DGAP-News: EQS Group AG / Key word(s): Quarterly / Interim Statement/Quarter
Results
EQS Group AG: EQS Group AG starts the new financial year as expected
31.05.2016 / 08:00
The issuer is solely responsible for the content of this announcement.
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EQS Group AG starts the new financial year as expected
Investments continue to influence earnings
Foreign business accounts for one third of Group revenues for the first
time
Munich - May 31, 2016
EQS Group AG (ISIN: DE0005494165) started the 2016 financial year as
planned. From January to March, Group revenues totalled EUR4.617 million,
an increase of 10% over the same period the previous year. Group EBIT
before scheduled amortisation on acquired customer bases and before costs
of acquisition (non-IFRS) declined by 66% to EUR.163 million. Adjusted
Group earnings were EUR-.071 million with adjusted earnings per share at
EUR-.06.
For the first time, foreign business accounted for one-third of total
revenues. The Group's foreign subsidiaries increased their earnings by
double-digit percentages.
Domestic business declined, however, in line with expectations. Revenues
amounted to EUR3.088 million, 5% lower than in the previous year's quarter,
due to the impacts of a changed regulation of voting rights notifications
and quarterly reports under the EU Transparency Directive for Listed
Companies as well as the weak media business with issuers of SME bonds. EQS
Group AG does expect an increase in domestic revenues from the second half
year due to the EU Market Abuse Regulation that will go into effect at the
beginning of July. This Regulation calls for an expansion of the ad-hoc
notification obligation for a significantly larger number of issuers as
well as requiring more comprehensive insider regulations.
Similarly, the Market Abuse Regulation law also applies to other EU member
states. The December 2015 acquisition of Obsidian IR in the United Kingdom
(UK) opens a unique opportunity to reap benefits of the new regulation
locally. Since its entry into the market, EQS AG's London-based British
subsidiary, EQS Group Ltd. has already contributed EUR.085 million to the
Group's revenues in the first quarter. Our Swiss subsidiary contributed an
even larger share to Group revenues. After the acquisition of Tensid AG
(which was merged to our former Swiss company with retrospective effect on
January 1, 2016 and is now active under the name of Tensid EQS AG), Swiss
revenues rose by 137% to EUR.663 million.
Achim Weick, founder and CEO of EQS Group AG, said: "The Group's dynamic
development in foreign revenues, with growth rates in the double-digit
range, shows that our efforts to become a leading global provider for
digital investor relations is bearing increasingly more fruit. Our UK and
Swiss acquisitions at the end of the year provide us with renewed growth
momentum."
The Asian subsidiary EQS Asia Ltd. increased its revenues by 13% to EUR.619
million. Despite insecurities in Asian capital markets, the Group was able
to increase its customer base. The Group was, at the same time, able to
decrease losses compared to the previous year's quarter, in accordance with
expectations. Our Russian subsidiary is still working under difficult
conditions, making its 31% revenue increase to EUR.162 million all the more
remarkable.
Unchanged outlook for the 2016 financial year
The board of EQS Group AG expects double-digit sales growth of 10% - 15% to
EUR20.2 - EUR21.1 million and an increase in adjusted EBIT by 5% - 10% to
EUR3.1 - EUR3.3 million as part of its international growth strategy for
the 2016. This figure includes additional organizational and expansion
expenses totalling approximately EUR1.1 million.
Management will discuss these results in today's conference call starting
11:00 am (CEST). It will be transmitted live online at www.eqs.com.
<pre>
Key figures (IFRS) Q1 2016 Q1 2015 +/-
Revenues (EUR '000) 4,617 4,207 +10%
Non-IFRS* EBIT (EUR 163 481 -66%
'000)
EBIT (EUR '000) 38 395 -90%
Non-IFRS* Group Earnings -71 370 -
(EUR '000)
Group Earnings (EUR -159 320 -
'000)
Non-IFRS Earnings per -0.06 0.32 -
Share (EUR)*
Earnings per Share (EUR) -0.13 0.27 -
Operating Cash Flow (EUR 408 1,383 -70%
'000)
Liquid funds (EUR '000) 461 1,345 -66%
Employees (average of 211 172 +23%
the reporting period)
</pre>
* Non-IFRS key figures before amortisation of acquired customer bases and
acquisition expenses
More information:
The figures for the first quarter of 2016 have not been audited.
Corporate notifications of EQS Group AG are also available, free of charge
and immediately, on your mobile device: by DGAP News App directly to your
AppleWatch or iPhone (http://newsapp.dgap.de/).
About EQS Group
EQS Group is a leading international technology provider for Digital
Investor Relations. More than 8,000 companies worldwide trust our
applications and services which securely, efficiently and simultaneously
fulfil complex national and international information obligations to the
global investment community.
The heart of the technology is the COCKPIT, as Software as a Service
(SaaS), which digitally maps the work processes of IR managers streamlining
them for maximum efficiency. Special modules maintain IR websites contents
(CMS), contact data (CRM) and insider data as well as access to global
investor data and proprietary monitory and analytics functions. The COCKPIT
platform is connected to the company website in order to guarantee
integrated workflows.
The COCKPIT also provides access to one of the most important Financial
Newswire, over which more than 20,000 financial and corporate releases are
distributed annually. In Germany, all DAX companies trust EQS Group's DGAP
service as the main institution to comply with legal and regulatory
submission and publication requirements.
As a digital single source provider, EQS Group also develops IR and
corporate websites as well as Apps, creates online financial and
sustainability reports and performs corporate audio and video
transmissions.
EQS Group was founded in Munich, Germany, in 2000 and has developed from a
start-up to an international Group with locations in the world's key
financial markets. The Group employs more than 200 professionals.
Contact:
André Marques
Head of Investor Relations
Tel.: +4989-21029833
Mobile: +49175-5250009
Email.: andre.marques@eqs.com
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31.05.2016 Dissemination of a Corporate News, transmitted by DGAP - a
service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
The DGAP Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Archive at www.dgap.de
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Language: English
Company: EQS Group AG
Karlstr. 47
80333 Munich
Germany
Phone: +49(0)89 210298-0
Fax: +49(0)89 210298-49
E-mail: info@eqs.com
Internet: www.eqs.com
ISIN: DE0005494165
WKN: 549416
Listed: Regulated Unofficial Market in Berlin, Dusseldorf, Munich
(m:access), Stuttgart; Open Market (Entry Standard) in
Frankfurt
End of News DGAP News Service
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467637 31.05.2016
DGAP-News: EQS Group AG: EQS Group AG starts the new financial year as expected
| Source: EQS Group AG