Delticom AG

Earnings Release • Nov 4, 2014

News Details

Ad-hoc | 4 November 2014 19:28

Delticom adjusts full-year forecast

Delticom AG / Key word(s): Change in Forecast

04.11.2014 19:28

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Delticom adjusts full-year forecast

Hanover, 04 November 2014 - WKN 514680 (German Securities Code), ISIN
DE0005146807, stock market symbol DEX.

Warm temperatures in March prompted numerous motorists to make an early
switch to summer tyres. Due to this accelerated purchasing effect, business
during the second quarter in many places fell short of expectations. In the
third quarter, too, tyre trading was confronted by year-on-year weaker
replacement demand. Mild temperatures in September also prevented an early
start to the winter tyre season.

On the basis of preliminary figures, Delticom generated revenues of EUR
88.1 million in the third quarter (Q3 13: EUR 96.9 million, -9.1 %). In the
first nine months of 2014, consolidated revenues of EUR 314.1 million were
up by 1.6 % year-on-year (9M 13: EUR 309.1 million). Earnings before
interest, tax, depreciation and amortization (EBITDA) amounted to EUR 1.8
million for the third quarter (Q3 13: EUR 1.7 million, +4.5 %). During the
first nine months of the current financial year, the company consequently
generated EUR 8.0 million of EBITDA (9M 13: EUR 12.0 million). The negative
result contribution from Tirendo (purchase date: September 16, 2013) during
the first nine months of 2014 comprises an important reason for the 33.3 %
year-on-year decline of group EBITDA (9M 14: Tirendo EBITDA: -EUR 9.1
million).

The final quarter of the year is of central importance to both revenues and
profitability on a full-year basis. In many places this year, the switch
from summer tyres to winter tyres failed to gather momentum until
mid-October. Although new order intake volumes at Delticom and Tirendo have
reported significant year-on-year growth during the final two weeks of
October, the further course of business during the fourth quarter will
depend significantly on the development of the weather in Europe over the
coming weeks.

Given the unusual warm weather, the challenging market situation during the
first nine months of the year and the uncertainty relating to the further
course of business during the fourth quarter, Delticom is adjusting its
full-year forecast for the 2014 financial year. On the basis of current
planning, consolidated revenues will lie in a range of between EUR 500
million and EUR 520 million on a full-year view. Depending on the
respective market situation over the coming weeks and related price trends,
the company is aiming for EBITDA of between EUR 15 million and EUR 20
million in the 2014 financial year.

Delticom will make its finalized nine-month report available on November
13, 2014, for downloading from the "Investor Relations" area of the
company's website at www.delti.com.

Company profile:

Delticom is Europe's leading online tyre retailer. Founded in 1999, the
Hanover-based company has more than 100 online shops in 42 countries, among
others ReifenDirekt, www.mytyres.co.uk in UK and www.123pneus.fr in France,
as well as the Tirendo shops which enjoy a high level of recognition, not
least due to its brand ambassador, Sebastian Vettel. Delticom offers a wide
range of products for its private and business customers: more than 25,000
models from over 100 tyre brands for cars, motorcycles, commercial vehicles
and buses, but also complete wheels, motor oil, replacement parts and
accessories.
Customers enjoy all the advantages of modern E-Commerce: convenience in
order placing, quick, efficient delivery, clear cost information and, last
but not least, low prices. The products are delivered in two business days
to any address the customer chooses. Alternatively, Delticom delivers the
tyres to one of more than 39,000 service partners (8,900 in Germany alone)
for professional fitting directly on to the customer's vehicle at a
reasonable price.

On the Internet at: www.delti.com

Contact:

Melanie Gereke
Brühlstraße 11
30169 Hannover
Tel.: +49 (0)511-936 34-8903
Fax: +49 (0)89-208081147
Email: melanie.gereke@delti.com

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Language: English
Company: Delticom AG
Brühlstraße 11
30169 Hannover
Germany
Phone: +49 (0)511 93634 8000
Fax: +49 (0)511 33611 655
E-mail: info@delti.com
Internet: www.delti.com
ISIN: DE0005146807
WKN: 514680
Listed: Regulierter Markt in Frankfurt; Freiverkehr in Berlin,
Düsseldorf, Hamburg, Hannover, München, Stuttgart

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