Sinch AB (publ): Interim Report January – June 2020
Interim Report January – June 2020
April – June 2020
- Net sales increased by 38 percent to SEK 1,621.9 million (1,176.7). Organic growth in local currency was 27 percent.
- Gross profit increased by 43 percent to SEK 460.3 million (321.1). Organic growth in local currency was 24 percent.
- Adjusted EBITDA1 increased by 55 percent to SEK 176.5 million (114.2).
- Adjusted EBIT2 amounted to SEK 161.7 million (104.1).
- Profit after tax for the quarter was SEK 37.1 million (53.3).
- Diluted earnings per share were SEK 0.61 (0.98).
January – June 2020
- Net sales increased by 42 percent to SEK 3,246.1 million (2,278.4). Organic growth in local currency was 29 percent.
- Gross profit increased by 49 percent to SEK 907.0 million (610.6). Organic growth in local currency was 29 percent.
- Adjusted EBITDA1 increased by 59 percent to SEK 360.8 million (226.4).
- Adjusted EBIT2 amounted to SEK 330.5 million (206.3).
- Profit after tax for the period was SEK 133.5 million (111.1).
- Diluted earnings per share were SEK 2.19 (2.06).
“The advantages of cloud-based technology are now very tangible as governments and businesses find new ways of working during the Covid-19 pandemic” – Oscar Werner, CEO.
Significant events during the quarter
- The acquisition of Chatlayer BV for total consideration of EUR 5.6 million on a debt-free basis closed on 1 April and was financed with cash reserves. Chatlayer offers a cloud-based software platform to create advanced, multilingual chatbots that understand both spoken language and text-based communications.
- Sinch entered into a binding agreement on 5 May to acquire SAP Digital Interconnect (SDI), a unit within SAP, for total cash consideration of EUR 225 million. The acquisition was financed with cash reserves and available debt facilities. SDI offers cloud-based communications services in three segments: Programmable Communications, Carrier Messaging and Enterprise Solutions. During the 12-month period ending 31 March 2020, SDI generated sales of EUR 340 million, gross profit of EUR 94 million and adjusted EBITDA of EUR 15.4 million. Headquartered in San Ramon, California, SDI has about 330 employees in 20 countries. Execution of the transaction is subject to customary terms and conditions and the approval of competition authorities in several countries. The transaction is expected to close in the second half of 2020.
- On 15 June, Sinch entered into a binding agreement to acquire ACL Mobile Ltd (ACL) for total consideration of INR 5,350 million (approximately SEK 655m). The acquisition will be financed with a combination of cash reserves and debt facilities. Headquartered in Delhi, India, the company has 288 employees and is a leading vendor of communications services in India and Southeast Asia. During the 12-month period ending 31 March 2020, ACL generated sales of INR 4,959 million (SEK 607m), gross profit of INR 1,901 million (SEK 134m) and adjusted EBITDA of INR 480 million (SEK 59m). The transaction is expected to close in Q3 2020.
- A directed issue of 1,052,631 shares was executed on 15 June at a subscription price of SEK 665 per share. The issue generated keen interest and was directed at selected Swedish and international institutional investors. The issue raised approximately SEK 700 million for Sinch before issue costs.
- The negative impact of Covid-19 in the smaller Voice and Video segment continued due to a decline in travel that lowered demand from app-based ride-hailing firms.
1 EBITDA before depreciation, amortization and impairments excluding items affecting comparability. See page 3 for a specification of items affecting comparability.
2 EBIT excluding items affecting comparability and depreciation/amortization of acquisition-related assets. See Note 4 for a specification of depreciation and amortization.
Invitation to phone conference
Sinch will present the interim report in a phone conference on 17 July at 14:00 CET. Please ensure you are connected to the phone conference by phoning in to register a few minutes before the conference begins.
Sweden: +46 (8) 506 921 85
United Kingdom: +44 (0) 203 009 5710
United States: +1 917 720 0178
Access code: 27 56 118#
Register here to watch the presentation via Webcast: investors.sinch.com/webcast.
For additional information, please contact:
Thomas Heath, Chief Strategy Officer and Head of Investor Relations
+46 72 245 50 55
Roshan Saldanha, Chief Financial Officer
+46 73 660 24 19
Sinch develops digital tools that enable personal interaction between enterprises and individuals. Powered by the Sinch cloud communications platform, enterprises can reach every mobile phone on the planet - within a second or two - via messaging, voice calls and video. Several of the biggest enterprises in the world are using Sinch’s advanced technology platform to communicate with their customers and Sinch is an established software supplier to mobile operators worldwide. Sinch has delivered profitable growth since it was founded in 2008. The Group is headquartered in Stockholm, Sweden, and has a presence in more than 30 other countries. The share is listed on Nasdaq Stockholm, XSTO: SINCH.
Note: Sinch AB (publ) is required to publish the information in this interim report pursuant to the EU market abuse regulation. The information was released for publication on 17 July 2020 at 07:30 CET.
This report is published in Swedish and English. In case of any differences between the English version and the Swedish original text, the Swedish version shall apply. This report has not been subject to review by the company’s independent auditor.
One Liberty Plaza - 165 Broadway
NY 10006 New York
GlobeNewswire is one of the world's largest newswire distribution networks, specializing in the delivery of corporate press releases financial disclosures and multimedia content to the media, investment community, individual investors and the general public.
