French boatbuilding giant Beneteau Group has revealed its revenues came to €229m for the first quarter of 2024, following the application of IFRS 5, down 39 per cent.

This downturn comes from a high basis for comparison after the group reported revenues of +57 per cent for the first quarter of 2023. Last year was a strong year for Beneteau, with the group achieving record financial performance.

Looking beyond the base effects, the group says this change in business is linked mainly to the change in dealership inventory levels.

“For Groupe Beneteau, the first quarter of 2024 is in line with our roadmap,” says Bruno Thivoyon, Groupe Beneteau’s chief executive. “It confirms the return to a more traditional seasonality in terms of deliveries, following an exceptional first quarter in 2023, which benefited from a normalisation of sourcing conditions and a restocking by distributors.

“In an environment that continues to be marked by a wait-and-see approach, affected by higher interest rates, the group is moving forward with its innovation and premiumisation strategy. With the positive response to the new models, presented at the spring shows or private events, and the industrial adaptation measures rolled out at the start of the year, the boat division expects to record an operating margin of between 7 per cent and 10 per cent in 2024, despite the market slowdown.”

Beneteau Group Q1 2024 results

Bruno Thivoyon CEO

Bruno Thivoyon, Groupe Beneteau’s chief executive

During this first quarter, the impact of the slowdown in demand and the destocking across the networks have mainly impacted the motor business, which is down 50 per cent in 2024 following 47 per cent growth during the first quarter of 2023. The number of units delivered contracted by 65 per cent over the quarter. Beneteau says ‘premiumisation’ across all its dayboating and real estate on the water segments limited the impacts on revenues.

The main drivers behind this include the launch of the M48 and M8 catamarans for the Prestige brand and the TH36 for Four Winns, as well as the release of the DB 37 by Jeanneau, the Antares 12 by Beneteau and the F4 by Prestige.

Following a strong performance during the first quarter of 2023 (+81 per cent), the sailing business was more resilient (-25 per cent.) The contraction focused on the monohull models, while sales of multihulls stabilised over the period.

The housing division’s sales climbed to €120m during the first quarter, up 16 per cent from 2023. This growth was supported by a still robust camping tourism market in France and the development of this activity in Southern Europe. Export deliveries represented more than 25 per cent of leisure home sales for the quarter (vs. 20 per cent in 2023).

In accordance with IFRS 5, the group has restated its housing division’s revenues under “operations held for sale.” The sale is subject to approval by the French competition authorities, who are expected to respond by the end of the first half of 2024.

Outlook for 2024

The boat division has maintained its forecast for an ordinary operating margin ranging from 7 per cent to 10 per cent of 2024 full-year revenues.

This outlook factors in the level of interest rates and the impacts of destocking within the distribution networks; visibility over the level of business for the coming boat season is focused mainly on the premium segments.

The year 2024 will also be marked by the release of new product innovations, such as the new Beneteau Trawler 54 and Prestige F5, as well as the new Lagoon 43 and Lagoon 60 catamarans, which will help drive growth for the boat division’s various segments.

The combined general shareholders’ meeting will be held on June 4, 2024.

Groupe Beneteau will report its 2024 first-half revenues on July 22 (after market close), and
its 2024 half-year earnings on September 25 (after market close).

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