Corporate News: SYZYGY generates sales of EUR 14.9 million and grows by 6 per cent in core German market
- Sales of EUR 14.9 million (-5 per cent compared to previous year)
- Growth of 6 per cent in core German market with an EBIT margin of 13 per cent
- Decline in international business with EUR 0.2 million loss
- Operating income EUR 1.1 million
- Net income EUR 0.7 million
- Outlook for 2020: forecast confirmed with sales set to fall by 10 to 20 per cent and positive EBIT margin in the mid single-digit range expected
- Annual General Meeting: October 27, 2020 at the German National Library, Frankfurt
The SYZYGY Group started the new 2020 financial year with sales of EUR 14.9 million, which corresponds to a 5 per cent decrease compared to the same period of the previous year.
The SYZYGY Group’s business grew again by 6 per cent in the core German market, with sales of around EUR 12.3 million and a continuing strong EBIT margin of 13 per cent. Internationally, there was a significant decline in sales, leading to a loss of EUR 0.2 million.
The SYZYGY Group’s operating income (EBIT) came in at EUR 1.1 million, with the EBIT margin declining from 9.2 per cent to 7.4 per cent.
Financial income was slightly negative at EUR -0.1 million, meaning that total net income after taxes is around EUR 0.7 million. Earnings per share are EUR 0.05.
|Q1 2020||Q1 2019||Change|
|Sales (kEUR)||14,925||15,689||-5 %|
|EBIT (kEUR)||1,097||1,442||-24 %|
|EBIT margin||7.4 %||9.2 %||-1,8 pp|
|Financial income (kEUR)||-139||-8||n.a.|
|Earnings before tax (kEUR)||958||1,434||-33 %|
|Net income for the period (kEUR)||680||1,075||-37 %|
|Earnings per share (EUR)||0.05||0.08||-38 %|
Leading economists believe that the coronavirus pandemic will result in a recession in the markets served by the SYZYGY Group. Changes in our clients’ spending behaviour will lead to a downturn in sales, the extent of which is currently difficult to estimate. Based on the information available to date, SYZYGY AG expects sales to fall by between 10 and 20 per cent in the 2020 financial year. We anticipate an EBIT margin in the mid single-digit range.
The full quarterly report as at March 31, 2020 will be available at http://ir.syzygy.net from May 8, 2020. (in English language).