USU Group achieves record sales and profit in Q1 2020
The USU Group was able to boost consolidated sales by 19.3% to EUR 26.2 million in the first quarter of 2020. The acquisition of several major orders shaped the very strong operating performance. Due to the strong order development, USU increased its orders on hand by 11.8% to EUR 57.8 million, thus marking a new record in the company’s history.
The Group benefited in particular from very good international business and sales generated outside of Germany rose disproportionately high year-on-year by 45.7% to EUR 7.9 million in the first quarter of 2020.
Consulting income increased above-average by 22.3% to EUR 14.8 million. At the same time, the Group benefited from continuing growth in the cloud and maintenance business, which climbed 15.3% to EUR 7.8 million year-on-year. Furthermore, sales from software licenses were up in the first quarter of 2020 despite the growing trend toward SaaS business and rose 12.9% compared with the year before, bringing it to EUR 3.4 million.
With an equity ratio of 56.5%, extensive Group liquidity and no liabilities to banks, the USU Group still has extremely sound and secure financing, even in the age of the cornavirus. The Management Board anticipates growth in sales and positive adjusted EBIT for fiscal year 2020, even if the crisis lasts much longer or the current situation deteriorates even further. Moreover, the Management Board is also confirming the USU Group’s medium-term planning, which includes average organic sales growth of 10% over the next few years as well as an increase in the operating margin based on adjusted EBIT to between 13% and 15% by 2024.
Here is an overview of the most important details:
- Sales growth of 19.3% to EUR 26.2 million
- Record first-quarter earnings – adjusted EBIT increased by a factor of 12 year-on-year
- Cash flow and liquidity increased further
- Continued sound financing
- Orders on hand reach new record in company’s history
- Forecast anticipates further growth
For more information, please see our press release on the USU website.