CLX Communications AB (publ): Interim report, January - September 2018

Tue, Nov 06, 2018 07:30 CET

Interim report, January - September 2018

January - September 2018

·       Net sales increased by 32 percent to SEK 2,835.3 million (2,148.8). Organic growth in local currency was 16 percent.
·       EBITDA amounted to SEK 232.9 million (187.2).
·       EBITDA excluding items affecting comparability¹ (adjusted EBITDA) amounted to SEK 257.7 million (226.5), corresponding to SEK 4.81 (4.42) per share.
·       Operational foreign exchange gains and losses affected operating profit for the period by SEK -4.1 million (-5.0).
·       EBIT amounted to SEK 110.1 million (93.8).
·       Profit after tax for the period amounted to SEK 76.1 million (44.1).
·       Basic and diluted earnings per share amounted to SEK 1.42 (0.85).

Third quarter, July - September 2018

·       Net sales increased by 25 percent to SEK 979.3 million (781.4). Organic growth in local currency was 13 percent.
·       EBITDA amounted to SEK 99.4 million (67.0).
·       EBITDA excluding items affecting comparability¹ (adjusted EBITDA) amounted to SEK 95.4 million (71.7), corresponding to SEK 1.78 (1.34) per share.
·       Operational foreign exchange gains and losses affected operating profit for the period by SEK -4.7 million (-8.0).
·       EBIT amounted to SEK 50.0 million (34.5).
·       Profit after tax for the quarter amounted to SEK 37.8 million (11.9).
·       Basic and diluted earnings per share amounted to SEK 0.71 (0.22).

Significant events during the quarter

Oscar Werner took over as the new President and CEO and of CLX Communications AB on 1 September.
Under the incentive program adopted on 18 May 2018 1,306,600 warrants have been subscribed for by senior executives and key employees within CLX.

Significant events after the end of the quarter

CLX announced on 8 October its decision to redirect the investments previously made within Core Network as a Service and Internet of Things to advanced messaging services, RCS, voice services and Personalized Video. The company will meet its customer commitments but will not be further developing the business within Core Network as a Service and Internet of Things. The change will affect only a very small proportion of the company's customers, but leads to impairment of fixed assets connected to IoT amounting to SEK 9.2 million.
Eva Lessing was appointed Chief Human Resources Officer on 2 November. She will join the CLX Group Management Team and report to CEO Oscar Werner. Eva Lessing brings relevant experience from Snow Software, and will assume her position in January 2019. Lena Oldberg, CLX's current Director of Human Resources, will continue to work in the HR team and report to Eva Lessing.
1. See the table on page 3 for a specification of items affecting comparability.

Invitation to report presentation by phone or online

The report will be presented in a phone conference at 09.00 CET on 6 November.

To participate in the presentation by phone, please call any of the following numbers and state the code 7652986:

SE: +46 8 5065 3942
UK: +44 33 0336 9411
US: +1 929 477 0448

About CLX Communications
CLX Communications (CLX) is a leading global provider of cloud-based communication services and solutions to enterprises and mobile operators. CLX's mobile communication services enable businesses to quickly, securely and cost-effectively reach their customers through mobile messaging, voice and video. CLX's solutions power business-critical communications throughout the world and the company has grown profitably since its foundation in 2008. The Group is headquartered in Stockholm, Sweden, and has presence in a further 20 countries. The shares of CLX Communications are listed on Nasdaq Stockholm: CLX.

Note: CLX Communications AB (publ) is required to publish the information in this interim report pursuant to the EU market abuse regulation. The information was submitted for publication on 6 November 2018 at 07.30 CET.

This report is published in Swedish and English. In case of any differences between the English version and the Swedish original text, the Swedish version shall apply. This report has not been subject to review by the company's independent auditor.