EEZY PLC -- COMPANY ANNOUNCEMENT -- 5 MARCH 2020 AT 8:00
Eezy Plc's Financial Statements Bulletin 2019: Historic year of growth
October-December 2019
January-December 2019
Outlook for 2020
Eezy expects revenue to be EUR 260-300 million and operating profit to be approx. 8% of revenue in 2020.
Avainluvut
| EUR million, unless otherwise specified | 10-12/2019 | 10-12/2018 | Change % | 1-12/2019 | 1-12/2018 | Change % |
| Revenue | 65.6 | 21.4 | 206.3% | 169.8 | 81.7 | 107.8% |
| Adjusted EBITDA | 4.8 | 2.7 | 74.4% | 16.4 | 11.1 | 46.8% |
| Adjusted EBITDA, % | 7.3% | 12.8% | - | 9.6% | 13.6% | - |
| EBITDA | 4.2 | 2.3 | 81.8% | 12.6 | 10.1 | 25.0% |
| EBITDA, % | 6.4% | 10.7% | - | 7.4% | 12.3% | - |
| Adjusted EBIT | 2.9 | 2.2 | 33.2% | 11.8 | 9.2 | 27.8% |
| Adjusted EBIT, % | 4.4% | 10.1% | - | 6.9% | 11.3% | - |
| EBIT | 2.3 | 1.7 | 32.5% | 8.0 | 8.2 | -1.6% |
| EBIT, % | 3.5% | 8.1% | - | 4.7% | 10.0% | - |
| EPS, undiluted, eur | 0.05 | 0.12 | - | 0.25 | 0.38 | - |
| EPS, diluted, eur | 0.05 | - | - | 0.25 | - | - |
| Net debt / Adjusted EBITDA | - | - | - | 2.7 x3 | 1.3 x | - |
| Chain-wide revenue | 94.0 | 54.0 | 74.0% | 288.8 | 207.4 | 39.2% |
CEO Sami Asikainen:
With new strategy to become the market leader
"The company developed significantly during 2019. We did several acquisitions during the year, renewed our strategy and changed the company's name from VMP to Eezy.
The most significant event in 2019 was combining VMP and Smile to become the new Eezy. The combination of the second and third largest companies in the market was closed in late August. The transaction doubled our annual revenue. The combined company with approx. 30,000 employees, 5,000 self-employed entrepreneurs and several thousand personal assessments is a significant player in the HR services market. We have strengthened our staffing business in addition of acquiring Smile, by also acquiring the retail sector specialist Extraajat. Additionally, we have acquired Corporate Spirit to expand our portfolio with organizational development services.
The HR services market's growth has continued, but growth has slowed down compared to previous years. Our own business has developed positively especially in HoReCa and retail sectors.
In the fourth quarter, our IFRS revenue grew by 206% to EUR 65.6 million. EBITDA adjusted by non-recurring items grew by 74% to EUR 4.8 million. During the quarter we changed our organization, made several streamlining actions as well as initiated the brand renewal. Integration is progressing as planned. However, costs related to the changes decreased the profit in the period. In our strategy we have named year 2020 as the year of integration. We continue to expect significant cost synergy benefits from the combination, once the well-progressing harmonization of IT systems and support functions is fully implemented.
During 2019, a historic growth year for us, our revenue grew by 108% to EUR 169.8 million. EBITDA grew by 25% to EUR 12.6 million. EBITDA adjusted by the non-recurring items of EUR 3.8 million grew by 47% to EUR 16.4 million. Adjusted EBIT grew by 28% to EUR 11.8 million.
We published our renewed strategy and name change in November. Eezy’s mission is to make working life dreams come true, and we are aiming to become the market leader. We are bringing dreams to life by offering Finland’s most extensive services and most comprehensive functional network, together with our franchise entrepreneurs. We aim to make our services easy for our customers and employees. We are a partner at every stage of a career path.
We are seeking market leadership by strengthening our position in all of our business areas. We have done several acquisitions in the past few years, and acquisitions will be part of our growth path also in the future, and will help us in expanding our service portfolio.
We believe that trends that drive staffing services, such as labor shortages and the need for more flexible work, provide a good base for organic growth. It is important that we conduct ourselves in the spirit of our slogan "Freedom to Do", and aim to provide positive, respectful and individual customer service, and continue developing our digital services so that job seeking could be easier and more fun.
We are well underway to build a winning organization and culture. We have an amazing, extraordinary team gathered. We are going into the year 2020 and the new decade full of enthusiasm and positive energy."
Result publication event:
A briefing for analysts and media will be held on 5 March 2020 at 12.00 a.m. Finnish time in Restaurant Salutorget, Pohjoisesplanadi 15, Helsinki and streamed as a webcast at https://eezy.videosync.fi/tulosjulkistus-2019
The conference will be held in Finnish. The conference will be hosted by CEO Sami Asikainen and CFO Hannu Nyman. During the presentation, there will be an opportunity to ask questions. The presentation material will be available at the company website at https://eezy.fi/en/investors/reports-and-presentations/ before the conference.
A recording of the audiocast will be available at the same website later on the same day.
Attachment: Financial Statements Bulletin 2019 in PDF format
Further information:
Sami Asikainen
CEO
sami.asikainen@eezy.fi
tel. +358 (0)40 700 9915
Hannu Nyman
CFO
Eezy Plc
hannu.nyman@eezy.fi
tel. +358 (0)50 306 9913
Certified Advisor:
Danske Bank A/S, Finland Branch, tel. +358 (0)10 546 7934
Attachment