CLX Communications AB (publ): Sinch Interim Report January – March 2019
January – March 2019
- Net sales increased by 28 percent to SEK 1,101.8 million (858.6). Organic growth in local currency was 17 percent. 1
- Gross profit increased by 45 percent to SEK 289.5 million (200.0). Organic growth in local currency was 21 percent.1
- Adjusted EBITDA2 increased by 73 percent to SEK 112.2 million (65.0).
- Adjusted EBIT3 amounted to SEK 102.3 million (58.7).
- Profit after tax for the quarter amounted to SEK 57.8 million (9.2).
- Basic and diluted earnings per share amounted to SEK 1.08 (0.17).
“There is no faster and better way to reach you as a consumer than through your mobile phone. Sinch’s technology platform makes it possible for businesses to make use of this possibility and engage with their customers in a simple, value-creating and cost-efficient way” – Oscar Werner, CEO
Significant events during the quarter
- Jonathan Bean was appointed the new Chief Marketing Officer of Sinch on 8 February. Prior to joining Sinch, Bean served as Chief Marketing Officer of Mynewsdesk, a rapidly growing cloud platform for marketing and PR. Bean took up his position on 23 April.
- A new corporate brand identity for all business areas was launched on 13 February. Products previously marketed under the CLX, Symsoft, Sinch and Vehicle brands are now integrated into a single, united offering - Sinch.
Significant events after the end of the quarter
- A partnership between Sinch and WIT Software to accelerate the global use of next-generation messaging services through RCS was announced on 5 April. Sinch will be using WIT Software's technology as part of its RCS-as-a-Service offering to mobile operators that require an efficient and scalable solution to offer RCS to their subscribers and enterprise customers.
- On 11 April, Sinch announced changes to the company’s management team aimed at closer collaboration between the teams that address operator customers and enterprise customers. The Sinch management team now consists of: Chief Executive Officer Oscar Werner, Chief Operating Officer Anders Olin, Chief Financial Officer Roshan Saldanha, Chief Human Resources Officer Eva Lessing, Chief Technology Officer Jonas Lindeborg, Chief Marketing Officer Jonathan Bean, Chief Strategy Officer Thomas Heath, Chief Evangelist and Co-Founder Robert Gerstmann, Corporate Developer and Co-Founder Björn Zethraeus and Business Developer and Co-Founder Johan Hedberg.
1 Organic growth in local currency in comparable units. Unwire and Vehicle, two acquisitions that did not close until March-April 2018, are included in the comparison period of Q1 2018 in order to calculate growth in comparable units.
2 EBITDA excluding items affecting comparability. See page 3 for a specification of items affecting comparability.
3 EBIT excluding items affecting comparability and amortization of acquisition-related assets, which does not affect cash flow. See Note 4 for amortization details.
Invitation to phone conference
Sinch will present the interim report in a phone conference on 17 May at 9.00 CET. To participate in the phone conference, please call any of the following numbers and state the code 3769955.
Sweden: +46 (0) 8 506 921 85
UK: +44 (0) 203 009 5710
USA: +1 917 720 0178
Register here to watch the presentation via Webcast: investors.sinch.com/webcast.
About Sinch (CLX Communications AB)
Sinch develops digital tools that enable personal interaction between enterprises and individuals. Powered by our cloud communications platform, enterprises can reach every mobile phone on the planet - within a second or two - via messaging, voice calls and video. Several of the biggest enterprises in the world are using Sinch’s advanced technology platform to communicate with their customers and Sinch is an established software supplier to mobile operators worldwide. Sinch has delivered profitable growth since it was founded in 2008. The Group is headquartered in Stockholm, Sweden, and has a presence in more than 30 other countries. The share is listed on Nasdaq Stockholm: XSTO: SINCH.
For additional information, please contact:
Thomas Heath, Chief Strategy Officer and Head of Investor Relations
Tel +46 72 245 50 55
Roshan Saldanha, Chief Financial Officer
Tel +46 73 660 24 19
Note: The information in this interim report is such that CLX Communications AB (publ) (name change to Sinch AB (publ) in progress) is required to publish pursuant to the EU market abuse regulation. The information was submitted for publication on 17 May 2019 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.