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DGAP-News: COR&FJA AG / Key word(s): Quarter Results COR&FJA AG: COR&FJA publishes nine-months report for 2013

28.11.2013 / 09:23

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COR&FJA publishes nine-months report for 2013

(Leinfelden-Echterdingen, 28 November 2013) - In the first nine months of the 2013 financial year, COR&FJA AG generated aggregate turnover of 95.1 million euros (30 September 2012: 101.6 million euros) and earnings before interest, taxes, depreciation of property, plant and equipment and amortisation of intangible assets (EBITDA) of -5.7 million euros (30 September 2012: -1.1 million euros).

Cash flow from operating activity developed positively, increasing sharply compared with the corresponding period last year to 10.3 million euros (30 September 2012: -5.3 million euros). At the end of the third quarter in 2013, COR&FJA's workforce comprised 1,118 employees in total (30 September 2012: 1,210 employees).

From an overall perspective, the company's economic development in the reporting period fell considerably short of expectations. The key factors contributing to this development have been the persistently subdued volume of business with existing customers and longer preliminary stages for new acquisitions, which are a consequence of the general market situation. In addition, quite a number of employees are currently being retrained for jobs in other areas due to the company's strategic reorientation and it is therefore not possible to invoice this work.

In conjunction with the one-off expenses reported through profit and loss that resulted from the sale of the subsidiary COR&FJA Banking Solutions GmbH in the financial year 2013, a further reduction in the earnings forecast for the current year had to be announced just a few days ago.

This reveals that earnings before interest, taxes, depreciation of property, plant and equipment and amortisation of intangible assets (EBITDA) are now expected to more or less break even, while the forecast for aggregate turnover in 2013 has been adjusted to 133.0 million euros. Subject to the occurrence of the conditions precedent, the sale of COR&FJA Banking Solutions GmbH will nevertheless lead in total to a considerable deconsolidation sum that is likely to be realised in 2014.

Despite the recent change in the forecast, COR&FJA is cautiously optimistic about the current financial year and about the company's further development. This is because the sale of its Banking segment will enable COR&FJA to virtually complete its previously announced strategic corporate reorientation. In Europe, the company is henceforth going to concentrate on its core business of developing and marketing standard software solutions for life insurance companies. In the past, COR&FJA has achieved its greatest successes and generated a large part of its outstanding reputation with customers in this business segment.

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PRESS RELEASE: COR&FJA AG: COR&FJA publishes nine-months report for 2013