ALO.PA - Earnings call transcript Q2 2023

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Operator

Ladies and gentlemen, welcome to the Alstom Half-Year Results Conference Call. Note that this call is being recorded. [Operator Instructions] I now hand over to Henri Poupart-Lafarge. Sir, please go ahead.

Henri Poupart-Lafarge

Good morning, everyone. half first Alstom to ‘XX-‘XX results. Welcome well start will leave will you outlook. details results, by trajectory on which giving I then some as financial our highlights, some on some the and give data our you will I as floor Laurent, to I then back conclusion. for And the come will will the that you of have. And take course, may I questions main half. first let's But of messages start by giving this you the

had by in there. a pipeline demand one pipeline, in of is the demand. urbanization, being of mobility May is that also growth, this told mobility We long-term is even trendswhich the back know, first economic favor can on we are mobility. The regions the a I of back And The as but towards the in you the number large large and on sustainable of confirm It a of about confirmed. this the is investments high world increased. by of transition the launched need the that has you still the huge

results first we our all achieved solid definitively The have targets. and are half

EURXXX fruits. in give on far financial both, which are over can putting which estimate integration which And the one. are be plan cash. results Alstom to that to far now to sound EURXXX between as line terms totally free concerned, turn, are allows flow, also actions, million with our as details it cash as our more for announced to the ‘XX-’XX, between we is X.X% tell with bearing as good as trajectory, outlook you adjusted you These which the concerned, EBIT, the in I We million detailed expect operational a you X.X%, results all we to for sound operational Laurent it turnaround of the line are to financial well in as at positive is in we both is the Bombardier of totally last place backed -- to been you me period results. more I the and This, will financial year their give but in leave this by but have

know, Here can main our for slide, have only I And the key us the have are, indicators that not as important well see as as the see you on slide, as on the to as this give you extremely slide, ESG on to as financial ones year. are indicators, performance say, well. you you can I the decided but for which

the So classical book-to-bill of the first one, X.XX. one, ordersEURXX.X billion,

here I at of very you may future level cash, line our large as was the our We margin the of this and X.X% are in fueling on small which profitability. to said, X.X%, by to good increase plan recovering the million, future flow, profitability, current fact continuously our of Sales a as compared so enhancing a our cash EURXX Free well, cash the with so progressively, have period to and to order compared an recording of last same are margin extremely year, on is a outflow. EBIT minus back have year, growth. and in our order our we usage amounts course, totally targets. intake, as line that And the period with EBIT last want XXbps, order billion. sales is recall, year's grown And trajectory. we adjusted as of good EURX quality -- of of as last intake recording last insist

words fronts, a cash on level of One good again, our cash in. anticipation line, down good payments, with baseline. we two with indicators, baseline. all flow in as emission, Energy on a to X level whether is minus consumption, minus our to compared about X%, progress particularly or the compared Scope talk of Scope X.X%, this our ESG So make and as X we

sources. improving management. electricity not We our last least, from women are we in are of And renewable ratio but increasing the

to are these going continue we indicators now So to on. to from you report on regularly

turning very strong to market So now potential. Demand,

kind We are portraying rolling pipeline. to you a three-year of

We next have EURXXX billion, including portion the months. of in above a it large XX

it's you not And slide also on very all it's So we continents. only back-ended, standards that have the see front-loaded. can on large but

but it only in not the North oriented positively said we the market the I on large buoyant are in Asia; think, the about turnkey APAC, well. AMECA continents of America, Europe of coming as whether back; projects Americas, increased talk all new we with of Southeast capacity; lines very America, Australia Australia, talk last fleet, existing about replacement I Latin of a number back, May, whether course,

environment. we challenges, So macroeconomic we slowdown of global the a level. very aware but sustained of And despite see some of this are of demand the don't any

first as so to level of results, so good our backwards intake, EURXX billion, compared Record looking order as EURXX.X concerned, to half close of increase billion. As is year. an far on Alstom level backlog last a

above On has mechanically back the well backlog. has backlog, X, also euro the this of weakening of mechanically as our but increased book-to-bill, which increased the which is

a market, right-hand region, APAC order and Americas, as the being Europe large the can of in of but side you regions. level as well chart, intake have As good see all AMECA. primary our on we

intake largest order you've few is in contracts, A maintenance seen contracts, largest Systems of with in trains the ever huge in of course, for in so large as or as ordered sustained trains a big one you well, we and Similarly, examples together well. two it for a Germany, and these have in one so Stock service have one but be Of Rolling terms Services, which have by Signalling Baden-Wurttemberg, these we Rolling or Germany, different for on regional order double-deck activities, when Stock the but activities. Egypt Americas, of tickets, AMECA regions. talk of level all their a particularly about influenced order the can we

this Spain recording Continuously Coradia within a this in some successful family high-speed, of successes which is in -- very well. have Romania, whole family, as trains, -- very orders high-speed new regional We in in in as very XX-years maintenance well the of And on and Spain with sound well. intake maintenance level in a maintenance Services Romania as in France. in as I mentioning, Baden-Wurttemberg was Sweden, order

sales a have will in on has lot we Stock together. all number all of increased a our X% now business, System we So relatively the seem are but sound plus a I Rolling may Stock stock, which of low, Rolling segments. go our which orders included lot. details, level have are rolling bundled coming Sales, into with our and but Services of a not

back have step ramp-up a large Services up, So a in with in Americas, being Stock our Europe we activities. are contractswhich Rolling on executed. of of growing the a the particularly Signalling, smoothly. number of significant and

a is activity. jump of slowdown some larger into a Signalling, years, Here our part we example. we as is see, well, in have was East, Signalling, previous the the Riyadh, growth because in Systems this There can if Systems take of for the but there Dubai, included Middle the you external which in our huge of account is contracts in end only because, as

whether Montreal activities. really Execution would a contracts, year, our exactly I in trajectory. our and Now the trade Thailand, we the our Systems ramp-up new in in say this line REM. have nice of sorry, with the so in of significant Montreal it's still of ramp-up with projects, Cairo, it's Quite -- half in

mentioned the First, we we we a what have that, because non-performing of call in past, level sales.

consuming go billion, course, lower of we level EURX.X down backlog. inherited billion So that this is line line are our much which had and a progressively provisions, sales our zero billion will in again, this generated EURX.X gross is year, to we as mainly into all contract in the be are with margin, XX% the trajectory. as Bombardier, translating the It our today backlog. provisions, EURX.X so said of this with of We would this for and from this order represents executing because trajectory. by this in some intake decrease This are of we sales it

finalized in provisions And in of timing. we integration, one, had pleased which we to example, last settlement I'm are being not after with provision, day but two since now things negotiations, not no of negotiations manage line the are of only just and in of amount well our keeping have is there are our more of terms integration plan, level this tell and that We about changed you, terms and to few of as level for Bombardier points. global backlog this Talking the on uncertainty Bombardier. a

