Press kit – MECAPLAST 60 th Anniversary

1955 - 2015
MECAPLAST is celebrating its 60th
anniversary!
PRESS KIT 03/19/2015
PRESS CONTACT
Stéphanie Bianco
Group Communication Manager
4/6 avenue Albert II - 98 000 Monaco
+377 92 05 52 81
[email protected]
www.happy60mecaplast.com
CONTENTS
I. THE KEY STAGES
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1. Expansion (1955 - 2012)
2. A new MECAPLAST (2012 - 2014)
3. Developments in 2014
II. FINANCIAL RESULTS
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1. 2014 Results
2. Distribution of turnover
III. INNOVATION
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IV. PROSPECTS
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MECAPLAST IS CELEBRATING ITS 60th ANNIVERSARY!
The Group who designs, develops and manufactures plastic parts and complete
systems for vehicle Car body and Engine is celebrating its 60th anniversary!
In 2014, the automotive equipment manufacturer achieved a turnover of €679 M
and employed 6000 people in 16 countries.
Our main product categories are the following:
ENGINE:
⇒ Air intake system and filtration
⇒ Air intake manifold
⇒ Cam cover
⇒ Thermostat housing
⇒ Covering parts
⇒ Oil circuit parts
CAR BODY:
⇒ Interior trims or trunk trims and
roof console
⇒ Exterior car body systems
⇒ Front modules and trucks storage
modules
MECAPLAST Group supplies the world's leading car manufacturers, including:
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I. THE KEY STAGES
1. Expansion (1955 - 2012)
a. The adventure begins: 1955
On 15th March 1955, Charles Manni founded MECAPLAST and decided to rise up to the
challenge of plastic, a new revolutionary material. The company then employed 5 people in
a small apartment in Monaco. The first plastic part manufactured was a plug for an
electrolytic capacitor for radio sets.
In 1964, MECAPLAST manufactured its first car part: a plastic cooling fan for the Peugeot
204.
MECAPLAST confirmed its entry into the automotive sector in 1974 with a 2nd Customer:
Renault.
Bolstered by its success, the company continued its development outside of Monaco and
established a plant in Valréas (France) in 1985.
Plastic cooling fan for the Peugeot 204
b. The conquest of Europe and international expansion:
1988 - 2002
In 1988, MECAPLAST opened its first plant outside of France/Monaco in Seseña (Spain).
That same year, MECAPLAST manufactured a plastic cylinder head cover, a world first!
This was the beginning of a major driving force of innovation.
The company continued to grow by establishing the 1st Engine Skills Centre in Lens (France)
in 1991 and a plant in Gebze (Turkey) in 1993.
In 1997, the company set the course for China and created a Joint Venture with a local
company in Wuhan (China).
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In 2002 - 2003, MECAPLAST experienced strong growth with the purchase of the NEYR
and ARIES Groups. The company acquired new sites in Spain, Italy and Mexico, and
continued its international expansion with the construction of a plant in Shanghai (China)
and São Paulo (Brazil). MECAPLAST became the MECAPLAST Group.
In 2007, the economic crisis affected the entire automotive sector and MECAPLAST was not
spared from the decline in production.
In August 2009, being considered a strategic equipment manufacturer by PSA and
Renault, the company benefited from the support of the Fonds de Modernisation des
Equipementiers Automobiles (FMEA: Modernisation Fund for Automotive Equipment
Suppliers) which acquired a 33% stake in the company. The Manni family retained 67% of
the capital.
In 2010, the Group opened a plant in Chennai (India).
In 2012, the Zrenjanin (Serbia) and Yantaï (China) sites were established.
Chennai plant (India)
Opening of the Zrenjanin plant (Serbia)
2. A new MECAPLAST (2012 - 2014)
In 2012, the Group suffered a cash-flow crisis and a new CEO was appointed: Pierre
Boulet.
The new Management team then brought about a profound change: the company was
reorganised into Business Units, strategic areas were redefined, and new internal processes
were optimised and deployed.
