SPORTTOTAL AG: Postponement of major projects into 2020 leads to forecast adjustment
- Sales expected at 37 to 39 million Euro and EBIT at -11 to -12 million Euro
- Cash on hand as at 30.10.2019 at 8.5 million Euro
- Pre-financing of major projects guaranteed
Cologne, 31 October 2019. Due to the postponement of two major orders for the technical equipment of racetrack projects into the year 2020, SPORTTOTAL AG has reduced its forecast for the current financial year to expected sales of EUR 37 to 39 million and EBIT of EUR -11 to -12 million. Originally, SPORTTOTAL had forecast a sales volume of EUR 60 to 70 million and EBIT in the range of EUR -4 to +0.5 million. In the previous year, EBIT was still at -8.0 million euros with sales of 37.6 million euros.
The corrected forecast is attributable to the development in the high-margin but volatile project business of the VENUES division: instead of sales of EUR 32.2 million and EBIT of EUR 6.3 million, management now expects sales of only EUR 7.7 million and EBIT of EUR -1.7 million for 2019. While high sales and earnings were originally expected for November and December for the race track project in Rio de Janeiro (Brazil) and another, even larger project in the Middle East, the start of the project in Brazil is now being postponed – obviously for political reasons – to the second or third quarter of 2020. The expected major project in the Middle East is now also not expected to start until 2020. By contrast, the Live and Digital divisions are developing only slightly weaker than planned.
As of October 30, 2019, the SPORTTOTAL Group’s cash position stood at EUR 8.5 million, and the pre-financing of the expected major orders has been guaranteed.
SPORTTOTAL AG
At the Coloneum 2
50829 Cologne, Germany
www.sporttotal.com
Phone: +49 (0) 221_7 88 77_ 0
Fax: +49 (0) 221_7 88 77_ 199
info@sporttotal.com
Investor Relations
BSK Becker+Schreiner Communication GmbH
Tobias M. Weitzel
Phone: +49 (0) 177_7 21 57 60
weitzel@kommunikation-bsk.de