X.X it's So years. now

processes. of are our we and on throughout the have focusing And all processes We deploying converted course, processes, common group. our standard now,

us the can within the suite some becausefirst, Alstom, when have Our withinAlstom, change and that need the digital throughout deployed we suite adopted, now took deploy have we the course, tools. being to of group. you of then is been have It developed that time, processes full processes you

deployed intend confirm double have to year. want want and December which seven as around can all this synergies. We countries number for EURXXX million, countries, only by year, the we deploy We to to we compared -- XXXX. last we And this was to

to Bombardier So years. to this overall, fully plan line is definitively four and will that take three I've years to December date four in integrate three XXXX it said to the always with of

you Day, some Operationally, I this bit little a around we operational way being more we Capital what So means by tell managed. are satisfied our the very it the we and of this turn to to is Market need during how indicators. had operationally opportunity think

at graphs we seen that to tell May. to So you compared last for of you where end -- to you as we September, stand have the today again wanted the

fronts, I indicator, pleased stabilizing relationship. some on as whether is we've that now review, all have Where per all done lot a say unit, a it's is indicators we made improvements to which you decent defect an so at progress, And gate excellent tremendously. customer tell the the are can engineering have have that of We level. improved but quality further which we well

of to target in deliver and line we to because expectations. We to time normal time. what improve on is the delivery work delivery need on are We quality have with customer customer on back we relationship, some still a the still

but continue improved, to to need one. we have this We improve

As have on is improving. time you engineering tremendously. throughput to decreased can Manufacturing quality improve see, open have issues

an to we put been level where a with So kind has say, challenging it quite trajectory and this electronic to into these by you of I have component back Coming going crisis, is managed before impacted component back group I performance the in and environment. if coming that group have achievement. the crisis, of been which globally, our of integration. key chain would every to shortages, despite all are indicators, compare line very supply industries, well not because details one the our the done, think at of projects of without But we operational on with other to and was the operational it's back the This innovation say electronic each despite highlights. our the any and I

leader Alstom Alstom support money, which rail also I know, fleet that Europe, as the we only to showing in technology. of to first of hydrogen future significant the progress thing this counts is the you have trains Europe received We on last trains. around has semester of EURXXX pioneering not the This in autonomy commercial importance record say, million from services cells. with in would lot which our hydrogen. future the and for really R&D subsidies showing transportation, Alstom being but of not countries development -- the technology Europe the But been economy of As of amount is Germany fuel for made importance develop hydrogen one is with in in different the a is a hydrogen in announced

part with mobility, not in technology conventional which both France as we this projects on which in number Metro, Train countries. what developed and for a for other is also yet with quite well is ATO, and Second we for trains usual in continuing of develop and for freight to but are Automatic pioneering our for Germany, mainline And so is is mainline. are Operations, passenger which both trains autonomous innovation something of

of different are, we some type have We to secure these pilots technologies. period-after-period, achieving a and milestone

now And which So these financial hand Thank results you. first pleased to to comment over little Laurent, were trajectory. bit our highlights to Laurent. you, and financial Up half. a the of the will on I'm

Laurent Martinez

morning, Henri. everyone. Thank Good you,

organic on So let's basically of in trajectories. a start positive in P&L, line so we X.X% HX, growth with X% of sales our execution and the which with back project

expect should last phasing of year. we and have of In some our -- represents XX of uplifted basis on terms HX, increase to you in year, year. we XX.X%. last margin, gross second stable points have versus half some by X.X% expense S&A R&D fiscal our to Similar during

JVs at positive with compared as EURXX by our CASCO, year. EURXX points, Finally, of signalling in to JV year, specifically compared well China X.X% Asia EBIT thanks be basis last to a as contribution Altogether, export million our base million sound an China to and XX in rolling see, of stock at you last our contribution improved and Europe. as to

the improvement. the basis behind main in EBIT change Number ramp-up synergies the developing first points to one, planned, representing drivers on with margin of adjusted for as the Moving XX half.

margin from a a higher negative impact third, completion favorable margin lower basis part basis volume indexation and the uplift of accounted HX. And positive our inflation, mainly and not XX mix covered headwinds, the of impact driving XX point is contribution sales HX. from by macro reflecting not basis clause. with lower points the by on Second, effect backlog nonperforming at point on for margin helped Last least, project XX in around that in

Let's dynamic on the look slide. of at these the next subjects

for macro including explained, Henri we as electronic challenges challenges action to essentially components headwind. the mitigate inflation as indicated, mitigate one, been caused measures Number basis. inflation took to current supply on the since a strong A have So in by we about of HX. able, project-by-project cost-out us chain, allows are number Alstom, fully this we

is our fixed these this of are labor fiscal costs XX% Second, cost and base year. for

are high XX% pipeline our less this order fiscal our hedged around commercial for reflecting year covered Still, and Third, for indexation, next than of year, to fiscal our side, even subject energy XX% at on XX% is if baseare they cost, fiscal year increase. Fourth, by selectivity. they for represent this XX%-plus X% our of cost the ‘XX-’XX.

details. in at Looking backlog the more

and sales and supplies. you First, accounts of all backlog as HX. our indexation Indexation cost labor material, know, for in contract covers natures, of raw formula our our two-third with formula, XX% energy,

with indexation. XX% addition, suppliers limited fixed of are In our or price

HX. As margin a a have slightly on up, to marginal completion this for leading contract result, impact gone positive

one-third are basis. therefore price XX% XX% by this revised contract as out of Second our are result representing category, of not indexation for regular on HX XX%, impacted backlog the inflation sales, of and short-term a

inflation For higher actually of the our sales, with impact. price indexation XX%have suppliers, mitigating fixed of remaining XX% on share our cap, hence a

in, in based inflation factors a for central have cost reflected completion to lower points of overall contract, in as basis margin as fiscal all cost explained, I year ’XX. we So this non-indexed at our our net XX these leading we complete on our scenario resulting anticipated to impact of

Turning to profits. Phase our second implemented will X HX charge be a which restructuring general restructuring, half. in probably net of Briefly, in with low

