CREALOGIX further increases sales in FY2019/2020. Reorganisation measures lead to one-off provisions Dienstag, 21. Juli 2020 - 07:00

Press release

Zurich, July 21, 2020

Preliminary information concerning 2019/2020 annual results

• Sales increased by 1.7% to CHF 103.7 million, which corresponds to a 3.9% growth in local currencies. In the second half of the financial year, sales were 13.2% higher than in the first half.
  
• Adjusted EBITDA of CHF 2.4 million, excluding provisions for reorganisation measures, was higher than in the previous year (CHF 1.9 million). One-off provisions of CHF 7.0 million resulted in a negative EBITDA of CHF -4.6 million.
  
• These provisions serve to finance reorganisation measures affecting around 10% of the workforce.

CREALOGIX looks back on a stronger second half of the year and can report the following provisional results for the 2019/2020 financial year: Despite COVID-19, the group closes the financial year with a sales growth of 3.9% in local currencies. Adjusted operating income before depreciation and amortisation (EBITDA) was CHF 2.4 million, up from CHF 1.9 million in the previous year. One-off costs in the form of provisions to finance reorganisation measures will reduce EBITDA for the 2019/2020 financial year by CHF -7.0 million. These costs are resulting from streamlining business processes, unifying the product platform and realising a leaner organisation. As part of the reorganisation, the group will cut around 10% of jobs. With these measures the group is accelerating its transformation; the focus is on standardising the group’s product portfolio and establishing a segment-oriented go-to-market strategy. The sales organisation will be doubled in order to maximise the potential in existing core markets and to develop further key markets such as Asia-Pacific. Another priority for the group is to expand its global partner network to increase indirect sales and implementation services. These measures will accelerate the transition of the group’s business model to becoming a leading SaaS provider of digital banking platforms. Positive effects on earnings due to economies of scale and efficiency improvements are expected over the coming reporting periods. These will further strengthen CREALOGIX's leading position.

Full annual results for 2019/20, including detailed information on the status of the group’s transformation, will be published on September 15, 2020.

About CREALOGIX

The CREALOGIX Group is a Swiss Fintech 100 company and is among the global market leaders in digital banking. CREALOGIX develops and implements innovative fintech solutions for the financial institutions of tomorrow. Using digital solutions from CREALOGIX, banks, wealth managers, and other financial institutions can better respond to evolving customer needs in the area of digital transformation, enabling them to hold their ground in a very demanding and dynamic market and remain ahead of their competitors. The group, founded in 1996, has more than 700 employees worldwide. The shares of CREALOGIX Group (CLXN) are traded on the SIX Swiss Exchange.

The economic projections and predictions contained in this information relate to future facts. Such projections and predictions are subject to risks, uncertainties and changes which cannot be foreseen and which are beyond the control of CREALOGIX Holding AG. CREALOGIX Holding AG is therefore not in a position to make any representations as to the accuracy of economic projections and predictions or their impact on the financial situation of CREALOGIX Holding AG or the market in the securities of CREALOGIX Holding AG.

This document does not constitute an offer or invitation to subscribe for or purchase any securities. It is not being issued in countries where the public dissemination of the information contained herein may be restricted or prohibited by law. In particular, this document is not being issued in the United States of America and should not be distributed to U.S. persons or publications with a general circulation in the United States. Any non-compliance with such restrictions may result in an infringement of U.S. securities laws. Securities of CREALOGIX Holding AG (’COMPANY’) are not being publicly offered outside of Switzerland. In particular, the securities of the company have not been registered under the U.S. securities laws and may not be offered, sold or delivered within the United States or to U.S. persons absent the registration under or an applicable exemption from the registration requirements of the U.S. securities laws. This document does not constitute a prospectus according to article 652a or article 1156 of the Swiss code of obligations or article 27 et seq. of the SIX Swiss Exchange listing rules.

Contact

Investor Relations

Daniel Bader, Chief Financial Officer

E-Mail: daniel.bader@crealogix.com

Media Relations

Michael Fischer

E-mail: michael.fischer@crealogix.com

Phone: +41 58 404 80 00