BEIJING, Sept. 09, 2019 (GLOBE NEWSWIRE) -- Wanda Sports Group Company Limited (“Wanda Sports”, or “we”) (NASDAQ: WSG), a leading global sports events, media and marketing platform, today announced its unaudited financial results for the second quarter ended June 30, 2019.
Second Quarter 2019 Financial Highlights:
Mr. Hengming Yang, Chief Executive Officer of Wanda Sports, commented, “We are pleased with our second quarter performance, which reflects the strong business momentum across our three key segments. Compared with the second quarter of 2018, we delivered steady revenue growth and achieved solid profits, excluding the impact of event cyclicality due to the FIFA World Cup. As a leading global sports events, media and marketing platform, Wanda Sports is capitalizing on the tremendous opportunities in the growing sport market globally. Looking ahead, we remain focused on our strategy of adding compelling events in desirable markets, expanding our diversified portfolio of world-class IP rights, embracing digital innovation in the sports industry, making selective acquisitions that have strong synergies with our existing businesses and capturing the significant opportunities in the high-growth Chinese market. We are confident that continued execution of this strategy will drive growth and create value for our shareholders.”
Mr. Honghui (Brian) Liao, Chief Financial Officer of Wanda Sports commented, “In the second quarter, we achieved solid financial performance, with a 4% year-over-year increase in revenues (excluding the impact of reimbursement revenues) and Adjusted EBITDA of €59 million. Our asset-light business model and strong cash flow from operations give us the financial flexibility to invest in new growth initiatives. In August, we used the proceeds from our U.S. IPO as well as cash on hand to pay down short-term debt by US$200 million and reduced our net leverage ratio to 4.2. We remain focused on executing our strategy while working to reduce our leverage as we position Wanda Sports to deliver long-term value for our athletes, business partners and shareholders.”
Second Quarter 2019 Financial Results
Total revenue was €283.8 million (US$322.8 million), a decrease of 30% from the second quarter of 2018, primarily attributable to decreased revenue from the Digital, Production, Sports Solutions (DPSS) segment. Excluding reimbursement revenue, total revenue was €256.1 million (US$291.3 million), up 4% year-over-year, mainly due to increased revenue from our Mass Participation segment.
Revenue in our Mass Participation segment was €90.9 million (US$103.4 million), up 21% year-over-year. The growth was primarily driven by increases in the number of gross-paid athletes and average revenue per gross-paid athlete. The number of gross-paid athletes increased from 449,000 in the second quarter of 2018 to 466,000 in the second quarter of 2019 attributable to the contribution from recently acquired events. Average revenue per gross-paid athlete increased to €118 from €96 in the second quarter of 2018.
Revenue in our Spectator Sports segment was €138.1 million (US$157.1 million), down 6% year-over-year. The decrease was primarily due to the decline in revenue from our football portfolios, reflecting the event cyclicality of the 2018 FIFA World Cup Russia™. The decrease was also partially offset by stronger contributions from summer and winter sports this year.
Revenue in our DPSS segment was €54.8 million (US$62.3 million), down 70% year-over-year. The 2018 FIFA World Cup Russia™ took place during the second and third quarters of 2018 and the FIFA Host Broadcast production project generated significant revenue for the DPSS segment. Excluding reimbursement revenue, DPSS revenue would have been €27.1 million (US$30.8 million), up 15% year-over year, primarily driven by the change of portfolio mix.
Cost of sales was €179.4 million (US$204.0 million), a decrease of 39% year-over-year, primarily due to the reduction in cost from our DPSS segment relating to the reimbursement cost from media production services in 2018.
Gross profit was €104.4 million (US$118.7 million), compared with €108.2 million in the second quarter of 2018. The slight decrease was mainly attributable to event cyclicality due to the 2018 FIFA World Cup Russia™.
Gross profit in our Mass Participation segment was €35.9 million (US$40.8 million), compared with €28.4 million for the second quarter of 2018. The increase is mainly attributable to higher revenue of the segment.
Gross profit in our Spectator Sports segment was €55.4 million (US$63.1 million), compared with €63.9 million for the second quarter of 2018. The decrease was primarily due to the event cyclicality from high gross margin commission model sales mainly in relation to the 2018 FIFA World Cup Russia™.
Gross profit in our DPSS segment was €13.1 million (US$14.8 million), compared with €15.9 million for the second quarter of 2018. The decrease reflected the event cyclicality resulting from the 2018 FIFA World Cup Russia™, for which some of our services incurred relatively lower direct cost.
