FIRST QUARTER RESULTS

Transcription

1 Mycab Group FIRST QUARTER RESULTS Net sales EBITDA Operating Income Net Income EPS -0,001-0,001-0,003 Interim Report: 1 st January st March 2015 Diners Club in Austria join s Mycab Premium Deal Positive market response on AeTM booking channel International destinations reaches 155 Mycab International SA is the holding company for Mycab Group operating the business domain of global travel industry. Mycab Group business idea is to elevate the traditional taxi journey to a full-fledged travel product that provides business travelers with a quality assured, simplified and more cost effective travel. Being first in the global market, with a uniform taxi concept, Mycab enjoys the "First Mover" status in the business domain Page 1 of 13

2 CEO HIGHLIGHTS Mycab s integration with Amadeus AeTM was successfully piloted and deployed in the fourth quarter In first quarter 2015 Mycab received positive response from potential clients and are now negotiating with several larger Scandinavian based corporates who intends to avail the service via the new AeTM booking channel. Amadeus AeTM is the on-line self-booking tool from Amadeus that larger corporates throughout the world use for booking and managing their travel. Amadeus is a leading provider of advanced technology solutions for the global travel industry. Customer groups include travel providers, travel sellers and travel buyers. The travel providers include airlines, hotels, rail and ferry operators, etc., travel sellers include travel agencies (online & offline), and travel buyers comprise of corporations and travel management companies. Mycab s strategy for successfully building booking volumes is based on wide and effective distribution, implying that Mycab s products should be available for booking in channels where target customers are looking for service, hence integration with Amadeus is vital for Mycab s success. In first quarter Mycab entered into an agreement with Diners Club Austria implying that Diners Club will offer their cardholders to sign up for a Mycab account, which will give the cardholder access to Mycab Premium Deal, implying negotiated rates worldwide. In total there are several hundred thousand cardholders that is targeted and Mycab calculates with acquiring at least 2000 new customers. Sales, for first quarter 2015, amounted to KEUR (1 928), which is predominantly emanating from Sweden s domestic sales. Sales emanating from our international products represent currently approximately 10 % of total sales. However, Mycab s growth strategy is based on international sales, hence the relation between domestic and international sales will be inverse. At the end of the fisrt quarter 2015, Mycab reached 155 destinations representing 63 countries where Mycab products are offered. International clients appreciate Mycab s products, especially Mycab s Reliability and Availability, which is also the most salient and differentiating feature when comparing Mycab with existing global competitors. Page 2 of 13

3 GROUP EARNINGS Sales Sales, for the first quarter, amounted to KEUR (1 928), which is predominantly emanating from Swedish operation. Sales emanating from our international products represent currently approximately 10 % of total sales. However Mycab s growth strategy is based on international sales, hence the relation between domestic and international sales will be the inversed. Gross Income Gross Income amounted to KEUR 462 (351). Gross margin, on our signature travel products, amounted to 35 % (33 %). Gross margin on all travel products amounted to 16 % (15 %). The lower gross margin is attributed to the consolidating of TPSS (Taxi Public Service Sweden AB), which has less gross margin due to contending in governmental procurements. The improved margins are mainly attributed from reduction in cost of sales and improved sourcing tactics. Earnings before interest, taxes, depreciation and amortization (EBITDA) EBITDA earnings for the first quarter amounted to KEUR 27 (10). The overall positive EBITDA is mainly attributed to the shift in production strategy, from Sweden to low cost Asia (Lahore, Pakistan). Cost of sales amounted to KEUR (1 577). Direct costs amounted to KEUR 25 (23) and Overheads amounted to KEUR 410 (318). Earnings before Tax Earnings before tax amounted to KEUR -321 (-339). Depreciations and amortization amounted to KEUR 301 (306), which comprises goodwill at KEUR 178 (175) and Intangible assets along with fixed assets at KEUR 123 (131). Financial net earnings amounted to 48 (-44) KEUR resulting from exchange rate variances and interest on loans. Page 3 of 13

4 CONSOLIDATED CASH FLOW AND FINANCING Cash flow and financing Cash and bank balances as per 31 st March amounted to KEUR 90 (81). Quick ratio at the end of first quarter amounted to 57,6% (68,2%). The Group solvency as per 31 st March was 27,3% (44,3%) and interest-bearing loans amounted to KEUR 0 (0). Investments amounted to KEUR 22 (36), which is investment in hardware. Page 4 of 13

5 OTHER GROUP INFORMATION Number of Employees The number of employees, at first quarter end, totaled 42. Assessment of Risk Environment Growth is crucial for Mycab before it can achieve its projected financial objectives. The risks related are financial, technical and market risks. Mycab is focusing on the financial risk, which can hamper further growth, if financial requirement for Marketing investments is not met. Future earnings are primarily dependent on the group s ability to sustain required margins despite growth. Since Mycab intends to grow with profit there is a risk that growth may implicate pressure on margins due to less purchasing volume. A large part of the group costs is fixed, in a medium term perspective, and thus earnings are highly susceptible in relation to margin and volume, thus Mycab cannot guarantee that projected growth with profit is met. Liquidity The quick ratio 57,6% (68,2%) will improve when debts are converted into equity. Related Party Disclosures No related party transactions exist at the end of first quarter. Page 5 of 13

