Jena, November 9, 2009 – Intershop Communications AG (ISIN: DE000A0EPUH1), a provider of integrated e-commerce solutions, today announced its results for the first nine months of 2009.
The company generated net revenues of EUR 20.6 million in the reporting period, 1% below the comparable prior-year figure (EUR 20.8 million). Despite the general reluctance to invest due to the economic crisis, Intershop chalked up major customer contracts and offset lost revenue from Quelle, a key client. At the same time, revenue quality improved – which is clearly reflected in the increase in the gross margin from 37% to 43%.
On the earnings side, Intershop’s figures were impacted by the insolvency of the Quelle Group and the announcement of the discontinuation of Quelle Deutschland’s business operations. Impairment losses on receivables from the mail order specialist totaled EUR 824 thousand in the reporting period, of which EUR 268 thousand had already been charged in the second quarter. After closing of the quarterly statements a part of these receivables were paid by Quelle, which results in positive earnings of EUR 400 thousand in the fourth quarter.
Earnings before interest, tax, depreciation, and amortization (EBITDA) fell from EUR 1.8 million in the previous year to EUR 584 thousand in the first nine months of 2009. The previous year’s operating profit (EBIT) of EUR 1.5 million dropped to an operating loss of EUR 628 thousand; the company recorded a net loss of EUR 469 thousand following a net profit of EUR 1.1 million in the prior-year period. In addition to Quelle, negative earnings development was affected by higher software amortization and advance costs for The Bakery, the subsidiary acquired in 2009.
Cash and cash equivalents amounted to EUR 5.3 million at the end of the reporting period, compared with EUR 7.9 million in the previous year. Equity declined slightly from EUR 16.3 million at the end of 2008 to EUR 16.1 million at the end of September 2009. The equity ratio remains extremely sound at 65%.
The Management Board has adjusted its full-year 2009 forecast and expects revenues to be at the previous year’s level. For 2010, Intershop expects an increase in revenues and a clearly positive result.
Intershop Communications AG (founded in Germany 1992; Prime Standard: ISHA) is an independent, internationally leading provider of omnichannel commerce solutions. The latter are available as cloud-based commerce-as-a-service solutions or as licensed models and combine the expertise from over 25 years of software development for online commerce. Upon request, Intershop orchestrates the entire omnichannel commerce process chain – from the design of online channels to the implementation of software to fulfillment. Around the globe more than 300 enterprise customers run Intershop solutions. Customers include large corporations such as HP, BMW, Würth and Deutsche Telekom as well as medium-sized enterprises. Intershop operates in Europe, the USA and the Asia-Pacific region.
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.