Gross margin, or gross profit as a percentage of revenue, was 37%, compared with 27% in the same quarter of 2018. Excluding the impact of reimbursement revenue and costs, gross margin would have been 41%, compared with 44% in the same quarter of 2018.
Personnel expenses were €35.9 million (US$40.8 million), an increase of 2% year-over-year, primarily driven by the increase in employees compared with the same period last year.
Selling, office and administrative expenses were €17.8 million (US$20.2 million) for the second quarter of 2019, an increase of 50% year-over-year, primarily driven by the professional fees incurred for our initial public offering (“IPO”) as well as the completion of a number of small acquisitions during the second quarter of 2019 that led to an increase in overall general administrative expenses.
Depreciation and amortization expenses were €8.4 million (US$9.6 million), compared with €9.3 million in the second quarter of 2018.
Other operating expenses, net were €0.6 million (US$0.7 million) compared with €12.0 million in the second quarter of 2018. In the second quarter of 2018, we recognized a one-time credit loss in trade account receivable due to the MP & Silva insolvency.
Finance costs were €16.2 million (US$18.4 million), a decrease of 11% year-over-year, primarily due to the one-off impact of the termination in the second quarter of 2018 of a cross-currency swap entered into in connection with some financing agreements, partially offset by the interest expenses related to the senior 364-day term loan facility entered in March 2019 at the holding company level.
Finance income was €0.3 million (US$0.3 million), a decrease of 93% year-over-year, also primarily due to the cross-currency swap termination in the second quarter in 2018.
Income tax expenses were €1.2 million (US$1.4 million), compared with €7.9 million for the second quarter of 2018. The decrease was mainly due to a release of an income tax provision during the second quarter of 2019.
Profit was €24.6 million (US$28.0 million), representing an increase of 33% from €18.5 million for the second quarter of 2018.
Adjusted EBITDA was €58.8 million (US$66.9 million), compared with €65.4 million in the second quarter of 2018.
Net profit attributable to ordinary shareholders was €23.4 million (US$26.6 million), compared with €16.8 million for the second quarter of 2018.
Basic and diluted net income per ADS were both €0.17 (US$ 0.19), compared with the basic net income per ADS of €0.14 and diluted net income per ADS of €0.13 in the second quarter of 2018.
Cash and cash equivalents
As of June 30, 2019, we had cash and cash equivalents of €186.5 million (US$212.1 million).
Business Updates
Mass Participation
We continued to take advantage of favorable global conditions in the mass participation events industry. In the second quarter of 2019, we operated 104 events. In the first half of 2019, we operated a total of 133 of the 322 owned and managed events scheduled for the full year.
Triathlon:
Running:
Others:
Spectator Sports
In the second quarter, we made good progress in further diversifying our portfolio of sports rights with a number of new agreements signed with IP holders.
DPSS
Recent Developments
Third Quarter and Full Year 2019 Guidance
For the third quarter, we currently expect:
Total revenue to be in the range of €239 million to €253 million, or up 5% to 11% year-over-year.
Excluding reimbursement revenue, total revenue to be in the range of €236 million to €251 million, or up 30% to 38% year-over-year.
Adjusted EBITDA3 to be in the range of €39 million to €41 million, or down 1% to up 6% year-over-year.
For 2019, we currently expect:
Total revenue to be in the range of €1,008 million to €1,070 million, or down 11% to 5% from 2018.
Excluding reimbursement revenue, total revenue to be in the range of €976 million to €1,036 million, or up 7% to 14 % from 2018.
Adjusted EBITDA3 to be in the range of €167 million to €177 million, or down 15% to 9% from 2018.
Compared with 2018, total revenue and Adjusted EBITDA of 2019 are expected to be lower mainly due to event cyclicality in 2018.
The guidance aforementioned reflects our expectations for the third quarter and full year 2019 as of September 9, 2019. Our results are based on assumptions that we believe to be reasonable as of this date, but may be materially affected by many factors, as discussed below in the Forward-Looking Statements.
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1 Cyclicality driven by the timing cycle of sports events has a significant impact on the comparability of our results from one period to the next. In 2018, both total revenue and total cost of sales were impacted due to media production activities in connection with the 2018 FIFA World Cup Russia™, which is accounted for in our DPSS segment. These activities are undertaken pursuant to our cost-plus contractual model under which both revenue and costs are fully accounted for in our consolidated statement of profit or loss, including reimbursement revenues and reimbursement costs. Reimbursement revenues represent revenue that has associated costs of a similar, generally matching, amount (reimbursement costs), thereby resulting in a negligible gross margin impact. The negligible gross margin impact from reimbursement revenues and reimbursement costs (as opposed to a zero gross margin impact as may be otherwise expected) is due to temporary timing differences mainly resulting from foreign exchange effects on invoice settlements.
