Movinn Q1 2022 - Interim Report: 51% topline growth and results in line with expectations.

We are performing in line with expectations and we maintain our guidance for the full year.

Company Announcement nr. 12 - 2022
5 May 2022 08.00 CET. 
This company announcement contains inside information. 

Copenhagen, Denmark - The Interim Report covers results from the first quarter (Q1) of the year (1 January - 31 March 2022), as approved by Executive Management and the Board of Directors. 

In Q1 Movinn has realized revenue of 16.25 mDKK - up from 10.76 mDKK in the same period last year - corresponding to a 51% revenue increase. Growth is driven by stable demand and the ongoing growth in our unit portfolio.

Realized EBITDA was 1.87 mDKK corresponding to an EBITDA-margin of 11.5%. Realized EBIT was 0.540 mDKK corresponding to a 3.3% EBIT-margin. Annualized Return On Invested Capital (ROIC) was 6.3%. 

The Executive Management is currently securing the pipeline of new units domestically, already having secured 75% of the expected domestic unit growth for 2022 and steadily adding new units to meet expectations. In parallel, the Executive Management is executing on a formal launch of the first new international market in Malmö (Sweden) and growing the portfolio in line with the Company's long term strategy. 

Financial highlights in Q1 2022: 

• Revenue increased by 51% to 16.25 mDKK (10.76 mDKK) 
• EBITDA margin of 11.5% (3.3%)
• EBIT margin of 3.3% (-3.9%)
• Return On Invested Capital (ROIC) of 6.3% (6.9%)
• Maintaining previous guidance for the full year. 

Business highlights in Q1 2022: 

• Net increase in new units was 17, taking our total unit portfolio up to 315 at the end of the period.  
• The total unit number at the end of the year is expected to be approx. 360 units. 
• Secondary product, Movinn Co-Living, is growing in parallel with the core business. 
• We have secured 75% of the domestic unit growth / pipeline for 2022 so far.
• The quarter has not been subject to any external, unnormal circumstances. 
• We have succesfully re-negotiated two larger lease agreements, that was set to expire next year. 
• Executive management is currently doing a commercial launch in Malmö (Sweden) and we are laying the foundations for other launches as well. 

Patrick Blok, Movinn CEO states: 
"We are performing in line with expectations and we are happy to display high double-digit growth in a quarter this is historically a bit weaker than average. As expected, growth is tearing a bit on our bottom line metrics as we have added to our cost base to prepare for continued strong growth and new market launces. We are monitoring the current macro-economic climate carefully, as higher-than-normal inflation rates and energy price hikes adds to our variable costs. These cost increases are sticky in the short term before we can dynamically change our pricing. However, we are performing as expected and we maintain our guidance for the full year".   

Disclosure regulation

The attached Q1 Interim Report contains forward looking guidance. Such guidance are subject to risk and uncertainties as different factors, some of which are beyond the control of Movinn, may cause the actual development and results to differ from forward looking expectations. Interim Report has not been subject to audit or review.

Contacts

Patrick Blok
CEO, Movinn A/S
pb@movinn.dk
+45 28940879

Certified Advisor
Per Lönn
Västra Hamnen Corporate Finance AB
ca@vhcorp.se
+46 40 200 250

About Movinn

Founded in October 2014, Movinn A/S has grown to become one of Denmark's leading providers of fully serviced apartments, operating within the PropTech industry and delivering space-as-a-service to mainly large domestic and international corporations and organizations. To stay at the forefront of trends in the real estate and serviced living industry - and to diversify activities - the company has created a house of brands that cover both traditional and emerging client segments.
Inhouse, the company has created a highly integrated value chain and comprehensive tech-products (several software platforms & IoT hardware) to help provide the best possible service and quality to the company's clients and to help scale profitable growth. Movinn has a strong presence in Denmark, covering Aarhus, Odense and Copenhagen (the latter being the largest and primary market), and the company is planning to expand its operations into new European destinations.

Movinn A/S has received approval for admission to trading of its shares on Nasdaq First North Growth Market Denmark under the ticker “MOVINN”.