EURXXX integration announced of terms or over remind we I million three costs, integration years. for have four In that the next cost

years. of in ramping two now an the course, be, effort, with up of HX, EURXX integration continuing are next both We fiscal will and which HX this cost million investment in an

million results of XX% accounting with EURXX fees. adjusted in EURXXX an profit legal costs HX. stable stable Below leading broadly year. financial impact and million, increase non-cash adjusted we ETR remedies one-off final last expected In EBIT, to booked of stable at addition, some versus related to net

in let's HX. very move EURXX received positive generation So come discipline Chinese R&D minute; ventures to third, minus Number much performance that second, during of limiting line good with impact spend; in drivers our joint half. expectation, a to I on flow. our our free capital, our EURXX million and on on in back the dividend Clearly, our working reach few cash will with first and with our full-year CapEx a to million for net a ‘XX-‘XX trajectory one, cash

on chain contract parts. payment of some manage together the capital, with anticipation the into moving follow net working and expecting to to half. year to This Number HX stock very we of liabilities, Related continuous we number down as liabilities current that the contract with and the translation ramp-up production one, a chain supply some assets and are moving increase healthy and during line in supply up much for inventories well our details next as is second challenges. analyze represents cycle. So it

want million our to decreased related HX. down Just from well million specific payment as to EURXXX in that flag to has than less scheme customers EURXXX German

related rate increase some in impact. payable currency inventories increase of and essentially Secondly, the well to as

train are terms, we've now payable pre-acquisition. the Alstom In aligned level pretty much with seen in

to overdues. to report and pleased a receivable Third, effective decrease trade a HX in particular, in cash collection thanks, in in reduction an

current other in liabilities. and terms stability of Finally, assets

second and announced versus of to a be with on our very EURX.X for liabilities, provision, March suppliers with ForEx low lease in with year, of few million XXXX. Just be million in things debt around by this developing free EURX,XXX stability EURXXX and flow A which extended considered, expected million with consumption, year, driven words billion expected on EURXXX trajectories trajectory. from half at cash planned generation contribution, with working stable precise net line are reducing point announced May. And HX. Related as payables together impact. cash million. This EURXXX consumption year again, in few specific half one-off points much on million. to before dividend EURXXX some versus with we provision Good VAT standing other in March as with usual at fiscal absolutely evolution the EURXXX the capital other the uplifted is, X% here remedies is in very the the provision will ‘XX in receivables million today terms from tax in a therefore, last on to line in All ‘XX and at XX%

known stress end our liquidity FCF Short-term ’XX. of papers are which facility bank working liquidity strong on being we as this backbone all used cover our million and been commercial enough September want at very of and centrally of September, EURX.X we treasury end that EURX.XX of operations. of billion long-term I to has our drive few not of the that A liquidity as capital our liquidity, at at Looking and proactively, monitor our manage gross gross cash is words billion than considering seasonality. more level, to EURXXX cash to our debt. group

fixed compared with change, maturity very condition market rate no half year before last know, at average with and for X.XX%. you ‘XX favorable As a the profile current an under October refinancing sure no to

see you rate side, right-hand by surplus the plan underfunded million a on by On positive with the of an overfunded the plan decrease EURXXX our interest pension driven on a million. evolution by and EURXX increase

liability altogether, So Overall, reducing are by our with million. we in net plan. EURXXX delivering accordance

We in our generation, trajectories Moody's confident this profit cash rating and and HX deleveraging no driven expect results. action therefore, from by are following

XX to with now turn drivers adjusted the the points. expectation with with planned key line of the briefly point basis in as first as of with Non-performing HX. EBIT. contribution with an half the an XX Synergies, of explainedis Let's basis impact second trajectories accretive developing salesconsistent in full-year, for I terms for HX

note and margin more mix Margin like improving by acquisition. backlog we for the year. points help Third, intake order XX% On been volumes, to expect and basis renewed. basis, full I will have this margin line ‘XX, XX is would backlog our than higher to by that profit with business this our of March favorable is in trajectories, since

capital basis with end free consistent impact expect during on HX, XX plus generated points. on inflation the we I positive provision normalization EBIT, cash to and before momentum plus flow generate To by by management and EURXXX still HX by in full-year, contract margin the million our over expect a change trajectories nonindexed now driven positive to by as to on cash weigh generation, between and for with to on provision. conclusion. CapEx, we and to you. offset expected, consumption net capital the Thank hand XX driven EURXXX Finally, will i.e., for Henri working R&D the million working the on strict

Henri Poupart-Lafarge

Laurent. you, thank So

which the the at at and announced announced presentation. yearly our this of which outlook on I've regarding this I've targets, beginning guidance, beginning -- Focusing

good market, with first so our againon have mid-term of half. So back Sales a momentum the be as be consistent during plus range. again, good progressively, the to are book-to-bill EURXXX million as ‘XX-‘XX growth, grow guidance, we commercial precising we guidance, expected. expected plus above And which X.X% to you to X, the detailing X.X% between continue EBIT, or seen Adjusted in is flow, free cash range. EURXXX to to that million so our

are definitively range we the our So put you mid-term slide which in ‘XX-‘XX, which side precise that trajectory, past. you know, to we on planned, confirming here. more to give giving are targets are all our the we for is with which you had in and so a this of using right-hand is line the This

the features can we think the the remind But now key just turn Alstom. before I to some Q&A. want I now So of to Q&A, you of

the course, first solid is forth, be leader situation, but and market, The sustainable dynamic a long-term drivers being as, which one in I so by of A so macroeconomic contrary, very very development market. very not drivers. is, dynamic which current by impacted to the the is impacted in saidurbanization,

We solid order and today, visibility the are this long-term backlog after we the quality and we this the have of which quality of execution period intake. backlog we as are improving improving backlog, period us are improving the of offers a

footprint And great multi-local the take to better I have order this chain current but uncertain I to in with very large of help chain. not just current environment, a to global have also service. Last able activities, is been environment, in our want but of you outline, know, course, can it this that has supply use chain As our we but of to situation. strong been global supply portfolio to least, a the to serve uncertain in you tell supply global advantage have strategy of customers, our particularly

Signalling, by Service, the but strong a the we are as in base, in we far, as franchise have strong driven. well -- having, are, digital far by franchise installed We largest is which a more

questions. take I'm Thank happy All in participation. with our your now is So your you. plan, thanks to and that for line

Operator

question Suisse. Kukhnin go Please comes Thank Credit from you. today first ahead. [Operator of Our Andre Instructions]

Calvin Chen

asking Hi, on from Suisse Chen of Credit here it’s Andre. behalf actually Calvin

check number trajectory because contribute I guide it's with to going the into questions, midterm year Does Before to one ‘XX. guidance. or double that you want X% year fiscal go quickly ‘XX consistent growth my X% just into will on fiscal ‘XX for revenue fiscal mean CAGR year

