Ad-hoc: United Labels AG: Year-end results for FY 2020

Ad-hoc-Announcement by United Labels AG dated 31 March 2021
ISIN: DE 0005489561, WKN: 548956, Ticker: ULC

 

United Labels AG: Year-end results for FY 2020 - United Labels records jump in earnings despite covid-19 pandemic and positive start of FY 2021

 

 

Muenster, 31 March 2021. United Labels AG (ISIN: DE 0005489561, WKN: 548956) recorded consolidated revenues of €13.2 million (prev. year: €13.5 million) in the 2020 financial year just ended.

The marginal decline in revenue was attributable to the postponement of deliveries at the end of the 2020 financial year to the following year in response to closures within the retail sector in mid-December. Without these rescheduling arrangements, the Group would have recorded growth in revenue despite the effects of the covid-19 pandemic.

The gross profit margin increased significantly by 13 percentage points to 35.9% (prev. year: 22.9%) due to more expansive business with end consumers via the company's proprietary online platforms as well as the retail sector.

 

Group earnings before interest, taxes, depreciation and amortisation (EBITDA) amounted to €1.5 million (prev. year: €-49 thousand), which corresponds to an EBITDA margin of 11.5%.

EBIT totalled €1.2 million (prev. year: €-0.3 million), which translates into an EBIT margin of 9.3%.

 

Group profit for the year was €0.8 million (prev. year: €-1.0 million), resulting a return on sales of 5.8% and earnings per share (EPS) of €0.11.

 

All operating companies within the Group recorded a profit in the 2020 financial year. Order backlog was up by 31% at €10.5 million as at 31 December 2020 (prev. year: €8.0 million).

 

Overall, the performance outlined above exceeds the company's expectations. Due to the covid-19 pandemic, the 2020 financial year as a whole was dominated by considerable supply- and demand-side uncertainties. They were overcome only with the help of rigorous and flexible management. Against this background, the management considers the direction taken by revenue, earnings and orders at United Labels AG to be very favourable.

 

For the first quarter 2021 the company expects a growth in revenues of app. 40% compared to the corresponding quarter of the previous year.

However, during the full first quarter the value of prepaid merchandise remained at warehouse rose significantly due to several deliveries which were postponed to the second quarter due to customer requirements.

The company`s plans for 2021 include an expansion of its brand portfolios and its end consumer business, particularly within the area of online trading. At present, the company anticipates an increase in customers and revenue for the current financial year. However, this will depend to a large extent on developments relating to the covid-19 pandemic and the prompt re-opening of retail outlets in order to rapidly reduce the considerable backlog in supply.

 

The full annual financial statements and further details, are to be published at the end of April as part of the annual report.

https://www.unitedlabels.com/en/investor-relations/financial-reports/

 

United Labels AG is an exchange-listed, family-run SME and one of Europe's leading manufacturers of branded goods in the Media/Entertainment segment. As an independent enterprise, it has established business partnerships with the world's key media and entertainment companies as well as with major retailers operating within the chain store, specialist retail, discount and online markets.

 

Further information:
United Labels AG - Investor Relations
Gildenstraße 6, 48157 Münster, Tel.: +49 (0) 251-3221-0, Fax: +49 (0) 251-3221-960
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