Fluidra, the global leader in equipment and connected solutions in the pool and wellness sector, closed 2021 with its best results ever.
The company ended the year with sales of €2,187 million, up 47% compared to 2020, driven by continued demand momentum in Residential Pool and M&A, which contributed c.11%. Net Profit reached €252 million, a 162% up from 2020, while Cash Net Profit stood at €337 million, more than doubling from 2020.
Excellent operating leverage led to 350bps of EBITDA margin expansion, ending the year with 25.1% EBITDA margin and €549 million of EBITDA, a 71% increase from 2020.
Strong cash generation enables leverage ratio to remain below 2x despite significant M&A investments and a larger dividend of €0.40 per share for 2021 (up 90% from 2020).
“These are excellent results which reflect the extraordinary dedication and effort of the entire Fluidra organization to serve and service our customers. The results are confirming the step-change in the industry, with continued solid growth across all geographies in the fourth quarter on top of the strong growth of the second half of 2020” said Eloi Planes, Fluidra’s Executive Chairman.
Very strong performance in all geographies and business units
In terms of geographical areas, annual growth was led by North America, which delivered an exceptional increase of 83% in 2021. Southern Europe was up 31% and the Rest of Europe 33%, while the Rest of the World witnessed a 22% growth.
In terms of business units, Residential Pool registered an increase of 55% in 2021, backed by continuous robust demand and inorganic activity. Commercial Pool recovered well to an increase of 23%. The Fluid Handling business was up by 32% and Pool Water Treatment by 27%, with a strong performance of Water Care Equipment.
Guidance for 2022
The company has also announced its guidance for 2022. Fluidra expects to grow sales between 12% and 17%, with the EBITDA margin standing above 25.5%, with 50bps or more of margin expansion. The company is also forecasting an increase in Cash EPS of between 10% and 16%.
Eloi Planes said: “Medium- and long-term fundamentals of the sector remain strong, with a larger number of installed pools that will generate value in the Aftermarket over time, while technology, connectivity and sustainable products are raising the average ticket”. Eloi Planes pointed out that “We continue to provide attractive and improving returns on capital to our shareholders through our growth, margin expansion and accretive capital allocation”.