CO.DON AG: Preliminary figures for Q1 2020, effects of the covid-19 pandemic in financial year 2020, forecast
CO.DON AG / Key word(s): Preliminary Results
CO.DON AG (ISIN: DE DE000A1K0227)
Preliminary figures for Q1 2020, effects of the covid-19 pandemic in financial year 2020, forecast
Berlin / Teltow / Leipzig, 06 May 2020 - co.don Aktiengesellschaft, Teltow (ISIN DE000A1K0227; WKN A1K022) (the "company") generated group revenue of about EUR 1.8 million in the first quarter of 2020 on the basis of provisional, unaudited figures, which was 27% higher than in the same period of the previous year. All figures are provisional and unaudited. This was due to the good performance of domestic revenue, and particularly to the significant increase in foreign revenue.
The economic and social developments in connection with the corona virus (covid-19) meant that since mid-March 2020 the situation has been increasingly difficult in the company's core markets. In addition to the more difficult working conditions for field sales staff resulting from these circumstances, the first effects began to be felt of the request from the Federal Health Ministry to postpone elective surgery (i.e. non-essential operations). This requirement caused a sharp fall in new orders compared with the previous year as early as April.
The treatment of cartilage damage in joints is not an essential operation and so many users have postponed surgery during the strict lockdown measures taken to protect against the covid-19 pandemic. The company therefore assumes that new orders will decline in the second quarter of the financial year. In view of the covid-19 pandemic, and despite expanding its foreign activities, the company is only expecting group revenue, and revenue for the separate financial statements, to be moderately higher than the previous year (2019 group revenue: EUR 6.9 million, 2019 HGB revenue: EUR 6.6 million). This assumes that due to a lack of new orders, there will be a revenue shortfall of up to 100% for a period of three months.
Taking the restructuring expenses planned for 2020 and the impact of the covid-19 pandemic as described above into account, IFRS net income in 2020 is expected to be moderately more negative than in the previous year (2019: EUR -12.6 million). The net loss for CO.DON AG under German commercial law will be significantly more negative in financial year 2020 than in the previous year (2019: EUR -11.5 million). The Executive Board will continue to monitor the impact of the covid-19 pandemic on the company's commercial performance very closely and will adjust the forecast as necessary.
Notifier: Tilmann Bur, Executive Board
Investor Relations / Public Relations
06-May-2020 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
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