Omnicar Holding AB Q1 2020 report
Q1 (2020-01-01 - 2020-03-31)
- Total revenue and other income SEK 3374 thousand
- Q1 profit after financial income and expenses, net amounted to SEK 269 thousand
- Q1 earnings per share* is SEK 0,02 for the quarter
Dear shareholder,
Today, we are releasing our Q1 2020 report together with our audited numbers for 2019.
Our turnaround is now complete, and we have a solid starting point for 2020. We can show profit figures and our customer base is loyal and happy. As a company,we are not severely hit by COVID-19, mainly because we have made a huge effort to become a lean company and our focus has been on entering into long-term contracts with our customers.
We are now ready to enter a new phase for Omnicar. As previously announced, we will now begin targeting car owners directly with service subscriptions and other car-related offers – all based on subscriptions. All as part of our consumer service agreement platform.
You are welcome to take a look at omnicarservice.dk – but because this is only a test site it is not possible to submit orders yet. We had a 4% conversion on the website and we had to pause the test due to the high conversion rate.
We expect to make an announcement within the next few weeks where we will kick off our new offers. Our many years of automotive insights combined with marketing skills make us very confident with this new initiative. Basically, we will now do what some of our automotive customers have already been doing – sell service subscriptions.
We see ourselves as the “just eat” for car owners. We bring tyre change and all kinds of car services home to the car owners, they can have their car serviced on their private adresse or at work.
Over the years, we have been managing more than DKK 250m in service contract revenue and we have a lot of knowledge that enables us to create the perfect service subscriptions. From our work with car importers we know that the average subscription time is 52 months and we are also very familiar with average prices and various service product offers.
Our strategy towards car importers and large workshop chains is still intact. However, due to the current environ- ment we have been pausing our sales activities and worked on our consumer service agreement platform.
In June, we will provide a guidedance for our performance in 2020 – but we do expect Q2 2020 to be profitable and in the same range as Q12020.
Finally, in the audited numbers, there is a change in revenue and cost for 2019 – but P/L is not affected because revenue and costs are balanced out. The winding-up of Omnicar A/S is the primary reason for this deviation.
Please feel free to write me with any questions you may have at cth@omnicar.dk
Claus T. Hansen
CEO
cth@omnicar.dk
About Omnicar The IT company OmniCar has developed a unique software solutionfor vehicle repair shops and car dealers. Our software helps the automotive industry to manage and sell far more service contracts than before using customized additional services and subscription-based services that follow each car throughout its lifecycle.