Henri Poupart-Lafarge

for we question. to average to Indeed, that more per a in actually we of X% and anticipate that growth your have you a Thank during than guided year. bit year compound this terms do annual yes. Hello, little and

Calvin Chen

you Okay. for so Got it. first because million. detailed very And sure, more my EURXXX much. to yes, guidance this Thank question you've time, will cash, million be on of, kind EURXXX given,

conservative looks you not? So and see is here? positive do think the do this what better is what And guidance -- this guide you development as or

Henri Poupart-Lafarge

Yes, yes.

of I question. are there mean, your First two in questions all,

giving kind that The precise number range by think and this of of is, first was are the a we cash a a investors. one indeed, which flow, I fact of was range more something asked

we May. more has number we good situation, are driven the a good had coming first payments. down you half that so in been getting but it's as seen conventional the to performance, a on of a by this more back during to at which cash-in think back after the of performance have a that And we we classical more including of have factors, stage, than what cash But better of Bombardier, normalizing situation our guidance. indeed, guidance precise a back visibility well, slightly terms it's said integration in as I you give from

level And we good our payments see intake. in the of order market down have payments. actually, of we terms on sustainable So

on So we huge terms the don't of see payment. pressure

of that, have So this improved we guidance. that the is our on back slightly cash

Calvin Chen

my much clear. cash question on And for management. Thank Very that. you is very second

and some see your cash payment peers tightening we of are management. So

capital, on working mid-term, So please? account few your the in and net probably or next in particular, -- quarters the in implication in any payables also

Henri Poupart-Lafarge

Yes.

think we lines of some so analysis can you look on working any the that at that. have given I capital

can some forward. can maybe Laurent going lines. -- expect move come we these a back We don't major So of to

activity. company of turns leading growth, of of in in of some terms is course, growth the example, to the the the payable Of growth for because because

the a the put On the decreased, number our of on overdues of other that hand, stabilization receivable I and improved we the we've example, have of for and back projects.

So turn the the the we one customer some to repeat have will this we relationship, in working the Laurent, in main But the which first stabilized way our half the is of maybe improved projects. is payables. can This, actually of highlights our and features of receivables. particular, turn, on improved have I cap, has on

Laurent Martinez

Yes.

So of the ahead from where contract get Calvin. half. the in of on of an strict second step-up payment, CapEx, versus free in moving have part which continuous as some working capital looking looking point, our of a in we -- see stabilization terms HX, liabilities; anticipate half as will healthy our mentioned, Indeed, second in versus capital On in globally, profitability be helping the HX our down at control overall we working your overall terms continuation acceleration second half cash on a to Henri to flow you seen first and guidance. half;

free key on drivers, cash EURXXX solidity the confirming the flow are which of the we execution. of that's leading plus to So million EURXXX million plus of will that to back basically be

Calvin Chen

I'll very Thank you, but A couple you. questions, go back much. much. very with Thank of you

Henri Poupart-Lafarge

Thanks a lot.

Operator

Thank you.

next Our from James question Moore Please Redburn. now comes ahead. go of

James Moore

Yes. Laurent. questions, three morning, I if could. I've Henri, everyone, got Good

clarify you about ‘XX the way, down the extra Would It's how And on see the ‘XX very, FY we coming quite how on you think look help by will And the impact starts looks maybe macro some just that how that first more covered divisionally very detail XXX% the impact by trying of CapEx, inflation the there X% backlog should thanks a first is that could that? could different bps year. again, that got the inflation I've second And understand come of R&D XX Signalling sales start number, margin then to first Maybe from region, still the progress and of wrong that given that I us France, XX%. almost backlog that. the is The group, but and understanding you for are trains The that And very is but reescalates think play to just the how increase? and Services that is also something first to regionally way you've helpful. of you help low? of to with the two-thirds expect we indexation, as think good hedge And picture into away us number wrong, question any and has that a think -- for today. all. could through. is all I'm maybe understand the that third we My is Or if help other Germany there, wondered should cover, about almost you I us half. progress and if price sustainably more guide? understand cover, maybe no capitalization should point to as number really for and full a as in is your And little we FY start or about question of half it in side? indexation. could Is forward to low just to CapEx if two going

Henri Poupart-Lafarge

Signalling, But with long-term I for they if of you will clauses. course, and on indexation just questions. you talk you on backlog clauses, particular, projects. as Service of indexation what have general your correct Thank about say over to maintenance quite is contracts, i.e. no small the lot details. in indexation entirely questions. a the our more Laurent well for hand is as A picture,

market. or If you And it Rolling have half-half. Stock long-term of and talk said, them depends on I more projects, some the is less about as

details go will because, the correct, in quite were not of say are the is negotiations. what indexation France, Germany. they commercial the terms main, into you markets, But in of not traditionally also course, In clauses I in these

countries that. even clauses at with we Some regulations, Spain, in which are indexation like -- were some forbidding moving

is So moving. the market now

which in which -- have the have As clauses. XX% pipeline, of you the will know, are projects, we indexation

have example, But others indexation but had in true the putting Stock for There some maintenance, in you and But the the which they Stock countries past, in all traditional indexation Rolling even clauses, contract, is Rolling both U.K. So markets progressively. indexation new some indexation have at are contracts ones maintenance look not. clauses to no no again, clauses have to, clauses. on it's the that

guidance -- not Maybe R&D is full the will the and midterm, on On what come, and can intensity. low question it's Laurent, you our draw bps. CapEx it's the CapEx, nevertheless, first you the first black same for intensity not half. the correct. in of white. during for of So in and I remains inflation But that any but conclusions are slow terms the all and half, long-term main, R&D relatively true like the It's the year

Laurent Martinez

Yes.

more to Just line. on give product you a bit color backlog by the

Services, and on XX% we Rolling revising are short-term XX%-plus, So on Henri only are Stock. we sales where as the very remaining the XX%, basis. price On and said, regular the the is a

So are by bit a we than Signalling in of we less indeed half not impacted are terms coverage. inflation, and

I inflation. look If are be will by on which to of by current ‘XX-‘XX. how evolving sales, the at our So not covered all point this

As XX% we half that we this for ‘XX-‘XX. are be by by I say, year reducing around at will and

which of be XX% around inflation. by will exposed our sales, So

inflation mechanism, So exposure reducing the as reducing terms headwinds this inflation will over are inflation with order be hence, you intake we tenders of in quality time by see, is pipeline we say, as our XX% time. of now signing as protection. basically, And over covered

James Moore

That's very helpful.

in getting get But XX worse it I the down ‘XX to think years. that before that trying just could wondered XX, goes down clarify, to mean, three better. from I that year next by come over year? this to time, and you are whether got two bps signal Just you it I time, it

Laurent Martinez

step of that XX% year marginal be a be exposed this will to step. XX% reduced exposure from The sales XX%, progressively decrease will on by Yes.

