Cint Group AB Q2 2022 Report

Press release

Continued growth momentum with profitability uptick

Highlights for the second quarter 2022      

• Net sales increased by 130.6 percent to EUR 73.2m (31.7). On a pro forma basis net sales increased by 28.4 percent
• Gross profit amounted to EUR 46.2m (16.5) with a gross margin of 63.1 percent (51.9)
• Adjusted EBITDA amounted to EUR 13.0m (5.2) with an adjusted EBITDA margin of 17.7 percent (16.3). Adjusted EBITDA, excluding the FX effect from the revaluation of operating balance sheet items, amounted to EUR 12.7m (6.1) corresponding to a margin of 17.4 percent (19.3)
• EPS, before dilution amounted to EUR -0.01 (0.02).
• Adjusted EPS, before dilution amounted to EUR 0.04 (0.02)

Highlights for the period January – June 2022                  

• Net sales increased by 134.6 percent to EUR 140.5m (59.9). On a pro forma basis net sales increased by 30.4 percent
• Gross profit amounted to EUR 87.4m (31.0) with a gross margin of 62.2 percent (51.7)
• Adjusted EBITDA amounted to EUR 21.1m (10.7) with an adjusted EBITDA margin of 15.0 percent (17.9). Adjusted EBITDA, excluding the FX effect from the revaluation of operating balance sheet items, amounted to EUR 21.0m (10.8) corresponding to a margin of 14.9 percent (18.1)
• EPS, before dilution amounted to EUR -0.04 (0.01).
• Adjusted EPS, before dilution amounted to EUR 0.05 (0.06)

Significant events during the second quarter     

• At the AGM on 17 May 2022 it was resolved, among other things, to elect Liselotte Hägertz Engstam and Tina Daniels as new board members of the board of directors.
• Cint announced changes to the executive committee. For further details, please refer to page 6 in the interim report.

CEO Tom Buehlmann:
I am happy to say that the growth momentum we saw in Q1 has continued into the second quarter with a sales growth, on a pro forma basis, of 28 percent (18 percent on constant currency) compared to the same period last year. Given the fact, that last year was positively impacted by a post-Covid recovery in research spend, this marks the return to a stable and sustainable growth path. Year to date we have a sales growth of 30 percent on a pro forma basis (21 percent on constant currency).

EBITDA, adjusted for items affecting comparability, amounted to EUR 13.0m in the quarter, corresponding to a margin of 17.7 percent compared to 13.4 percent on a pro forma basis for the same period last year. Compared with the first quarter this year, we are now starting to see positive scale benefits mainly as a result of synergies within operational expenses. We expect to see a further progressive improvement of the profitability during the year, in line with the underlying business seasonality and as scalability and synergies for the combined company materialise.

We have had a strong first half of 2022 and remain confident in delivering our financial targets of organic sales growth of at least 25 percent in the medium term with a corresponding 25 percent EBITDA margin.

For more information, please contact:
Joakim Andersson, Senior Advisor
Tel: +46 760 448 330
Email: [email protected]

Patrik Linzenbold, Head of IR
Tel: +46 708 252 630
Email: [email protected]

This disclosure contains information that Cint Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and the Swedish Securities Market Act. The information was submitted for publication, through the agency of the contact persons set out above, at 08:00 CET on 22 July 2022.