Corporate News: EQS Group AG / Key word(s): Final Results/Forecast
EQS Group AG reports a successful 2015 on the path to being a global player
Acceleration of expansion; annual forecast fulfilled; consistent dividends
Munich - April 15, 2016
The EQS Group AG (ISIN: DE0005494165) increased its revenues in the 2015 fiscal year for the sixth consecutive year, thus reaching a new record. Group revenue rose by 12% over the previous year to EUR18.377 million. EBIT before amortisation of acquired customer bases in the amount of EUR.351 million and before acquisition expenses of EUR.268 million (non-IFRS) decreased 10% in the past fiscal year to EUR2.983 million. Adjusted consolidated net income amounted to EUR1.355 million. Adjusted earnings per share amounted to EUR1.15. Financial figures are thus in line with the Guidance published at the start of 2015.
From October to December 2015, the Group generated revenues of EUR5.224 million (+ 6%). Adjusted EBIT was EUR1.415 million (+ 6%) and adjusted net profit was EUR.498 million (-52%). As a result, adjusted earnings per share for the fourth quarter of 2015 were EUR0.42 (-52%).
The Group's healthy business performance in 2015 is also reflected in its operating cash flow, which increased by 27% to EUR3.618 million. The equity ratio on December 31, 2015 was 59%. Cash and cash equivalents at the balance sheet date were EUR 3.607 million.
The Management and Supervisory Boards of EQS Group AG will, as in the previous year, propose a dividend payment of EUR0.75 per share to the Annual General Meeting on May 31, 2016.
The path to becoming a worldwide leader in Digital Investor Relations is paved with large investments, particularly in international expansion, in product development, organisation and processes in order to build a similarly profitable and high-margin business in new foreign markets which already exists in the Group's established markets.
Achim Weick, founder and CEO of EQS Group AG: 'We're very pleased with our progress in the 2015 fiscal year. We expanded our excellent position in the German speaking markets and successfully integrated our Asian companies. We also successfully entered both the UK and Middle East markets.'
In 2015 the EQS Group AG significantly improved its strategic position through international expansion and continued to grow sustainably and profitably in the established European markets of Germany, Switzerland and in particular Russia, despite its uniquely difficult market situation caused by the decline of the ruble, falling commodity prices and Western sanctions. EQS became the market leader in Switzerland through its acquisition of Tensid AG and will now be able to significantly increase its profitability there in coming years.
The EQS ASIA Ltd., after successfully integrating TodayIR Group, is now the leading provider of Digital Investor Relations in Hong Kong and has significantly increased its revenues in the past year. An additional Shanghai office was also opened, allowing EQS to tap the huge growth potential offered by this dynamic region. The course has been set for even further growth in the Middle East, where EQS successfully entered the market through its cooperation with the IR consulting firm Iridium, as well as is the UK, through EQS's acquisition of Obsidian IR Ltd. The pan-European implementation of the new EU Market Abuse Regulation, which will regulate stocks, bonds and derivatives issuers in the over-the-counter market beginning on July 3, 2016, poses an excellent opportunity for EQS to successfully gain a foothold in the largest financial center in Europe.
The Regulatory Information & News segment, in which mandatory disclosures and news distribution are bundled, recorded stable revenue of EUR5.954 million. Distributed news volume increased Group-wide over the previous by 5% to 20,702. Germany, however, proved to be a mixed business landscape. The number of ad-hoc releases and directors' dealings decreased due to further delistings and downlistings and could not be entirely offset by newly listed companies. However, the strong number of disseminated voting rights announcements as well as an increase in press releases had a positive effect on overall news volume.
The second segment, Products & Services, which offers Digital Investor Relations solutions, recorded 17% revenue growth in the 2015 fiscal year, up to EUR13.054 million. The Websites & Platforms business division grew particularly robustly, benefiting mainly from the strong growth of our Asian subsidiary. The EQS Federal Gazette submission service as well as the Reports & Webcasts business division also grew significantly.
Outlook: Further Growth in 2016
The EQS Group management board again expects double-digit sales growth of 10-15% up to EUR20.2 million - EUR21.1 million within the framework of the Group's international growth strategy. At the same time, further development and expansion expenses totaling approximately EUR1.1 million are planned for in the 2016 fiscal year, yet adjusted EBIT should increase by 5% - 10% to EUR3.1 million - EUR3.3 million in the same time frame.
The Management Board will discuss the financial results at 11:00 a.m. (CET) in today's conference call. The call will be streamed live at www.eqs.com.
* Non-IFRS key figures before amortisation of acquired customer bases and acquisition expenses
The figures for the fourth quarter of 2015 are unaudited. The annual figures for 2015 are audited.
The complete Annual Report is published digitally and is available for download from the Investor Relations section at www.eqs.com. An interactive version is also available at the same web address.
You can receive corporate news from EQS Group AG on your mobile device: This service is available using the EQS News App (http://newsapp.eqs.com/) for your AppleWatch or by text message and subsequent download:
You can register to receive this information in the Investor Relations section at www.eqs.com
The EQS Group is a leading international technology provider for Digital Investor Relations. More than 8,000 companies worldwide trust EQS's products and services to securely, efficiently, and simultaneously fulfil complex national and international information obligations to the global investment community.
The heart of the technology is the platform COCKPIT, a 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 Newswires, 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 and 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 concern with locations in the world's key financial markets. The company currently employs 200 professionals.
EQS Group AG reports a successful 2015 on the path to being a global player
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