Wuppertal, 30 March 2020 - According to preliminary, as yet unaudited figures, Prime Standard-listed GESCO AG slightly exceeded its sales targets and reached its earnings targets fort he nine-month abbreviated financial year 2019 (1 April to 31 December 2019), which had recently been updated in November 2019.

At € 439.6 million, Group sales were slightly above the forecast range of € 425 to 435 million. At € 12.4 million, Group net income after minority interest was in the middle of the communicated range of € 11.5 to 13 million.

In the twelve-month period of the previous year, the figures for which were adjusted in accordance with IAS 8, sales amounted to € 580.3 million and Group net income after minority interest to € 22.6 million.

In line with the NEXT LEVEL strategy, the Executive Board and Supervisory Board today decided to adjust GESCO AG's dividend policy. Until now, the dividend policy has been to pay out around 40 % of Group net income after minority interest. In future, the distribution is to be in a range of 20  % to 60 %. This will enable GESCO AG to keep cash in the company through a lower payout ratio, particularly in the case of upcoming acquisitions or larger investments, but also to go well beyond the previous threshold of 40 % in phases of strong earnings and cash flows. Overall, the company gains more flexibility, particularly in order to implement the acquisition strategy associated with NEXT LEVEL.

In view of the massive uncertainty resulting from the Corona crisis, the Executive Board intends to bring forward the application of the new dividend strategy and to place the distribution for the abbreviated financial year 2019 at the lower end of the range in order to strengthen the company's liquidity reserves. The Executive Board therefore currently expects to propose a dividend of € 0.23 per share for the nine-month abbreviated financial year 2019. For the full twelve-month financial year 2018/2019, € 0.90 had been paid out.

The company reserves the right to adjust the dividend proposal for the abbreviated financial year 2019 in view of the further development of the Corona crisis until the Annual General Meeting is convened. The company currently assumes that the Annual General Meeting can be held on June 18, 2020 as planned.

The key figures of Group sales and Group net income after minority interest are used as stated in GESCO AG's consolidated financial statements as at 31 March 2019, available online at http://www.gesco.de/financial-reports.

 

Contact:

Head of Investor Relations, Oliver Vollbrecht
Tel. +49-202 24820-18
Fax +49-202 24820-49
E-Mail: [email protected]
Internet: www.gesco.de