Secunet reports revenue rise
04 November 2020 16:46 GMT

Secunet Security Networks, a leading German provider of high-quality, trustworthy IT security and IT security partner of the Federal Republic of Germany, has reported that revenues and earnings up significantly year-on-year after the first nine months of 2020

secunet  today publishes its Group Quarterly Statement as at 30 September 2020. Sales and EBIT increased compared to the previous year, the positive forecast at the end of the year is confirmed.

In the period from January to September 2020, secunet Group achieved sales revenues of 189.0 million euros ($221 million). Compared with the same period of the previous year (163.5 million euros), this represents an increase of 16% or 25.5 million euros. The growth in sales revenue results primarily from the increased product business (trade goods, licences, maintenance and support) in the Public Sector division.

secunet Group achieved earnings before interest and taxes (EBIT) of 32.1 million euros in the first nine months of 2020. This corresponds to an increase of 45% or 10.0 million euros on the EBIT in the same period of the previous year (22.1 million euros).

Sales revenue in the Public Sector division, which is geared towards public clients, amounted to 163.7 million euros. Compared with the revenues in the same period of the previous year (112.6 million euros), this represents an increase of 45% or 51.1 million euros. The substantial sales growth in the Public Sector division is related to special effects of the coronavirus pandemic: German authorities have pushed ahead with equipping their staff with secure mobile workplaces as needed for working in a mobile office setting. The growth is thus mainly attributable to high revenues in conjunction with products in the SINA family, particularly SINA Workstation. The Public Sector division contributed 87% to the Group's sales revenue (previous year: 69%). EBIT improved from 17.2 million euros in the first nine months of 2019 to 35.0 million euros in the same period of the current year.

At the same time, sales revenue in the Business Sector division, which addresses its range of products and services towards companies in the private and healthcare sectors, fell in the period from January to September 2020 by 50% or 25.5 million euros from the prior-year level (50.9 million euros) to 25.4 million euros. The decline is primarily attributable to the fact that the rollout of healthcare connectors in medical practices in the previous year resulted in a very high level of sales. The Business Sector division's share in the Group's sales revenue was 13% (previous year: 31%). After the first nine months of 2020, the division's EBIT accordingly stood at -3.0 million euros, down from 4.8 million euros in the same period last year.

As at 30 September 2020, the order book of secunet Security Networks AG in accordance with IFRS amounted to 112.0 million euros, compared with 71.2 million euros as at the previous year's reporting date.

"The digitalisation boost triggered by the coronavirus pandemic has had a distinctly positive impact on our business results," says Axel Deininger, CEO of secunet Security Networks AG. "Furthermore, the continued high and stable demand for secure mobile workplaces allows us to have a confident outlook on the current fourth quarter of 2020."

The Management Board of secunet Security Networks AG has confirmed its forecast for 2020 for secunet Group: it continues to expect sales revenues of around 270 million euros and earnings before interest and taxes (EBIT) of around 48 million euros (2019 financial year: sales revenues 226.9 million euros, EBIT 33.2 million euros). The current 2020 financial year is affected by positive special effects. In its forecast for the 2021 financial year, the key figures for which were published on 3 November 2020, the Management Board assumed that these positive special effects will no longer occur to a comparable degree. The forecast for the 2021 financial year therefore envisages sales revenues of around 260 million euros and an EBIT of around 38 million euros.

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