2 Basic and diluted earnings per share and profit attributable to ADS holders of the parent for the three months ended June 30, 2019 and 2018 were computed in the assumption that we had issued 23.8 million ADS, and had approximately 205 million ordinary shares issued and outstanding as at June 30, 2019 and 2018.
3 A reconciliation of our Adjusted EBITDA guidance to the most directly comparable IFRS financial measure cannot be provided because of the inherent difficulty in forecasting and quantifying certain amounts and in reliance on the “unreasonable efforts” exception provided for in Regulation G. Our Adjusted EBITDA guidance for the third quarter of 2019 reflects adjustments that exclude estimated stock-based compensation of approximately €24 million to €26 million and estimated depreciation and amortization of approximately €8 million to €9 million. Our Adjusted EBITDA guidance for the full year 2019 reflects adjustments that exclude estimated stock-based compensation of approximately €40 million to €43 million and estimated depreciation and amortization of approximately €33 million to €35 million. We are unable to forecast the timing or magnitude of other items that we expect will impact our IFRS profit/(loss) for the period and which we expect to adjust for in our Adjusted EBITDA, such as those included in the reconciliation table included at the end of this release, due to the nature of these items, being inherently unpredictable and not reliably quantifiable. These items could significantly impact, either individually or in the aggregate, our IFRS profit/(loss) for the period in the future.
Conference Call Information
Wanda Sports’ management will host an earnings conference call at 8:30 AM U.S. Eastern Time on September 9, 2019 (8:30 PM Beijing/Hong Kong Time on September 9, 2019).
The dial-in details for the live conference call are as follows:
United States: | +1 866 519 4004 |
International: | +65 6713 5090 |
Hong Kong: | +852 3018 6771 |
China: | 4006 208038 |
Conference ID: | 9269765 |
Additionally, a live and archived webcast of the conference call will be available on Wanda Sports’ investor relations website at investor.wsg.cn.
A replay of the conference call will be accessible approximately two hours after the conclusion of the live call until September 17, 2019, by dialing the following telephone numbers:
United States: | +1 855 452 5696 |
International: | +61 2 8199 0299 |
Hong Kong: | 800 963 117 |
China: | 4006 322 162 2 |
Replay Access Code: | 9269765 |
About Wanda Sports Group
Wanda Sports Group (Nasdaq: WSG) is a leading global sports events, media and marketing platform with a mission to unite people in sports and enable athletes and fans to live their passions and dreams. Through our businesses, including Infront and The IRONMAN Group, we have significant intellectual property rights, long-term relationships and broad execution capabilities, enabling us to deliver unrivalled sports event experiences, creating access to engaging content and building inclusive communities. We offer a comprehensive array of events, marketing and media services through three primary segments: Mass Participation, Spectator Sports and Digital, Production, Sports Solutions (DPSS). Our full-service platform creates value for our partners and clients as well as other stakeholders in the sports ecosystem, from rights owners, to brands and advertisers, and to fans and athletes.
Headquartered in Beijing, China, Wanda Sports Group has more than 60 offices and 1,600 employees around the world.
For more information, please visit investor.wsg.cn.
Use of Non-IFRS Financial Measures
To supplement our consolidated financial statements which are presented in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”), we also use Adjusted EBITDA as a non-IFRS financial measure. We present Adjusted EBITDA because it is used by our management, in evaluating our operating results and for financial and operational decision-making purposes. We believe that this measure helps identify underlying trends in our business that could otherwise be distorted by the effect of certain expenses that we include in our profit/(loss) from operations and net profit/(loss). We believe that Adjusted EBITDA provides useful information about our results of operations, enhances the overall understanding of our past performance and future prospects and allows for greater visibility as to key metrics used by our management in its financial and operational decision-making.
Non-IFRS financial measures should not be considered in isolation or construed as an alternative to profit/(loss) from operations and net profit/(loss) or any other measure of performance, or as an indicator of our operating performance. Adjusted EBITDA may not be comparable to similarly titled measures presented by other companies. Other companies may calculate similarly titled measures differently, limiting their usefulness as comparative measures to our data. We encourage investors and others to review our financial information in its entirety and not rely on a single financial measure. Reconciliation of Adjusted EBITDA and EBITDA, another non-IFRS financial measure, to the most directly comparable IFRS financial measure is set forth at the end of this release.
