Corporate | 14 August 2012 07:20
|
United Internet AG / Key word(s): Half Year Results
Press release United Internet continues growth with successful HY 2012 – Record growth in new customer contracts of 610,000 to 11.28 million – Sales up 15.3% to new all-time-high of EUR 1.164 billion – Strong earnings growth in established business fields – Expansion course accelerated with heavy investment in new business fields Montabaur, August 14, 2012. United Internet AG continued its growth course as Europe's leading internet specialist in the first half-year 2012. The company succeeded in raising both sales and customer contract figures to new record levels and significantly improved earnings in its established business fields. At the same time, considerable investments were made in the establishment and expansion of new business fields.
Development of the Group
In its operating business, i.e. without consideration of special items, United Internet also improved earnings significantly in its established business fields during the first half of 2012. Earnings before interest, taxes, depreciation and amortization (EBITDA) grew by 21.9%, from EUR 181.6 million last year to EUR 221.3 million, while earnings before interest and taxes (EBIT) improved by 25.8%, from EUR 141.2 million last year to EUR 177.6 million. As announced at the beginning of the year, this strong growth in earnings of the Group's established business fields was used to invest heavily in the development of new business fields. The main focus was placed on the international marketing campaign for the 1&1 Do-It-Yourself Homepage, and the development of De-Mail applications. In line with planning, EBIT-effective start-up losses of EUR 73.9 million (prior year: EUR 6.0 million) were incurred for these activities in the first half of 2012. These start-up losses result mainly from high expenditures for marketing the 1&1 Do-It-Yourself Homepage in seven European nations and the USA and are part of total start-up losses planned for new business fields in 2012. As a result of these start-up losses, there was an expected overall decline in earnings of United Internet AG in its operating business compared to the comparative figures of last year. Adjusted for special items, EBITDA amounted to EUR 148.6 million (prior year: EUR 176.1 million) and EBIT totaled EUR 103.7 million (prior year: EUR 135.2 million). Pre-tax earnings (EBT) stood at EUR 95.8 million (prior year: EUR 127.9 million), while earnings per share (EPS) reached EUR 0.32 (prior year: EUR 0.41).
*
Positive special items HY 2011 (Versatel): EBITDA and EBIT effect: EUR 24.8 million
'The strong growth and healthy earnings of our established business fields enables us to invest heavily in new business fields. We are well on track to reaching the targets set for 2012 as a whole,' states Ralph Dommermuth, CEO of United Internet, in his assessment of the half-year figures 2012. Earnings in the first half of 2011 and the first half of 2012 were influenced by various special items. Whereas in the previous year, there was a positive effect on consolidated earnings from the sale of Versatel shares in the second quarter of 2011 (EBITDA and EBIT effect: EUR 24.8 million, EBT effect: EUR 16.3 million, EPS effect: EUR 0.07), there was a negative effect on earnings in the second quarter of 2012 from impairment charges of the United Internet subsidiary Sedo Holding AG. The latter recognized impairment of goodwill in its half-year figures for 2012. These impairment charges were necessitated in particular by a significant change in expectations regarding the company's Domain Parking business. United Internet AG included the impairment in its consolidated financial statements on the level of the Applications segment. The non-cash extraordinary impairment charges amounted to EUR 46.3 million (EBIT and EBT effect; EPS effect: EUR 0.24).
Outlook
For 2013, United Internet expects further strong earnings growth with an EPS of around EUR 1.00 – EUR 1.10 (after approx. EUR 0.30 – EUR 0.40 start-up losses in new business fields).
About United Internet
Contact
End of Corporate News 14.08.2012 Dissemination of a Corporate News, transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
| Language: | English | |
| Company: | United Internet AG | |
| Elgendorfer Straße 57 | ||
| 56410 Montabaur | ||
| Germany | ||
| Phone: | +49 (0)2602 / 96 – 1100 | |
| Fax: | +49 (0)2602 / 96 – 1013 | |
| E-mail: | info@united-internet.de | |
| Internet: | www.united-internet.de | |
| ISIN: | DE0005089031 | |
| WKN: | 508903 | |
| Indices: | TecDAX | |
| Listed: | Regulierter Markt in Berlin, Frankfurt (Prime Standard); Freiverkehr in Düsseldorf, Hamburg, Hannover, München, Stuttgart | |
| End of News | DGAP News-Service |
|
|
| 181509 14.08.2012 |