Native : Announces 2017 Financial Results

The Native SA Announces 2017 Financial Results

April 30, 2018, Lausanne - The Native SA, the Swiss-listed integrated ecommerce services, content marketing and technology company, has published its first consolidated audited financial results since the firm had been created through recapitalization of the 20-year old Swiss-listed shell 5EL SA and a series of subsequent acquisitions and investments across Germany, Switzerland and the USA completed in 2017.

The Native Group is the global, tech-savvy ecommerce services firm with highly competitive products, global footprint, a strong long term growth potential, highly motivated management team and a diverse international shareholders' base to support the Group's ambitious growth plans.

As of December 31, 2017 - on a consolidated basis - the Native Group reported CHF 15.5 million in revenues (zero for 2016), total assets of CHF 32.5 million (CHF 2.0 million as of Dec 31, 2016), shareholders' equity of CHF 4.1 million (CHF 0.1 million as of Dec 31, 2016) and cash position of CHF 7.9 million (CHF 0.05 million as of Dec 31, 2016). The Group reported net debt of approximately CHF 7.7 million as of Dec 31, 2017, with short-term debt representing about 44% of its total debt position.

The Native-Group's 2017 revenues include only two months of consolidation of The Native's key subsidiary asknet AG acquired in November 2017 - asknet AG itself reported EUR 68.40 million in revenues in 2017 and following investment from The Native SA had moved to profitability for the entire fiscal 2017. The fiscal 2018 will be the first year of full 12 months consolidation of asknet AG into The Native SA creating a massive projected increase in The Native SA 2018 consolidated revenues.

Thanks to a very lean corporate headquarter in Switzerland, swift integration of the acquired investments combined with the release of significant operational synergies, the Native-Group reports cash flow from operations swinging from negative CHF 0.7 million in 2016 to positive CHF 1.9 million in 2017.

Blockchain Lab SA, the 100% owned subsidiary of The Native SA also located in Switzerland, has achieved CHF 2.26 million in earnings before taxes in 2017, attributed to divestment of certain technology assets.

On a group level, The Native SA ended 2017 with the net loss of CHF 7 million largely driven by various non-cash adjustments including non-cash impairments ofgoodwill (CHF 4.0 million), depreciation (CHF 1.2 million) and impairment of legacy 5EL receivable (CHF 2.1 million).

"As our business is quickly gaining scale, most of the 5EL legacy issues had been eliminated and all of our key assets acquired in 2017 had been fully integrated by now, we expect significant improvements in The Native SA operating efficiency and overall cost structure in 2018 and beyond", commented Mr. Sergey Skaterschikov, the Chairman of The Native SA and Chief Financial Officer of asknet AG.

For further information please go towww.thenative.ch.