Revenue totalled €4,681 million in 2022, an increase of 8.9% relative to 2021, including organic growth of 5.5%. Revenue in France rose by 2.1%, including organic growth of 1.9%, and remained significantly hampered by the crisis affecting the Group’s nursing homes. Growth was strong in the group’s other geographical markets. It mainly consisted of organic growth, driven by a recovery related to the gradual emergence from the Covid-19 crisis, the build-up of newly opened facilities and price increases in the second half of 2022 in countries such as Germany and Belgium.
The group is due to report 2022 results in the second quarter of 2023. ORPEA’s performance was badly affected by the reputational crisis that began in 2021, leading to an overhaul of its governance including the appointment of a new Board of Directors and a new management team.
On 25 October 2022, the group began non-contentious conciliation proceedings, seeking discussions with its creditors about restructuring its debt, obtaining new financial resources and adjusting its covenants. The group also commenced proceedings against unnamed persons and against its former CEO. On 15 November 2022, management presented a “refoundation plan” and continued discussions with its creditors.
In early 2023, ORPEA reached an agreement in principle with its main banking partners and began an accelerated safeguard procedure to allow it to implement its restructuring plan. As the company noted, the capital increases being considered as part of its restructuring plan would lead to large-scale dilution for existing shareholders (see section 4.3 of its Universal Registration Document).