Slight decline in sales, profitability unchanged

The SYZYGY Group generated sales of EUR 31.6 million in the first 6 months of the financial year. This represents a fall of 2 per cent compared to the same period in the previous year. The German core market saw continuing solid growth, with sales of EUR 23.6 million, resulting in an EBIT margin of 14 per cent. Earnings before tax were largely unchanged over the previous year at EUR 2.8 million, while net income declined to EUR 2.1 million. Earnings per share were EUR 0.15 overall and EUR 0.07 in the second quarter.

The positive sales trend in the core German market was unable to offset the weaker than expected performance of the international companies. This trend will continue in the second half of the year. Overall, the somewhat softer economy, especially in the UK market, is having an adverse impact on the SYZYGY Group’s order book. Accordingly, SYZYGY AG expects sales to remain at the prior-year level in the current financial year. Restructuring charges from international operations will be somewhat higher, with the result that an operating EBIT margin of 8 to 9 per cent is expected.

Multiple new client wins in the German market suggest that performance and growth in the core market will remain strong.

The full six-monthly report will be available at http://ir.syzygy.de from August 2, 2019.