James Moore

I but understand more that, that. than it, sorry more would to that belabor degree of doubled, than the if inflation offset

you're spot impact wondering of have just derivatives, contracts, not cetera, full this what I'm year. whether seeing hedging et So the because markets that of done

halving the wondered piece the exposure. offset more than the of I if So inflation could

Laurent Martinez

To XX following XX progressively will -- sales. be clear, basis basis no. peak of is And No, the year for these be next points and reduced the year. XX% points at the

James Moore

Laurent. Thanks, Great. Henri. Thanks,

Operator

Morgan is Please our Thank go questioner, Uglow move to next now We Ben on Stanley. you. ahead. which of

Ben Uglow

from to that everyone. that a if or are helpful Good bps going those you the questions. very sort Is proceeding my very follow-ups regions would are I come I much. the in us hope guess costs? all a So inflation on two when is the see well? really adjustment XX calendar on actually Hello, thanks Very, when managing question. and morning, into year of did could written may but mistakenly sense of that a might components. like And next how give say we Laurent, begin that headwind. your wage in bit dive workforce? of impacts have different what you you And one-third you inflation wage down, And -- we little the I event? -- of the can in? something half so, this were costs negotiations that wages first first of those to inflationary was color

if second EURXXX EURXXX done I the numbers on back flow. sales. was really that. look free The to that of really than X% I million -- essentially that in And has better much Alstom is pushing question the to million, past, X% cash at

just of it really it Is bit, So a your to in or we in understand things with capital see capital see benefits more? to So if the of, you resistant split do capital what when terms working the inflow a from in would potential why other do that to kind to capital, of not components what half, the out But I'm is working levels? going could on kind we reduction normally coming half? would trying is is, that second inventory seasonal, better be, going of, down working to are would helpful. in second Is -- restructuring? be it what there working in

Henri Poupart-Lafarge

Ben. you, Thank

one, So just the in in January. because the to our country be can main one in clear on we negotiation the starting are from vary it doing but inflation wage to and the salary main, another inflation,

That we you is which doing. during because the the wages. we'll other course, what of our impact doing, other -- on with see than ones, the the industries later as confirmed the are ones today other So the are year, estimate what financial We'll recorded know, starting is have we will see, have of the to negotiation. are be

like -- adjustments Belgium have countries for mechanical, assumptions. But So some that say, are also, you I the would the inflationary have these wages. know, as

inflation So whether we'll assumptions confirm our to you wages. or confirmed in these at the results, May, today's -- But assumptions been these have on these are our not. basically yearly

flow, cash the see two questions. on I Now

in level flow back is And that we going the terms cash absolute one relatively use. course, first of is, this of still to the low generation. of provision is The on are

related negotiations we projects provision As we of a some are of we are also paying for are you delivery our so know, that, penalties forth. and using still in and this to non-performing and the

phasing You down the nevertheless true HX sequence is phasing of from has were between considerably HX specific of because well mentioning of projects, as for year, payments. of course, probably HX. that and can reasons. it's usually and case better last than the quite been the some it And HX, time-to-time, vary This

payments. particular good had first As I of a said, terms we down in half

it -- would So abnormal. these I are I as not totally qualify mean

we over at due It consumption the We terms projects. half. a maybe level second level, phasing, absolute of mostly certain a our again, it what the the It's in we years, again, less this phasing is which where still have of to, But but experienced than during bit little provision classical. is. the have is, is expect is that this

Ben Uglow

get I point the the flow. cash on free Understood.

and -- a of issue thank to in different I going one wage for going which negotiations, quick it's follow-up, and think type you these I are Europe the environment. have, guess, Just most of to timing, be just companies

discussion, component reason Is the that something that way you extent you to And are of In customers or I willing labor when -- for pay what is terms discussion? the your people of increases? asking customer wage part why not are your contracts, I'm the guess you to price really? is in look are a that at

Henri Poupart-Lafarge

Yes.

elements it's indexation our of labor clauses, one then costs. the one expected we type wage when one of our basically, into cost our base. the the all when to of element index costing, And cost of account. cost. indeed, into taken think, -- course, increase. increase Then, take our is the new indeed, labor And in of it's expected I be considered of is as a account have we But all index

Ben Uglow

it on. very much. I’ll you Thank pass

Operator

Please go Up next, you. we have Bank. of Deutsche ahead. Gael Thank de Bray

Gael de Bray

Good morning, please. I have everybody. two questions,

negative of finalized. are expected timing both for happened update well so question the X% objective forth. as the update war well? second factors around the pressures of between XXXX-‘XX terms is such since Bombardier, that and an perhaps the second usage of just the in you external inflationary this to as year one and as first And the last next then integration provide provisions have being on The the much so is XX%. Could about the higher-than-expected including as settlement two lockdown, more agreements on the an for and Many magnitude Ukraine, margin of potential cash things on and pretty half obviously in

set, likely was more assume that probably was margin if is very it the fair low in to this originally the than the midpoint? to buffer there see I'm when any significant objective is targeted or So now range curious of it end

Henri Poupart-Lafarge

Gael. you, Thank

settlements, It's these in the time-to-time, outflow the difficult from short-term. you will lead, on services type provide, From They the more mid-term. in to pay example, cash. extra you kind, of settlements. other parts question through First a pay services. by a cash of for way, so any warranty, In go details that time-to-time spare to you not or into strong settlement,

a So necessarily day into one. something, it's out translate cash which not

nature. are have this been two So that's was -- finalized that of which the settlements,

therefore, in say, line it would and appropriate. are outflow, cost line the of take were in they of estimates time. cash the and aside adequate, our terms totally provisions which size So of will in from with standpoint, terms But settlement I some P&L this are, in and a of settlement set

provision according usage. know, of to trade pay. terms to nonperforming contracts are Globally, you continuing we In as

