Oslo 11 November 2020: Webstep ASA reports revenue growth and increased margin
for the third quarter 2020. Revenues for the third quarter increased to NOK
146.2 million (NOK 137.2 million), EBIT increased to NOK 2.8 million (NOK 1.5
million), and the EBIT-margin increased to 1.9 per cent (1.1 per cent).
The revenue growth of 6.5 per cent was driven by increased headcount and higher
hourly rates, but the growth has been partly offset by lower utilization and
less use of subcontractors. Operating costs were impacted by increased personnel
costs, due to increased headcount and the COVID-19 salary program introduced in
March, partly offset by cost savings as a result of COVID-19 restrictions. Net
profit for the third quarter was NOK 1.7 million (NOK 0.6 million).
"We are experiencing a continued high demand for our services and solutions. We
are satisfied with the Q3 results, even though the quarter has been somewhat
affected by a challenging business environment. We continue to capitalize on the
strength in our local presence, Webstep Solutions has continued the positive
development, and the demand for project deliveries are growing", says CEO of
Webstep ASA, Arne Norheim.
Year to date revenues increased by 3.7 per cent, from NOK 483.7 million in 2019
to NOK 501.6 million in 2020. Year to date EBIT amounted to NOK 39.1 million
(41.3 million) and the EBIT-margin was 7.8 per cent (8.5 per cent). Net profit
was NOK 28.9 million (NOK 30.8 million) year to date. Webstep Sweden has
continued the positive development with increased revenues and profitability
during the third quarter. Webstep had 418 employees at the end of the third
quarter, an increase of 4 employees from the last quarter and an increase of 11
employees the last twelve months.
"The digital transformation of society requires more IT expertise. In a
competitive market, I am proud that we are able to attract some of the most
experienced IT consultants", says Arne Norheim.
The financial position 30 September was strong, with total equity of NOK 410.0
million (NOK 362.4 million), corresponding to an equity ratio of 68.3 per cent
(68.1 per cent). On 13 October 2020, the Board of Directors resolved to
distribute an ordinary dividend of NOK 1.60 per share based on the Group's net
profit for the 2019 financial year. The resolution was based on the
authorization granted by the Annual General Meeting 7 May 2020.
"The initiatives we have taken in 2019 and 2020 are proving to be correct and
important for Webstep's further development. Increased demand for our services
creates exciting opportunities for our IT experts, who want to develop
tomorrow's digital solutions and societies", says Arne Norheim.
There is still uncertainty regarding the effects that the COVID-19 outbreak will
have on the markets in which Webstep operates, but based on the experiences from
the past quarters, the outlook for Webstep is positive.
Contact details for further information:
Liv Annike Kverneland, CFO
Cell: +47 911 51 110
Email : ir@webstep.com
Website : (http://www.webstep.com)www.webstep.com
Webstep ASA is a provider of consultancy services to the private and public
sector, with the IT expertise necessary to deliver the most demanding
digitalisation and IT services.The Webstep Group employs approximately 400
employees in Norway and Sweden. The company offers its services to more than 200
customers annually and has been recognised for its work environment.
This information is subject to the disclosure requirements pursuant to section 5
-12 of the Norwegian Securities Trading Act.