Ad-hoc: All for One Group SE – 9-month results 2021/22 // Tougher market environment impacts earnings in 3rd quarter 2021/22 // EBIT guidance for 2021/22 adjusted

Unaudited results:

• Sales: EUR 338.9 million (up 21% year on year); recurring revenues increase by 20%
• CONVERSION/4 business almost tripled
• Project postponements and interruptions at short notice / Increased pandemic-related sick leave / Inflation driving costs
• EBIT: EUR 13.3 million (down 16% year on year); EBIT margin at 3.9% (prior year: 5.7%)
• EBIT before M&A effects (non-IFRS) increases by 7% to EUR 20.3 million; EBIT margin before M&A effects (non-IFRS) at 6.0%
• Due to significantly weaker 3rd quarter 2021/22 adjustment of EBIT guidance for 2021/22

Filderstadt, 28 July 2022 – All for One Group SE published its unaudited results for the period from 1 October 2021 to 30 June 2022 today.

Sales in the first nine months of financial year 2021/22 rose by 21% to EUR 338.9 million while EBIT declined by 16% to EUR 13.3 million. In contrast, EBIT before M&A effects (non-IFRS) increased by 7% to EUR 20.3 million. Recurring revenues rose by 20% to EUR 179.2 million and accounted for an unchanged 53% of total sales.

EBITDA amounted to EUR 35.0 million (Oct 2020 – Jun 2021: EUR 31.9 million), while EBIT totalled EUR 13.3 million (minus 16%). The EBIT margin was 3.9% (Oct 2020 – Jun 2021: 5.7%). EBIT before M&A effects (non-IFRS) shows the »real« operating result adjusted for acquisition-related external expenses and income and acquisition-related amortisation, depreciation and impairment on intangible assets. Despite the unplanned charges we were able to increase this metric by 7% to EUR 20.3 million compared to the prior year. EBT totalled EUR 12.3 million (minus 18%), while earnings for the period amounted to EUR 8.7 million (minus 18%), and earnings per share to EUR 1.73 (minus 17%).

In this context, the management board decided to reduce its guidance for financial year 2021/22 with regard to the expected EBIT. According to previous estimates, EBIT in the range of EUR 24 million to EUR 26 million was expected. The management board has now reduced the EBIT forecast to a range of EUR 17 million to EUR 21 million (2020/21: EUR 20.6 million).

Reasons for the adjustment following a robust 1st half-year 2021/22 are the negative overall economic and pandemic-related influences in the 3rd quarter 2021/22 and the growing signs that our customers may well continue to defer project decisions in the next quarter. Sales from April to June 2022 amounting to EUR 108.5 million (plus EUR 13.6 million), and EBIT of EUR 0.3 million (minus EUR 4.8 million), were below expectations compared with the prior-year quarter. Earnings were affected to a disproportionate degree by the negative impact on sales of a greater number of people off sick because of the pandemic, much lower licensing revenues, inflation-related price increases and the cost of acquiring the POET group. The war in Ukraine, the ongoing pandemic and the problems facing supply chains are increasingly impacting our customers. Added to which, we are having to deal with unplanned significant increases in costs and the resulting pressure on margins. Preventive steps are being implemented and should already begin to take effect from the 4th quarter 2021/22 onwards. Notwithstanding the challenges, we expect the CORE segment to perform virtually as budgeted. It will, however, no longer be possible to make good the additional unplanned charges burdening the LOB segment before this financial year ends.

By contrast, the sales forecast in the range of EUR 440 million to EUR 460 million in financial year 2021/22 (2020/21: EUR 372.9 million) has been confirmed.

All for One Group SE will be publishing its full quarterly statement for the 9-month period 2021/22 as scheduled on 4 August 2022.