Kollect on Demand Holding AB (publ) : issues a trading update for November 2020

Today on November 26, 2020, Kollect on Demand Holding AB (publ) (“Kollect” or the “Company”) issues a trading update for October 2020.

Kollect records particularly strong monthly recurring revenues in October 2020.

Key Figures:

	Oct-20		Sep-20	Variance		Oct-19	Variance
Revenue from Continuing Operations	SEK 4.13m		SEK 3.82m	8%		SEK 3.27m	26%
Total Revenue	SEK 4.13m		SEK 3.82m	8%		SEK 3.67m	13%
Total Gross Margin	43%		37%	6%		38%	2%

Revenue from continuing operations increased by 26% compared to the prior year, however on an operational currency basis, revenues sales increased by 31% (as the Company was negatively impacted by exchange rate movements for reporting purposes). The Company’s primary operating currency is Euro; the above figures are reported in SEK. Similarly, on an operational level revenues increased by 9%, against the 8% when translated to SEK, compared to the prior month.

Recurring revenue activities

Recurring revenues (i.e. Domestic and Commercial Bins, and BIGbin activities) increased by approximately 87% compared to Oct 2019 and were up 10% on the prior month of Sep 2020.

There was a continued increase in revenues from Domestic Bins up 4% on Sep 2020 and 41% on Oct 2019 due to continued customer retention and new customer acquisition, particularly in new housing schemes.

Revenues from Commercial Bins remained largely flat on prior year, due to impact of the COVID-19 restrictions on businesses.

The Commercial Skip business continued to perform well with revenues up 31% compared to September 2020 driven by construction customers, which have remained operational in the latest lockdown. Commercial Junk also increased by 37% month on month.

BIGbin revenues in Oct 2020 were up 23% on Oct 2019 and with a small increase of 3% on the prior month of Sep 2020, with new sites beginning to generate revenues.

Gross margins on Domestic and Commercial Bin collection activities in Oct 2020 increased over Sep 2020 by 5% and were up slightly on Oct 2019. This was largely driven by the by the mix of waste that was collected.

Non-recurring revenues

Non-recurring revenues (i.e. Skip (container) hire, Skip bags and Junk removal) decreased by approximately 7% over Oct 2019 revenues, however they were up by approximately 6% over Sep 2020 revenues.

Revenues from Domestic Skip hire in Oct disappointed due to poor lead generation, which issue has since been addressed. On the other hand, with Commercial skip revenues were strong with a particular increase over the prior month.

Non-recurring revenue in Oct 2020 from Junk was up on prior month by 13% with a relatively strong end to the month. Other non-recurring revenues were also helped by Skip bag hire and operations in the UK slightly ahead of target with the launch of a new UK website.

Gross margin

The Company saw its focus on maintaining and increasing gross margin pay off as it achieved 43% gross margin at a consolidated level in the month.

For further information, please contact:

John O’Connor, VD
[phone]
[e-mail]
www.kollect.ie

About Kollect

Founded in Waterford, Ireland, Kollect is an innovator and disruptor in the waste industry listed on the Nasdaq First North Growth Market (symbol: KOLL) and Mangold Fondkommission AB is the Company’s acting Certified Adviser (Tel. + 46 8 5030 1550, [e-mail], www.mangold.se).

Founded in Waterford, Ireland, Kollect is an innovator and disruptor in the waste industry. The Company services two types of customers: those who arrange to have waste collected (bins, skips or junk removal) via the online Kollect booking engine; and those who use BIGbin smart compactor bins for waste drop-off.

The services include domestic, door-to-door bin collection, commercial bin collection, container hire and junk removal such as furniture and other large objects. For more information, visit www.kollect.ie.

This information is information that Kollect on Demand is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2020-11-26 15:21 CET.

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Kollect on Demand Holding AB (publ) issues a trading update for November 2020

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