earlier, saying that organic growths of Ruby and achieved very solid 5% growth amounts. This year, that's a trend.
Mr. Lombardi: Set to continue.
Speaker Change: Next I have three questions from a genre or the first concerns.
Mr. Lombardi: PV.
Speaker Change: So asking when are you going to get rid of this nonprofit bolt business and secondly changes of Gaba Nancy's out skiing as part of the new functions that the supervisory board decided on the diversification strategy in renewables hydrogen solar and how was 2024.
For Heidrick, the supervisory board has a prior opinion on important strategic transactions are the group that is all strategic.
Transactions that are important for the group that's to say old sectors in which we invest and the supervisory board provide serious solid support to the extension of our activities on LOE.
Speaker Change: Cob and the Gs, notably.
Speaker Change: Solar PV.
Speaker Change: I think that was the second question when would we sell I think the first court when are we going to sell further so.
Speaker Change: That's not on the.
Speaker Change: The cards.
Speaker Change: At present for further so we entered the market in order to develop expand that.
Speaker Change: That business.
Speaker Change: And industrial terms.
Speaker Change: Leveraging for that.
Speaker Change: Projects.
Speaker Change: Very high growth rates that.
<unk> exist in Europe.
Well as a particularly in France, it's extremely difficult to find markets in which.
Speaker Change: Yeah.
Speaker Change: Yes.
Speaker Change: The governments have committed.
Speaker Change: Double digit growth at that level, it's an opportunity.
Speaker Change: We wish to focus on like any accelerated development in.
Speaker Change: Business such as this we need to wait a few years.
Speaker Change: In order.
Speaker Change: Two.
Speaker Change: See the results rise to the.
Speaker Change: Ambitious levels that.
Speaker Change: We have set our sights on said to consider that since we invested that is about two and a half years ago.
Speaker Change: We.
Speaker Change: Have have.
Speaker Change: The increase the secured pipeline.
One giga.
Speaker Change: But one 1.5 giga by the end of the year, a tripling said the value of these activities.
Speaker Change: This asset isn't measured in terms of.
Speaker Change: EBITDA or net income at a particular moment in time, but the secured.
Speaker Change: Capacity the installed capacity in the very serious pipeline that is expanding rapidly so it's something which in terms of.
Speaker Change: EBITDA of the <unk>.
Speaker Change: Management metrics must be assessed seriously over the next two years, let me add.
Speaker Change: Vote.
Speaker Change: <unk>.
Speaker Change: Have filed 650 megawatts of.
Speaker Change: Permits in 'twenty 'twenty father was 600.
Speaker Change: The previous year to give you a point of comparison when we took over the business. There are only 300 megawatts installed so 600.
<unk>.
Speaker Change: Permits are planning.
Planning.
Speaker Change: Permission granted over a.
Speaker Change: A year year and a half.
Speaker Change: To the tune of 90%.
Speaker Change: Serve as the basis for future cash flow.
Speaker Change: They've been built and it's this process that is put.
Speaker Change: Put in place and.
Speaker Change: The.
Speaker Change: Permits will generate the secured pipeline and over the next.
Speaker Change: A few years, we'll generate the expected cash flows were in a period of a hockey stick where.
Speaker Change: Major investments that now's, the time to invest and we mustn't be worried by announcements made.
Speaker Change: In some quarters.
Speaker Change: This PV business in France, notably because we.
Speaker Change: Believe.
Speaker Change: That the.
Speaker Change: Targets in terms of PV plants grown base that our specialty.
Speaker Change: They won't be amended in.
Speaker Change: Forthcoming legislation that's worth it.
Speaker Change: It seems to be most likely okay.
Speaker Change: Few for some future contracts that are being called into question.
Speaker Change: On small smaller facilities roof base, notably for which the price of megawatt are the price of.
Speaker Change: Electricity is a lot higher this is an adjustment that can take place but for us. We're the only effect a very minor portion of our activities where really the specialists.
Speaker Change: Large scale ground based installations in France, and increasingly abroad, because we've already begun to invest in Italy, and excellent economic condition and so on.
Speaker Change: My question's on the offtake.
Speaker Change: Electricity prices concerned as 'twenty one for small.
Speaker Change: Ground based plants up to 500.
Speaker Change: Killer awards with a subsidized prices that's not at all the further solar market.
