DGAP-News: Francotyp-Postalia Holding AG / Key word(s): Half Year
Results/Half Year Results
Francotyp-Postalia Holding AG: Francotyp-Postalia demonstrates strength in
first six months of 2016 with further revenue and EBITDA growth
25.08.2016 / 06:50
The issuer is solely responsible for the content of this announcement.
---------------------------------------------------------------------------
Corporate News
Francotyp-Postalia demonstrates strength in first six months of 2016 with
further revenue and EBITDA growth
- Revenue up 5.4% to EUR 100.3 million
- EBITDA rises by 2.5% to EUR 14.6 million
- Free cash flow improves significantly to EUR 6.3 million
- First operational excellence measures implemented
- Management Board confirms forecast for year as a whole
Berlin, 25 August 2016 The digital mailroom provider Francotyp-Postalia
Holding AG remains on a profitable growth path. Revenue increased to EUR
100.3 million in the first half of 2016 compared with EUR 95.2 million in
the previous year. On a quarterly basis, revenue rose from EUR 45.7 million
in the second quarter of 2015 to EUR 49.0 million. The company recorded
growth in its traditional franking machine business as well as in its new
Mail Services and Software business areas. Against the market trend,
franking machine revenue increased to EUR 63.1 million in the first half of
2016 compared with EUR 62.2 million in the same period of the previous year
despite the growing headwind resulting from the strong euro. The company's
growth was due to the success of the multiple award-winning PostBase
family. In 2016, the FP Group introduced two new PostBase systems for
larger mail volumes on the first markets.
In the new business areas, the FP Group increased its revenues by 12.6% to
EUR 37.2 million in the first half of 2016. The Mail Services segment
relating to the collection, franking, sorting and delivery of business mail
with postage discounts were main contributors to this success. Revenue in
this area increased by 15.3% to EUR 30.1 million.
EBITDA and EBIT growth
The success in the business areas is reflected in the Group's earnings for
the first half of 2016. EBITDA improved by 2.5% to EUR 14.6 million, while
EBIT increased by 3.5% to EUR 6.3 million despite the slightly higher level
of amortisation and depreciation as anticipated. Consolidated net income
was unchanged year-on-year at EUR 4.0 million. The company has already
implemented operational excellence measures aimed at optimising the tax
rate. As a result, it expects the tax rate for 2016 as a whole to be
considerably lower than in the previous year. The main operational
excellence measures also include the improved and significantly expanded
Group funding. In June 2016, the company concluded a new, extended loan
agreement with a volume of EUR 120 million at improved terms and
conditions. This gives the FP Group the necessary scope to finance the
planned growth over the coming years, including the possibility of
acquisitions.
Free cash flow improves to EUR 6.3 million
In addition to its earnings power, the FP Group considerably improved its
financial strength in the first half of 2016. Free cash flow improved
significantly to EUR 6.3 million after EUR -0.6 million in the previous
year thanks to the planned reduction in investments in leased products as
well as an improvement in working capital. There was also a positive effect
due to non-recurring cash inflows not recognised in earnings in the amount
of EUR 1.7 million from the successful conclusion of mutual tax agreement
procedures.
In light of the positive development in the first half of 2016, the
Management Board is confirming its forecast for 2016 as a whole: Assuming
that exchange rates remain unchanged, the company expects to see a slight
year-on-year increase in revenue and EBITDA as well as a positive free cash
flow.
Increased growth potential in the medium term
Rüdiger Andreas Günther, CEO of the FP Group, commented: "As a start, I am
satisfied with our performance in the first six months of 2016. We recorded
growth and demonstrated our strength in all business areas as expected. In
the medium term, however, our company has a great deal more profitable
growth potential to offer. To achieve this, we are currently enhancing our
strategy and initiating operational excellence measures." The FP Group will
present its enhanced growth strategy and information about the next steps
in the autumn. Günther: "I am confident that we will leverage our company's
potential."
Key figures at a glance:
<pre>
in EUR million H1/2016 H1/2015 Change
Revenue 100.3 95.2 5.4%
- of which franking machines 63.1 62.2 1.5%
- of which Mail Services 30.1 26.1 15.3%
- of which Software 7.1 6.9 2.7%
EBITDA 14.6 14.3 2.5%
EBIT 6.3 6.1 3.5%
Consolidated net income 4.0 4.0 0.2%
Earnings per share (basic, in EUR) 0.24 0.24 0.0%
Investments 8.5 9.1 - 7.0%
Free cash flow 6.3 -0.6 n.a.
Employees (number) 1,041 1,064 -2.2%
30.06.2016 31.12.2015
Net debt 16.9 20.4 -17.2%
</pre>
Contact
Francotyp-Postalia Holding AG
Investor Relations/Public Relations
Sabina Prüser
Tel: +49 (0)30 220 660 410
Fax: +49 (0)30 220 660 425
E-mail: s.prueser@francotyp.com
De-Mail: s.prueser@francotyp.de-mail.de
About Francotyp-Postalia Holding AG
The FP Group, which has its headquarters in Berlin, is a Digital Mailroom
provider. This global company offers all products and solutions for
communication and document processes and thus focuses on business and
private customers. In addition to traditional machinery to frank and insert
mail, the company's range comprises services such as the collection of
business mail and innovative software solutions such as De-Mail. The FP
Group is now present in many developed countries with its own branches and
has a global market share of more than 10% in the area of franking
machines. Having existed for over 90 years, the FP Group now benefits - on
all markets - from the willingness of companies to digitise business
processes and outsource their business mail to a professional service
provider. In the 2015 fiscal year, the company generated EUR191.1 million
in revenue. The FP Group employees over 1,000 people worldwide.
Contact:
Francotyp-Postalia Holding AG
Media Relations
Telephone: +49 (0)30 220 660 410
Telefax: +49 (0)30 220 660 425
E-Mail: pr@francotyp.com
---------------------------------------------------------------------------
25.08.2016 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
---------------------------------------------------------------------------
Language: English
Company: Francotyp-Postalia Holding AG
Prenzlauer Promenade 28
13089 Berlin
Germany
Phone: +49 (0)30 220 660 410
Fax: +49 (0)30 220 660 425
E-mail: ir@francotyp.com
Internet: www.fp-francotyp.com
ISIN: DE000FPH9000
WKN: FPH900
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated
Unofficial Market in Berlin, Dusseldorf, Munich,
Stuttgart, Tradegate Exchange
End of News DGAP News Service
---------------------------------------------------------------------------
495747 25.08.2016
DGAP-News: Francotyp-Postalia Holding AG: Francotyp-Postalia demonstrates strength in first six months of 2016 with further revenue and EBITDA growth
| Source: EQS Group AG