Subscribe to releases from GlobeNewswire
Subscribe to all the latest releases from GlobeNewswire by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from GlobeNewswire
Saniona announces outcome of warrant exercise23.9.2020 19:00:00 CEST | Press release
PRESS RELEASE September 23, 2020 Saniona (OMX: SANION), a clinical stage biopharmaceutical company focused on rare diseases, announced today the outcome in the exercise of warrants of series TO 2, that was issued in connection with Saniona’s rights issue and directed issue in the first quarter of 2020. During the period September 7 – 21, 2020, holders of warrants of series TO 2 had the right to subscribe for new shares, by exercise of warrants. In total, 1,329,141 warrants of series TO 2 were exercised, corresponding to a subscription rate of approx. 90 percent. Saniona will thereby receive proceeds of approx. SEK 33.2 million (USD 3.6 million), before issue costs, which amount to approx. SEK 0.4 million. Number of shares and share capital Saniona will receive proceeds of approx. SEK 33.2 million, before issue costs. Issue costs amount to approx. SEK 0.4 million. When the new shares have been registered with the Swedish Companies Registration Office (“Bolagsverket”), the total number o
Saniona meddelar utfall i optionsinlösen23.9.2020 19:00:00 CEST | Pressemelding
PRESSMEDDELANDE 23 september 2020 Saniona (OMX: SANION), ett biofarmaceutiskt företag med klinisk utveckling fokuserad på sällsynta sjukdomar, meddelade idag utfallet i inlösen av teckningsoptioner av serie TO 2, vilka emitterades i samband med Sanionas företrädesemission och riktade emission under det första kvartalet 2020. Under perioden 7 – 21 september 2020 har innehavare av teckningsoptioner av serie TO 2 kunnat teckna aktier med stöd av teckningsoptioner. Totalt nyttjades 1 329 141 teckningsoptioner av serie TO 2, vilket motsvarar en nyttjandegrad om cirka 90 procent. Saniona tillförs därmed cirka 33,2 MSEK (3,6 MUSD) före emissionskostnader, vilka beräknas uppgå till cirka 0,4 MSEK. Antal aktier och aktiekapital Saniona tillförs cirka 33,2 MSEK före emissionskostnader. Emissionskostnaderna beräknas uppgå till cirka 0,4 MSEK. När de nya aktierna har registrerats hos Bolagsverket kommer antalet aktier i Saniona uppgå till 62 372 831 stycken och aktiekapitalet uppgå till 3 118 641,
Auction details treasury bills23.9.2020 16:20:00 CEST | Press release
Auction date September 30, 2020 Maturity date Issue volume, SEK million Days (Act/360) ISIN code 2021-01-20 15,000 110 SE0014957866 Settlement date October 2, 2020 Bids have to be entered by 11.00 on September 30, 2020 Bid only through dealers approved by the Swedish National Debt Office For more information, please contact: The funding desk + 46 8 613 4780 Fo@riksgalden.se
SEK TENDER OPERATION ANNOUNCEMENT FOR ONWARD LENDING23.9.2020 16:20:00 CEST | Press release
SEK TENDER OPERATION ANNOUNCEMENT FOR ONWARD LENDING 2020-09-25 Transaction type:SEK CreditTender date:2020-09-25Time for submission of bids:10.30-11.00 (CEST)Payment date:2020-09-29Final repayment date2024-09-30Offered volume:50 billion SEKMinimum bid amount:10 million SEKMaximum bid amount:12.5 billion SEKMaximum number of bids from each participant: 1Interest rate:0.00 %Additional interest rate:0.10 per cent ALL APPROVED COUNTERPARTIES ARE INVITED TO SUBMIT VOLUME BIDS TO THE RIKSBANK (46-8-6966970) BY 11.00 ON SEPTEMBER 25 2020, AT THE LATEST. CONFIRMATION ON E-MAIL: email@example.com Result of the auction will be published at 11.30 (CEST) on Tender date. Complete terms and conditions can be retrieved at http://www.riksbank.se
Cypress Development to Collaborate on Lithium Research Projects23.9.2020 14:00:10 CEST | Press release
VANCOUVER, British Columbia, Sept. 23, 2020 (GLOBE NEWSWIRE) -- Cypress Development Corp. (TSX-V:CYP) (OTCQB:CYDVF) (Frankfurt:C1Z1) (“Cypress” or “the Company”), developer of a world class lithium claystone deposit in Nevada, announced today, the Company, as an industrial partner with several high tech research entities, has been encouraged along with its partners in full project proposal submissions to the Department of Energy (DOE), Office of Energy Efficiency and Renewable Energy (EERE). This has culminated in the recent formal submittal of two lithium project proposals for research to be conducted over the next three years. The first project is in collaboration with the University of Utah, Colorado School of Mines, and Cornell University, and is titled "Highly Selective Resource Independent Lithium Extraction Processes." This technology will demonstrate the use of Next Generation Lithium Ion Sieve Technology (NGLIST) as an innovative and low-impact processing method for recovering
Nordic American Tankers Ltd (NYSE: NAT) – NAT orders two -2- Suezmax newbuildings in South Korea23.9.2020 11:54:47 CEST | Press release
September 23, 2020 Dear Shareholders and Investors, We wish to announce that NAT has entered into two -2- suezmax newbuilding contracts in South Korea, increasing our fleet of suezmaxes to 25 units. The combination of specifications, quality of yard, price, payment terms and deliveries make this an attractive investment for NAT and is consistent with our strategy to expand and renew our fleet. The scheduled deliveries of the ships are in the first half of 2022. Through the years we have enjoyed an excellent relationship with the shipbuilding sector in South Korea, and we are happy to conclude further suezmax newbuilding contracts with Samsung Heavy Industries Ltd. NAT will consider various financing alternatives prior to deliveries. The payment terms of the newbuildings are 10/10/10/10 with 60% of the building price on deliveries. The two first instalments of the vessels have already been funded. The main focus of NAT is always to pay quarterly dividends, which we have done every singl