(News Bulletin 247) – For its first publication as a young listed company, Stif did not disappoint. The group specializing in protective equipment against the risks of explosions in industrial environments revealed dynamic activity at the start of the year, after a solid year in 2023.

Stif, or Société Tôlerie Industrielle Française, passed the publication test with flying colors. The Angers company, specializing in protective equipment against the risks of explosions in industrial environments, has revealed a strong start to the year on the business front, which already follows a robust 2023 financial year.

Moreover, the group ended this 2023 financial year with a notable IPO. Stif joined the Euronext Growth compartment of the Paris Stock Exchange in December 2023 with the aim of financing its development in the market for securing battery energy storage systems.

Anti-explosion panels

Founded in 1984, the company has historically specialized in components for handling bulk products, namely buckets for elevators or fittings for pneumatic transport. Then at the beginning of the 2010s, Stif took a first strategic turn by developing a range of protection products against dust explosions in industrial environments, under the Vigilex brand.

And since 2022, the group has diversified further, this time by offering a range of anti-explosion panels dedicated to battery energy storage systems (BESS). It is marketed under the Vigilex Energy brand. BESS is a technology that uses rechargeable batteries to store intermittent electricity produced by solar or wind farms and release it as needed. The BESS plays a key role enabling the storage of electricity produced by renewable energies such as solar and wind, explains Stif.

And on the strength of this trend, Stif had indicated to the market that it anticipated “a strong acceleration” in its turnover in the coming years. And the latest publication tends to validate the company’s ambitions. Last year, Stif achieved a consolidated turnover of 35.5 million euros, an increase of 14% compared to the 2022 financial year.

The company explains that it has benefited over the past year from an increase in the marketing of high value-added products dedicated to protection against explosions. Stif cites in particular the segment of protections dedicated to BESS (Battery Energy Storage System).

A little further down in the accounts, gross operating income jumped 37% over one year to stand at 4.7 million euros. Stif attributes this clear improvement in this indicator to its new positioning, which combines an ever “more favorable” product mix with continued control of its production costs. At 2 million euros, the group’s net profit is up 16% compared to 2022.

Stif shareholders will also be rewarded. The company will propose the payment of a dividend of 0.19 euros per share for the 2023 financial year. “The continuation of a distribution policy demonstrates management’s confidence in the group’s prospects,” says Stif.

A contract with Tesla

The start of 2024 is also going well for Stif, the group’s growth has been supported by an increase in activity in the explosion protection products segment. Over the first three months of the current financial year, turnover jumped 77% compared to the same quarter of 2023, to stand at 12.8 million euros.

The group recalls having recorded, over the past quarter, a significant volume of business with the energy branch of Tesla. This year Stif will supply the American giant with its anti-explosion panels intended to secure Tesla’s battery energy storage systems, which will result in a turnover of around 10 million euros on fiscal year 2024.

“At the same time, advanced discussions are continuing with numerous BESS manufacturers. The installation of the group’s future industrial site in the United States, in the state of Texas, is progressing as planned for the start of operations planned for June 2024” , adds Stif

The company also reiterates its ambitions for 2027, as announced during the IPO. The group still aims to increase its turnover to around 80 million euros with a gross operating surplus (Ebitda) greater than 15% of turnover.

For its first publication as a listed company, Stif clearly did not disappoint. The stock gained another 13.56% to 10.32 euros this Thursday, bringing its increase to 58.8% compared to the price of 6.50 euros chosen for its IPO in December 2023.