Nexway AG lowers guidance for the full year 2019October 31, 2019
October 31, 2019, Karlsruhe/Paris – Nexway AG lowers its guidance for the full year 2019 against the background of the expected business development in the last quarter of 2019. As reported on July 22, 2019 on a preliminary basis, the Group achieved strong revenue and gross profit growth in the first half of 2019, mainly due to developments following the acquisition of 100% of Nexway Group AG and its 100% subsidiary Nexway SAS on January 31, 2019. On the earnings side, Nexway AG remained loss-making in the first half of 2019 on an EBITDA basis. This is mainly due to several one-time expenses related to the integration of the Nexway Group as well as restructuring costs. Nexway AG continues to expect an improvement of consolidated EBITDA for the second half of 2019.
Contrary to previous expectations, however, the improvement will not be sufficient to achieve the slightly positive EBITDA previously forecast on a full-year basis. The company now expects an EBITDA between -2.0 million euros and -2.8 million euros for 2019. Regarding the top line, Nexway AG now expects consolidated sales revenues between 180 and 200 million euros and a gross profit between 14 and 18 million euros, both before deduction of January 2019 figures of Nexway Group AG and its 100-% subsidiary Nexway SAS, given that it had been consolidated as of January 31, 2019. Originally the company had forecast consolidated sales revenues of over 200 million euros and a gross profit of more than 20 million euros (also both before deduction of January 2019 figures of Nexway Group AG and its 100-% subsidiary Nexway SAS).
Nexway AG’s consolidated half-year report 2019 will be published in the course of today.
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