BRAIN FORCE generates revenue- and result increase in the first nine months

BRAIN FORCE HOLDING AG (Vienna Stock Exchange: BFC, Reuters: BFCG), a leading IT-service company operating in Austria, Germany, Italy, the Netherlands, the Czech Republic and Slovakia announces a revenue increase of 14% and an improvement of the operating result (EBIT) by € 2.43 m for the first nine months (1 October 2012 to 30 June 2013) of fiscal year 2012/13.

In the first three quarters the Group revenue increased by € 8.23 m or 14% to € 65.52 m, whereby Germany, the best performing region in terms of revenues until now, generated a plus of 22%. “Measures in connection with sales not only had an effect on our business in Germany. Also Italy and the Netherlands achieved satisfactory growth rates of 6% and 11%”, CEO, Michael Hofer commented on the report for the third quarter of BRAIN FORCE HOLDING AG that was published today. The development of the financial situation was thoroughly positive. The Group EBITDA rose from € 1.03 m to € 3.36 m, the Group EBIT turned positive and increased from € -0.46 m to €+1.97 m. “In comparison to the previous year we not only managed to increase revenues, but also significantly improve results with positive operating results before depreciation and amortization, interest and taxes in all operating subsidiaries”, Michael Hofer continued. In the previous year the Group result was burdened by restructuring costs in the amount of € 0.68 m. The comparison of the operating result (adjusted for the restructuring costs that were included in the previous year) shows an increase of the operating EBITDA by € 1.65 m or 97%; the operating EBIT increased by € 1.76 m.

„In addition to the increase of the operating results a significant growth of the overall Group result was achieved through the sale of shares in SolveDirect Service Management GmbH”, CFO, Hannes Griesser emphasized the positive development in the first nine months. The capital gain of the shareholding amounts to € 2.56 m, resulting in an overall Group result before taxes of € 3.39 m, compared to a negative result of € -2.10 m in the first nine months of the previous year. The result after taxes in the first nine months amounted to € 2.18 m compared to € -2.45 m in the same period of the previous year.

Through the positive operating cash flow as well as the cash inflow from the sale of SolveDirect shares the Group reported net cash and cash equivalents as of 30.06.2013 (cash and cash equivalents less financial liabilities) of € +1.86 m, compared to a net debt of € -5.98 m on 30.09.2012. “The reduction of net debts resulting from the increase of cash and cash equivalents to € 11.87 m enabled the premature redemption of the bonded loan of € 10 m. The repayment took place on 05.07.2013 and led to a further increase of the equity ratio in the Group”, concluded Michael Hofer.