There the necessarily More settlements. question. don't global I as provision again, last So several during question usage of to your any ’XX-’XX. general, HX expect HX, regarding in are to compared but significant angles not difference to related these terms in

all, of are the short-term, that, impacted you of at have when them these number environment, terms. fair seen and it's These or look either of not headwinds. longer we more headwinds. them by component headwinds, have some recognize are of you are to First macro headwinds some that through we -- necessarily these are navigating we But you like electronic are crisis a

stable. also the side, relatively market since is strong, the where have announced contrary, have competitive particular, we news landscape the the we the is In On on demand positive guidance. still

you chain. beginning So a are told good we headwinds in of -- presentation expect that the don't the we have demand don't expect And supply that market. slowdown we more the we the any environment. at The as on

confirming their the investment plan. our On customers contrary, are

we confirm is we in I first and So we order seen detail the is not black the part guidance have we main, good pluses upper part very want of minuses. outline when half if not will that on give you are have since impacts it's this quality just have or lower -- guidance. the just will our we happened our And negative white. everything Not you everything the which macro. look internally, when detail of has I not and during would intake. But on I and positive a any guidance then at negative, announced have look impacts. That's and what to

of I -- with totally it the order the intake mean, simple, of line to our margin 'XX-'XX. guidance the in is gross make So

guidance. are recording I good it this the confirm orders say, are internal, micro to macro therefore, we gives as to things, some micro So that points confirming would the guidance. And and the us compared

Gael de Bray

great. That’s Henri. much, Thanks, very

Operator

to go We Please you. Sachs. Goldman of on Thank move Ni Nancy now ahead.

Nancy Ni

just one. Good morning got question. and my a for thanks I've Yes. taking quick

you the you don't that expect market. slowdown in hear any I So

bit elaborate was you're I a coming tenders of that more sort awarded on in large could be So quarters. if to maybe the expecting you expecting the

Henri Poupart-Lafarge

No.

pipeline, projects. large there in few so the are We a have --

projects. be before of which on some expecting tender tenders There not very don't which India, so well are large results Germany, next the will the quarter extremely in coming quarter. this one. But the coming, which India, are as large are well. are know end in We by this I large in announced market, that's whether a are some tenders are the -- There known

in or one frame coming very are two of France Philippines, we months next from a of particularly are large have in course, we have few these in tenders, the have apart waiting. which which We where Then, options, we contracts. tenders number

So these the main. are

that So number we very, throughout large it's a for, bit projects world. -- there one but a very waiting are no is projects of the

contract large Australia, waiting also relatively are -- Australia. example, for in as We in well, for a

Nancy Ni

Okay, great. Very clear. Thank you.

Operator

Thank you. Wilkie Please to Martin We're now moving Citi. go ahead. on of

Martin Wilkie

And German be you. going could you inventory level to Europe. or Citi. you components and in One have in ceramic or kind inventory few into worried It's companies of about about Many risk going carry to or year? protecting cause a that off these high-energy that? that Good to for shortages that against risk into Yes, your months metals thinking protect to it's of of next XX Europe of building from many this question Keen shortages Thank things. and against now? seems in to at morning. glass around intensity, the higher the that going understand companies over you're Are -- Martin whether footprint has last how next thank any has year from least obviously risk you energy Does you. that months been been winter. costs energy taken table, been the

Henri Poupart-Lafarge

Yes. Thank you.

Your analysis correct. is

inflation, year of And have of this increases measures limit to not energy be directly have recorded impacted. part have are put we some, -- energy. debate we consumption We we of this of on in we expect course, done place cost of clearly. the expecting shortages we and -- any have energy to had don't and our a number We in

consumer, energy are we of know, in our primary suppliers terms you As are not but heavy a some of parts.

that. at We looked have

than stage. safety would and see spring, during We'll potential at getting done B spring if that can I we I so But say looked not But this But next well. crisis. of year more have do this we'll need if things is type cannot therefore, year, have far, safety any in we -- have say, so. see stocks. any as weather a are at you we for to said, We and it's that for how done stocks we the Plan

Martin Wilkie

that's question refurbishing and North a aging the how infrastructure progress is terms then you. replacing horizon ago, something renovating, infrastructure to on talk the a tendering. year about being a Any there? still in just was And of sort to Thank is Or distant sort and question a there market money U.S. a of of passenger develop? allocated Obviously, some so on that or lot could there lot rail. of signs imminent U.S. in follow-up previous America of the the of of bill

Henri Poupart-Lafarge

been put like a It's will table. immense to i.e., on and things There of infrastructure, No. money, amount the fair it that. Most and bridges point. is has which go tracks of

we the Some of some and to it projects, see will time. go as agencies rolling well, of takes stock developing some it

discussing -- So would But we be U.S., ‘XX-‘XX. more we intake orders which the don't for of have think it the we pickup I year. some the I the order among of tenders half, are awaiting. this are a will not will In second

Quebec, U.S., there America, example, so are the are a in is sorry. in in which for also waiting North or Canada, tenders some -- there we U.S. So tender for in

of time, so but the of little I all -- in as tenders be more takes may that maybe year. some there bit discussing a are for QX U.S. next We well, mean,

Martin Wilkie

Thank you Great. very much.

Operator

you. Thank

Please go from next ahead. of Alasdair question Our Societe now Leslie comes Generale.

Alasdair Leslie

just questions couple morning. Good a of really. And

than Just message relating shortages. to turned to seems the follow-up, have out component QX stage cautious quite to expected. had It a at you better

kind is assess whether maybe comps terms risk past And I HX you to in delays sense? the in the now possible then second point the also half how as in the of it would should Rolling deliveries? tougher of still due that well? in be opportunity we the in Are Can selectivity, seven, in with Thank for there, peak and wondering pipeline? next And you risk little HX of XX you're Or a on would billion Systems healthy kind Slide kind XX-month we winning really was of what flagged. months to a potential share be maybe XX% is still it of lower that just a deliveries HX of greater the EURXXX back share kind of Stock the outlook And at year? you wondering the that a Just there that in assume pipeline ahead respect, us of in of orders in question follow-on on of the growth expecting now? that sort now of as targeting be than in you.

