As per the proposal submitted to the Shareholders’ Meeting

The 2017 financial year ended with a Consolidated Net Result of EUR 64.9 million compared to EUR 77.9 million in 2016.

Revenue is EUR 1.361,0 million, an increase compared with the previous year’s value of EUR 1.327,4 million (+2.5%). The revenue increase is due to the greater progress of the projects in Americas and Middle East, partially offset by the decrease following the achievement of the final phase of some contracts in Asia Pacific area and Italy.

Key consolidated figures (M€)31.12.201731.12.201631.12.201531.12.201431.12.2013
restated

% Change
2017/2016

New orders 1,500.8 1,475.8 1,336.0 1,825.0 1,483.6 +1.7%
Order Backlog 6,457.5 6,488.4 6,410.4 6,120.8 5,567.3 -0.5% 
Revenue 1,361.0 1,327.4 1,383.8 1,303.5 1,229.8 +2.5%
EBIT 100.8 126.8 135.8 124.5 117.0 -20.5%
R.O.S 7.4% 9.6% 9.8% 9.6% 9.5% -2.2 p.p.
Tax Rate 34.5% 33.2% 32.0% 34.9% 34.4% +1.3%
Net Result 64.9 77.9 93.0 80.7 74.8 -16.7%
Net Working Capital 127.2 120.5 64.5 41.8 30.7 +5.5%
Net Financial Position (positive net cash) (357.5) (338.0) (338.7) (293.4) (245.5) +5.8%
R&D 41.3 36.7 36.9 33.0 32.0 +12.7%
Headcount (no.) 4.228 3.951 3,772 3,799 3,929 +7.0%
Economic Value Added (EVA) 34.0 57.9 65.8 57.7 54.4 -41.2%
EPS 0.32 0.39 0.47 0.43 0.40 -17.9%

New orders amount to EUR 1,500.8 million compared with EUR 1,475.8 million in 2016, with an increase of 1.7%; in particular to be highlighted the acquisition of related projects, in Italy, at Verona-Padua high speed through the participation in the Iricav 2 Consortium concession holder, following the approval by the CIPE of the first functional lot and, in USA, for the supply of the CBTC (Communication Based Train Control) for the "Baltimore Metro Subway Link".

Order Backlog is EUR 6.457,5 million compared with 6.488,4 million of last year (-0.5%).

Operating income (EBIT) is EUR 100.8 million, a decrease of 20.5% compared with 2016 (126.8 million). Return on sales (ROS) is 7.4%, decreased compared with the previous financial year (9.6%). The EBIT decreased due to the provisions relating to developments in the Northern Europe area (EUR 35.2 million), while in the previous year, it included the provisions for cumulatively lower amounts, related to the outcome of the arbitration in Libya (EUR 8.1 million) and the exit of some strategic figures from the group (EUR 2.4 million). The effect of higher production volumes was offset by the increase in R&D and Marketing & Sales activities.

At 31 December 2017 the Net Invested Capital was EUR 371.5 million, compared to EUR 369.8 million of the previous year.

Net working capital is EUR 127.2 million (EUR 120.5 million in 2016); the reduction in overall inventories due to the increase in the value of advances from customers was offset by the reduction in trade payables and the increase in other net assets and liabilities.

Net Financial Position (positive net cash), amounts to EUR (357.5) million an increase compared to 2016 EUR (338.0) million. The Free Operating Cash Flow is EUR 30.6 million compared to EUR 37.9 million in 2016. Please note that in October 2017, regarding the contract awarded by AB Storstockholms Lokaltrafik ("SL"), concerning the updating of the signalling system of the "Metro System Red Line" section of Stockholm, the Company, after the SL request,  returned part of the advanced payments collected in previous years, for about EUR 34.5 million, in addition to VAT (EUR 8.6 million subsequently recovered) and interest (EUR 2.1 million). The 2016 FOCF was penalized by the effect of the arbitration with ZST related to the project in Libya, for an amount of EUR 37.4 million.