Exchange Rate Information
This press release contains translation of certain EURO amounts into U.S. dollars at specified rates solely for the convenience of readers. Unless otherwise noted, all translations from EURO to U.S. dollars were made at the exchange rate of €0.8792 to US$1.0, the noon buying rate in New York for cable transfers of EURO as certified for customs purposes by the Federal Reserve Bank of New York in effect as of June 30, 2019.
Forward-Looking Statements
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements include but are not limited to management quotes and our financial outlook. These forward-looking statements can be identified by terminology such as “will,” “estimate,” “project,” “predict,” “believe,” “expect,” “anticipate,” “intend,” “potential,” “plan,” “goal” and similar statements. We may also make written or oral forward-looking statements in our periodic reports to the U.S. Securities and Exchange Commission, in our annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Such statements involve certain risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements. These forward-looking statements include, but are not limited to, statements about: our goals and strategies; the expected growth in our industry; our expectations regarding our ability to attract rights-in partners and monetize their rights through rights-out arrangements; our future business development, results of operations and financial condition; competition in our industry; general economic and business conditions; and assumptions underlying or related to any of the foregoing as well as risks, uncertainties, and other factors described in “Risk Factors” and elsewhere in our registration statement on Form F-1, which is available on the SEC’s website at www.sec.gov. Additional information will be made available in our annual report on Form 20-F for the year ending December 31, 2019 and other filings that we make from time to time with the SEC. In addition, any forward-looking statements contained in this press release are based on assumptions that we believe to be reasonable as of this date. We undertake no obligation to update any forward-looking statements to reflect events or circumstances after the date of this press release or to reflect new information or the occurrence of unanticipated events, except as required by law.
For investor and media inquiries, please contact:
In China
Wanda Sports Group
Eric Yuan
Tel: +86 10-8558-8813
E-mail: ir@wsg.cn
In U.S.
Paul Scarpetta
Tel: +1 212-687-8080
E-mail: WandaSports-SVC@SARDVERB.com
WANDA SPORTS GROUP COMPANY LIMITED
INTERIM CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS
(Amounts in thousands of Euro (“€”) or, for convenience translation, thousands of U.S. Dollar (“$”), except for number of shares and per share data)
For the three months ended | ||||||||
June 30, 2019 | June 30, 2018 | |||||||
$ | € | € | ||||||
Revenue | 322,796 | 283,802 | 404,478 | |||||
Cost of sales | (204,047 | ) | (179,398 | ) | (296,242 | ) | ||
Gross profit | 118,749 | 104,404 | 108,236 | |||||
Personnel expenses | (40,846 | ) | (35,912 | ) | (35,196 | ) | ||
Selling, office and administrative expenses | (20,231 | ) | (17,787 | ) | (11,928 | ) | ||
Depreciation and amortization | (9,569 | ) | (8,413 | ) | (9,300 | ) | ||
Other operating expense, net | (647 | ) | (569 | ) | (11,970 | ) | ||
Finance costs | (18,384 | ) | (16,163 | ) | (18,209 | ) | ||
Finance income | 365 | 321 | 4,392 | |||||
Share of profit/(loss) of associates and joint ventures | (167 | ) | (147 | ) | 345 | |||
Profit before tax | 29,270 | 25,734 | 26,370 | |||||
Income tax | (1,330 | ) | (1,169 | ) | (7,881 | ) | ||
Profit for the period | 27,940 | 24,565 | 18,489 | |||||
Attributable to: | ||||||||
Equity holders of the parent | 26,667 | 23,446 | 16,836 | |||||
Non‑controlling interests | 1,273 | 1,119 | 1,653 | |||||
27,940 | 24,565 | 18,489 | ||||||
Earnings per share: | ||||||||
Basic profit for the period attributable to ordinary equity holders4 of the parent | 0.13 | 0.11 | 0.09 | |||||
Diluted profit for the period attributable to ordinary equity holders4 of the parent | 0.13 | 0.11 | 0.08 | |||||
Basic profit for the period attributable to ADS4 holders of the parent | 0.19 | 0.17 | 0.14 | |||||
Diluted profit for the period attributable to ADS4 holders of the parent | 0.19 | 0.17 | 0.13 | |||||
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4 Basic and diluted earnings per share and profit attributable to ADS holders of the parent for the three months ended June 30, 2019 and 2018 were computed in the assumption that we had issued 23.8 million ADS, and had approximately 205 million ordinary shares issued and outstanding as at June 30, 2019 and 2018.
