Bisnode Interim report Q3 2014

“The transformation of Bisnode to increase efficiency and return to growth is continuing. Important steps to establish a platform for growth were taken in the third quarter 2014”

JULY–SEPTEMBER

• Total revenue amounted to SEK 860 million (867).
• Organic revenue growth was -0.8 per cent (-1.7).
• Operating profit (EBITA) was SEK 56 million (61).
• Operating margin (EBITA) was 6.5 per cent (7.1).
• Operating profit (EBITA) excluding capital gains and losses and non-recurring items was SEK 73 million (107)
• - Non-recurring restructuring costs in the quarter amounted to SEK 18 million (46).
• - Capital gains for the period totalled SEK 0 million (0).
• Cash flow from operating activities was SEK 38 million (58).
• Earnings/loss per share (basic and diluted) amounted to SEK -0.2 (-0.1).
• On 16 July, all of the shares in Bisnode Nederland B.V. were sold to EDM Media Group B.V.

JANUARY–SEPTEMBER

• Total revenue amounted to SEK 2,656 million (2,723).
• Organic revenue growth was -2.0 per cent (-1.3).
• Operating profit (EBITA) was SEK 142 million (183).
• Operating margin (EBITA) was 5.3 per cent (6.7).
• Operating profit (EBITA) excluding capital gains and losses and non-recurring items was SEK 179 million (279)
• - Non-recurring restructuring costs in the quarter amounted to SEK 44 million (89).
• - Capital gains for the period totalled SEK 6 million (-8).
• Cash flow from operating activities was SEK 89 million (211).
• Earnings/loss per share (basic and diluted) amounted to SEK -1.0 (-0.4).

EVENTS AFTER THE BALANCE SHEET DATE

• On 10 October 2014 Bisnode acquired remaining minority interest (9.9%) in Norwegian Bisnode MatchIT AS.
• An extra general meeting on 10 October has elected Sara Öhrvall and Berit Svendsen as new members to Bisnode’s Board of Directors.
• Anders Berg has been appointed Group CFO and will start on or before 1 February, 2015.

Comments from the CEO

“Bisnode operates in a fundamentally attractive and underpenetrated market with an ever-increasing need for business information and decision support.”

We are continuing to develop Bisnode, decisively and with a high tempo and determination. On 22 September we launched the next stage of a plan that is aimed at accelerating the transformation of Bisnode into a strategic partner of decision support to new and existing customers.

To optimise resource utilisation and secure investment in scalable product platforms, we have chosen to centralise our IT and product development functions. At the same time, we will retain geographical closeness to our approximately 170,000 customers throughout Europe. The combination of local customer understanding and common platforms is a fundamental component of our future strategy. We have also launched investments in strategic HR. Bisnode’s success will be built by dedicated employees, and we are now raising our ambition further to creating the best workplace for ambitious people who want to work at the leading edge of technology.
Most of Bisnode’s revenue and profit is generated in the Nordic region. To strengthen the focus on the Nordic countries, we have chosen to disband Region Nordic and instead allow the Nordic countries to report directly to the CEO.

Our deep and strategic partnership with D&B has continued to progress in the right direction. Bisnode is Europe’s largest partner to D&B and we are convinced that the modernisation and updating now taking place at D&B will benefit Bisnode and Bisnode’s customers.

On the whole, development in Q3 was as in line with expectations. Organic growth amounted to -1% and the underlying EBITA was 9%, compared to 12% for 2013.

The drop in earnings is mainly due to higher data costs. The quarter got off to a weak start but ended with a September that indicates a higher level of business activity and order intake.

In Sweden we are introducing a new go-to-market strategy that is designed to give all customers access to the full range of our offering in a more effective manner than before. Norway, Denmark and Finland are performing well and are the countries that have come furthest in their development.

We are seeing signs of stabilisation in Region DACH. After a couple of years of changes, we can now focus fully on customer and business development in Region DACH.
Region Central Europe continues to deliver healthy growth and profit.

LARS PETTERSSON
CEO
Telephone: 46 8 558 059 31
Mobile: 46 705 17 28 02
E-mail: lars.pettersson@bisnode.com

MATS LÖNNQVIST
CFO
Mobile: 46 8 558 059 00
E-mail: mats.lonnqvist@bisnode.com

Bisnode is one of Europe’s leading providers of digital business and decision support information, with a complete offering of online services for market, credit and business information. Bisnode’s business information services helps companies to increase sales, reduce business risks and improve their daily business decisions. Bisnode was founded in 1989 and has about 2,600 employees in 18 European countries. Bisnode is owned 70 per cent by Ratos and 30 per cent by Bonnier. For more information visit www.bisnode.com.

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