Compleo Charging Solutions AG: Compleo unveils new strategy as part of quarterly results
November 16, 2022 at 01:32 am EST
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EQS-News: Compleo Charging Solutions AG
/ Key word(s): 9 Month figures
Compleo Charging Solutions AG: Compleo unveils new strategy as part of quarterly results
16.11.2022 / 07:30 CET/CEST
The issuer is solely responsible for the content of this announcement.
Compleo unveils new strategy as part of quarterly results
Newly formed Board sets course for more competitive Compleo 3.0 | Q3 results confirm revenue and profit outlook for 2022 | Further increased focus on costs and profitability
Dortmund, November 16, 2022 – Compleo Charging Solutions AG ("Compleo"), a leading European full-service provider for charging technologies, today reports on its business development in the first nine months of 2022. According to the report, Compleo was able to maintain the sales level from the previous quarter despite difficult economic conditions and achieved group sales of 80.3 million euros in the first nine months of the financial year. This corresponds to a significant growth of €42.7 million or 114% compared to the same period last year (9M 2022: €37.6 million). Compleo is thus on track to achieve its mid-September adjusted revenue guidance for the 2022 financial year of EUR 105 to 110 million. On a quarterly basis, Group revenue increased by 75% to EUR 28.4 million (Q3 2021: EUR 16.2 million). In the Charging Stations segment, revenue in Q3 2022 was slightly below the previous quarter's level at EUR 20.6 million. The Software segment continued the profitable growth of the previous quarters and generated quarterly revenue of EUR 5.8 million with a strong gross margin of 36.6%.
In addition, Compleo was able to further increase profitability compared to the previous year, despite continued challenging procurement markets. The gross margin increased by 2.6 percentage points to 17.5% (9M 2021: 14.9%). This is due to efficiency gains from the increased sales volume as well as the first positive results from the cost reduction programs initiated during the year. Adjusted EBITDA (earnings before interest, taxes, depreciation and amortisation adjusted for one-off effects) continued to develop positively in the course of the current financial year. At -5.3 million euros, it is lower in the third quarter of 2022 than in the two previous quarters. After the first nine months, this value amounts to a cumulative -18.5 million euros, which means that Compleo is also on track here to achieve the annual target of an adj. EBITDA of -25 to -30 million euros.
The publication of the quarterly results is the occasion for the newly formed management board consisting of Jörg Lohr (CEO) and Peter Hamela (CFO) to present the strategic realignment of the Compleo Group. In the past months, an in-depth analysis of all products, services, processes and structures has been carried out, the results of which have been incorporated into the new Compleo 3.0 strategy. Essentially, the concept, whose clear focus is on profitability and customer focus, is based on four pillars:
In the future, the product portfolio in the Charging Stations segment, which has grown inorganically, will be significantly sharpened. From the current 15 product families with a total of over 500 product variants, five core products in the power range from 11 to 400 kW will cover around 80% of the usual applications. The focused product range will realise significant efficiency and cost advantages in all operational areas in the future.
The customer will be even more at the centre of all business activities in the future. The entire internal value chain, starting with research and development, through production and sales, to after-sales service, will in future be consistently aligned with the specific customer requirements from the various target markets.
In this context, Compleo will in future focus more strongly on its existing core competencies. In the Charging Stations division, these include in particular the development and sale of innovative and holistic charging infrastructure solutions. The industrialised production of wallboxes is to be completely outsourced in the future. The Software segment was successfully carved out from the Group as a separate organisation as of 30 September 2022. The goal is to position this unit independently in the market and to create value for Compleo shareholders with the help of strategic partnerships. The Services segment will focus consistently on manufacturer services in the future. The software segment already has its own service structures. The sub-segment around planning and installation of charging infrastructure will be realigned and focused on managing the project business. The clear focus on the value-creating core activities is also accompanied by organisational streamlining: In addition to the centralisation of German production and administration already announced at the end of September, existing organisational structures will be further optimised and excess capacities reduced. The closure of the two locations in Paderborn and Schlangen at the turn of the year is a first step towards streamlining operational cost structures. In addition, the Executive Board has aligned the subsequent management level to only four Vice Presidents. Further initiatives - also to improve profitability and optimise working capital - are currently being planned.
