ALSTOM booked €19.3bn of orders in the 2021-22 financial year ending March 31, with sales reaching €15.5bn. Adjusted Ebit reached €767m, equivalent to a 5% adjusted Ebit margin.
The results announced on May 11 were the first full annual results released since Alstom acquired Bombardier Transportation on January 29 2021, with the order intake representing a 33% increase on a comparable basis. For the same period last year, under an adverse market environment impacted by Covid-19, Alstom reported an order intake of €9.1bn. As of March 31, the order backlog stood at €81bn.
Europe accounted for €12.7bn of orders during the 2021-22 financial year. This included a €2.6bn framework agreement with Danish State Railways (DSB) which comprised an initial firm order for 100 Coradia Stream regional trains as well as a 15-year full-service maintenance agreement. In Britain, Alstom signed contracts with High Speed 2 (HS2) to design, build, and maintain 54 eight-car high-speed trains as part of a £1.97bn contract in a 50-50 joint venture with Hitachi. Alstom also secured various contracts for suburban and regional trains in Germany, Ireland, Norway, and Romania.
Alstom reported a €4bn order intake in North and South America, securing the €1bn Tren Maya railway project in Mexico. For this project, Alstom will supply 42 X’trapolisTM trains, the full signalling system and maintenance.
The Asia-Pacific region’s order intake stood at €2.3bn. The Alstom-led consortium with Taiwanese engineering and contracting services company CTCI won a contract to provide an integrated metro system for Taipei Circular Line Phase Two, with Alstom’s share valued at more than €430m. In addition, Alstom signed a €300m contract with Victoria’s Department of Transport (DoT) to locally supply 25 six-car X’trapolisTM trains for Melbourne’s suburban rail network.
In Africa-Middle East-Central Asia, Alstom reported a €300m order intake, mainly driven by the contract to provide Casa Transports with 66 CitadisTM trams X05 in Morocco.
Sales amounted to €15.5bn for the 2021-22 fiscal year, representing an 11% increase on a pro forma comparable basis.
Rolling stock reported €4.3bn in sales in the second half of the year, up 2% of the first half of the year, while services reported €1.8bn, up 18% on the first half of the year. In signalling, Alstom reported €1.1bn in sales in the second half, up 10%, while systems delivered €633m in sales in the second half, up +21% on the first half.
Divestments and Acquisitions
To meet the conditions set by the European Commission in relation to the acquisition of Bombardier Transportation, Alstom announced in November 2021 the sale of the Coradia Polyvalent platform, the Reichshoffen site and the Talent 3 platform to CAF, and the transfer of Bombardier Transportation’s contribution to the V300 Zefiro high-speed train to Hitachi Rail. Closing of both transactions is expected in the first half of 2022-23.
Alstom also reinforced its equity share in Cylus, Israel, by participating in its Series B capital increase. CylusOne is a rail-specific, multi-layered, threat detection and monitoring solution powered by advanced Artificial Intelligence and machine learning technology, which is present in Alstom’s CBTC system in Tel Aviv.
Finally, Alstom took over the remaining minority stakes in EKZ, Kazakhstan, and Ubunye, South Africa.
R&D expenses reached €530m, 3.4% of sales.
Alstom says that as of May, the integration of Bombardier Transportation is fully on track, with 80% of key processes converged and encompassing all functions and product lines, including project and tendering, quality and supply chain processes. All product and components convergence were validated, with a clear strategy and product roadmap.