DEAG Deutsche Entertainment Aktiengesellschaft: Strategy aimed at sustainable profitability takes effect in first nine months of 2017
DGAP-News: DEAG Deutsche Entertainment Aktiengesellschaft: Strategy aimed at sustainable profitability takes effect in first nine months of 2017
DGAP-News: DEAG Deutsche Entertainment Aktiengesellschaft / Key word(s): 9-month figures
24.11.2017 / 11:48
The issuer is solely responsible for the content of this announcement.
DEAG: Strategy aimed at sustainable profitability takes effect in first nine months of 2017
– Significant increase in EBIT of more than EUR 6.9 million in the first nine months of 2017 compared to the previous year’s adjusted figure
– Very strong final quarter of 2017 expected again, as in the previous year
– Event pipeline includes more than 2.2 million pre-sold tickets to future events for the first time ever
Berlin, 24 November 2017 – DEAG Deutsche Entertainment AG (DEAG), Berlin, (ISIN: DE000A0Z23G6, WKN: A0Z23G), listed in the Prime Standard, sees its strategy to return to sustainable profitability confirmed in light of its sales and earnings development from continuing operations in the first three quarters of 2017. Earnings before interest and taxes (EBIT) rose to EUR 1.1 million (EBITDA: EUR 2.1 million) in the first nine months of 2017 compared to the previous year (EUR 0.2 million). At EUR 6.9 million, the increase in EBIT was much more pronounced compared to the adjusted prior-year figure of EUR -5.8 million (after considering one-off effects from the Jahrhunderthalle transaction). Sales also improved by around 15.7% to EUR 108.1 million (previous year: EUR 93.5 million).
Conditions are also looking very positive for the continuing course of business in 2017/2018. As in the previous year, 2017’s seasonal highlight is expected to be a fourth quarter of very strong Christmas business and correspondingly significant sales and earnings contributions. The Executive Board thus confirms its sales and earnings expectations for financial year 2017 as a whole. In addition, for the first time ever, DEAG has already sold more than 2.2 million tickets for future events and thus has a well filled event pipeline.
Prof. Peter L.H. Schwenkow, CEO and founder of DEAG, is quite satisfied with how business has developed. “We have focused on profitable business areas in order to make DEAG sustainably profitable again. We have expanded our business, closed areas that had been making losses and acquired extremely attractive new ones. The first nine months, and the third quarter in particular, show that we are on the right track. The more than 2.2 million tickets to upcoming events that we have already sold also offer us a very high level of planning security. Considering these conditions, we see ourselves excellently positioned to continue growing and improve our profitability in 2018.”
The complete 9-months report 2017 will be available for download on the company’s website in the course of the day.
DEAG Deutsche Entertainment AG (DEAG) is a leading entertainment service company and a provider of live entertainment in Europe with subsidiaries in its core markets. DEAG produces and profitably promotes a broad range of live events and concerts. Its own distribution business, mytic myticket AG, which is also share-held by two large print and TV media companies, increases the company’s profitability and scales its business model. DEAG promotes around 2,500 concerts and events each year, selling more than 5 million tickets at present, a steadily increasing part of which is sold via its high-turnover eCommerce platforms “MyTicket.”
Live events range from rock/pop, classics & jazz, the strongly growing Family Entertainment division as well as Arts + Exhibitions. The family entertainment division is particularly fundamental for the further development of DEAG’s own content. Its network of strong partners allows DEAG to put itself in an excellent market position as an internationally active live entertainment group.
DEAG shares (ISIN: DE000A0Z23G6 | WKN: A0Z23G | ERMK) are quoted in the Prime Standard segment of the Frankfurt Stock Exchange, which is the quality segment of the Deutsche Börse, the German stock exchange.