Several action plans were thus implemented:
⇒ optimisation of production facilities
⇒ optimisation of the workforce throughout the Group
⇒ reorganisation into customer-focused Business Units
⇒ improvement of cash-flow management and development of a cash culture
⇒ launch of the SMART project (Strategy, Management & Attitudes, Rules & Tools):
revising some 400 procedures; training 450 managers, centring the company culture
on the 7 Values and 5 Focuses of the Group; involving all in the creation of the Group
strategy
⇒ international development mastered in high-growth areas
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These action plans allowed an improvement of our results since 2013.
In 2014, the Group's results were consolidated with an approximate 4% increase in
turnover and a 22% increase of our EBITDA vs 2013 (excluding non-recurring items).
3. Developments in 2014
a. Strategic redeployment of the Monaco site
Between 2008 and 2013, MECAPLAST Production saw a 38.5% decrease in turnover,
which dropped from €25.6 M to €15.7 M. The projected turnover for 2014 and 2015, at
€12.8 M and €9 M respectively, confirms this downward trend.
In order to be able to once again position itself at the level of the market prices, MECAPLAST
Production reduced its workforce, cutting 65 jobs from a total of 140. This strategic shift was
accompanied by the establishment of FOREPLAST, an entity dedicated to markets outside of the
automotive sector. At this point in time, notice has been given for 60 jobs and 5 remain to
come in March.
45 of these result from voluntary departure requests.
b. Expansion of our plants
MECAPLAST continued its development strategy and chose to strengthen its position in three
priority areas: Asia, the Americas and Europe.
Extension of the Peterlee site (United Kingdom).
A total of 3400 sqm, including 1200 sqm additional production space, 1000 sqm storage
space and 1200 sqm covered space, to meet the requirements of the manufacturer Nissan.
This extension will allow the site to double its turnover.
Optimisation of the Puebla site (Mexico).
The plant was reorganised and optimised with the aim of improving the production flow
and logistics. In total of 1060 sqm of additional production surface. This method of
organisation today represents a model for other plants in the Group.
Extension of the Gebze site (Turkey).
The plant (the largest in terms of turnover and workforce) increased its production capacity
by 3600 sqm, restructured its logistics centre and modernised its layout. Every week it
manufactures 10.000 roof bars, mainly for Toyota and Dacia.
The site will be inaugurated on 9th April 2015.
Gebze plant (Turkey)
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c. Strengthening our presence in China
Transfer of the Shanghai site.
The site was transferred to the Shanghai Industrial Park. The move allowed us to group the
plant and the Technical Centre in the same area for improved industrial integration.
Shenyang site.
MECAPLAST will inaugurate its 4th site in China in September 2015. Located in the northeast of the country, the 10000 sqm site benefits from a strategic geographical location,
close to General Motors and BMW. The plant currently employs 67 individuals with an
estimated turnover of €20 M in 2018.
Shenyang plant (China)
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II. FINANCIAL RESULTS
1. 2012 - 2014 Results
In 2014, MECAPLAST confirmed the improvement of its financial performance with positive
results:
⇒ a €679 M turnover, up 2.7% from 2013, mainly driven by
industrial activity (+6.7%). This rise reaches 3.9% excluding non-recurring items
⇒ a rise in margin of 2.1% against 2013 and which is up 1 point in sales compared
to 2013 and excluding non-recurring items
⇒ a net debt that reached €65 M on 31st December 2014 to enable Group
development with close to €30 M in new investments in 2014
Revenue (€M)
EBITDA
% total net sales
Net debt (€M)
2012
2013
2014 (estimate)
663
17.6
2.7%
55
654*
38.7
5.9%
50
679
47.1
6.9%
64.7
*Figures adjusted, excluding non-recurring items
2. Distribution of turnover
Development of turnover by Customer
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2012
2018
2014
Development of turnover by production area
- The France/Monaco area, with €224 M, saw its share in the Group's turnover reduced by
11 points in relation to 2012 (36% versus 47% two years earlier), thus allowing
dependence on its historical market to be diminished.
- The Western Europe area, driven by the growth of the Peterlee plant (United Kingdom)
which multiplied its activity by 1.8, and Spain (+28%), up 3 points in 2 years to reach 22%
of the 2014 Group turnover. MECAPLAST Peterlee is one of the main suppliers for Nissan,
which manufactures its best-seller, the Qashqai, in England.
