According to preliminary figures, INTERSHOP Communications AG (ISIN: DE000A0EPUH1) generated revenues of around EUR 23 million (previous year: EUR 24 million) and an operating result (EBIT) in the amount of EUR -4.6 million (previous year: EUR -3.7 million) in the first nine months of 2019. In the DACH region, the planned revenues could not be realized. Incoming orders for cloud solutions were worth EUR 4.8 million, up 52% on the previous year, while cloud-related revenues climbed 19% to EUR 4.6 million. Although revenues and earnings improved in the course of the first three quarters of 2019, the pace of growth – especially where orders for cloud solutions are concerned – is insufficient to reach the current guidance for 2019 and 2020. Based on this assessment, Intershop has adjusted its forecast. Management now expects moderate year-on-year revenue growth (previously revenue growth of more than 10%) and a negative EBIT in the medium single-digit million euro range (previously slightly negative EBIT) for the full year 2019. Against the background of this development, the previous targets for 2020 (revenues of EUR 50 million and an EBIT margin of 5%) will not be reached. The adjusted forecast for 2020 will be announced no later than February 2020, when the company will also announce the preliminary figures for 2019.
The Management Board and the Supervisory Board will shortly decide on measures to significantly accelerate the cloud transformation and to steer the company onto a sustainable profitable growth track.
The final figures and the interim report for the first nine months of 2019 will be published as planned on 30 October 2019.
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.