Henri Poupart-Lafarge

No. Thank very you much.

say, In of it to that used is we was bit are back I electric today it's sort a getting I'd the because comfortable it, of July. little -- don't bit. we more little the because But are situation than know a component, true better stabilizing market getting terms in is it's more

gone a we are our still struggling, in visibility and But having on components. little are we number said of of i.e., a crisis We that, have bit more following are the still extremely kind all we closely have in requests, as a mode have the to possible. availability I in all And of these say that unfortunately, down order components components electronic terms to ensure not as our needs prices price, of yet. of early

So from still a you and probably complex probably visibility, from situation, better more us. optimism hence, -- that hear definitively but control, better

to, during intend don't this to change our period market indeed, have massively we relatively share. share, been selective. Fair market of to terms recognize In that we

quality privileging our as said, not order quality I are order we are -- book. we So of the and the of intake

We have a very large backlog, as you know.

but current the line something, compared with less in But is which moves, XX%, it's with don't our there was in intake is basically. any the more share market selectivity. or our more order to billion major going So line -- towards expect as our XX% I standard if and EURXXX probably

have we still In of gigantic large the terms which selected the we Toronto, you network. the been We expect Toronto to turnkey turnkey in for full turnkey, of don't electrification have know large, come.

recorded been And and yet the multibillion of turnkeys. but one be -- it's large by project, that's tranches. a recorded been which which will this not has have So

We going next book on a for so Aviv only have we -- to in year. it's awarded well we working before which Tel financed probably not tram, as are are when been turnkey

So developed also have for East, are in is the few which being being a Bahrain, Middle example, like discussed. we turnkeys, which

robust pipeline So you turnkey have at a relatively stage. few that is -- the

Alasdair Leslie

of on versus in And you. Stock HX? follow sort a Thank the should we should acceleration Rolling HX, expect deliveries expect just the side, to Okay. on up sequential we

Henri Poupart-Lafarge

We are ramping now. up

first So to I by stabilize my projects. as was the far said, priority

reliability delivering quality, of teams the I we to relationship. customer terms one terms if in quality are make good First, key products, of improvement products. of it's have mean, the -- are And terms I outline achievements had definitively marked of improvement this indeed, that that in of marked sure our operationally, quality, therefore, to we of the and we in increasing

like second was a again, yes, half. continue progressive kind there is half, are of Rolling are some to during the nothing up. progressively, We our activities. Stock in moving ramp-up And first our ramp-up now capabilities. in up of slope But ramp going to we there a to This industrial change

the sustainable You And stock in continuous nothing an but is need which concern actually achieve to to more add level. of activity, rate. growth ramp-up there to growth a rolling like equipment acceleration, Systems some the good see our a

Alasdair Leslie

you, Henri. Thank Okay.

Operator

Thank ahead. you. question. has Akash go of JPMorgan our next Please Gupta

Akash Gupta

well, everyone. have Good and please. as HenriLaurent, I Thanks time. ones Yes. Hi. three for short morning, your

strip one-offs, and revenues terms in fade away if margin. which we both free of tell and going for free underlying projects moving basically in lot underlying half is is integration terms that coming first us The the years, cash in on mean gross two, half all the can be flow of cash basically expect of year. full-year. to cash both from we you at just of to your what out three zero first you the a parts one even these underlying of good provisions, or XX% flow flow have are where in free But full the type costs, I first

XX%, given great this second well? I was Any in on inflation strong The growth half Service would by likely was supported the is. indexation have which inflation commentary Shall year. on growth, continuing expect quite also as second at one is where and given be we type high next that of perhaps

that in Moody's. context? on is one outlook growth Service third see we do how So And

are, already to take likely don't action the your where that You say this will them? any given from numbers Moody's. based is explicitly based not engagement Moody's on proactive you with that action? had And you or is dialogue Moody's any this Have expect Thank any on you. assumption rating the with

Henri Poupart-Lafarge

Thank for to floor you, Akash. and questions I will leave of the these is Laurent them tough. most

Laurent Martinez

working cash So we compared and free Akash, to flow our that for EBIT free at and normalization the the cash back of of in HX, provision I expected. it's our We in HX say What capital, in XX% a May, capital is will confirm the provision year evolution have of driven driven and HX last can double is of explained by around last the consumption. capital sales our underlying operational as by question. terms working just year the overall year. positive over flow normalization year EURXXX on complex full working million go were and full it in as the -- a in second before

are we trajectories We the so are that expecting. is, X% in again,

So that's color on cash some providing free on the flow.

the Services, for On HX. indeed, XX% plus

extremely We positive this interesting second moving continue the of and for in of to And in something line. half which of our bottom terms very is that in be know terms terms profitability, is forward. evolution you

Moody's, it's good on point third a point. Your

the So as on a very They the Moody's in very definitively looking days. dialogue last at positive midterm, had we you know. with us are

driven confident We deleveraging and which trajectory by cash. profit, our on are is very first,

from be confirming current feedback that I indeed, the will very and our detailed rating. expect, Moody's of the the So on they in discussion had last I days basis

Akash Gupta

cash a follow-up the Thank just maybe flow bridge. you. on And

going you good for of so integration in be you provision get double a expecting costs. having year, How underlying costs full much roughly mean around cash where you So company? said is flow outflow integration we sense half the the to from are I EURXXX also are of or first the million. is cash

Laurent Martinez

Yes.

in integration had of million, the EURXX integration HX. have good deploying half We'll we have well costs costs step-up seen of in suite, in made some you've first Akash, a our half. the we progress as So second as that digital

phase we a half that's acceleration. of of Probably, will headwinds bit the by the restructuring the will next following. in way, booking the of and be in on have second Germany. of the in bit the of year outflow a second in cash So working And terms of in more the a terms for restructuring terms cost, of bit cost. But costs restructuring

Akash Gupta

Thank you.

Laurent Martinez

Akash. Thank you,

Next question, please.

Operator

Thank you.

Sergievskii go Vlad ahead. Our next question America. Bank from comes of Please of

Vladimir Sergievskii

have will I and them three impact release discuss by Starting meaningful the thank you for increase taking provision ask of profitability Yes. my and I period. R&D on Good Could the one in gentlemen don't you your one, morning, capitalization a will questions. mind. during and margin. you the increasing with if

second lines think improve in March. positively in separate both way? you a expect to year-over-year actually And half to I contributed also to margin material that, the do

Henri Poupart-Lafarge

of I'll let that, on -- question Laurent, the me first -- R&D there margin,so remains there But let the -- on you. nor that to but impact on our same, you to no its to answer mean on exactly firm I nothing very is Laurent capitalization, R&D respect, neither which on can policy particular it capitalization. Vlad, is on the be Thank

Laurent Martinez

is the very improving activities only the just the confirm, the half, the to we where this R&D terms very much for in first of are in maturity capitalization. on which I ratio of phasing strict our something related is R&D Vlad, line with of so terms in this policy

Vladimir Sergievskii

Laurent. be comment year-over-year able second to That's half. up the you in significantly U.S.? in margin And great, it Is would the trajectory on

Laurent Martinez

to the be margin year This following evolution the project well this the So we half a expecting next by from driven as mix. indeed -- will are the synergies, year. half to incremental

versus of a So we step-up do see indeed gross margin HX HX.

