Strong 4th Quarter / Preliminary Figures 2017/18 / Early Extension of Agreements with Directors / Strategy Offensive 2022
Filderstadt, 16 November 2018 – Following a strong 4th quarter (Jul – Sep 2018, sales plus 9%, EBIT plus 28%), All for One Steeb AG, a leading IT service and consulting provider and sought-after partner for digitalisation in the midmarket sector, today published its preliminary, unaudited figures (IFRS) for the financial year 2017/18 (1 Oct 2017 to 30 Sep 2018).
All for One Steeb improved revenues on an almost exclusively organic basis by 11% to EUR 332.5 million in the financial year 2017/18. Revenues from cloud services and support posted a plus of 28% to EUR 59.6 million. Recurring revenues also increased significantly by 14% to EUR 155.7 million, while sales from software licenses improved 12% to EUR 43.4 million. Even the volume of software support revenues continues to grow sustainably and increased by 8% to what is now EUR 96.1 million. Revenues from consulting and services improved 6% to EUR 133.4 million.
The accelerated build-up phase within the relatively new LOB segment (cloud-based lines of business solutions) resulted in a significant increase in segment sales (plus 12% to EUR 64.3 million) along with an EBIT decrease of EUR 2.0 million to minus 0.7 million. Despite major investments in SAP S/4HANA and the platform business (SAP Leonardo, Microsoft Azure, AWS), the CORE segment (ERP and collaboration solutions for corporate core business processes) increased its EBIT by 13% to EUR 21.3 million, which was disproportionately high compared to the development of segment sales (plus 10% to EUR 282.0 million).
On a consolidated basis, the company achieved an EBITDA of EUR 31.1 million (plus 6%), an EBIT of EUR 20.6 million (plus 3%) and an EBIT margin of 6.2% (Oct 2016 – Sep 2017: 6.7%). The EBT was EUR 19.6 million (plus 1%), while earnings after tax increased 5% to EUR 13.7 million and represent earnings per share of EUR 2.82 (Oct 2016 – Sep 2017: EUR 2.63). The equity ratio as at 30 September 2018 was 42% (30 Sep 2017: 41%) and offers room for additional M&A projects. The number of employees rose to 1,677 (30 Sep 2017: 1,476). The results for 2017/18 are thus within the upper target range for sales and in the lower target range for EBIT as set by the company for the financial year 2017/18 and which projected total revenues of between EUR 325 million and 335 million along with an EBIT of between EUR 20.5 million and 22.0 million.
»Our customers are not the only ones undergoing transformation. We ourselves are also in the midst of it and, as part of our growth offensive, are investing heavily in top issues such as SAP S/4HANA and cloud services, in new growth fields such as IT security, new work and own cloud platform based IP. We also invest in the enablement of our employees and acquisitions and also in the implementation of the latest technologies. In this way, we are preparing for the self-assigned task of sustainably supporting our customers in enhancing their competitive strengths – something that is happening ever more under the influence of digitalisation – while at the same time paving the way for reaching our next major growth objective: at the end of our financial year 2022/23 we aim to achieve revenues of between EUR 550 million and 600 million along with an EBIT margin of above 7%«, explained All for One Steeb CEO Lars Landwehrkamp.
»During the 2018/19 transition year and because of the accelerated transformation from one-time revenues from the sale of software licenses to recurring cloud revenues, we expect total revenues to range from EUR 345 million to 355 million. In addition, we are making deliberate and specific investments into our strategy offensive and expect one-time charges at EBIT level for 2018/19 in the mid single-digit million range. Not including these one-time charges, we are projecting an EBIT for 2018/19 of between EUR 21 million and 22 million. We expect the EBIT margin to increase from the year 2019/20«, stated All for One Steeb CFO Stefan Land.
In order to continue with this very successful 10-year development and implement the strategy offensive 2022, the supervisory board of All for One Steeb AG carried out the early extension of the directors’ agreements with the CEO Lars Landwehrkamp and the CFO Stefan Land, which were set to expire on 30 September 2019, by an additional four years until 30 September 2023. About this, All for One Steeb AG supervisory board chairman Josef Blazicek: »All for One Steeb has performed very well for many years under the leadership of the directors. Also, the whole of the supervisory board believes in the success of the strategy offensive 2022. With the extension of the directors’ agreements, we equally value and build on continuity and dynamism, and are confident that we have once again laid a solid foundation for an even greater success story«.
All for One Steeb AG will release its final consolidated financial statements for the financial year 2017/18 as scheduled during its financial results press conference on 17 December 2018.