All for One Group SE — Earnings Release 2004

Aug 25, 2004

News Details

Ad-hoc | 25 August 2004 00:59

AC-Service: Positive Indicators Overshadowed by One-Time Charges and Sluggish…

Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– AC-Service – Positive Indicators Overshadowed by One-Time Charges and Sluggish Economy Sales after six months at EUR 22.6 million (prior year: EUR 25.1 million), EBIT of EUR 0.5 million (prior year: EUR 1.9 million). Mid-year loss per share of 15 euro cents (prior year: plus 26 euro cents) includes major value adjustments on income tax assets. Robust balance sheet with 63% shareholders’ equity. Promising signals from a broadened range of products and services and increased sales operations with partners. Important new client contracts. Stuttgart, 25 August 2004 – As an IT service provider focused on IT Outsourcing, Human Resource Services and SAP Consulting, AC-Service finished the first half of the 2004 year with revenues of EUR 22.6 million (prior year: EUR 25.1 million) and an EBIT of EUR 0.5 million (prior year: EUR 1.9 million) after regular goodwill amortisation totalling EUR 0.4 million (prior year: EUR 0.4 million). The company posted a half-year loss after taxes and minority interests of EUR -0.8 million (prior year: EUR 1.4 million), which equates to a loss per share (IFRS) of 15 euro cents (prior year: plus 26 euro cents), after considerable special non-cash charges from accounting additions to value adjustments on income tax assets in the second quarter of 2004. The average staffing strength (FTEs) during the first six months of 2004 was 297 people (prior year: 323). The second quarter of 2004 saw sales of EUR 10.9 million (prior year: EUR 11.8 million), an EBIT of EUR 0.2 million (prior year: EUR 0.9 million) and an after-tax loss of EUR -0.7 million (prior year: EUR 0.8 million). The corresponding results for the previous year include one-time income items from investment tax credits and currency-exchange gains totalling about EUR 0.6 million. Cash flows from operating activities at mid-year 2004 paralleled earnings performance and declined to EUR 0.5 million from EUR 2.3 million last year, while the EUR 1.5 million used in investing activities stayed at about the same level as during the first half of 2003. Dividend distributions in the amount of some EUR 1.0 million (prior year: none) were also a factor in the decline in cash and cash equivalents from EUR 12.5 million as at 30 June 2003 to EUR 10.7 million as at 30 June 2004. AC-Service has a strong and healthy balance sheet. The shareholders’ equity of EUR 25.0 million (31 Dec 03: EUR 26.4 million) accounts for 63% (31 Dec 03: 62%) of the balance sheet total of EUR 39.8 million (31 Dec 03: EUR 42.8 million). Contrary to expectations, the economic situation has remained difficult so far this third quarter of 2004 and is overshadowing the promising impulses and gains AC-Service has made with new clients, its expanded products and services portfolio, aggressive sales activities and a broadened partner network. It was on this basis that significant new customer contracts were made both in the area of SAP-based outsourcing and consulting services and in the Human Resource Services division under the ACCURAT brand, all of which merely helped dampen the decline in sales and earnings. In the financial year 2003 AC-Service posted consolidated sales of EUR 48.3 million, an EBIT of EUR 1.3 million and earnings per share of 21 euro cents. The Board of Directors expects a positive EBIT for the full 2004 year that, like sales, may lie below the results of the full 2003 year. The lean and highly cost- efficient organisation has been improved even further. The healthy balance sheet continues to demonstrate great capital-resource strength and a tremendous funding potential despite the value adjustments on deferred income tax assets. Additional information available on the Internet at http://www.ac-service.com end of ad-hoc-announcement (c)DGAP 24.08.2004 ——————————————————————————– WKN: 511000; ISIN: DE0005110001; Index: Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin- Bremen, Düsseldorf, Hamburg, Hannover, München und Stuttgart 250059 Aug 04