Quick updates: G. Perrier, Maisons France Confort, April

Some quick updates on French stocks:

G. Perrier

Already some days ago, G. Perrier announced preliminary 2012 numbers.


– Sales up 7% (+4% without acquisitions)
– Profit up 13.2% to 7.94 mn or 4.02 EUR per share

In my opinion, this is an absolut outstanding result if one considers that G. Perrier is more or less a purely domestic French company and clearly shows the quality of the company and their business model. I am not sure when the annual report is out, but as discussed perviously, I will increase the position further, target is now a full position.

Maisons France Confort

Also already a few days ago, Maisons France Confort issued annual numbers including the annual report. As some readers might remeber, i had two posts about them (part 1 & part 2), but didn’t include them in the portfolio yet.

Looking at the stock price action, it seems to be that market participants had expected better numbers or a better outlooK:

Final numbers were 2.70 EUR EPS for 2012. With around 7 EUR net cash per share, this translates into a trailing P/E of ~5.9. Of course, 2013 will not be easy for them, i guess the late spring in Europe will not improve things and the business model of MFC has much more exposure to the weak French economy. Nevertheless it looks like a potentially interesting cyclical entry point into a real good business. I will have to follow up on that one.

April SA

Quite similar to MFC, April came out with its 2012 numbers and the stock got hammered quite significantly.

The company earned 1.31 EUR per share, additionally there were some positive effects in the other comprehensive income. April clearly has the same problem as any financial services company which is very low interest rates. Nevertheless it is not clear to me, why the share price has now decoupeled from peer company AXA.

I will clearly have to look at the annual report, but so far I don’t see any reasons to sell.


  • despite April stock’s recent rally ( that i missed after selling my shares at the beginning of the year ), it is still difficult to have a clear view of the market landscape for April. The Constitutional Court statement still leaves a possibility of a oligopoly for trades unions;
    patrikc petitjean, April’s managing director, was leading the revolt of brokers which means it was / it is a real threat for April.

    a first link from march : Petitjean explains he is in a complete fog regarding April business prospects


    a second link from end of june : still some uncertainties about what the government is trying / willing to do


    best regards

  • April SA : the Supreme Court ruled in favor of freedom of competition and against the governement project for the heatlth insurance. It will held the stock recovers its normal level

  • thanks again for this very interesting blog.

    regarding the stock April, there is a legal threat that the market is now pricing for the insurance brokerage business in France. the current Socialist government is planning a new law, currently debatted at the French Parliament; the law will order companies to offer their workers a complementary health insurance. this should be a great opportunity for a broker ; nervertheless the governement project lets the trade unions choose only one insurer for a specific sector. as the insurer is designated for a whole sector, what is the need for an insurance broker ?
    half of the business of April is jeopardized. i questioned the company on their expectations but got no answer. my personal expectations is that french trade unions will direct the business towards their parent mutual companies.
    the law is still debatting and professional lobbies are active and threaten to attack the future law against the Supreme Court. nevertheless uncertainty prevails and may affect significantly April.

    best regards
    Ali Khamina

  • Hello
    Thanks for the updates.
    I have also bought some more shares of Gerard Perrier. Nothing to add to your analysis.

    I’m holding my position in MFC, although very weak 2013 results are to be expected.

    I don’t understand insurance stocks (or lets say even less than industrial companies), so no position in April. I’m also afraid by the large goodwill on the balance sheet.

    Have you seen that Installux has published good 2012 results ? 2013 outlook is not very favorable, but I’ve bought some more shares nonetheless.

    Best regards

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