6 PARENT COMPANY INFORMATION Earnings Parent company Net sales, for the first quarter amounted to KEUR 344 (90), which is emanating from licenses and royalties income. Cash Flow and Financing Parent company Cash and Bank balances as per 31 st March amounted to KEUR 3. Shares The number of shares, at the end of the first quarter, totaled A-shares and B-shares. The number of A-shares will increase to a total of , when the current share issue is registered. Earnings per Share (EPS) Earnings per share, for the first quarter amounted to EUR Page 6 of 13

7 FINANCIAL STATEMENTS AND ADDITIONAL INFORMATION Consolidated Income Statement Net sales Cost of sales Gross income Direct costs Overheads Depreciations and amortization Operating expenses Operating income Financial income Financial expenses Income after finance items Taxes Minority interest Net Income Page 7 of 13

8 Consolidated Balance Sheet 2015 ASSETS Non- current assets Formation expenses IT-Systems, Intellectual rights Goodwill Capitalized costs Operating fixed assets Other long-term receivables Shares in subsidiaries Current assets Trade receivables Cash and bank balances Total assets EQUITY AND LIABILITIES Restricted equity Share premium Reserve Own shares Consolidation reserve Non-restricted equity Share issue in progress - - Profit/Loss for the period Total equity Minority interest Minority interest profit/loss Non- current liabilities Loans and long term payables Current liabilities Trade payables Total Equity and liabilities Assets pledged as collateral Contingent liabilities Page 8 of 13

9 Consolidated Statement of Cash Flows Cash flow from operating activities Changes in operating net assets - - Cash flow from investing activities Cash flow from financing activities Net change in cash Cash at beginning of period Cash at end of period Consolidated Statement of Changes in Equity Opening balance Net income Share issues paid Own shares Share issue in progress - - Consolidation reserve Closing balance Group Ratios Net sales EBITDA Total assets Equity Solvency 27,25 % 33,0 % Quick ratio 57,60 % 54,3 % Average number of employees Number of A- shares outstanding Number of B-shares outstanding Earnings per share (EPS) -0,001-0,003 Equity per share 0,003 0,004 Page 9 of 13

10 Parent Company Income Statement Net sales Cost of sales Gross income Direct costs Overheads Other costs Depreciations and amortization Operating expenses Operating income Financial income Financial expenses Income after financial items Taxes Net Income Page 10 of 13

11 Parent Company Balance Sheet ASSETS Non- current assets Formation expenses IT-Systems, Intellectual rights Goodwill - - Capitalized costs - - Operating fixed assets - - Other long-term receivables Shares in subsidiaries Current assets Trade receivables Cash and bank balances Total assets EQUITY AND LIABILITIES Restricted equity Share premium Reserve Own shares Non-restricted equity Share issue in progress - - Profit/Loss for the period Total equity Non- current liabilities - - Loans and long term payables - - Current liabilities Trade payables Borrowings, current Total Equity and liabilities Assets pledged as collateral Pledged securities Page 11 of 13

12 Parent Company Statement of Cash Flows Cash flow from operating activities Changes in operating net assets Cash flow from investing activities Cash flow from financing activities Net change in cash Cash at beginning of period Cash at end of period Parent Company Statement of Changes in Equity Opening balance Net income Own shares Share issues Share issue in progress - - Closing balance Definitions Term Definition EBITDA Gross margin Solvency Quick ratio Cost of sales Direct costs Overheads Earnings before interest, taxes, depreciation and amortization Gross income in relation to Net sales expressed as a percentage Equity as a percentage of total assets Current assets including granted unutilized credit facilities in relation to current liabilities Costs directly related to the sales, such as transporter and distribution costs Cost related to the production of services such as customer support, IT-Operation, administration etc. General costs related to managing, professional fees, travel etc. Page 12 of 13

13 ACCOUNTING POLICIES The consolidated annual accounts have been prepared in accordance with Luxembourg legal and regulatory requirements. Accounting policies and valuation rules are, besides the ones laid down by the law, determined and applied by the Board of Directors. The annual consolidated accounts of the Group are denominated in Euro. Auditors review The auditor does not review Interim reports Assets Tangible assets are depreciated with 30% (Office equipment) and with 20% (Furniture and fixtures). Intangible assets are valued at purchase price including the expenses incidental thereto or at production cost less cumulated depreciation amounts written off and value adjustments. These value adjustments are not continued if the reasons for which the value adjustments were made have ceased to apply. Amortization is recognized on a straight-line basis method over their estimated useful lives. The amortization method for the concessions, patents, licenses, trademarks and similar rights and assets is determined based on management best estimation regarding the projection of future benefits flowing in the company, considering the Company business plan and revenues projection, the estimated useful life is 6 years starting Amortization of Goodwill is 20%. FINANCIAL CALENDER Publishing of next financial report SECOND QUARTER REPORT 2015 BOARD ASSURANCE The Board of Directors and the CEO certify that the financial report for the full year gives a fair view of the performance of the business, position and profit or loss of the Company and the Group, and describes the principal risks and uncertainties that the Company and the companies in the Group face. Jodat Nadeem Chairman Nedim Cehajic Member of the board Roger Blomquist Member of the board and CEO Page 13 of 13