Speaker Change: Several questions now regarding the disposal of Ruby's terminal.
Speaker Change: That Oh, the first four buckets are with the ramp up of LPG that style of storage is not a mistake ex posed second question how will be split the rest two of.
Speaker Change: The disposal of Rebase terminal and.
Lastly.
Speaker Change: No those are the only two questions on revisit terminal storage group is terminal was storage for third parties had nothing.
Speaker Change: To do with the LPG distribution activity Ruby energy has a holdings and its own storage facilities in front has no link whatsoever with the activity of Ruby terminal.
Speaker Change: On the proceeds.
Speaker Change: To be received.
Speaker Change: Over the next three years will be.
Speaker Change: Receiving a total of 260 million euros over three years on them.
Speaker Change: Spread over the next three years on an equal basis.
Speaker Change: And.
Speaker Change: The proceeds of that disposal, we hope we'll see.
Speaker Change: For further M&A.
Speaker Change: Further expansion so the disposal of Rebids terminal or as part of our.
Speaker Change: A more long term vision, it's a very fine business without a doubt, but we'll have to adapt constantly to market.
Speaker Change: Changes for <unk>.
Trillium based.
Speaker Change: Fuel.
Speaker Change: <unk> in France, and Europe, so we.
Speaker Change: I wanted to move.
Speaker Change: In a market that's attractive which is that.
Speaker Change: Producing.
Speaker Change: Low carbon electricity next time I have two question from Michelle Shufu the first.
Speaker Change: Concerned solar and the tariff changes in France, we've already answered that question. The second concerns governance why are you so attached to the partnership structure really is that.
As a part in history because of a better alignment of stake hold why not.
Speaker Change: Transfer that into an ordinary share clause that of the limited partnership and emails also asking what fundamentally justifies maintaining the partnership because the risk.
Bankruptcies very remote well. Thank you for that assessment that reassures me and ties in with my own view I have every confidence in the strength of the group and its ability to continue to expand nevertheless, the responsibility.
Speaker Change: <unk> remains and it's a it's a very real.
Speaker Change: Well it's a.
A long standing debate over 30 years of the life of the group. It's often been mentioned in the decision taken from day one was.
Speaker Change: To ensure a distribution of capital, that's very very fluid and highly fragmented, allowing shareholders to enter or exit very easily with a partnership.
Speaker Change: That brings to.
Speaker Change: The company visibility.
Speaker Change: Uh huh.
Speaker Change: Stability and so it's a straight up.
Speaker Change: Is maybe goes back a long way in the history.
Speaker Change: Great companies in France that still operate under that set up but don't think that they're facing that choice. It brings the long term.
Speaker Change: Perspective too.
Speaker Change: Develop investment policies over several years not over the very long term, but over several years.
Speaker Change: PV that sometimes far more.
Speaker Change: If nickel for joy.
Speaker Change: <unk> stock companies with highly fragmented.
Speaker Change: Share ownership gives stability to the.
Speaker Change: <unk>.
Speaker Change: The employees mustn't forget that and it is.
Speaker Change: <unk>.
Speaker Change:
Speaker Change: Constance.
Speaker Change: Entrepreneurial family based company is set up that some may not like but it has strengthened solidity. That's proved this was there is some <unk>.
Speaker Change: Very good.
Speaker Change: Studies on the family based companies and the growth for.
Speaker Change: Shows that they've always performed well.
Speaker Change: Of course.
Speaker Change: Recognize the share prices are not satisfactory, it's set as far as no one including in this.
Speaker Change: But the solidity the strength of the group the cash flow is that.
And the.
Speaker Change: Managing partnership offers.
Speaker Change: The perspective don't know if we've answered all your question.
Speaker Change: No further questions.
Speaker Change: On the line I think we've.
Speaker Change: We've done the rounds.
Speaker Change: So.
Speaker Change: Since we have no questions.
We've.
Speaker Change: So.
Speaker Change: All the questions that you were kind enough to Oscar thanks for joining us once again and.
Speaker Change: We hope to see you.
Speaker Change: When we print.
Speaker Change: Present, the results of the first half 2020, probably thank you have a pleasant evening.
Speaker Change: [music].
Speaker Change: Yeah.
Speaker Change: Yeah.