TXT E-Solutions — Earnings Release 2016

Oct 21, 2016

Informazione Regolamentata n. 0439-90-2016		Data/Ora Ricezione 21 Ottobre 2016 12:31:07	MTA - Star
Societa'	:	TXT e-SOLUTIONS
Identificativo Informazione Regolamentata	:	80445
Nome utilizzatore	:	TXTN01 - Matarazzo
Tipologia	:	AVVI 16
Data/Ora Ricezione	:	21 Ottobre 2016 12:31:07
Data/Ora Inizio Diffusione presunta	:	21 Ottobre 2016 12:46:08
Oggetto	:	Preliminary revenues as of September 30, 2016
Testo del comunicato

Vedi allegato.

TXT e-solutions Q3 2016 Revenues € 16.9 million (+18%)

Milan – October 21, 2016

In the third quarter of 2016, TXT e-solutions expects revenues of approximately € 16.9 million, up 18% compared to € 14.3 million in Q3 2015, due to both organic growth (+7%) and contribution of Pace GmbH (€ 1.6 million) acquired and consolidated since April 1, 2016. TXT Retail, the End-to-End specialist in the Luxury and Fashion sector grew by 5% to € 8.9 million; TXT Next, the software specialist for Complex Operations & Manufacturing for Aerospace, High-Tech and Finance grew by € 2.2 million (+38%) to € 8.0 million, due to consolidation of Pace (€ 1.6 million) and organic growth (€ 0.6 million, or +10%).

Consolidated revenues of the 9 months 2016 will top approximately € 50 million, a 10% increase with respect to the same period of 2015 (€ 45.4 million).

Software revenues were € 13.2 million, up 10% compared to first 9 months 2015. International revenues are expected to account for 57% of total revenues for the Group and 87% for the TXT Perform division.

EBITDA for the third quarter 2016 is expect to show a good growth compared to 2015.

The financial position as of 30 September 2016 was positive by around € 2.7 million (€ 0.7 million as of 30 June 2016) mainly due to cash generated by operations in the quarter.

In Q3 2016 TXT Perform signed important new software contracts with many customers, including GiFi (F), a retailer for the home and family with over 400 stores and several ecommerce channels and m-commerce through apps; WE Fashion (NL) a fashion retailer which sells clothing, shoes, bags and other accessories with over 240 shops and 3,000 employees mainly in the Netherlands, Germany, France; Brunello Cucinelli (I) an Italian fashion brand which sells luxury cashmere menswear, women's wear and accessories in proprietary boutiques in all continents; Christian Dior (F) a French luxury-goods company which designs and retails ready-to-wear, leather goods, accessories, footwear, jewellery, timepieces, fragrance, make-up, and skincare products throughout its portfolio of stores worldwide, as well as through its online store; Cotton-on (AUS), dynamic fashion retailer based in Australia with 1,200 stores, of which about 500 in USA, South Africa and Asia.

In first 9 months 2016 TXT Next signed contracts with new customers, including Pilatus (CH), Reiser Simulation & Training (D) and Goodrich Control Systems (UK, part of UTC Aerospace Systems) and most recently the airline Icelandair selected Pace to equip its entire fleet with the fuel efficiency software Pacelab Flight Profile Optimizer.

TXT e-solutions S.p.A. Via Frigia, 27 - 20126 Milano (Italy) Tel. +39 02 25771.1 Fax +39 02 2578994 www.txtgroup.com

The Chairman Alvise Braga Illa has commented: "Q3 2016 was positive for both TXT Retail and TXT Next, with a solid, profitable and self-financed growth trend. TXT operates internationally and innovates in the two non-correlated Retail and Aeronautic niche markets. Our risks are therefore reduced in current "glacial era of deflation with tsunami". In Retail several customers are showing quarterly results better than expected, which gives us confidence for a positive development of TXT in the remaining part of 2016".

The Meeting of the Board of Directors for the review and approval of the Quarterly Results was convened for 8 November 2016.

TXT e-solutions is an international specialist in high-value, strategic software and solutions for large enterprises. The main business areas are: Integrated & Collaborative Planning Solutions, with the TXT Retail Division, especially for Luxury, Fashion, Retail and Consumer Goods; Software for Complex Operations & Manufacturing, with the TXT Next Division, for Aerospace, Defence, High-Tech and Finance. Listed in the Star Segment of Borsa Italiana (TXT.MI), TXT is based in Milan and has offices in Australia, Canada, France, Germany, Hong Kong, Italy, Singapore, Spain, Switzerland, United Kingdom and United States.

For information:

TXT e-solutions SpA Paolo Matarazzo CFO Tel. +39 02 25771.355 paolo.matarazzo@txtgroup.com