Edenred: Sustained First Quarter Growth: Issue Volume up 11.9% and Revenue up 9.8% as Reported

By Edenred, PRNE
Sunday, April 17, 2011

PARIS, April 18, 2011 -

    - Positive overall trends:

    - Issue volume up 11.9% as reported and 9.0% like-for-like.

    - Total revenue up 9.8% as reported and 7.2% like-for-like.

    - Operating revenue up 6.6% like-for-like[1], reflecting:

    - Strong momentum in Latin America

    - A mixed situation in Europe, with stabilized unemployment rates in
    Western Europe but a still difficult situation in Central Europe

    - Return to growth in financial revenue, up 13.0% like-for-like,
    attributable to higher interest rates and an increased float in Latin

    (in EUR millions)   Q1 2010     Q1 2011    % change      % change
    Issue volume         3,174       3,554      +11.9%         +9.0%
    Operating revenue      208         227       +9.4%         +6.6%
    Financial revenue       19          22      +13.9%        +13.0%
    Total revenue          227         249       +9.8%         +7.2%


Issue volume amounted to EUR3,554 million in first-quarter 2011, up 9.0%
like-for-like. The reported increase was 11.9%, lifted by the 2.3% positive
currency effect for the quarter.

Growth in issue volume by region was as follows:

    Like-for-like   France    Rest of    Latin    Rest of the    TOTAL
     issue volume             Europe    America      world
       Q1 2011       +2.9%     -2.0%    +20.5%      +23.1%       +9.0%

- France: first-quarter issue volume of EUR659 million

Strong performances by the meal voucher business and Ticket CESU (up 3.9%
like-for-like) offset the difficulties experienced by the BtoC gift voucher
business (down 31.7%). In all, first-quarter issue volume rose 2.9%

- Rest of Europe: first-quarter issue volume of EUR1,148 million

Issue volume in the Rest of Europe region down 2.0% like-for-like due to
the loss of the CONSIP contract in Italy, which represented EUR42 million in
issue volume in first-quarter 2010. Excluding this contract, issue volume was
up 1.7% in the first quarter, reflecting the net effect of a like-for-like
increase of 3.2% in Western Europe, helped by stabilized unemployment rates,
and a 2.9% like-for-like fall in Central Europe where economic conditions
remained difficult.

- Latin America: first-quarter issue volume of EUR1,628 million

Issue volume rose 20.5% like-for-like in the first quarter, lifted by
growth in salaried employment, higher penetration rates and increased face
values. The main products recorded solid gains, with food and meal voucher
issue volume up 20.8% and Ticket Car issue volume 20.0% higher.


Operating revenue for first-quarter 2011 totaled EUR227 million,
representing an increase of 6.6% like-for-like. The reported increase was
9.4%, after taking into account:

- The 0.2% positive impact of changes in scope of consolidation.

- The 2.6% positive currency effect, of which:

- The 2.7% positive effect of the Brazilian real's appreciation over the

- The 1.3% negative effect of applying the new official exchange rate for
the Venezuelan bolivar (VEF 5.3/USD vs. VEF 4.3 in first-quarter 2010).

    Like-for-like   France      Rest of    Latin America  Rest of    TOTAL
      operating                 Europe                   the world
    revenue growth
       Q1 2011       -1.1%       -1.1%        +17.4%      +10.0%     +6.6%

- France: first-quarter operating revenue of EUR36 million

In France, operating revenue dipped 1.1% like-for-like. Operating
revenues from Ticket Restaurant(R) and Ticket CESU grew by a robust 4.1%
like-for-like. However, in the BtoC gift voucher segment, Kadéos was badly
hit by competition from a single-brand card launched by its main distributor,
FNAC, despite the two companies having signed an exclusivity agreement. As a
result, BtoC gift voucher revenue fell 40.5% like-for-like compared with
first-quarter 2010.

- Rest of Europe: first-quarter operating revenue of EUR81 million

In the Rest of Europe region, operating revenue eased back 1.1%
like-for-like, reflecting a mixed situation.

In Belgium, operating revenue advanced 4.8% like-for-like, lifted by 5.4%
like-for-like growth in meal voucher revenues.

In the United Kingdom, demand for Childcare Vouchers remained strong,
helping to drive 6.7% like-for-like growth in operating revenue.

In Italy, operating revenue was up 3.3% like-for-like, led by a robust
performance by Ticket Restaurant(R).

In Romania, the ongoing effects of the recession led to a 39.6%
like-for-like fall in operating revenue. However, customer fees stabilized
compared with fourth-quarter 2010 and this should gradually filter through to
revenue by the end of the year.

In the Netherlands, the gift packs business contracted sharply, trimming
1.4 points from growth in the Rest of Europe operating revenue. This business
does not generate any issue volume.

- Latin America: first-quarter operating revenue of EUR94 million

In Latin America, operating revenue expanded 17.4% like-for-like,
reflecting roust local economies and strong marketing performances.

In Brazil's buoyant economic environment, operating revenue climbed 16.4%
like-for-like in the first quarter. All products contributed to the increase,
especially meal and food vouchers which recorded an 18.0% increase

Hispanic Latin America also had a very good quarter, with operating
revenue up 19.5% like-for-like. In Mexico, Ticket Alimentación and Ticket Car
performed particularly well.


First-quarter 2011 saw return to growth in financial revenue, which
climbed 13.0% like-for-like after contracting 0.3% in fourth-quarter 2010.

