Continued growth in a new structure
Knowit delivers increased net sales with a stable result, while the quarter has been shaped by the integration of the Cybercom operations. Knowit increases net sales during the quarter to SEK 1,190.9 (661.4) million and delivers an EBITA profit of SEK 105.4 (58.5) million, adjusted for one-off costs related to the acquisitions. In parallel with the integration efforts, a strong focus has been on sales and recruitment of new employees.
Market activity has been high during the quarter, with strong underlying demand and a positive net recruitment. Increased workforce mobility after the pandemic has impacted on our personnel turnover, but has also increased the possibilities to recruit new employees for existing and new client assignments.
Solutions is the business area that has been affected most by the integration efforts. This makes it particularly gratifying to note that the two largest markets, Sweden and Norway, are showing a strong positive development, with high sales growth during the quarter.
During this quarter, the business area Experience has finalized the integration of Creuna, which was acquired in December 2020. Experience increased net sales during the quarter, with high levels of new orders, but the profit has been affected by increased personnel turnover and a need for new recruitment.
Connectivity, Knowit’s new business area after the acquisition of Cybercom, has been welcomed by both clients and employees. Activity has been high, with a number of large assignments in the tech and telecom sectors and in the vehicle industry creating strong possibilities going forward.
For the management consultancy operations in the business area Insight, the positive development is continuing with improved profit and a higher margin. The security area continues to stand out, with demand being very high.
“When I summarize the quarter, I can conclude that we have managed to both keep a focus on our business and simultaneously perform a large operative integration, showing that Knowit is a player than can continue to take market shares in a sustainable manner. This makes me proud and creates hope for the future,” says President Per Wallentin.
For more detailed information on the results for the third quarter, please see the Interim Report appended to this press release.
Knowit hereby issues an invitation to a presentation of the Interim Report for January–September on October 22 2021 at 10 AM (CEST). The presentation will be held in English. Link to the presentation: https://tv.streamfabriken.com/knowit-q3-2021
Telephone numbers for the conference call
SE and other EU countries: +46856642695
NO: +47 23500243 PIN: 77918716#
UK: +443333009270
US: +16467224957
No advance notification is necessary. After the presentation, a recording of the webcast will be available at: https://www.knowit.se/ir/rapporter--presentationer/
This disclosure contains information that Knowit is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014) and the Swedish Securities Markets Act (2007:528). The information was submitted for publication, through the agency of President and CEO Per Wallentin, at 07.30 CET on October 22, 2021.
For more information, please contact:
Marie Björklund, CFO, +46(0)70 1449802 or marie.bjorklund@knowit.se
Per Wallentin, CEO & President, +46 (0)73 0746860 or per.wallentin@knowit.se
Christina Johansson, Head of Communications, +46 (0)70 5421734 or christina.johansson@knowit.se
About Knowit
We are digitalization consultants and a Nordic powerhouse for the digital business models of the future. Our vision is to create a sustainable and humane society through digitalization and innovation. Knowit supports its clients in the digital transformation and stands out among other consultancy firms through its decentralized organization and agile work methods in client assignments. The operations are divided into four business areas – Solutions, Experience, Connectivity, and Insight – which offer services in bespoke system development, digital customer experiences, the internet of things, cloud, cybersecurity, and management consultancy. Competences from several business areas are often combined in client projects.
Knowit was founded in 1990 and, following the acquisition of Cybercom on July 1, 2021, has around 3,800 employees, mainly in the Nordic countries, but also in Poland and Germany. The merger with Cybercom has created new opportunities to take on larger and more complex assignments, primarily within the industry, tech, and telecom sectors. In addition, an even stronger platform is created, from which we offer digital solutions to the sustainability challenges of society.
Knowit AB (publ) has been listed on the stock market since 1997 and is currently listed on Nasdaq OMX Stockholm Mid Cap. For more information on Knowit, please visit knowit.eu.
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