Sfakianakis : Press Release-Comments on Financial Results for fiscal year 2016

13/04/2017 - Press Release-Comments on Financial Results for fiscal year 2016

SFAKIANAKIS S.A. announced its Annual Financial Report for the period 01.01-31.12.2016 in accordance with the International Financial Reporting Standards (IFRS).

Sfakianakis Group of Companies continues to present improvement in its financial figures and maintain a leading role in the main markets where it operates.

The performance of the main activities of the Group is significantly improved:

Car trade. The market in 2016 with 78,873 passenger car registrations presented an increase of 4.0% compared to the relevant period of last year. SUZUKI in 2016 made 4,137 car registrations and market share of 5.2%, which ranks the company in the 8th position among car importers. Retail sector, continues its upward trend gaining a market share in passenger cars 12.5% (from 12.4% in 2015) with sales of 9,825 cars (PC), 676 light trucks (LCV) and 1,726 used cars. Total sales of Sfakianakis (retail and wholesale) represent 15.5% of the Greek market (from 15.4% in 2015).

Car Leasing. The revenue of Long Term Rental (LTR) sector increased by 10.4% fleet under management reaches 6,755 vehicles (+12.5%) maintaining a utilization rate of over 96%. Rent-A- Car (RAC) sector, exploiting the potential of tourism and the new strong brand of Enterprise, has increased its rents by 12.5%. The fleet of rental vehicles exceeds 3,500 (+7.9%) and is now from the younger in market after the extensive investment program implemented.

Heavy vehicles, machinery and industrial goods. The limited growth in sales of 1.7% was accompanied by significant improvement in operating profitability by 455% to € 0.4 mil.

On 27.12.2016 the merger of Sfakianakis S.A. and Executive Lease S.A. was approved by absorption of the second by the first and all transactions made after the Transformation Balance Sheet date 31.12.2015 are accounted for the account of the acquiring company. Therefore, Company's results for 2016 are not fully comparable with 2015.

Group's turnover in 2016 amounted to € 274.5 mil., presenting an increase of 8.9% compared to the turnover of 2015 while Company's turnover has been also improved by 23.8% reaching € 257.1 mil.

Gross profit margin amounted to 25.6% (from 25.7%) for the Group and 25.7% (from 10.9%) for the Company.

Continuing the conservative policy of the previous years, new provisions amounted to € 3.8 mil. for the Group and € 1.1 mil. for the Company mainly covering bad debts.

Group expands its operating profitability with EBITDA at € 25.4 mil. compared to € 17.4 mil. the same period of last year (+ 46.2%). Operating result for the Company passes to positive closing at

€ 26.9 mil. from € -0.7 mil. In 2015.

Results before taxes amounted to € -7,4 mil. for the Group improved by 59.8% amd € -5.7 mil. for the Company improved by 79.1% compared to 2015. It is noted that the results of the Group and the Company have incurred investment loss amounting to € 3.9 mil. due to the divestment of the Athoniki Techniki S.A.