The LISI Group achieved its target of improving its financial performance in 2019

• Reported sales up: +5.1% at €1,729.5M, return to positive organic growth (+3.3%);
• +14.4% increase in EBIT with an acceleration in the second half of the year;
• Net income of €69.8M, including non-recurring charges related to the disposals of businesses in the LISI AEROSPACE and LISI AUTOMOTIVE divisions. +6.3% increase compared to 2018, excluding this scope effect;
• Record Free Cash Flow Level at €101.5M;

LISI AEROSPACE
• Sales: €996.6M, up +6.7% (as reported and at constant exchange rates and perimeter) compared to 2018;
• Initial effects of the lower production rates of the Boeing B737 MAX offset by the positive momentum on the other programs;
• EBIT up +27.7%;
• Free Cash Flow: record level of €85.7M;
• Disposals of the companies Indraero Siren and LISI AEROSPACE Creuzet Maroc (Business Group "Structural Components") completed on June 30, 2019.

LISI AUTOMOTIVE
• +1.2% increase in published sales to €587.9M, supported by a full-year perimeter effect of the integration of Hi-Vol acquired in 2018 in the United States;
• New market share gains in "Clipped Solutions" and "Safety Mechanical Components";
• Sequential improvement in the operating margin between H1 and H2, reflecting the gradual effects of the cost-cutting actions launched in Q4 2018;
• Record annual Free Cash Flow at €19.5M;
• Disposal of the screw, chassis stud and ball joint segment by LISI AUTOMOTIVE Former completed on November 29, 2019 (amount of divested 2019 sales: €31.8M).

LISI MEDICAL
• Sales up +11.9% from 2018;
• EBIT up +28.5% compared to 2018, driven by the recovery of LISI MEDICAL Remmele and the good performance of LISI MEDICAL Orthopedics;
• Free Cash Flow increased by €3.7M compared to 2018.

The LISI Group remains alert to the timeline for the return to service of the B737 MAX to refine its objective of positive organic growth and EBIT increase in 2020. This objective will be periodically reviewed based on market information that may be published during financial year 2020.

In this context, the LISI Group is prioritizing cash generation in the coming months. In this regard, the Free Cash Flow will remain largely positive in 2020 given the Group's track record of adapting to changing conditions.