Corporate News: EQS Group AG / Key word(s): Half Year Results/Change in Forecast
EQS Group AG: 2nd quarter 2014 characterized by Asian expansion Reduced outlook for the business year 2014
Munich - 29.08.2014
The EQS Group AG (ISIN: DE0005494165) advanced its Asian expansion successfully in the second quarter. However, investments related to the acquisition of the online investor relations and news service provider TodayIR and a weaker domestic market led to declining revenue figures. For the period April - June 2014, group revenue was EUR 3.988 million representing a 9 percent decline to the first quarter of the previous year. EBIT, according to IFRS was down by 18 percent to EUR .642 million. EQS' Group's net profit was EUR .350 million, equaling EUR 0.29 earnings per share.
The first half-year 2014 shows the following scenario: Revenues amount to EUR 7.307 million, EBIT aggregates to EUR 840 and the group surplus is EUR .384 million. The profit per share is EUR 0.32.
The drop in EBIT and net income is, just as in the first quarter, largely due to expansion in Asia. Costs totalling EUR .600 million were accrued to set up EQS Asia based in Hong Kong and the technology center in India, as well as the legal, integration and consultancy costs associated with the acquisition of TodayIR.
Furthermore, the media business involving issuers of SME bonds (Mittelstandsanleihen) has come to a standstill. The IPO market in Germany, comparably weak from an international viewpoint, provided no support either. The number of delistings and downlistings again surpassed the number of new issuers. The crisis in the Ukraine also had a negative impact on our subsidiary in Russia.
Achim Weick, EQS's Group AG's CEO stated: "Our expansion in Asia is the focus of our efforts. We are confident that we will achieve a leading market position in the world's fastest-growing economic region. For the time being, this is leading to expenditure which we cannot fully compensate through the current operations."
Due to the further negative market development and the absence of a recovery in the media business with issuers of SME bonds, as well as the impact caused by the Asian expansion, management expects revenues from EUR 15 - 16 million and an EBIT from 2 - 2,3 million for the 2014 fiscal year.
EQS Group's management will comment on the company results in today's conference call beginning at 11:00 a.m. (CET) to be transmitted live via internet at www.eqs.com.
HY figures are unaudited.
The complete half-year report can be found on www.eqs.com investor relations section, both as interactive and download version.
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About EQS Group
The EQS Group is a Munich-headquartered leading international provider of online corporate communications.
Since its founding in 2000, the EQS Group has grown to be a leading global provider of digital solutions for investor relations and corporate communications. Its solutions and services enable over 7,000 companies worldwide to fulfill complex domestic and international corporate information requirements securely, timely and efficiently.
EQS Investor Relations and EQS Corporate Communications disseminate financial and corporate news, develop corporate websites and apps, produce online financial as well as sustainability reports, and execute audio and video broadcasts. EQS Financial Markets & Media and ARIVA.DE (25.44%) are active in financial marketing, data and content delivery as well as the development of financial portals. Through its DGAP service, the EQS Group is the institution by which companies fulfill mandatory regulatory news dissemination requirements.
Die EQS Group is headquartered in Munich, with a further domestic office in Hamburg. The international growth strategy has led to subsidiaries in Zurich, Moscow, Hong Kong, Shenzhen, Singapore, Taipei, and Kochi. EQS Group currently has over 160 employees.
29.08.2014 The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
|Company:||EQS Group AG|
|Listed:||Freiverkehr in Berlin, Düsseldorf, München (m:access), Stuttgart; Frankfurt in Open Market (Entry Standard)|
|End of News||DGAP News-Service|