CANCOM SE: Revenue, ARR and gross profit reach target corridors for 2022. EBITDA and EBITA lower than forecast due to one-off special effects.

Munich, Germany, 8 February 2023 - According to preliminary figures, the CANCOM Group has generated Group revenue of around € 1,295 million in the financial year 2022 and will thus also achieve the forecast of 31 October 2022 for the final business results (forecast: € 1,280 to 1,330 million). In addition, at the end of the 2022 financial year, the preliminary volume of recurring revenue (Annual Recurring Revenue) is around € 225 million and is thus also within the target corridor (forecast: € 215 to 225 million). According to preliminary figures, the Group's gross profit of around € 440 million is also within the target corridor of the forecast (forecast: € 435 to 445 million).
By contrast, the CANCOM Group's preliminary consolidated EBITDA for the financial year 2022 is around € 106 million and is therefore below the target corridor from the forecast of 31 October 2022 (forecast: € 116 to 123 million). The same applies to the preliminary Group EBITA of around € 55 million (forecast: € 70 to 76 million).

However, the key earnings figures for the CANCOM Group were heavily influenced by various one-off negative special effects totalling around € 19 million. Gross profit was affected by inventory adjustments of around € 7 million and would have been around € 447 million without this effect. EBITDA was further affected by special effects of € 3 million, mainly a one-time inflation premium of around € 2 million for employees, so that the Group EBITDA without special effects would have been in the range of € 116 million. At the level of EBITA, additional impairments on intangible assets (software) of around € 9 million were also made, among other things due to the first introduction phase of the new ERP system, which has now been successfully completed.

Cash flow from operating activities in the fourth quarter of 2022 is expected to be around € 115 million, resulting in a total operating cash flow of around € -51 million for the CANCOM Group for the full year 2022.

Preliminary results for the two operating segments Cloud Solutions and IT Solutions are not yet available at the current time.

With a view to the 2023 financial year, the Executive Board of CANCOM SE has decided to draw up a programme of measures to increase profitability in order to align internal company processes even more closely with the unchanged existing strategic goal of a Hybrid IT Service Provider and thereby also reduce the existing cost base.

The CANCOM Group's Annual Report 2022 including the forecast for the financial year 2023 will be published on 30 March 2023 on the website www.cancom.de in the Investors section.

The publication of the preliminary annual results on 9 February 2023, as scheduled in the CANCOM Group's financial calendar, is not applicable following today's announcements.

Notifying Company:
CANCOM SE, Erika-Mann-Strasse 69, 80636 Munich, Germany
ISIN DE0005419105, Frankfurt Stock Exchange (SDAX, TecDAX, Prime Standard)

Contact / Notifying person:
Sebastian Bucher, Manager Investor Relations

+49 (0)89 540545193
[email protected]

Note on Alternative Performance Measures:

The definitions of the alternative performance indicators gross profit, EBITDA, EBITA and Annual Recurring Revenue used in this report are published in the CANCOM SE Annual Report 2021 on page 16.