Syzygy AG: SYZYGY GROUP boosts sales by 18 per cent to EUR 52.7 million in first nine months of 2022

Bad Homburg (pta017/26.10.2022/13:47) -
* Sales: EUR 52.7 million (+18 per cent compared to prior-year period)
* Core German market: Sales of EUR 41.6 million (+18 per cent compared to prior-year period) and an EBIT margin of 11 per cent
* United Kingdom: Sales of EUR 6.9 million (+16 per cent compared to prior-year period) and an EBIT margin of 12 per cent
* Other international markets (Poland and US): Sales of EUR 5.5 million (+29 per cent compared to prior-year period) and an EBIT margin of 15 per cent
* SYZYGY GROUP's operating income amounted to EUR 4.8 million, corresponding to an EBIT margin of around 9 per cent
* Forecast for the full year 2022: Sales growth now expected to be around 15 per cent rather than the previous 12 per cent estimate, combined with an unchanged EBIT margin of 8 to 10 per cent before special factors

The SYZYGY GROUP generated sales of EUR 52.7 million in the first nine months (January to September) of the 2022 financial year, up 18 per cent compared to the same period of the previous year. Operating income (EBIT) amounted to EUR 4.8 million, representing an EBIT margin of 9 per cent. Backed by a strong order book, all SYZYGY GROUP operating units contributed to this dynamic sales growth and to profitability.

The Germany segment saw a significant increase in sales, which were up 18 per cent at EUR 41.6 million, with an EBIT margin of 11 per cent. This core market thus accounts for some 80 per cent of sales.

The international companies also continued to perform very well. UK sales increased by around 16 per cent to reach EUR 6.9 million, with operating profitability of 12 per cent. Very strong growth likewise continued in Poland and the US, the other non-German markets. Sales were up 29 per cent to EUR 5.5 million, with an EBIT margin of 15 per cent.

Due to this positive performance, the SYZYGY GROUP is raising its sales forecast again for the whole year, with organic sales growth now expected to reach around 15 per cent (last update in July 2022: 12 per cent). This above-target growth means greater investment in hiring new employees and in making the associated organisational changes, which will have a temporary impact on operating income. As a result, the Management Board's expectation for the full year 2022 is of an unchanged EBIT margin of 8 to 10 per cent before special factors.

Financial income was negative by EUR 0.7 million in the first nine months of the year, meaning that total net income after taxes for the period January to September is around EUR 3.0 million. Earnings per share are EUR 0.22.

Outlook

The SYZYGY GROUP expects sales growth of around 15 per cent in the 2022 financial year, combined with an EBIT margin in a range between 8 and 10 per cent before special factors.

"The SYZYGY GROUP is continuing to see growth momentum in digital transformation, despite the volatile macroeconomic situation. Companies and their brands are looking more and more for appealing and inspirational digital services to get even closer to their customers. This is where we continue to succeed in expanding our market position through our services," said Franziska von Lewinski, CEO of the SYZYGY GROUP.

The full quarterly report as at September 30, 2022 will be available from October 28, 2022 at www.syzygy-group.net/investors ( http://www.syzygy-group.net/investors ).

(Ende)