COGELEC (EPA:COGEC) - Cogelec : 2018 Annual Results - A fiscal year underscored by large-scale investments in France and internationally. 2019 Outlook.

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24/04/2019 18:48

PRESS RELEASE

                              2018 Annual Results
      A fiscal year underscored by large-scale investments in France and
                                internationally
                                 2019 Outlook
                     Steady growth for Intratone in France
                     Fast-paced international development
                         Gradual launch of Kibolt sales

Mortagne-sur-Sèvre, France, 24 April 2019, COGELEC (ISIN: FR0013335742/ticker:
COGEC), the French leader in access control systems for building complexes, is
today releasing its results for full-year 2018.

The Board of Directors, at its meeting of 18 April 2019, approved the annual
financial statements for fiscal year 2018. These financial statements were
audited and the associated certification reports are currently being
prepared.

IFRS (EURm)                      2018       2017

Revenue                          33.6       30.6
- France                         31.0       28.2
- Exports                         2.6        2.4
Gross margin                     20.7       19.2
Personnel expenses              -10.0       -7.8
External expenses                -6.8       -4.3
EBITDA(1)                         3.2        6.9
Current operating income          0.7        5.0
Operating income                  0.3        4.9
Tax expenses                     -1.1       -1.6
Net income (loss)                -1.1        2.9

(1) COGELEC defines EBITDA as operating income before depreciation,
amortisation and impairment of assets, net of reversals.

A year of major investments for the future

Revenue for fiscal year 2018 amounted to EUR33.6m versus EUR30.6m in 2017, up
9.6%. This growth was driven in France by equipment sales (EUR25.6m, +9.9%) and
subscriptions (EUR7.9m, +8.2%). COGELEC now services over one million homes.

Highlights of the year included the expansion of the French and international
teams (at December 31, 2018 COGELEC employed a staff of 208 versus 139 at
end-2017) and high costs associated with new product launches.

The increase in personnel expenses can largely be attributed to recruitments
outside France (35 employees) and the expansion of the teams in France,
particularly the R&D team (13 employees). The wage bill totalled EUR10m over
the year versus EUR7.8m last year.

External expenses were also on the rise, climbing from EUR4.3m to EUR6.8m,
including an increase in fees and communication/advertising expenses associated
with the Company's development in Europe and new product launches.

EBITDA came out at EUR3.2m and operating income at EUR0.3m, including EUR0.4m
in IPO-related costs. The Group recorded a net loss of -EUR1.1m, including a
EUR0.7m tax expense established on expenses deducted from the issue premium.

At December 31, 2018, after the capital increase carried out via the June 2018
IPO (EUR18.5m out of EUR41.7m in capital raised), shareholders' equity stood at
EUR19.5m versus EUR3.5m in 2017. Financial debt dropped to EUR7.9m versus
EUR11.3m at December 31, 2017. The Group closed the year with a gross cash
position of EUR16.3m.

Boasting a solid financial structure, the Group is well-prepared to achieve the
next milestones of its development in France and worldwide.

2019: on the road to faster deployment in France and around the world

In France, COGELEC will benefit from the launch of the button-intercom system
for small building complexes, a market from which it was previously absent and
represents 70% of the global market.

With a sales force now operating in its various target European countries,
COGELEC has rolled out an intensive direct marketing campaign.

Lastly, the Group launched the sale of its Kibolt master key in France at the
end of March. Orders for the product were highly satisfactory. Wide-scale
production will increase gradually as sales gather pace.

An encouraging first quarter: +23.7%

First-quarter 2019 revenue totalled EUR9.4m versus EUR7.6m in Q1 2017,
representing an improvement of +23.7%.

This solid performance was driven by business in France and abroad, with
equipment sales of EUR6.9m (+19.6%) and subscriptions of EUR2.4m (+40.6%),
highlighting the value of the business model.

    The annual financial report for the fiscal year ended December 31, 2018
                  has been made public and filed with the AMF.
            It is available in French on the Company's website at:
             https://www.cogelec.fr/investisseurs/documentations/

Upcoming events
General Meeting: June 24, 2019
Second-quarter 2019 revenue out: July 24, 2019
First-half 2019 results out: October 7, 2019
Third-quarter 2019 revenue out: October 24, 2019

Contacts

Actifin, Financial Communication
Ghislaine Gasparetto
+33 (0)1 56 88 11 22
ggasparetto@actifin.fr

ACTIFIN, Financial Press Relations
Jennifer Jullia
+33 (0)1 56 88 11 19
jjullia@actifin.fr

About COGELEC

COGELEC is the French leader in access control systems for building complexes.
As early as 2007, COGELEC created the first universal wireless intercom
solution under the Intratone brand.

COGELEC has already outfitted 1 million homes, out of a potential total of 15.4
million homes in France. COGELEC is an international group also offering its
solutions in Germany, the United Kingdom, the Netherlands and Belgium.
Based on an indirect distribution model, combined with very close-knit
relations with end clients (social landlords and building complex management
associations), COGELEC posted revenue of nearly EUR34m in 2018. COGELEC has set
a target of generating EUR90m in revenue by 2021. For more information:
www.cogelec.fr

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24/04/2024 17:45

COGELEC (EPA:COGEC) - Cogelec : 2018 Annual Results - A fiscal year underscored by large-scale investments in France and internationally. 2019 Outlook.

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