WANDA SPORTS GROUP COMPANY LIMITED
INTERIM CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
(Amounts in thousands of Euro (“€”) or, for convenience translation, thousands of U.S. Dollar (“$”))
For the three months ended | ||||||||
June 30, 2019 | June 30, 2018 | |||||||
$ | € | € | ||||||
Profit for the period | 27,940 | 24,565 | 18,489 | |||||
Other comprehensive income: | ||||||||
Other comprehensive income (loss) to be reclassified to profit or loss in subsequent periods (net of tax): | ||||||||
Net gain on cash flow hedges | 270 | 237 | 6,549 | |||||
Exchange differences on translation of foreign operations | (15,552 | ) | (13,673 | ) | (1,091 | ) | ||
Net other comprehensive (loss) income to be reclassified to profit or loss in subsequent periods | (15,282 | ) | (13,436 | ) | 5,458 | |||
Other comprehensive income not to be reclassified to profit or loss in subsequent periods: | ||||||||
Net remeasurement on defined benefit plans | (14 | ) | (12 | ) | - | |||
Other comprehensive (loss) income for the period, net of tax | (15,296 | ) | (13,448 | ) | 5,458 | |||
Total comprehensive income for the period, net of tax | 12,644 | 11,117 | 23,947 | |||||
Attributable to: | ||||||||
Equity holders of the parent | 11,707 | 10,293 | 21,889 | |||||
Non‑controlling interests | 937 | 824 | 2,058 | |||||
12,644 | 11,117 | 23,947 | ||||||
WANDA SPORTS GROUP COMPANY LIMITED
INTERIM CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(Amounts in thousands of Euro (“€”) or, for convenience translation, thousands of U.S. Dollar (“$”))
June 30, 2019 | December 31, 2018 | ||||
$ | € | € | |||
ASSETS | |||||
CURRENT ASSETS | |||||
Cash and cash equivalents | 212,130 | 186,505 | 177,048 | ||
Trade and other receivables | 273,384 | 240,359 | 299,898 | ||
Accrued income | 17,751 | 15,607 | 6,474 | ||
Contract assets | 36,440 | 32,038 | 39,714 | ||
Inventories | 10,464 | 9,200 | 5,935 | ||
Income tax receivables | 8,384 | 7,371 | 8,816 | ||
Other assets | 85,051 | 74,777 | 81,561 | ||
643,604 | 565,857 | 619,446 | |||
NON‑CURRENT ASSETS | |||||
Long‑term receivables | 12,028 | 10,575 | 6,271 | ||
Investments in associates and joint ventures | 1,257 | 1,105 | 5,551 | ||
Property, plant and equipment | 30,266 | 26,610 | 26,048 | ||
Right of use assets | 37,509 | 32,978 | 35,789 | ||
Intangible assets | 485,104 | 426,504 | 423,488 | ||
Goodwill | 938,822 | 825,411 | 677,326 | ||
Contract assets | 11,341 | 9,971 | 9,077 | ||
Deferred tax assets | 26,640 | 23,422 | 24,562 | ||
Other assets | 70,378 | 61,876 | 54,953 | ||
1,613,345 | 1,418,452 | 1,263,065 | |||
TOTAL ASSETS | 2,256,949 | 1,984,309 | 1,882,511 | ||
WANDA SPORTS GROUP COMPANY LIMITED
INTERIM CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(Amounts in thousands of Euro (“€”) or, for convenience translation, thousands of U.S. Dollar (“$”))
June 30, 2019 | December 31, 2018 | |||||||
$ | € | € | ||||||
LIABILITIES | ||||||||
CURRENT LIABILITIES | ||||||||
Trade and other payables | 160,245 | 140,887 | 816,451 | |||||
Interest‑bearing liabilities | 422,450 | 371,418 | 25,487 | |||||
Lease liabilities | 12,166 | 10,696 | 9,863 | |||||
Accrued expense | 101,713 | 89,426 | 83,516 | |||||
Deferred income | 6 | 5 | 7 | |||||
Contract liabilities | 176,009 | 154,747 | 185,681 | |||||
Other liabilities | 19,926 | 17,519 | 17,097 | |||||
Income tax payable | 18,513 | 16,277 | 31,009 | |||||
Provisions | 8,011 | 7,043 | 3,419 | |||||
