Gofore - Profitability below expectations
Gofore’s EBIT in H2 amounted to EUR 2.6m, falling below our estimate of EUR 3.8m due to among other things a lower billing rate and increase in subcontracting. Gofore expects net sales in 2019 between EUR 71-79m. The dividend proposal is at EUR 0.19 per share (Evli 0.18).
- Gofore H2 net sales amounted to EUR 25.9m, with sales growth in H2 at 32.2% compared to H2/17 figures. The company’s international business net sales amounted to EUR 5.7m, corresponding to 11.3% of total net sales.
- EBIT in H2 was EUR 2.6m, falling below our estimates (Evli EUR 3.8m), at an EBIT-margin of 9.9%. Profitability was affected by a somewhat lower billing rate during the autumn and integration of acquired companies along with an increase in subcontracting and volume of low-margin cloud capacity.
- Guidance: Gofore expects net sales in 2019 between EUR 71-79m. The guidance before the acquisition of Silver Planet was EUR 65-73m.
- Dividend: Gofore’s BoD proposes a dividend of EUR 0.19 per share (Evli 0.18).
- The number of personnel at the end of the period was 495 (2017: 374).