Accounting red flags surface in latest filings

Forensic Alpha

At Nexans, supplier financing increased, with payables under third-party bank arrangements rising from €341m at FY24 to €449m at FY25. Receivables securitisation and factoring programmes also grew, from €181m to €201m over the same period. Nordex saw contract assets rise from 37 to 48 days equivalent, offset by a matching surge in trade payables that neutralised cash flow impact. Accor disclosed a notable jump in long-term loans to Orient-Express entities following deconsolidation, while Airbus recorded an increase in receivables past due (from 25% of total receivables to 31%) and a release of provisions amounting to a total of €634m, a large amount of which was via “other risks and charges”.

- 06 March, 2026

Accor (AC FP) France

Consumer Discretionary

ALEZOR Research

Alejandro Acosta initiates coverage with a TP of €13 (60% downside) - he argues that the hotel operator's credit risk is closer to a rating of B or below, which is significantly lower than both S&P (BB+) and Fitch's (BBB-) ratings. Key points of interest include: 1) Perpetual subordinated debt is reported as equity when it is debt-like. 2) The “Booster project” led AC to deconsolidate its real-estate related debt and operating lease commitments therefore bypassing the application of IFRS 16. 3) The lead Senior Independent Director doesn’t have skin in the game and doesn’t seem focused on the company. 4) Employee turnover is alarmingly high and increasing.

- 21 July, 2023