Latin America benefited from higher interest rates and an increase in the
float, which helped to drive a 38.8% like-for-like rise in financial revenue
over the quarter.

In Europe, the situation stabilized, with financial revenue up 1.1%


First-quarter issue volume rose 11.9% on a reported basis and 9.0%
like-for-like, reflecting solid market trends in Latin America and stabilized
unemployment rates in Western Europe. Economic conditions remained difficult
in most countries of Central Europe, particularly in Romania.

Total revenue grew by a strong 9.8% as reported and 7.2% like-for-like,
with operating revenue gaining 6.6% like-for-like and financial revenue
returning to growth, with an increase of 13.0% like-for-like.

Quarterly Report

Significant transactions and events for the period

As part of its growth strategy, Edenred made two acquisitions,
consolidated from January 2011, that will firm up its market leadership in
the countries concerned:

- Euroticket, Romania's fourth largest issuer of meal and gift

With more than 3,000 customers and a nearly 5% market share,
Euroticket issued EUR53 million worth of vouchers in 2009.

- RistoChef, Italy's seventh-largest provider of meal

With more than 1,800 customers and a nearly 3% market share,
RistoChef, generated an issue volume of around EUR70 million in 2010.

Upcoming events

Annual Shareholders' Meeting: May 13, 2011

Second-quarter revenue announcement: July 18, 2011

Edenred, which invented the Ticket Restaurant(R) meal voucher and is the
world leader in prepaid corporate services, designs and delivers solutions
that make employees' lives easier and improve the efficiency of

By ensuring that allocated funds are used specifically as intended, these
solutions enable companies to more effectively manage their:

- Employee benefits (Ticket Restaurant(R), Ticket Alimentación, Ticket
CESU, Childcare Vouchers, etc.)

- Expense management process (Ticket Car, Ticket Cleanway, etc.)

- Incentive and rewards programs (Ticket Compliments, Ticket Kadéos,

The Group also supports public institutions in managing their social

Listed on the NYSE Euronext Paris stock exchange, Edenred operates in 40
countries, with 6,000 employees, nearly 530,000 companies and public sector
customers, 1.2 million affiliated merchants and 34.5 million beneficiaries.
In 2010, total issue volume amounted to EUR13.9 billion, of which 55% was
generated in emerging markets.

Full details of Edenred's 2010 results are available on the Company's
website: www.edenred.com.

Ticket Restaurant(R) and all other tradenames of Edenred products and
services are registered trademarks of Edenred SA.


                        Issue Volume

                                    2010         2011
         In EUR millions

    France                                641         659
    Rest of Europe                      1,135       1,148
    Latin America                       1,301       1,628
    Rest of the world                      97         119

    TOTAL ISSUE VOLUME                  3,174       3,554

                                   Change     Change L/L*
               In %

    France                               2.9%        2.9%
    Rest of Europe                       1.1%       -2.0%
    Latin America                       25.1%       20.5%
    Rest of the world                   22.1%       23.1%

    TOTAL ISSUE VOLUME                  11.9%        9.0%

        * At constant scope of
        consolidation and exchange rates

                      Operating Revenue

                                    2010          2011
         In EUR millions

    France                                  36          36
    Rest of Europe                          79          81
    Latin America                           78          94
    Rest of the world                       15          17

    OPERATING REVENUE                      208         227

                               Change reported Change L/L*
               In %

    France                                 1.7%       -1.1%
    Rest of Europe                         1.6%       -1.1%
    Latin America                         19.8%       17.4%
    Rest of the world                     15.2%       10.0%

    OPERATING REVENUE                      9.4%        6.6%

        * At constant scope of
        consolidation and exchange rates

                      Financial Revenue

                                    2010          2011
         In EUR millions

    France                                   5           5
    Rest of Europe                           8           7
    Latin America                            6           9
    Rest of the world                        -           1

    FINANCIAL REVENUE                       19          22

                               Change reported Change L/L*
               In %

    France                                 4.2%        4.3%
    Rest of Europe                        -4.9%       -0.9%
    Latin America                         47.3%       38.8%
    Rest of the world                     10.2%       10.0%

    FINANCIAL REVENUE                     13.9%       13.0%

        * At constant scope of
        consolidation and exchange rate

                       Total Revenue

                                 2010           2011
        In EUR millions

    France                               41           41
    Rest of Europe                       87           88
    Latin America                        84          102
    Rest of the world                    15           18

    TOTAL REVENUE                       227          249

                            Change reported Change L/L*
             In %

    France                              2.0%        -0.4%
    Rest of Europe                      1.0%        -1.1%
    Latin America                      21.7%        18.9%
    Rest of the world                  15.0%        10.0%

    TOTAL REVENUE                       9.8%         7.2%

         * At constant scope of
         consolidation and exchange rate

         *A périmètre et change constants


[1] Based on a comparable scope of consolidation and at constant exchange

CONTACTS: Eliane Rouyer-Chevalier, Executive Vice President Communications -
Phone.: +33(0)1-74-31-86-26 - eliane.rouyer at edenred.com ; Media relations: Anne-Sophie Sibout, Media Relations Director - Phone: +33(0)1-74-31-86-11 - anne-sophie.sibout at edenred.com ; Nuno Afonso, Press Attaché - Phone: +33(0)1-74-31-86-27 -
nuno.afonso at edenred.com ; Investor relations: Virginie Monier, Investor Relations - Phone: +33(0)1-74-31-86-16 - virginie.monier at edenred.com

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