Vladimir Sergievskii

able perhaps able increase Until on liabilities? on capital very continue capital working it working current would million. would to other you up also they to up on were they But Can comment a ask I be any by between working Thank working balances, about linked normalizing. to EURXXX You to capital sizable underperforming rise. in million, for I you at contract Is mean look capital? what that? project. or be much when also give particular And liabilities, I project, EURXXX that. are assets you by some color talking very payables drove that receivables

you. Thank be very helpful. would that So

Laurent Martinez

On is the seen we Coradia by a ramp-up indeed and ramp-up the XX%. increase our Stream, Rolling of name asset, an Stock, on to by example. we of an well EURXXX contract Amtrak. Vlad, system million. around driven Kazakh, This But have the have activities, massive as Cairo,

of driving contract assets full your point not I'm understood in are projects [indiscernible] the sure in swing on to terms ramp-up and element. these is liabilities. of the All have

Vlad? you If rephrase, can

Vladimir Sergievskii

Yeah. you for thank [indiscernible] the Laurent answers. and

So drove significant such between asking liabilities about I was talking cash payables supported the half, on which sheet, I the half. balance about was current the a and presumably trade flow about what the increase the increase. EURXXX first more million was in other in first

Laurent Martinez

No, that's Vlad. Okay. clear,

uplift we this the as have and on some So and the FX. explained, inventory of I is driven trade payable, ramp-up the our by activities, very much

very in much So and line with execution. activity our

on the assets two, of at and there a and asset. drivers liabilities, driven current see hedging by other current net on counterpart to key the the other is the liabilities is you need the On and you look

So only assets liabilities with way, line operating see current that stood in of by other stable a versus net other million net. the where are you very March current other much and operating And the EURXX payables we 'XX. in and

Vladimir Sergievskii

me. great, is the And Laurent. one This final from

Rolling didn't order for growth times up contracts. growth a looks Any at this expect ramping this line intake? organically is And half and obviously with above to you're there? should reason it we grow they in like there Stock time revenues, lack of Bombardier X book-to-bill staying despite when perhaps more accelerate Looking line in first

Henri Poupart-Lafarge

-- projects. growth question it's thank also a of of Vlad. phasing number think you, of Stock, I Rolling a The of

System, some components rolling are forget quite you yes, there stock the don't Again, which going that will growth fast. are see accelerating. So within

For the is Cairo, example, in quite going monorail well. which

continuous production, So up terms will see of are going forward. in definitively. you yes, we in And sales, growth ramping terms of

Vladimir Sergievskii

you clear. all Thank very That’s much.

Henri Poupart-Lafarge

that I ahead. to two think have or after take Go need down. to close we Max we one questions

Operator

you. Thank Okay.

of question Paribas. Jonathan ahead. comes BNP Please next Our from Mounsey go

Jonathan Mounsey

Thanks very and Laurent. much, Henri

negotiations, but already I was know of a specifically rhetoric question calling quite a to more from there wanted risk probably single-day the about around to So close strikes. to seems I be wage action. talk strike IG Metall

think in and gains action negotiations maybe had France, out or some in warning at the about staff how Belfort I progressing. strikes and they're least you complaining

What basis of drag in as it point the but being inflation from the HX, higher purchase become about guidance a loss electronic of that XX shortages also payments risk drag higher inflation talked do talking actually of from risk base include about more Could you. wages? then talks and we all, inflation Where the there? about days So peak. you action?And strike only that, see you push price through Thank does your of we once cost wage than P&L? negotiate first the about component some more

Henri Poupart-Lafarge

course, negotiations. thank question. complex always, Otherwise, of to for it's, any the anticipate you As

France, in say, so of would these I any contained, have negotiations. impacts We full

Of bit it and forward. on than a current is be we impacted our not don't inflationary no expect have context, course, it's far, deliveries, more going But the to impacted probably been so we tense because little usually of doubt.

of There expect what guidance negotiations. again, So Alstom, have these that a And be our social these major in would climate take believe into major outcome is we account during been the we definitely not of one. negotiations. we good and believe -- all disruptions inflation, the disruptions our don't we past in in we

Jonathan Mounsey

you. Thank

Henri Poupart-Lafarge

question. May you. last Thank you. Thank the be

Operator

Thank you.

William ahead. Our Cheuvreux. last from question of Mackie today comes Kepler Please go

William Mackie

Thank questions Good you, then. squeezing morning. Two privilege to there.

revenue year. how through you of to expect It zero backlog you billion you margin looks could us trade. again -- this said of firstly, EURX.X the walk Just for

than I you think anticipated. slightly that's more initially

to just in how the expediting backlog the and capacity backlog of and at you you're next what into the backlog markets? moment? in And U.K. are flow will need capacity rolling utilization stock be potential this the faster would thinking about the align two to perhaps next Germany. maybe That have take thinking So you those in the may to What in you think XX XX with first. months the you months about that measures orders years? second, And

Henri Poupart-Lafarge

lower of probably you it, bit the, can questions. the for that mentioning you we you and is the are -- It Indeed, may this is EURX.X have. This little be speed said, as of than are we the that, depending max on Thank mentioning Yes, probably billion offset. a contracts. execution

that's billion billion, can So between EURX.X EURX.X have. what we

have Germany plan terms a in adapt In the launched restructuring to measures, of to backlog. already we current

So that line. in is

to new going We measures the takes are to it not time, way, implemented. some and take be by

So we negotiations. launched the have

plans should following there We will in our Derby we it at I would our Aventra down slowdown the this progressively the and year. be how are have activities of projects. a will There agreed the on be come execution progressively no stage, but next calm what U.K., it. doing in will In of say, next that -- go site done year. But are

Henri Poupart-Lafarge

Okay.

thank your So attention. you, and ladies gentlemen, for

things. As two a conclusion,

First, March That's probably are will ESG a since as on the Day XX. time it while. do we to launch the on agenda, have going first we you seen

integration re-baseline to We all indicators following have of our managed the Bombardier.

of a as have to we'll as set of good targets. well good numbers you policies give a So set and

first projects. stabilized And devoted the plan really bad in being of being terms are primarily excellent all you devoted the a the again, operational standpoint with as hearing negotiations My that are for our Just the line first finalizing forth. first conclusion an quality, is, externally customers. so are confirm stabilization with a customer again, to we not the half primarily of year and market. new stabilizing as news from half. by Things well this we with delays relationships, on in first, strong take very being That totally with,

And are doing. quicker. We efficiency deliveries of efficiency working our systems, and more the what more be up of on we're able to now ramp to our that's

year So first I for you quite has the provided this to long translates trajectory financial into targets which automatically and good of operational, confirmation with mid- the for the would the been some setup detail, say, all our to confirmation and term.

Bye-bye. to So thanks of soon. a visiting and looking you forward all lot,

Alstom (ALSMY) 17 Nov 222023 Q2 Earnings call transcript