- The Eastern Europe/Turkey area experienced a 39% increase from 2012 to 2014, thus
gaining 3 points and totalling 18%. A step up in production at our Zrenjanin site in Serbia
was added to the sustained growth of our Czech and Turkish sites.
- The Asia area represented 15% of Group turnover (up 4 points compared to 2012).
In spite of difficulties in the Indian market in 2013, the Chennai site grew 84% in 2 years.
China experienced sustained growth (+48% between 2012 and 2014), with a stepping up
of production at the recent Yantai site (2012) and the strong performance of our Shanghai
(+25%) and Wuhan (+47%) plants which benefited from the growth of DPCA volumes.
The new Shenyang site only began operations at the end of the year and had little impact
on the 2014 year. The new plant should sustain the growth of MECAPLAST in China for the
financial years to come.
- The Americas area represented 9% of MECAPLAST activity in 2014. Despite difficulties in
the Brazilian market in 2014, our São Paulo site increased 8% over 2 years.
In the same period, the NAFTA area remained stable with slight growth in the Puebla site in
Mexico, and highly favourable prospects which led MECAPLAST to establish a new site in
Silao, Mexico.
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III.
INNOVATIONS IN 2014
Our 400 engineers in our 3 Skills Centres and 5 international Technical Centres work in
simultaneous engineering.
In 2014, 12 patents and 50 Soleau envelopes were filed and the Group anticipates new
breakthroughs in innovation. The Group also revived its participation in the Customer
Innovation Day (PSA) and professional trade shows (ITB in Detroit / Engine Expo in Stuttgart,
etc.).
Today MECAPLAST is a stakeholder in 12 collaborative projects that were initiated and
financed by the Fonds Unique Interministériel (FUI: Single Interministerial Fund) or the
European Union for whom the Group is developing its innovations and products of
tomorrow.
A smart car.
⇒ A swivel boot floor for easier access to objects stored in the boot.
⇒ A vacuum cleaner connected to the engine of the vehicle allowing the
interior to be cleaned independently.
⇒ An adjustable boot interior that can be adapted to the items being
transported.
⇒ Smart trims to assist driving.
A lighter vehicle.
⇒ Innovative process allowing a 30% reduction in weight of interior trim parts
(collaborative projects: FoamIN, Plume, ARIZONA etc.).
A cleaner engine.
⇒ A 100% recycled air filter.
Electric vehicles.
⇒ A battery rack made of plastic (OPERA4FEV project).
"Metal to Plastic".
⇒ A plastic oil sump.
⇒ Plastic structural parts.
At the end of July 2015, MECAPLAST will finalise its first full-size SMT1 demonstrator (SMART
MECAPLAST TRENDS 1). It will include the Group's latest Product/Process innovations.
In 2014, MECAPLAST invested 3% of its turnover in innovation and/or R&D.
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IV.
PROSPECTS
Silao site (Mexico).
The Group is strengthening its position in Mexico, with a second plant undergoing
construction in the mid-west of the country. The second plant will manufacture engine parts
for Nissan and General Motors. The 9000 sqm site will be inaugurated in 2016 and will
employ up to 300 individuals.
Central Europe site.
The high level of orders and the business potential identified in future vehicles and engines
make central Europe a strategic area for MECAPLAST.
The Group will extend its production capacity through new investments.
A new site will be launched in 2016.
Central China site
After the development of coastal areas, China is continuing its industrial development inland.
Thus, following recent sites in Yantai (2012) and Shenyang (2014), the Group aims to
continue its deployment in China with a fifth site by 2017, west of Wuhan.
External growth
In addition to strong organic growth in the 2015-2017 period, MECAPLAST hopes to seize
external opportunities for growth to enable it to complete its footprint in Germany, the United
States and Japan.
Construction projects - Silao plant (Mexico)
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In 2014, MECAPLAST achieved a turnover of €679 M with 26 production sites, 16
Customer Service Centres 5 Technical Centres and 3 Skills Centres.
The Group delivered over 170 million automotive parts in 34 countries.
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