Intershop Communications AG | Ad Hoc Announcement |
Intershop adjusts forecast for FY 2014
Jena, 1 August 2014 – Intershop Communications AG (ISIN: DE000A0EPUH1) has adjusted its sales and earnings forecast for the 2014 financial year. Based on current projections, the Management Board now expects revenues to decline at a single-digit to low double-digit percentage as well as negative earnings before interest and taxes (EBIT) in the medium single digit million euro range. Management had previously projected a moderate increase in net revenues as well as negative EBIT in the low single digit million euro range.
The adjustment of the forecast is due to the fact that the company’s transformation from a more service-oriented provider to a product company is taking longer than originally planned. The licence revenues have already increased significantly, but to a lesser degree than anticipated, and the cost base has increased. The Management Board has initiated measures aimed at optimising the cost structures in order to improve the earnings situation and the focus of sales and marketing activities.
Intershop Communications AG (founded in Germany 1992; Prime Standard: ISH2) is the leading independent provider of omni-channel commerce solutions. Intershop offers high-performance packaged software for internet sales, complemented by all necessary services. Intershop also acts as a business process outsourcing provider, covering all aspects of online retailing up to fulfillment. Around the globe more than 300 enterprise customers, including HP, BMW, Würth, and Deutsche Telekom run Intershop solutions. Intershop is headquartered in Jena, Germany, and has offices in the United States, Europe, Australia, and China. More information about Intershop can be found online at www.intershop.com.
This news release contains forward-looking statements regarding future events or the future financial and operational performance of Intershop. Actual events or performance may differ materially from those contained or implied in such forward-looking statements. Risks and uncertainties that could lead to such difference could include, among other things: Intershop's limited operating history, the unpredictability of future revenues and expenses and potential fluctuations in revenues and operating results, significant dependence on large single customer deals, consumer trends, the level of competition, seasonality, risks related to electronic security, possible governmental regulation, and general economic conditions.