Record sales and increased consolidated profit

15.09.2019

News release

 

 

 

Regensdorf, March 10, 2017

Record sales and increased consolidated profit

Regensdorf, March 10, 2017 – In fiscal year 2016 mobilezone achieved sales of CHF 1,088 million, an increase of 27 percent over the previous year’s figure. Operating profit (EBIT) rose by 20 percent to CHF 48.5 million. The two business segments Trade and Service Providing have contributed to the positive result of fiscal year 2016.

 

The company’s success in positioning itself in the marketplace is also reflected in its increased operating profit (EBIT) of CHF 48.5 million (2015: CHF 40.4 million) and in earnings per share of CHF 1.12 (2015:

CHF 0.96).

 

Segment Trade reports great increase in sales and profitability

The segment Trade includes activities in the company’s branch network extending throughout Switzerland, in the online business, in the B2B sector, and since April 2015 the activities of the einsAmobile in Germany are also included in this segment.

 

The segment Trade achieved an increase in sales of 29 percent, from CHF 785 million to CHF 1,012 million. The share of wholesale sales amounts to CHF 618 million (2015: CHF 422 million). EBIT rose from CHF 27.8 million to CHF 40.6 million, an increase of 46 percent. This positive development is primarily driven by the strong results in Germany.

 

Above all the online business but also the wholesale business in Germany showed record results both in terms of sales as well as operating profit. In particular, in Germany more than 200,000 (2015: 150,000) mobile phone contracts were concluded online. With the launch of deinhandy.ch in May 2016, mobilezone took an important step in Switzerland toward applying its successful experience in Germany to the Swiss market.

 

The market environment in the retail business in Switzerland remains very demanding and challenging. In the first six months of fiscal year 2016 it became clear that the business strategies of mobilezone and Salt differ too widely to continue offering our customers attractive Salt products. Therefore, mobilezone focuses on its partners Swisscom, Sunrise, UPC, and TalkTalk and does no longer offer any Salt products since July 2016.

 

  

Segment Service Providing reports increased profitability

The segment Service Providing includes the company’s own TalkTalk mobile and fixed-line offers as well as the service business in Switzerland and Austria.

 

Sales in the segment Service Providing grew from CHF 73.6 million to CHF 75.5 million, an increase of 2.6 percent. EBIT rose by 6.6 percent to CHF 8.1 million.

 

The profitability of the repair business in Switzerland and Austria developed very positively in the second half of fiscal year 2016 despite a decrease in the overall order volume by a total of 6 percent.

 

TalkTalk’s sales and EBIT came in slightly below the previous year’s figures. Since summer 2014, mobilezone has been focusing its customer acquisition efforts regarding TalkTalk products on mobile offers. The share of mobile phone customers of TalkTalk’s total sales amounts to 37.5 percent (2015: 17.5 percent). In the area of mobile telephony the number of customers grew to 39,000 (2015: 32,000).

 

 

Dividend proposal to the General Meeting

A dividend of CHF 0.60 will be proposed to the General Meeting on April 6, 2017. Based on the share price at balance sheet date of CHF 14.50 (2015: CHF 14.35), this proposed dividend represents a dividend yield of 4.1 percent and an overall performance in the reporting year of 5.2 percent.

 

If this proposal is approved, the dividend of CHF 0.60 per registered share, less 35 percent Swiss withholding tax (anticipatory tax), will be paid out on April 13, 2017. Starting on April 11, 2017, the shares will be traded ex-dividend.

 

 

Change in Group management

In November 2016 mobilezone Group announced that the Group management will be expanded from three to five members by adding competent, younger persons from within the company’s own ranks. Effective January 1, 2017, Murat Ayhan, Akin Erdem and Roger Wassmer are new members of the Group management.

 

 

Outlook

In summary, mobilezone has achieved a very positive result in fiscal year 2016, and we are convinced that the company will be able to continue on this positive course in 2017. Additional Omnichannel and online efforts will further support this positive development.

 

 

Key figures of mobilezone Group
 

Million CHF

2016

2015

2014

2013

2012

Net sales

1 087.9

859.0

388.6

328.2

325.9

Gross profit

144.0

133.6

117.1

111.6

109.1

as % of net sales

13.2

15.6

30.1

34.0

33.5

EBIT *)

48.5

40.4

29.2

25.8

25.1

as % of net sales

4.5

4.7

7.5

7.9

7.7

Consolidated profit

36.1

30.8

23.6

22.0

21.0

as % of net sales

3.3

3.6

6.1

6.7

6.5

Investments

9.8

6.5

7.0

6.9

9.5

 

 

 

 

 

 

Shareholders’ equity

-3.3

-12.1

32.1

42.8

66.2

as % of total assets

-1.7

-7.5

32.1

35.4

60.1

Number of full-time employees

878

918

843

828

741

Shops

   Switzerland

   Germany

129

55

 

127

43

129

n.a.

130

n.a.

137

n.a.

 

Trade

Million CHF

2016

2015

2014

2013

2012

Net sales

1 012.4

785.5

300.0

255.5

281.8

EBIT

40.6

27.8

18.7

12.9

18.0

Investments

7.7

4.6

3.5

2.3

3.3

 

Service Providing

Million CHF

2016

2015

2014

2013

2012

Net sales

75.5

73.6

88.5

72.7

44.1

EBIT

8.1

7.6

7.8

9.7

4.6

Investments

2.0

1.9

3.5

4.6

6.2

*CHF -0.3 million of the Group’s EBIT (2015: CHF 5.0 million) and CHF 0.1 million investment (2015: CHF 1.0 million) are not allocated to any segment and remain in the holding company.

 

 

The complete 2016 annual report with the detailed financial statements prepared in accordance with Swiss GAAP FER is available immediately at https://www.mobilezone.ch/about-us/investors/reports.

 

 

 

For further information please contact:

 

Markus Bernhard

Chief Executive Officer

mobilezone holding ag

markus.bernhard@mobilezone.ch