Letter from the management
During this financial year 2020, the LISI Group experienced an unprecedented situation with a sudden drop in demand. In 2020, sales amounted to €1,230 million, representing a loss of nearly €500 million compared to 2019, down 28.9%.
Despite business collapsing across all three divisions, the Group has shown strong resilience of the main management indicators. LISI has succeeded in maintaining a good gross operating surplus, positive current operating income and record free cash flow.
LISI aims for a leadership position, among the two or three top players in each segment, in each Business Group.
Chief Executive Officer, LISI
LISI aims for a leadership position
This financial position remained strong thanks to the responsiveness of the teams, that immediately implemented a comprehensive plan to adjust to the COVID-19 pandemic called NEW DEAL. The plan, which initially set protecting the health of employees and preserving cash flow as its top priority, now enables us to prepare for the future by adapting to new market conditions.
The NEW DEAL plan will contribute to the achievement of the 2020-2024 strategic plan. LISI aims for a leadership position, among the two or three top players in each segment, in each Business Group. This is why the Group intends to turn all the opportunities in the existing market into organic or external growth.
Formalizing CSR commitments
To meet the challenges of tomorrow, LISI will continue to rely on powerful action levers such as innovation (see p. 33) and operational excellence (see p. 38), while integrating corporate social responsibility (see p. 42). Even though the Group, through its long-term vision, has been dealing with CSR subjects for a long time, it has decided to formalize them more for the coming period.
To achieve this objective, LISI will be able to rely on the dynamism and entrepreneurial spirit of its employees, on the loyalty of its shareholders, on the demands of its customers, on the support of its suppliers, and on the confidence of its banking partners. LISI’s footprint nationally and internationally will be an asset.
We remain confident in the future. With all the efforts undertaken, the Group’s ability to rebound is intact.