News

, November 12, 2009

Ordina N.V.: revenue at EUR 410 million in Q1-Q3 2009

  • Revenue for the first three quarters of 2009 at EUR 410 million. This is a decrease of 12% in comparison to the first three quarters of 2008.
  • Recurring EBITDA margin for the first nine months of 2009 over 6.5% (Q1-Q3 2008 over 8%).
  • Revenue for the third quarter of 2009 at EUR 123.5 million (third quarter 2008: EUR 149.3 million).
  • Recurring EBITDA margin for the third quarter at 4.5%, slightly higher than the recurring EBITDA margin for the same period in 2008.
  • Total net debt at 30 September 2009 at EUR 55 million (30 June 2009: EUR 86.2 million).
  • Ratio of total net debt to adjusted EBITDA at 1.2 at 30 September 2009.
  • A stabilisation in demand can again be identified in the transition of the third quarter to the fourth quarter. However, market signals are still too volatile in order to deduce a trend from this movement.

Today, Ordina N.V. publishes an update on the third quarter of 2009. Please note that the revenue figures and margins presented here do not include, both where 2009 and 2008 are concerned, the BPO and Technical Automation activities that were sold in April 2009 and July 2008 respectively.

Revenue for the first three quarters of 2009 stood at EUR 410 million. Despite worsened market conditions in 2009, Ordina managed to limit the decrease of revenue to about 12% in comparison to the first three quarters of 2008. Ordina posted a recurring EBITDA margin of more than 6.5% for the first nine months of 2009.

The third quarter is traditionally a time when many staff members take holiday leave, resulting in fewer productive days. This affects revenue and profit. Ordina generated a revenue of EUR 123.5 million in the third quarter of 2009. The comparative figure for the same period in 2008 was EUR 149.3 million. At 4.5%, the recurring EBITDA margin for the third quarter of 2009 landed at a slightly higher level as in 2008 thanks to strict cost control.

The professional services market showed similar dynamics in the third quarter of 2009 compared to the second quarter of 2009. The same can be said of demand for large projects and multi-year outsourcing contracts, which remained sound in the third quarter.

Ordina strengthened its financing position in the third quarter. Shortly after the first half of the year had ended, shares were issued successfully and a subordinated loan was contracted. In addition, the renewal of the senior financing facilities was finalized in mid-October.

Total net debt was further reduced in the third quarter to EUR 55 million (EUR 86.2 million at 30 June 2009). This was facilitated mainly by the cash inflow generated from the share issue, persistently strict working capital management and the effect of the government measure under which VAT can be remitted in the Netherlands on a quarterly rather than a monthly basis. The ratio of total net debt to adjusted EBITDA was 1.2 at 30 September 2009.

The transition from the third to the fourth quarter came with a further stabilisation of demand. At this time it is not yet possible to predict whether demand will continue to stabilize in the transition to the year 2010. Overall economic developments are continuing to show a high level of uncertainty and volatility, which affects customer investment habits. As the fourth quarter will not suffer from the seasonal influences as in the third quarter, it is realistic to expect that the revenue and the recurring EBITDA margin will improve compared to the levels posted in the third quarter.

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