919,039 | 808,018 | 1,172,530 | ||||||
NON‑CURRENT LIABILITIES | ||||||||
Interest‑bearing liabilities | 728,234 | 640,263 | 535,630 | |||||
Lease liabilities | 29,440 | 25,884 | 28,841 | |||||
Accrued expenses | 5,620 | 4,941 | 4,941 | |||||
Deferred income | - | - | 10 | |||||
Contract liabilities | 16,368 | 14,391 | 13,485 | |||||
Deferred tax liabilities | 94,207 | 82,827 | 82,941 | |||||
Provisions | 4,233 | 3,722 | 8,576 | |||||
Long‑term payroll payables | 15,031 | 13,215 | 12,770 | |||||
Other liabilities | 60,298 | 53,014 | 31,802 | |||||
953,431 | 838,257 | 718,996 | ||||||
TOTAL LIABILITIES | 1,872,470 | 1,646,275 | 1,891,526 | |||||
EQUITY | ||||||||
Share capital | 1,729,773 | 1,520,816 | 1,520,816 | |||||
Reserves | (1,127,232 | ) | (991,062 | ) | (1,321,685 | ) | ||
Accumulated deficit | (219,496 | ) | (192,981 | ) | (207,566 | ) | ||
Equity/(deficit) attributable to equity holders of the parent | 383,045 | 336,773 | (8,435 | ) | ||||
Non‑controlling interests | 1,434 | 1,261 | (580 | ) | ||||
Total equity/(deficit) | 384,479 | 338,034 | (9,015 | ) | ||||
Total liabilities and equity | 2,256,949 | 1,984,309 | 1,882,511 | |||||
WANDA SPORTS GROUP COMPANY LIMITED
SUMMARY OF INTERIM CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
(Amounts in thousands of Euro (“€”) or, for convenience translation, thousands of U.S. Dollar (“$”))
For the three months ended | ||||||||
June 30, 2019 | June 30, 2018 | |||||||
$ | € | € | ||||||
NET CASH FLOWS FROM (USED IN) OPERATING ACTIVITIES | 34,923 | 30,704 | (9,725 | ) | ||||
NET CASH FLOWS (USED IN) FROM INVESTING ACTIVITIES | (47,760 | ) | (41,991 | ) | (22,385 | ) | ||
NET CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES | 14,059 | 12,361 | (60,403 | ) | ||||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 1,222 | 1,074 | (92,513 | ) | ||||
Cash and cash equivalents at beginning of the period | 212,397 | 186,739 | 233,112 | |||||
Effect of foreign exchange rate changes, net | (1,489 | ) | (1,308 | ) | 4,771 | |||
CASH AND CASH EQUIVALENTS AT END OF PERIOD | 212,130 | 186,505 | 145,370 | |||||
RECONCILIATION OF NON-IFRS MEASURE – IFRS Profit for the Period to Adjusted EBITDA (unaudited)
(Amounts in thousands of Euro (“€”) or, for convenience translation, thousands of U.S. Dollar (“$”))
For the three months ended | ||||||||
June 30, 2019 | June 30, 2018 | |||||||
$ | € | € | ||||||
Profit for the period | 27,940 | 24,565 | 18,489 | |||||
Income tax | 1,330 | 1,169 | 7,881 | |||||
Net interest expenses | 21,423 | 18,835 | 6,429 | |||||
Depreciation and amortization | 9,569 | 8,413 | 9,300 | |||||
EBITDA | 60,262 | 52,982 | 42,099 | |||||
Share-based compensation(1) | 2,396 | 2,107 | 3,264 | |||||
Expenses or charges relating to acquisition(2) | 1,289 | 1,133 | 1,415 | |||||
Expenses or charges relating to IPO or financing(3) | 4,736 | 4,164 | 294 | |||||
Restructure and disposal of investments / subsidiaries(4) | 430 | 378 | (56 | ) | ||||
Loss from termination of customer(5) | - | - | 1,365 | |||||
Bad debt expenses relating to specific customer(6) | - | - | 9,601 | |||||
Losses/(gains) on foreign exchange and derivatives, and other financial charges(7) | (3,404 | ) | (2,993 | ) | 7,388 | |||
Estimated client compensation relating to fraudulent activities(8) | 1,170 | 1,029 | - | |||||
Adjusted EBITDA | 66,879 | 58,800 | 65,370 | |||||
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