Q.BEYOND AG
EQS-News: q.beyond AG
/ Key word(s): Quarter Results/Quarterly / Interim Statement
q.beyond increases EBITDA by € 3.3 million to € 2.0 million in Q1 2024
Cologne, 13 May 2024 – The Cologne-based IT service provider q.beyond is now, as planned, increasing its earnings power, having already boosted its financial strength thanks to consistent implementation of its “2025 Strategy”. EBITDA for the first quarter of 2024 rose to € 2.0 million, up from € -1.3 million in the previous year. Revenues for the same period grew from € 46.6 million to € 47.1 million. Free cash flow stood at € 0.6 million, as against € 1.1 million in the first quarter of 2023. This also involved an increase in net liquidity at the company, which has no debts, to € 38.2 million, compared with € 37.6 million at the end of 2023. This corresponds to € 0.31 per q.beyond share. Profitability has priority over growth The marked improvement in profitability has been driven in particular by standardising and simplifying processes and structures, as well as by systematically expanding the share of nearshoring and offshoring activities within the 2025 Strategy. In addition, staff capacity utilisation rates have been optimised and the company has focused on higher margin business fields. “Profitability has priority over growth”, stresses q.beyond’s CEO, Thies Rixen. At the same time, the 2025 Strategy was taking effect as expected. Adds Rixen: “q.beyond is developing into a company with strong earnings and strong finances.” Profitability rose in both of the company’s segments in the past quarter. In the Managed Services business relating to IT operations, gross profit improved by 27% to € 7.1 million, with revenues of € 32.9 million (Q1 2023: € 31.1 million). The gross margin increased by 4 percentage points to 22%. In the Consulting segment, comprising the consulting and development business, gross profit quadrupled to € 1.2 million, with revenues here of € 14.2 million (Q1 2023: € 15.5 million). The gross margin rose to 8%, up from 2% in the previous year. Across the company as a whole, gross profit grew by 37% to € 8.2 million. Consolidated net income also improved significantly and amounted to € -1.1 million, as against € -5.0 million in the previous year. Growing earnings strength in 2024 and beyond Following its good business performance at the start of the year, q.beyond can confirm its outlook for the 2024 financial year. The company has budgeted for its EBITDA to increase to between € 8 million and € 10 million, with a resultant EBITDA margin of 4% to 5%, and for revenues of between € 192 million and € 198 million and sustainably free cash flow.
For the coming year, the company has set itself the target within its 2025 Strategy of raising its EBITDA margin to between 7% and 8%, and generating sustainably positive consolidated net income. The measures to reach this target include raising the share of nearshoring and offshoring activities from 12% currently to at least 20%, and pressing ahead with automating processes with the assistance of artificial intelligence.
Notes:
13.05.2024 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG. |
| Language: | English |
| Company: | q.beyond AG |
| Richard-Byrd-Straße 4 | |
| 50829 Cologne | |
| Germany | |
| Phone: | +49-221-669-8724 |
| Fax: | +49-221-669-8009 |
| E-mail: | invest@qbeyond.de |
| Internet: | www.qbeyond.de |
| ISIN: | DE0005137004 |
| WKN: | 513700 |
| Listed: | Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange |
| EQS News ID: | 1900435 |
| End of News | EQS News Service |
1900435 13.05.2024 CET/CEST
