HMSHost - International ¹⁹

 Change
(€m)Full Year 2015Full Year 20142014At constant exchange rates
North Europe 244.6 205.7 18.9% 17.1%
Rest of the world 102.4 72.6 41.1% 35.0%
Total revenue 347.0 278.2 24.7% 21.9%
EBITDA 42.4 35.2 20.6% 18.1%
% on revenue 12.2% 12.6%    

Revenue in the International area increased by 21.9% in 2015 (+24.7% at current exchange rates), rising from € 278.2m the previous year to € 347m in 2015.

In Northern Europe, an increase of 17.1% (+18.9% at current exchange rates) reflects the outstanding performance of Schiphol airport in the Netherlands, additional locations in United Kingdom and the Group’s debut in Finland, at Helsinki airport, where it grossed € 10.6m in its first year of business.

In Rest of world, growth was caused by expansion in Vietnam, Turkey and the United Arab Emirates (which together produced €17.4m more than in 2014) and by the Group’s fine performance at its airport locations in India (Bangalore and Hyderabad).

EBITDA for this area came to € 42.4m (€ 35.2m in 2014), increasing by 18.1% or 20.6% at current exchange rates. Due to the start-up of new operations in Indonesia, in China and at Dutch railway stations, EBITDA as a percentage of revenue was reduced from 12.6% to 12.2%.

Italy

(€m)  Full Year 2015Full Year 2014Change
Motorways 824.6 852.9 -3.3%
Airports 77.6 79.1 -1.8%
Railway stations 36.7 35.1 4.7%
Other 118.4 124.7 -5.1%
Total revenue 1,057.4 1,091.7 -3.1%
EBITDA 65.1 61.9 5.3%
% on revenue 6.2% 5.7%  

Revenue in Italy amounted to € 1,057.4m, showing a decrease compared to € 1,091.7m of the previous year (-3.1%).

Motorways revenue amounted to € 824.6m, with a decrease of 3.3% with respect to the previous year’s E 852.9m, due solely to the reduced perimeter resulting from selective participation in the 2013-14 bidding season (the Group’s exit from various rest areas led to a decrease of € 29m in revenue compared with 2014). With traffic up by 3.2%, 20 sales on a like-for-like basis increased by 0.9% with respect to the previous year. In detail, food & beverage and market revenue showed growth of 1.9% and 2.6%, respectively, while sales of complementary goods (tobacco products and lottery tickets) decreased by 1.4%.

Sales at airports, totalling € 77.6m (€ 79.1m in 2014), fell by 1.8% mainly due to the Group’s departure from Capodichino airport in Naples. Excluding closures during the period, revenue increased by 2.8%.

Sales at railway stations progressed by 4.7%, thanks to the excellent performance of Milano Centrale railway station, where Bistrot took the lead.

The 5.1% decrease in other channels (high streets, shopping centers and trade fairs) reflects the closure of unprofitable locations.

EBITDA in Italy came to € 65.1m, increased by 5.3% as compared with the previous year, and rose from 5.7% of revenue to 6.2%. The improved profitability reflects the overhaul of the production system and logistical chain and the closure of unprofitable locations, which offset the higher rent charged under renewed motorway contracts. Reorganization costs for the year came to € 4.7m (€ 4.2m in 2014).

Other European countries

Change
 (€m)  Full Year 2015  Full Year 20142014At constant exchange rates
Motorways 425.0 416.4 2.1% 0.1%
Airports 147.7 131.6 12.3% 8.1%
Railway stations 122.1 126.3 -3.3% -5.0%
Other * 37.6 38.1 -1.4% -7.9%
Total revenue 732.4 712.3 2.8% 0.3%
EBITDA 49.2 46.7 5.3% 1.4%
% on revenue 6.7% 6.6%

*Towns and shopping malls

Other European countries produced revenue of €m 732.4m, up from €m 712.3m the previous year, increasing by 0.3% (+2.8% at current exchange rates).

Sales in the motorway channel amounted €m 425m, in line with the previous year’s €m 416.4m (+2.1% at current exchange rates); good performance in Germany and Spain offset a decline in Switzerland at motorway locations near the German border, which suffered from the appreciation of the franc against the Euro.

In the airport channel, sales were increased by 8.1% (+12.3% at current exchange rates) due to the solid performance of airport locations in Athens and Brussels and the opening of new locations at Düsseldorf airport in Germany, which generated additional revenue of € 2.5m with respect to 2014.

The performance of railway stations (-5%; -3.3% at current exchange rates) reflects the closure of various outlets in France, partially offset by new openings at Atocha and Chamartin in Madrid.

EBITDA in other European countries amounted to € 49.2m, an increase of 1.4% with respect to the previous year (+5.3% at current exchange rates). As a percentage of revenue it stood at 6.7%, up from 6.6% in 2014. The figure includes reorganization costs of € 1.9m (€ 1.2m the previous year).

European central structure costs

Costs for European central structure amounted to € 8.9m in 2015 (€ 9.0m the previous year, including reorganization costs of € 0.7m).

Corporate costs

At € 25.7m (€ 20.9m 2014), Corporate costs increased mainly as a result of an extra € 3.5m in provisions for management incentive plans, due to the appreciation of Autogrill stock at the end of the year.

19. This area covers locations in Northern Europe (Schiphol Airport in Amsterdam, railway stations in the Netherlands, the United Kingdom, Ireland, Sweden, Denmark and Finland) and other countries (United Arab Emirates, Turkey, Russia, India, Indonesia, Malaysia, Vietnam, Australia and New Zealand)

20. Source: AISCAT, January-September 2015