Ascom shows solid performance in the first half-year 2020
Revenue increase of 2.8% at constant currencies and stronger profitability with an EBITDA margin of 6.3% in the first half-year 2020.
Based on preliminary and unaudited results, Ascom generated net revenue of CHF 133.4 million for the first half-year 2020 including a negative currency impact of about CHF 7.5 million. The swift implementation of the new Group structure with focus on a lean and simple organization and strong customer proximity has produced first positive results. Despite the Corona crisis, net revenue increased by 2.8% (at constant currencies) compared to the prior year (H1/2019: CHF 137.0 million).
Incoming orders came to CHF 154.8 million (+1.1% at constant currencies) while the order backlog increased to CHF 194.3 million
(+ 17.6% at constant currencies).
Ascom improved its profitability in the first half-year 2020 and achieved an EBITDA of CHF 8.4 million (H1/2019: CHF 1.4 million) with an EBITDA margin of 6.3% (H1/2019: 1.0%).
Ascom expects a small Group loss of CHF 0.3 million for the first half-year 2020. The Group profit in the previous year (H1/2019: CHF 6.5 million) included one-off effects of CHF 8.3 million, mainly due to the sale of Technologiepark Teningen (Germany).
Due to the positive development in Cash Flow, Ascom improved its balance sheet and now net debt turned into a positive net cash position as of 30 June 2020.
Ascom reiterates the targets for fiscal year 2020 to achieve a low single digit revenue growth (at constant currencies) with a high single digit EBITDA margin. This is based on the progress the Company has made in the implementation of its transformation projects and the assumption that the Corona crisis will not worsen again.
Ascom will publish further details and the full Half-Year Report 2020 at its Half-Year Results Conference, which will take place on 13 August 2020.