In the future, Compleo plans to further expand its target markets in Europe. In addition, market entry in the High Power Charging (HPC) segment in North America, the world's largest market for public DC charging infrastructure, is targeted with the help of partners by mid-2024. Compleo is launching a new high-power charger next year, also designed for the profitable North American market. With Comfort Charge, a first customer order for the delivery of 38 HPC chargers was recently reported.
"The last weeks and months have been challenging for the entire organisation and especially for our shareholders," says Jörg Lohr, CEO of Compleo. "However, with our comprehensive Compleo 3.0 strategy, we are confident that we will position ourselves to be significantly more efficient, customer-centric and also competitive in the future. We will consistently look at liquidity, profitability and costs. This is essential for our future economic success. In addition to the large number of operational savings potentials that we have identified, additional external financing to support the operational business processes is also an option that we are taking a closer look at. Our fast-growing and highly profitable software segment can play a decisive role in this - along with other strategic options."
The full quarterly results are available on the company website https://ir.compleo-charging.com/en/ in the "Results" section.
Appendix:
Condensed income statement and statement of comprehensive income as of September 30, 2021 and September 30, 2022
in EURk
9M 2022
9M 2021
Revenues
80,300
37,603
Cost of sales
-66,259
-31,989
Gross profit
14,041
5,614
Other income
2,570
359
Selling expense
-12,997
-5,392
Research and development expense
-19,016
-4,478
General and administrative expense
-20,917
-8,520
Earnings before interest and tax (EBIT)
-36,319
-12,417
Financial income
1,174
19
Financial expense
-484
-201
Earnings before tax (EBT)
-35,629
-12,599
Income tax
1,904
-4,773
Result of the period
-33,725
-17,372
Items that will not be reclassified to profit or loss:
Remeasurement of defined benefit obligations
15,238
Items that may be reclassified to profit or loss:
Exchange differences on translation of foreign
operations
273
Other comprehensive income, net of tax
15,511
Total comprehensive income of the period
-18,214
-17,372
Total net result of the period is attributable to
Owners of Compleo Charging Solutions AG
-33,691
-17,368
Non-controlling interest
-34
-4
-33,725
-17,372
Total comprehensive income for the period is attributable to
Owners of Compleo Charging Solutions AG
-18,812
-17,368
Non-controlling interest
-32
-4
-18,214
-17,372
Earnings (loss) per share (in EUR)
Basic
-6.65
-4.68
Diluted
-6.65
-4.68
Calculation of adjusted EBITDA
In EURk
9M 2022
9M 2021
Earnings before interest and taxes (EBIT)
-36,318
-12,416
Depreciation and amortization
-9,947
-2,362
EBITDA
-26,821
-10,054
EBITDA margin
-33.4 %
-26.7 %
One-off effects
-8,322
-2,340
Adjusted EBITDA
-18,499
-7,713
Adjusted EBITDA margin
-23.0 %
-20.5 %
Consolidated statement of financial position as of September 30, 2022 and December 31, 2021
Assets
in EURk
September 30, 2022
December 31, 2021
Non-current assets
Intangible assets
34,484
19,684
Goodwill
27,612
26,245
Property, plant and equipment
7,835
3,190
Right-of-use assets
4,036
2,863
Other non-current financial assets
24
24
Other non-current assets
218
238
Net defined benefit asset
6,060
-
Deferred tax assets
2,682
18
Total non-current assets
82,951
49,262
Current assets
Inventories
44,473
21,458
Trade accounts receivable
17,843
7,315
Contract assets
2,364
2,235
Other current financial assets
1,805
1,075
Other current assets
9,054
60,211
Income tax receivables
103
-
Cash and cash equivalents
17,669
12,434
Total current assets
93,311
104,728
Total assets
176,262
153,990
Equity and liabilities
in EURk
September 30, 2022
December 31, 2021
Equity
Subscribed capital
5,070
5,070
Capital reserves
144,729
144,675
Accumulated other comprehensive income
15,504
-5
Retained earnings
-61,665
-27,974
Non-controlling interest
-55
-23
Total equity
103,583
121,743
Non-current liabilities
Defined benefit obligations and other accrued employee benefits
943
-
