DO & CO AKTIENGESELLSCHAFT
DGAP-News: DO & CO Aktiengesellschaft / Key word(s): 9-month figures
- First 3 quarters show good key figures - Strong growth at worldwide locations - Turkey saving programmes and negative currency effects continue to impact turnover and results VIENNA - 15 February 2018 - DO & CO Aktiengesellschaft is publishing its results under IFRS for the first three quarters of 2017/2018 (1 April 2017 to 31 December 2017) today. In the first three quarters of 2017/2018, the DO & CO Group recorded revenue in the amount of EUR 671.73m, a decrease of -8.9% or EUR -65.35m on the previous business year.
The EBITDA of the DO & CO Group was EUR 65.32m (PY: EUR 73.32m). The EBITDA margin was 9.7% (PY: 9.9%). Consolidated earnings before interest and tax (EBIT) of the DO & CO Group amounted to EUR 41.07m for the first three quarters of 2017/2018, EUR 5.98m lower than in the same period of the previous year. The EBIT margin was 6.1% (PY: 6.4%). The net result for the first three quarters of 2017/2018 amounted to EUR 19.52m (PY: EUR 21.09m). The net result margin in the first three quarters of the business year 2017/2018 is 2.9% (PY: 2.9%).
These KPIs have been influenced in particular by the following external factors:
+ Favourable growth particularly in Germany, the US, the UK, Italy and Poland
A detailed account of the development of the three divisions of the DO & CO Group is given below: 1. AIRLINE CATERING
In the third quarter of the business year 2017/2018, the successful start-up with the premium customer Cathay Pacific at the new location in Los Angeles was reported. Since 1 October 2017, DO & CO has handled the catering for Cathay Pacific on 3 to 4 flights per day from Los Angeles to Hong Kong. Reporting up to 75 million passengers, Los Angeles International Airport is the third-largest airport in the US and the seventh-largest airport in the world. In addition to the New York JFK and Chicago O'Hare locations, this is now the third DO & CO location in the US. The major part of DO & CO's locations reports increases in revenue. Particularly the locations in Germany, the US, Poland, the UK and Italy report a positive development. With regard to Ukraine, a downward trend in the business development was reported, particularly due to the loss of the most important customer who now does his own catering.
In Turkey, one of the key markets of DO & CO, revenue decreased by -3.1% in the local currency (Turkish lira). The decrease in revenue translates into a decline of -21.8% in the consolidated income statement of DO & CO due to the depreciation of the Turkish lira against the Euro. Since the main portion of costs is incurred in the local currency, the margins remain basically unaffected by this development. 2. INTERNATIONAL EVENT CATERING
The strong decline in revenue in this division is due to the missing activities during the European football championship compared to the previous year. However, it is encouraging that the margins of this division have continuously improved. At the beginning of the business year 2017/2018, DO & CO was successful in acquiring Juventus Turin Football Club as a new customer. In the third quarter of the business year 2017/2018, DO & CO was responsible for the stadium catering of this traditional Turin football club, including two Champions League matches as well as six Serie A matches, the top division in Italian professional football, as well as one match of Coppa Italia, the annual national cup competition. Additionally, numerous events took place on non-match days. Moreover, in the third quarter of the business year 2017/2018, DO & CO also was the culinary host for VIPs at, i.a.: - The Formula 1 Grands Prix in Malaysia, Japan, the US, Mexico and Abu Dhabi, - Several football matches at Allianz Arena, home of FC Bayern Munich, and
- Activities at the Olympic Park in Munich 3. RESTAURANTS, LOUNGES & HOTEL
The division reports increased margins at a slight decline in revenue.
With regard to this division, it has also to be reported that the train catering service agreement with the Austrian federal railways, ÖBB, ends on 31 March 2018. The employees employed for these services are transferred to the new catering supplier in line with Austrian labour law provisions. OUTLOOK
Besides the continuous involvement of DO & CO in tenders for individual customers at various DO & CO locations, DO & CO is currently participating in several major tenders in Vienna, in Madrid and especially in London. Decisions are expected to be taken within the next months.
After the difficult year in Turkey (cost-cutting measures and strong negative currency effects), DO & CO sees itself to be once again in a good position to take on new tasks. The broad brand portfolio and activities in numerous divisions and regions give DO & CO reason to expect a favourable business development also in the future. Investor Relations: Financial calendar: Contact: Mag. Daniela Schrenk Group Legal Department
15.02.2018 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. |
| Language: | English |
| Company: | DO & CO Aktiengesellschaft |
| Stephansplatz 12 | |
| 1010 Wien | |
| Austria | |
| Phone: | +43 (1) 535 0644 1010 |
| Fax: | +43 (1) 74000-1089 |
| E-mail: | investor.relations@doco.com |
| Internet: | www.doco.com |
| ISIN: | AT0000818802 |
| WKN: | 81880 |
| Listed: | Regulated Unofficial Market in Berlin, Munich, Stuttgart; Wien (Amtlicher Handel / Official Market) |
| End of News | DGAP News Service |
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