SYZYGY AG: Q1 2023 - SYZYGY GROUP boosts sales by 10 per cent to EUR 19 million

Bad Homburg (pta017/26.04.2023/14:27) -
* Sales of EUR 19 million (+10 per cent on prior-year quarter) or EUR 1.7 million year-on-year
* SYZYGY GROUP's operating income rises to EUR 1.7 million (+5 per cent on prior-year quarter), with an EBIT margin of around 9 per cent
* Core German market: Sales of EUR 15.1 million (+13 per cent on prior-year quarter) and an EBIT margin of 11 per cent
* UK and US markets: Sales of EUR 2.2 million (-7 per cent on prior-year quarter) and an EBIT margin of 6 per cent
* Poland: Sales of EUR 1.4 million (-8 per cent on prior-year quarter) and an EBIT margin of 16 per cent
* Outlook for 2023: Sales growth of around 6–8 per cent with an EBIT margin of around 9–10 per cent
* Proposed dividend for the 2022 financial year: EUR 0.22 per share (+10 per cent compared to previous year)
* Virtual Annual General Meeting on July 11, 2023

The SYZYGY GROUP got off to a strong start in the 2023 financial year, posting total sales of EUR 19 million in the first quarter (January to March), a rise of 10 per cent compared to the same period of the previous year. Operating profit increased by 5 per cent compared with the first quarter of 2022 (EUR 1.6 million) to EUR 1.7 million, while the EBIT margin fell slightly to 9.1 per cent (previous year: 9.6 per cent). All the operating units in the SYZYGY GROUP contributed to profits.

The Germany segment saw a significant increase in sales, which rose 13 per cent to EUR 15.1 million, with an EBIT margin of 11 per cent. This core market thus accounts for approximately 82 per cent of sales.

The international companies did less business with existing clients in the new year than in the prior-year quarter. Sales in the UK & US segment declined slightly by 7 per cent to EUR 2.2 million (EBIT margin: 6 per cent). Sales in Poland were down 8 per cent at EUR 1.4 million, albeit with a strong EBIT margin of 16 per cent.

Financial income was negative at EUR -0.7 million, meaning that total net income in the first quarter after taxes is around EUR 0.8 million. Earnings per share are EUR 0.06.

Outlook

The SYZYGY GROUP is confirming its forecast for the year and expects organic sales growth of around 6–8 per cent in the 2023 financial year, combined with an EBIT margin in a range between 9 and 10 per cent.

"Digitisation continues to gain momentum: all aspects of marketing, sales, service and customer advice are being integrated across departmental boundaries. To enable this, the SYZYGY GROUP develops and implants the corresponding ecosystems for companies and their brands, thus creating new business models and compelling customer experiences. Client enquiries changed accordingly right from the start of the year," said Franziska von Lewinski, CEO of the SYZYGY GROUP.

This year's Annual General Meeting will be held on July 11, 2023 as a virtual event without the physical presence of shareholders. The Management Board and Supervisory Board will propose a dividend of EUR 0.22 per share for the 2022 financial year at the Annual General Meeting.

The full quarterly report as at March 31, 2023 will be available from April 28, 2023 at www.syzygy-group.net/investors ( http://www.syzygy-group.net/investors ).

(Ende)