DGAP-News: Powerland AG / Key word(s): Interim Report/Quarter Results
Powerland AG: Performance in line with expectations / Outlook for FY
2015 confirmed
05.08.2015 / 09:51
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Frankfurt/Main, 5 August 2015 - Against the background of a challenging
market environment, Powerland AG generated Group revenues of EUR 30.0
million in the first quarter of 2015. This corresponds to a decrease of 24%
compared to the last year's figure. Both the Luxury as well as the Casual
segment played a major part in contributing to this development: Revenues
in the Luxury segment were down 23% to EUR 23.2 million, whereas in the
Casual Segment, revenues of EUR 6.8 million were generated (-25%).
At EUR 3.1 million, Group EBIT decreased by 17% as against the first
quarter of 2014. EBIT margin slightly improved from 9.6% to 10.3%. Earnings
before taxes amounted to EUR 2.5 million (-41%).
Net profit of Powerland Group came in significantly lower at EUR 1.9
million, representing a 44% decrease compared to Q1-2014. Based on 15
million shares, this figure is equivalent to earnings per share of EUR 0.13
(-43%).
Cash and cash equivalents went up from EUR 8.7 million at year-end 2014 to
EUR 25.8 million as at 31 March 2015. While cash generated from operations
was negative at EUR -11.8 million, the increase is mainly due to higher net
borrowings.
Operation-wise, the Powerland Group launched its new product series and is
constantly enhancing its online and offline brand awareness. Despite the
achievements, Powerland faces substantial challenges: As the Chinese
economy slows down and the competition in the Luxury segment becomes
increasingly intensive, Powerland has to lower down unit selling prices and
offer deeper discounts for distributors; at the same time, the price war in
the casual segment remains unchanged.
So far, the business performance is generally in line with the company's
expectations. Consequently, Powerland maintains its conservative outlook
for 2015. The company expects to generate revenues of EUR 112.0 million in
the financial year 2015. Although Powerland will close down more stores and
implement more cost-effective marketing campaigns so as to reduce operating
expenses, Group EBIT will fall as well to supposedly EUR 6.0 million.
Meanwhile, Powerland will continue to adopt a stringent working capital
management to ensure a healthier cash flow situation.
<pre>
in EUR million Q1 2015 Q1 2014 Change
Revenue 30.0 39.3 -24%
Luxury 23.2 30.3 -23%
Casual 6.8 9.0 -25%
Luxury 76% 77%
Casual 24% 23%
Net profit 1.9 3.5 -44%
Gross profit 11.4 14.4 -21%
Luxury 10.3 12.6 -19%
Casual 1.2 1.8 -34%
EBIT 3.1 3.8 -17%
Luxury 3.1 3.6 -14%
Casual 0.01 0.2 -92%
EBIT margin 10.3% 9.6%
Luxury 13.3% 11.9%
Casual - 1.7%
</pre>
The full financial report for the first quarter of 2015 is now available at
http://www.powerland.ag/en/investor-relations/financial-reports
For further information, please contact:
Powerland AG
c/o GFD - Gesellschaft für Finanzkommunikation mbH
Fellnerstrasse 7-9
60322 Frankfurt am Main
Germany
Phone: +49 (0) 69 66 554 - 459
Fax: +49 (0) 69 66 554 - 276
E-mail: ir@powerland.ag
Home: http://www.powerland.ag
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05.08.2015 Dissemination of a Corporate News, transmitted by DGAP - a
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The issuer is solely responsible for the content of this announcement.
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Language: English
Company: Powerland AG
c/o GFD mbH, Fellnerstr. 7-9
60322 Frankfurt am Main
Germany
Phone: +49 69 - 66554-459
Fax: +49 69 - 66554-276
E-mail: ir@powerland.ag
Internet: www.powerland.ag
ISIN: DE000PLD5558
WKN: PLD555
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated
Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich,
Stuttgart
End of News DGAP News-Service
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383713 05.08.2015
DGAP-News: Powerland AG: Performance in line with expectations / Outlook for FY 2015 confirmed
| Source: EQS Group AG