Syzygy AG: SYZYGY GROUP achieves record earnings: EBIT margin rises to 10.5 per cent in 2021 / sales increase to EUR 60.1 million

Bad Homburg (pta033/27.01.2022/14:50) -
* Sales of EUR 60.1 million (+8 per cent compared to previous year)
* Operating income of EUR 6.3 million with an EBIT margin of 10.5 per cent (+58 per cent compared to previous year) – the best performance in the company’s history
* Net income of EUR 4.4 million
* Earnings per share of approx. EUR 0.31 (+106 per cent compared to previous year)
* Proposed dividend for 2021 financial year: EUR 0.20 per share (+33 per cent compared to previous year)
* Outlook for 2022: Sales growth of around 10 per cent with an EBIT margin of around 10 per cent

Provisional figures indicate that the SYZYGY GROUP generated sales of EUR 60.1 million in the 2021 financial year and significantly boosted its profitability (EBIT margin: 10.5 per cent). The Group’s operating income of around EUR 6.3 million represents the best performance since the company was established.

The Germany segment boosted its sales by 6 per cent to EUR 48.1 million. Some projects in the fourth quarter were pushed into the new year and will thus not be reflected in sales figures until the new financial year. Overall, the share of sales generated in Germany was around 78 per cent, with high operating profitability of 14 per cent.

The international companies continued to perform well in the 2021 financial year. UK sales increased by 13 per cent in the period covered by the report to reach EUR 7.8 million, with operating profitability of 12 per cent. Sales in Poland and the US, the other non-German markets, likewise saw strong gains of 21 per cent, coming in at EUR 5.5 million. The EBIT margin here was 21 per cent.

Provisional figures put the SYZYGY GROUP’s operating income (EBIT) at around EUR 6.3 million, with a sharp rise in the EBIT margin to 10.5 per cent (compared to 7.2 per cent in the previous year). EBIT was impacted by two special factors in 2021, which cancel each other out. Goodwill was written down in the amount of EUR 2.8 million, while purchase price adjustments were applied to future acquisitions of minority stakes. The net effect on earnings was just under EUR 0.1 million. Both effects are neutral with regard to cash flow. All the operating units in the SYZYGY GROUP successfully contributed to the earnings growth achieved.

Financial income was negative at around EUR -0.9 million, meaning that total net income after taxes is around EUR 4.4 million. Earnings per share are approximately EUR 0.31.

"Overall, our Group delivered strong performance in 2021, gaining many new clients from Germany and abroad such as the German Federal Press Office, Frankfurt Book Fair, Miles & More, US electro-bike manufacturer Rad Power Bikes of Seattle, and iTaxi in Poland. This showcases yet again the broad portfolio of services offered by the SYZYGY GROUP and confirms our belief that digital makes a difference in almost all segments and sectors," said Franziska von Lewinski, CEO of the SYZYGY GROUP.

Proposed dividend for the 2021 financial year

The SYZYGY GROUP remains committed to sharing business performance appropriately with its shareholders, while maintaining the continuity of dividend distributions. The Management Board and Supervisory Board have accordingly decided to propose a dividend of EUR 0.20 per share at the Annual General Meeting on July 5, 2022. This represents a rise of EUR 0.05 or 33 per cent compared with the previous year.

Outlook

The SYZYGY GROUP expects sales growth of around 10 per cent in the 2022 financial year, combined with an EBIT margin of 10 per cent.

The full annual report for 2021 will be available from March 31, 2022 at www.syzygy-group.net/investors ( http://www.syzygy-group.net/investors ).

(Ende)