continued revenue and profit growth

DGAP-News: ecotel communication ag / Key word(s): Quarterly results
ecotel communication ag: ecotel releases first quarter figures: continued revenue and profit growth
10.05.2022 / 08:00
The issuer is solely responsible for the content of this announcement.

  • Turnover increases from 20.4 million euros to 27.2 million euros

  • Gross profit increases to EUR 11.8 million (previous year: EUR 10.7 million)

  • EBITDA increases by 21% to € 4.7 million (previous year: € 3.9 million)

  • Consolidated surplus increased by 45% to €1.3 million (EPS €0.37)

  • Free cash flow increased to 1.8 million euros (previous year: 1.2 million euros)

  • Net financial assets increased to € 11.0 million (previous year: € 3.1 million)

Dusseldorf, May 10, 2022

The 2022 financial year started with a consolidated turnover of 27.2 million euros (previous year: 20.4 million euros) and a gross profit of 11.8 million euros (previous year: 10 .7 million euros) as planned. Almost all of the increase in gross margin of €1.1 million was reflected in an increase in EBITDA, which underlines the great scalability of the new IT and product landscape. During the first three months of 2022, ecotel was therefore able to increase EBITDA from €0.8 million to €4.7 million. After deduction of practically unchanged depreciation, the Group’s EBIT amounted to 2.9 million euros (previous year: 2.0 million euros) and after deduction of minorities and taxes the consolidated surplus amounts to €1.3 million (previous year: € 0.9 million) with EPS of €0.37 per share (previous year: € 0.25 per share).

The ongoing conflict in Ukraine and related incidents as well as the global economic effects of this conflict, as well as the restrictions of global supply chains further resulting from the COVID-19 pandemic, have had until present only minor consequences for ecotel. Due to product demand, the creditworthiness of our customers and the performance of our upstream suppliers, there have been no restrictions in our business operations. However, rising energy costs, particularly for the electricity needed to run the data center infrastructure and for special end-customer devices, have resulted in higher prices and longer delivery times. .

Development of the most important segments:

Core Segment Revenue »ecotel Business Solutions« decreased slightly in Q1 2022 as expected to €11.3m (prior year: €11.5m), following the termination of a major contract at the end of the year. In the meantime, these costs have been offset by new major account projects, but will not generate significant revenues before the second half of 2022.

Despite a temporary drop in revenues, the gross margin of this segment continued to increase to EUR 7.2 million (previous year: EUR 6.7 million). The gross profit margin reached just under 64% (previous year: 58%). After deducting partner commissions, personnel and other expenses, EBITDA increased by €0.3 million to €2.1 million.

The expansion of the product portfolio last year to include innovative cloud services (cloud telephony, collaboration solutions, SD-WAN connections, etc.) is increasingly having a positive effect on the business development of the ecotel Business Solutions segment. .

the »easybell« The segment increased during the first three months of the 2022 financial year in turnover (+ 0.5 million euros to 6.7 million euros) and in gross margin (+ 0.7 million euros). euros to 4.1 million euros) as well as in EBITDA (0.6 million euros to 2.5 million euros). The business model with smart product bundles including telephony and data connections as well as cloud phone system continues to drive this sustainable growth. Further development will focus on sustainable growth, both in the domestic market and in the future abroad.

Forecasts for 2022 are confirmed:

Taking into account all currently known opportunities and risks, the Board of Directors confirms the forecast for 2022 and for the main segment »ecotel Business Solutions« expects revenues in a corridor of 47 to 50 million euros, in the segment » Wholesale“ from 20 to 25 million euros and in the »easybell“ segment from 27 to 30 million euros. EBITDA is expected to be in a corridor of €20-22 million, with an expected EBITDA of €8.5-10.5 million from the »ecotel Business Solutions segment and an expected EBITDA of 9.5 to 11.5 million euros from the »easybell« segment.

Detailed forecasts can be found in the group’s management report for the financial year 2021 in the report on forecasts, opportunities and risks.

About ecotel communication sa:
The ecotel group (hereinafter “ecotel”), operating throughout Germany since 1998, specializes in the marketing of IT and telecommunications solutions in various segments. The parent company is ecotel communication ag with headquarters in Düsseldorf. Including its subsidiaries and holding companies, ecotel has a total of approximately 300 employees. Currently, ecotel serves over 50,000 customers nationwide, providing 55,000 data connections and over 440,000 voice channels.

To note:
This publication does not constitute an offer to sell or an invitation to purchase or subscribe for securities. This publication is not a securities brochure. This publication and the information it contains are not intended for direct or indirect distribution to or within the United States of America, Canada, Australia or Japan.

Investor Relations
ecotel communication ag
Investor Relations
+49 (0) 211-55 007 740
E-mail: [email protected]

For more information, visit www.ecotel.de

10.05.2022 Broadcast of a Corporate News, transmitted by the DGAP – a service of EQS Group AG.
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