Shareholders’ news - October 2021

Stéphane Richard, Président-directeur général d'Orange

Dear shareholders,

Orange recorded a solid performance in the first half of 2021, despite the ongoing uncertainty surrounding the pandemic and difficult macroeconomic context in some countries, particularly in Spain. For more than a year now, we have shown our responsiveness and ability to adapt to any situation, even the most extraordinary. Thanks to our teams’ commitment and trust of our customers and shareholders, we have been resilient and responded to our stakeholders’ needs in full. In addition, 18 months after the launch of our Engage 2025 strategic plan, it is proving its relevance, and the growth drivers that we identified are starting to bear fruit. Our investment in fiber, which started several years ago, means we can now respond to our customers’ exploding connectivity needs, in France as in Europe. Business digital transformation is accelerating, and we’ve seized a major opportunity by positioning ourselves in the cloud, big data, and of course cybersecurity sectors. We have also strengthened our presence in Africa and the Middle East, thanks to a rapid growth in the demand for mobile data, very high-speed fixed broadband, and financial services. This region is now the Group's primary growth area. Finally, we are continuing to diversify our activities thanks in part to Orange Bank. While many challenges still lie ahead, Orange has every objective reason to reaffirm its ambitions in terms of growth and value creation by 2023.

Stéphane Richard
Chairman and CEO Orange

 

 


 

Strategy & Growth

In line with our Engage 2025 strategic ambitions – to enhance connectivity and develop our key growth drivers – we’re continuing to increase the value of our fixed and mobile networks and raise our profile in mobile financial services.

 

 

Orange Money, an essential service in Africa

First launched in 2008 in Côte d'Ivoire, Orange Money is now available in 17 countries in Africa and the Middle East and serves more than 50 million customers including 20 million active monthly users. By the end of 2020, 4 billion transactions, amounting to €62 billion, had already been completed via Orange Money.

 

 

 

Environment, Inclusion, Solidarity

As part of our responsible and committed business model, we continue to promote digital inclusion and are proactively optimizing our environmental footprint through a number of major initiatives.

 

 

Orange, a committed Group

Committed, yes! But why and how?
Find the answers in an exciting new format.

 

 

 

First half results 2021

 
 
In millions of euros / Change comparable basis

Revenues

20,867
+ 1.5%

EBITDALaL
from telecom activities

5,890
0.7%

Consolidated net income

- 2,605
 

ECAPEX 
excluding licences

3,845
22.8%

Net debt / EBITDAaL ratio from telecoms activities

1.99x
 

Organic cash flow from telecom activities

840
 

Changes are reported on a comparable basis with the exception of the net income Group share. A definition of EBITDAaL and eCAPEX is available in the glossary of the Orange financial results presentation dated 29 July 2021.

The Group shows its resilience and capacity for recovery
The Group’s financial performance during the second quarter of 2021 demonstrated solid operating results and revenue growth acceleration across the Group. Over this period, Orange reported very strong sales momentum, up 2.6% on a comparable basis. Over the whole of the first half of 2021, sales amounted to €20.9 billion, an increase of 1.5% over one year, driven by equipment sales and IT and integration services, which increased by 18.4% and 8.1% respectively. Africa and the Middle East performed particularly well, posting exceptional double-digit growth, driven by voice, mobile data, fixed broadband, and Orange Money.
The Group benefited from the very good results in Africa, Middle East, and Europe (excluding Spain) at the end of the first half of 2021, which meant EBITDAaL has stabilized and would have increased excluding co-financing projects. Orange’s consolidated net income reported on 30 June 2021 was down €3.7 billion, mainly due to asset impairments in Spain reflecting the downward revision of the short-term outlook.
In line with its Engage 2025 strategic plan, the Group remains focused on creating long-term value for its stakeholders and is therefore capitalizing on the excellent performance of its growth drivers – including the Africa and Middle East region, B2B market, cybersecurity, mobile banking, and infrastructure – to confidently set out its 2023 ambitions.

  Consolidated results

 

Convergent customers

11.2 M

+3.4%

Mobile services

 218.4 M acces

+5%

Fixed services

44.8 M acces

-0.8%

10.3 M FTTH customers out of 51.8 M connectable households

Financial services

1.6 M customers in Europe

0.6 M customers in Africa
 

5G

1 M customers

 

 

2021 outlook: Orange maintains its financial targets

The Group is maintaining its financial objectives for 2021, as announced during the publication of its 2020 annual results on 18 February 2021. These include a stable but negative EBITDAaL, eCAPEX of €7.6-7.7 billion, organic cash flow from telecom activities of over €2.2 billion, and net debt/EBITDAaL ratio for telecom activities remaining at around 2x in the medium term.

 

Dividend

In respect of the 2021 financial year, a dividend of €0.70 per share will be proposed to the 2022 Shareholders’ Meeting. An interim dividend of €0.30 per share will be paid in December 2021.

 

 

 

What’s on, Shareholders’ Club

Your next key shareholder dates

5 October 2021
Shareholders’ Meeting, Marseille, Orange Vélodrome

26 October 2021
Third quarter results 2021 published

23 November 2021
Investir Day, Paris

17 February 2022
Annual results 2021 published

22 April 2022
First quarter results 2022 published

 

28 July 2022
First half results 2022 published

 

> Financial calendar
 

Orange Shareholders’ Club highlights: reviews from our members!

 

roland garros

 

“A big thank you to the Club for this superb moment spent in the new Roland Garros Village, an exceptional experience [...] on the Philippe-Chatrier center court from the Orange box [...]. A very warm welcome, attentive service, fruitful discussions on the Club’s operation and future development. A very enriching afternoon, which I will remember very fondly."
Jean-Marie L. Roland Garros, Paris - May 2021

tour de france

 

“A VIP welcome to the Cadillac hospitality area of the Tour de France as close as possible to the race […]. Orange offered a high-level of service, which is usually inaccessible to an ordinary visitor […]. A memorable day which was also a great opportunity to meet other Shareholders’ Club members.”
Alfred S. Tour de France, Cadillac - July 2021

Rolling stone

 

“An immersive and fabulous exhibition.
Thank you, Orange! "
Marcel P. Rolling Stone Exhibition
Orange Vélodrome,
Marseille - August 2021

 

 

 

Your contacts

Any questions about being an Orange shareholder? We’re on hand to help.

 

0 800 05 10 10
from 9am to 6pm, monday to friday (french time)
freephone in France

 

Orange
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