Thursday 14 May 2020
Approved the Interim Report on Operations at 31 March 2020
Increase in all the main indicators, mainly driven by growth in foreign markets
The Board of Directors of Rekeep approved the Interim Report on Operations at 31 March 2020, which shows a sharp increase in net profit, turnover (+13.3%) and profit margins (EBITDA: 11.5%; EBIT: +10.8%), as well as a rise in commercial activity with acquisitions and renewals of major contracts mainly as a result of growth on international markets.
“2020 is going to be a complex year for Rekeep, as well as for everyone, and the exceptional impacts of the COVID-19 pandemic will be more conspicuous in the second quarter of the financial year. However, we are confident in the resilience of our Group and our business activities: we have strictly implemented all health and safety protocols to protect all our employees, who are reacting proudly and proactively to the current emergency. Furthermore, as demonstrated by today’s figures, we now can also take advantage of the diversity of the markets, thanks to our present substantial footprint at international level. We are going to face challenging months in which we will be called upon to make decisions in a timely fashion to manage the emergency on a daily basis, but we will strive to mitigate and prevent impacts on our business with the promptness and flexibility that have always been distinguishing us” – said Giuliano Di Bernardo, Chairman and Chief Executive Officer of Rekeep S.p.A..
The rise in Revenues and EBITDA, as well as in Net Profit, during the first quarter of 2020 compared to the first quarter of 2019, was mainly due to the consolidation in the accounts of the results of subsidiary Naprzod SA, the leading healthcare facility management company in Poland acquired on 31 October 2019, which was a veritable turning point in the Group’s international growth, as well as to the acquisition of major orders in France and Turkey. The Group therefore recorded a further increase in revenues and profit margins for the eighth consecutive quarter, despite the fact that the effects of lower business volumes owing to the lockdown were only partially offset by a higher demand for healthcare services, in fact owing to the emergency. Therefore, from the 2020 financial year International Markets are considered to be an integral part of the Group's core business.
Consolidated highlights for the first quarter of 2020 (compared to the first quarter of 2019):
- Revenue: €271.2 million (+13.3% compared to €239.3 million at 31 March 2019);
- EBITDA: €32.2 million (+11.5% compared to €28.9 million at 31 March 2019);
- EBIT: €21.1 million (+10.8% compared to €19.0 million at 31 March 2019);
- Net Profit: €7.2 million (tripled, compared to €2.4 million at 31 March 2019);
- Net Financial Indebtedness: €334.8 million (showing an improvement compared to both €366.6 million at 31 December 2019 and €384.8 million at 31 March 2019);
- Tendered and renewed existing contracts: €224 million (showing a sharp increase compared to €48 million at 31 March 2019);
- Total portfolio of tendered and renewed existing contracts: €2.9 billion (+15.1% compared to €2.5 billion at 31 March 2019).
