EShttps://www.lleida.net/docs/inversores/es/20180122_HRelev.pdf FR:https://www.lleida.net/docs/inversores/fr/20180122_HRelev.pdf ZHhttps://www.lleida.net/docs/inversores/zh/20180122_HRelev.pdf

Lleida, 22 January 2018

Relevant event: 2017 ESTIMATED RESULTS

Under the provisions of Article17 of the Regulation (EU) No 596/2014 regarding market abuse and article 228 of the modified text of the Spanish Stock Market Act, approved by Spanish Royal Legislative Decree 4/2015, of 23 October and related provisions, as well as Circular 15/2016 of the Spanish Alternative Investment Market (MAB), we are hereby informing you of the following information relating to LLEDIANETWORKS SERVEIS TELEMÀTICS, S.A.

(hereinafter, "Lleida.net" or the "Company")

The information outlined in this report is an estimate of the LLEIDA.NET Income Statement for fiscal year 2017 which was prepared based on the unaudited accounting information made available to the Board of Directors. Therefore, this information does not in any way substitute or may be considered the equivalent of the annual financial information provided for by Circular 15/2016 MAB, which will be communicated within the term established in said Circular.

Relevant milestones:

  • - Cumulative sales amounted to 9.9 million euros, representing a growth in the 4Q17 of 17.2% and 22.7% in the fiscal year.

  • - The gross margin is almost one million euros higher than the previous year, standing at 52%, representing an increase of 24% over the previous year.

  • - The gross operating result (EBITDA) reached 1.3 million euros compared to 0.6 million euros in 2016. The EBITDA margin stands at 13.6% compared to 6.9% in the previous year.

  • - This increase in profitability has been possible even with the strengthening of the human, commercial and technical team, which has increased staff costs by 25%.

  • - The financial result reflects the debt reduction and exchange losses due to the USD depreciation

  • - For the first time since listed on the Alternative Stock Market of the Madrid Stock Exchange. (MAB), the benefit before taxes is positive. The BAI amounted to 52,000 euros compared to losses of 1.4 million euros in the previous year.

  • - This positive performance during the year 2017 has resulted in a net cash flow of 387,000 euros compared to 542,000 euros in 2016

FR:https://www.lleida.net/docs/inversores/fr/20180122_HRelev.pdf ZHhttps://www.lleida.net/docs/inversores/zh/20180122_HRelev.pdf

Consolidated Income Statement 4Q17 and 2017

´000 €

4Q 2016

4Q 2017

Var. %

2016

2017

Var. %

Sales

2,305

2,701

17,2%

8,054

9,880

22,7%

Sales costs

(923)

(1,328)

43,9%

(3,910)

(4,742)

21,3%

Gross Margin

1,382

1,373

-0,7%

4,144

5,138

24,0%

Gross Margin %

60,0%

50,8%

51,5%

52,0%

Personnel expenses

(543)

(647)

19,2%

(1,986)

(2,482)

25,0%

External services

(555)

(561)

1,1%

(1,951)

(2,093)

7,3%

Other results

(5)

11

-320,0%

(5)

29

680,0%

EBITDA

467

416

-10,9%

554

1,344

142,6%

EBITDA Margin %

20,3%

15,4%

6,9%

13,6%

Depreciation

(267)

(283)

6,0%

(1,142)

(1,078)

5,6%

Impairment and earnings for disposal

(174)

0

-100,0%

(655)

0

-100,0%

Ordinary activities results

26

133

408,2%

(1,243)

266

121,4%

Net Financial debt

(38)

(18)

-52,6%

(177)

(108)

39,0%

Exchange rate differences

(6)

(33)

450,0%

(6)

(106)

1666,7%

Earnings before Tax

(18)

82

n.s.

(1,426)

52

103,7%

  • - The turnover amounted to 9.9 million euros, with an increase of 23%. The increase in sales is due to new large accounts in all Lleida.net business lines.

  • - All business areas of the group have significant increases. Noteworthy is the increase in the relative weight of SaaS activities (Software as a Service), Registered Electronic Communications and Data Validation which already represent 27% of total sales, after a growth of 28% in the year.