Other provisions
2,849
1,882
Financial liabilities - non-current
6,338
7,743
Lease liabilities - non-current
2,340
1,684
Other non-current financial liabilities
7,681
5
Deferred tax liabilities
1
2,050
Total non-current liabilities
20,152
13,364
Current liabilities
Other provisions
19,905
1,288
Financial liabilities - current
1,828
1,060
Lease liabilities - current
1,828
1,325
Trade accounts payable
12,740
12,305
Contract liabilities
308
3
Other current financial liabilities
8,074
82
Other current liabilities
7,844
2,820
Total current liabilities
52,572
18,883
Total equity and liabilities
176,262
153,990
Consolidated statement of cash flows as of September 30, 2022 and September 30, 2021
In EURk
9M 2022
9M 2021
Result of the period
-33,725
-17,372
Amortization of intangible assets
7,049
1,141
Depreciation of property, plant and equipment and right-of-use assets
2,448
1,219
Increase /(decrease) in other non-current provisions
-1,742
-346
Increase /(decrease) in other current provisions
-3,732
57
Expenses for share-based payments
54
30
Other non-cash expenses /(income) items
-20
-726
(Increase) / decrease in inventories
-20,075
-7,730
(Increase) / decrease in trade receivables
1,524
-4,421
(Increase) /decrease in other assets
50,855
514
Increase / (decrease) in trade payables
-8,615
1,556
Increase /(decrease) in other liabilities
5,631
-1,051
Interest expenses /(income)
-690
182
Increase /(decrease) in income tax payables and deferred tax liabilities
-2,470
4,327
Income tax (paid) /received
-
-
Net cash flows from operating activities
-3,508
-22,620
(Purchase) of intangible assets
-2,878
-2,243
(Purchase) of property, plant and equipment
-2,581
-1,125
Payment / proceeds for acquisition of subsidiary, net of cash acquired
15,544
-22,814
Payments for acquisition of shareholder loans
-
-
Interest received
1,043
19
Net cash flows used in investing activities
11,128
-26,163
Proceeds from issue of shares
-
28,295
Transaction cost for the issue of shares
-
-911
Repayment of financial liabilities
-637
-8,598
Repayment of lease liabilities
-1,400
-728
Interest (paid)
-348
-201
Net cash flows from financing activities
-2,385
23,269
Net increase/decrease in cash and cash equivalents
5,235
-25,338
Cash and cash equivalents at the beginning of the period
12,434
35,736
Cash and cash equivalents at the end of the period
17,669
10,398
About Compleo:Compleo Charging Solutions AG is one of the leading full-service providers of charging technology in Europe. The company supports its business customers with its charging technologies as well as its charging stations, the software of the charging infrastructure. Compleo's offering includes both AC and DC charging stations. DC charging stations from Compleo are the first DC charging stations on the market that comply with calibration regulations. The company is headquartered in Dortmund, Germany. Its customers include Aldi, Allego, Clever, E.ON, EWE Go, Daimler, Siemens and more than 300 municipal utilities in Germany. More info at: www.compleo-charging.com/
Media contact Compleo
Ralf Maushake
Head of Communications & Public Affairs
E-Mail: r.maushake@compleo-cs.de
Telephone: +49 231 534 923 865
IR contact Compleo
Sebastian Grabert, CFA
VP Capital Markets & Corporate Finance
E-Mail: ir@compleo-cs.de
Telephone: +49 231 534 923 874
16.11.2022 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.
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Language:
English
Company:
Compleo Charging Solutions AG
Oberste-Wilms-Straße 15a
44309 Dortmund
Germany
Phone:
+49 231 534 923 70
E-mail:
ir@compleo-cs.de
Internet:
https://www.compleo-cs.com/
ISIN:
DE000A2QDNX9
WKN:
A2QDNX
Listed:
Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
CCS Abwicklungs AG, formerly Compleo Charging Solutions AG is a Germany-based Company, which is a manufacturer of high-grade charging stations and solutions for electromobility. The Company offers AC and DC charging points and wallboxes for companies, energy suppliers and operators. It provides charging stations including both hardware and software along with services ranging from planning and project management for installation to maintenance and troubleshooting during operation.