AOF Agenda / Societies of France – Wednesday 7 April 2021

(AOF) – Europcar Mobility Group

The car rental specialist will publish their annual results.

AOF – Learn more

Key points to remember about Europcar

– 3rd place in the world and European leader in car rental, established in 1949, with a market share of 20%, under the brands Europcar, Goldcar for low-cost entertainment, ubeeqo, ecar or brunel for new mobility;

– Business volume of 2.95 billion euros, divided into 4 divisions, car rental by 73%, low cost 14%, facilities by 12% then new mobility – car sharing, scooter sharing, etc.

– Strong presence in 140 countries, with prime location in 9 of them – Germany, Australia, Belgium, Spain, France, Italy, New Zealand, Portugal and the United Kingdom, and franchise networks elsewhere;

– A business model based on seeing the volume of sales through partnerships with transport and tourism groups, ensuring a third of the income, then through the strategy of integrating franchisees, and finally diversification into new means of mobility

– The share capital is 29.5% owned by Eurazeo, and Jean-Claude Bailey, Chairman and Managing Director, Caroline Barrott;

Tense financial situation, with a high debt of 3.2 times the operating result at the end of 2019 and debt to finance the vehicle fleet, recorded off the balance sheet.


– SHIFT Roadmap 2023: Increase core business – rental of cars and utilities – expand urban activities, develop business services, and double the active customer base to 15 million;

Fox Integration.

Innovation strategy

Higher digital revenues (76%), ahead of agencies (14%) and call centers;

– mobility services through acquisitions or long-term partnerships with € 80 million in planned investments, including 25 in the “laboratory”;

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Environmental strategy

The environmental strategy focuses on fleet electrification and the circular economy.


– a very competitive and unstable sector due to the arrival of car sharing and car use companies with two main indicators, fleet use – 76.1% – and the cost of its unit – 226 euros;

– sensitivity to air transport, in which more than 40% of the sales volume of the agencies located in airports and seasonality of the activity is achieved, and 9/10 of the total operating surplus is generated during the second and third trimesters of pregnancy;

Strong sensitivity to economic activity in Europe (nearly 80% of revenue, including 20% ​​in the UK and 16% in France);

– Epidemic adaptation plan: – Reducing the cost and fleet size, renegotiating contracts and working for a short time – Cash flow: In mid-April, 36 million euros of financing lines are guaranteed by 70% by the Spanish state for an amount of 36 million euros and support initiatives with the state French via BPI (220 million euros expected) and in other countries in which it operates;

Postponing the general assembly meeting before the end of June 2020.

The unification movement must take place

According to a study by Roland Berger and Lazard Bank with 600 companies around the world, car suppliers suffered badly from the decline in the auto market during the first six months: Operating margin (Ebit) decreased 1.7%. (Compared to 5.1% last year). Its debts have increased and, in most cases, exceeded three times as much as EBITDA. According to the study, after global sales of new light vehicles should not exceed 72 million in 2020 (- 20% in one year), subcontractor revenues will decrease by 15% to 20%. In this sharply deteriorating context, the number of mergers and acquisitions transactions, which should decline again in 2020, should rebound next year. In a sector undergoing transformation, not all firms will have the means to adapt their production equipment to the electrification of motors, for example.

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