  • - Lleida.net is consolidated as benchmark registered operator in Spain and as a relevant player in the digitalization process of the economy, providing legal legitimacy in these processes.

  • - Wholesale division maintains its growth rate with an increase in turnover of 42.5%. The commercial use of the SMS on a global basis remains high in the B2C segment, the opening rate by customers in the financial and consumer area is much higher than in other OTC communications.

´000 €

4Q 2016

4Q 2017

SAS services ( Registered electronic communications + Data validation) 680

Soluciones SMS

Soluciones ICX-WHOLESALE

Total

795 830 2,305

649 699 1,353 2,701

Var. % -4,6% -12,1% 63,0% 17,2%

2016

2017

Var. %

  • 9,880 22,7%

2,079 2,891 3,084 8,054

  • 2,659 27,9%

  • 2,827 -2,2%

  • 4,394 42,5%

EShttps://www.lleida.net/docs/inversores/es/20180122_HRelev.pdf FR:https://www.lleida.net/docs/inversores/fr/20180122_HRelev.pdf ZHhttps://www.lleida.net/docs/inversores/zh/20180122_HRelev.pdf

  • - The group's internationalization continues its development with the start of operations in Dubai and sales abroad, which already represent 46% of the group's total revenues.

    Geographical breakdown of sales

    SpainEuropeRest of the world

  • - Consistently, the monthly turnover in 2017 was higher than that obtained in the previous year.

FR:https://www.lleida.net/docs/inversores/fr/20180122_HRelev.pdf ZHhttps://www.lleida.net/docs/inversores/zh/20180122_HRelev.pdf

  • - EBITDA has more than double the figure obtained in 2016 to 1.3 million euros, reaching a margin of 13.6% of sales. This increase reflects the operating leverage of the group that is reaping the benefits of its investment in technological innovation and internationalization of its operations.

  • - In 2017 Lleida.net has obtained patents in Europe, the United States, Colombia, CGC, Colombia, China, Australia, Japan, New Zealand, Taiwan, Israel and South Africa and maintains its telecommunications operator licenses in Spain, USA, Great Britain, France and Colombia. Lleida.net has more than 360 interconnections thus reaching any operator worldwide, and positioning as one of the most competitive operators. The group has continued introducing improvements and new applications in its RIU products (Identity validation by videoconferencing for onboarding processes) and Connectaclick, which continues to incorporate technological improvements and new applications and whose new version will be showcased next February at the Mobile World Congress in Barcelona.

  • - As most relevant milestones, Lleida.net achieves positive benefit of 52,000 euros, representing an increase of 1.5 million euros and a positive cash generation of 387,000 euros, which will allow to intensify organic growth, the increasing internationalization and the analysis of possible inorganic growth pathways.

  • - Group financial debt amounted to 3.9 million euros compared to 5.1 million at the end of 2016. With a liquidity position of 1.5 million euros, the net debt of Lleida.net reaches 2.4 million euros.

EShttps://www.lleida.net/docs/inversores/es/20180122_HRelev.pdf FR:https://www.lleida.net/docs/inversores/fr/20180122_HRelev.pdf ZHhttps://www.lleida.net/docs/inversores/zh/20180122_HRelev.pdf

´000 €

2016

2017

LONG TERM DEBTS

1,924

1,158

debts to credit institutions

1,801

1028

creditors by finance lease

0

58

other financial liabilities

123

72

SHORT TERM DEBTS

3,185

2,796

debts to credit institutions

3,132

2728

creditors by finance lease

0

10

other financial liabilities

53

58

Total debt

5,109

3,954

SHORT TERM FINANCIAL INVESTMENTS

2,747

1,540

Sincerely, Lleida, 22 January 2018

LLEIDANETWORKS SERVEIS TELEMÀTICS, S.A.

Francisco Sapena Soler

CEO and Chairman of the Board of Directors

Lleidanetworks Serveis Telematics SA published this content on 22 January 2018 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 22 January 2018 08:29:04 UTC.

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