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CTS EVENTIM AG (FRA:EVD) CTS EVENTIM rigorously reinforces its future viability during the first nine months of 2020

Directive transparence : information réglementée

19/11/2020 07:30

DGAP-News: CTS Eventim AG & Co. KGaA / Key word(s): 9 Month figures
CTS EVENTIM rigorously reinforces its future viability during the first nine months of 2020

19.11.2020 / 07:30
The issuer is solely responsible for the content of this announcement.


PRESS RELEASE

CTS EVENTIM rigorously reinforces its future viability during the first nine months of 2020

  • Cost management mitigates impacts of lower revenue: normalised EBITDA at minus 17.7 million Euro
  • Solid financial foundation underpinned by around 800 million Euro in cash and cash equivalents
  • Focus on new technologies, partnerships and management personnel
  • Strategic partnerships concluded with European Handball Federation and first- and second-division Bundesliga clubs
  • Powerful software solutions for combatting the coronavirus pandemic
  • CEO Schulenberg: 'We are banking on our strengths in technology and industry know-how'

Munich, 19 November 2020. New technologies, robust partnerships, strong leadership - CTS EVENTIM, one of the leading international providers of ticketing services and live entertainment, has used the first nine months of 2020 to rigorously reinforce its future viability, in the midst of the coronavirus crisis. 'We have been convinced since the outbreak of the pandemic that the stresses imposed on our company must be seen as a trial of our strengths. That is the basis on which we act. There is no such thing as standstill', said Klaus-Peter Schulenberg, the CEO of CTS EVENTIM, on presentation of the performance figures for the first nine months of the 2020 financial year.

These show that Group revenues for the January to September 2020 period fell 78.7 percent year-on-year to EUR 228.7 million (Q1-3/2019: EUR 1.074 billion). Thanks to strict cost management and income from insurance compensation, the normalised EBITDA figure came in at EUR -17.7 million (Q1-3/2019: EUR 177.0 million). Group revenues in the third quarter of 2020 were 92.0 percent lower year-on-year, at EUR 30.2 million (Q3/2019: EUR 378.0 million). Normalised EBITDA amounted to EUR -15.0 million (Q3/2019: EUR 65.2 million).

Revenue in the Ticketing segment for the first nine months of 2020 was 65.1 percent lower year-on-year, at EUR 107.2 million (Q1-3/2019: EUR 306.9 million). Normalised EBITDA fell year-on-year from EUR 119.2 million to EUR -12.7 million. In the third quarter of 2020, revenue fell 82.4 percent from EUR 106.6 million to EUR 18.7 million, while normalised EBITDA came in at EUR -11.3 million (Q3/2019: EUR 44.8 million).

In the Live Entertainment segment, revenue in the first nine months of 2020 was 83.7 percent lower year-on-year, at EUR 127,3 million (Q1-3/2019: EUR 781.4 million). Normalised EBITDA amounted to EUR -5.1 million (Q1-3/2019: EUR 57.8 million). This includes EUR 43.3 million in income from insurance compensation. In the third quarter of 2020, revenues fell 95.5 percent from EUR 276.9 million to EUR 12.4 million. Normalised EBITDA was EUR -3.7 million (Q3/2019: EUR 20.4 million).

CTS EVENTIM responded promptly to the pandemic by adjusting its cost structure and boosting its efficiency to save a double-digit million figure. Investments were also reduced to a minimum. In key European markets, CTS EVENTIM is safeguarding further liquidity by implementing promoter voucher schemes. As per 30 September 2020, total cash and cash equivalents amounted to EUR 798.7 million.

In spring 2020, bans and conditions imposed by government authorities largely put a stop to live entertainment in Germany and on all international markets. It is currently unforeseeable when major events can restart to a normal degree.

'In the midst of this crisis, especially, we continue to bank on our strengths, namely technology and industry know-how. This is how we continue to convince our customers both new and existing', Klaus-Peter Schulenberg emphasises.

As an example, CTS EVENTIM and the European Handball Federation (EHF) concluded a far-reaching strategic partnership that makes CTS EVENTIM the official ticketing partner for the 2022 and 2024 European Handball Championships. Following Europe-wide competitive bidding, technologies, marketing strength and expertise were the decisive factors for awarding the contract. For the EHF, the partnership marks another milestone in its digitalisation strategy.

EVENTIM Sports, the specialist for the sports market, also inked long-term partnership deals for ticketing and other services with two traditional football clubs - Werder Bremen and Hannover 96. For their ticket sales, both clubs have put their faith in EVENTIM.Tixx, the intuitive software platform that can also be used on the move. These long-term partnerships also include extensive integration of ticketing into the IT systems of first- and second-division Bundesliga clubs.

With its powerful and efficient software solutions, CTS EVENTIM also supports event promoters and audiences in the battle against the coronavirus. Specially engineered functions help users comply with statutory requirements at events and protect the health of visitors. Maintaining minimum distancing and logging visitor data are the prime focus.

As from January 2021, Matt Schwarz, former Chief Operating Officer and Managing Director of Live Nation GSA, and CTS EVENTIM will be joining forces. Schwarz will then take command of eventimpresents (formerly the Marek Lieberberg Konzertagentur), the organiser of the long-established 'Rock am Ring' and 'Rock im Park' festivals. For EVENTIM LIVE, CTS EVENTIM's unified promoter network, Matt Schwarz will focus in particular on acquiring attractive national and international tours and shows.

Outlook for 2020
Given the major uncertainties that continue to surround the future course of the coronavirus crisis and its impacts on the 2020 financial year, the management is still of the opinion that it is impossible to provide a definite forecast for the year as a whole. It was for that reason that it withdrew its forecast for the 2020 financial year as early as 3 April 2020. As was communicated at that time, the Management Board expects revenue and earnings in 2020 to be significantly lower year-on-year in the Ticketing and Live Entertainment segments.

The quarterly Group report on business performance in the first nine months of 2020 will be available on the Internet for download at corporate.eventim.de when this press release is published.

About CTS EVENTIM
CTS EVENTIM is one of the leading international providers of ticketing services and live entertainment. In 2019, around 250 million tickets were marketed using the company's systems - be it through stationary box offices, online or from mobile terminals. Its online portals operate under brands such as eventim.de, oeticket.com, ticketcorner.ch, ticketone.it and entradas.com. The EVENTIM Group also includes many concert, tour and festival promoter companies for events like 'Rock am Ring', 'Rock im Park', 'Hurricane', 'Southside' and 'Lucca Summer'. In addition, some of Europe's most renowned venues are operated by CTS EVENTIM, for example the LANXESS Arena in Cologne, the K.B. Hallen in Copenhagen, the Waldbühne in Berlin and the EVENTIM Apollo in London. CTS Eventim AG & Co. KGaA (ISIN DE 0005470306) has been listed on the stock exchange since 2000 and is currently a member of the MDAX segment. In 2019, its 3,202-strong workforce generated more than 1.4 billion Euro in sales revenue in 21 countries.

Head of Corporate Communications:
Frank Brandmaier
Tel.: +49 40 380788-7299
frank.brandmaier@eventim.de

Investor Relations:
Marco Haeckermann
Vice President Corporate Development & Strategy
Tel.: +49,421.3666.270
marco.haeckermann@eventim.de



19.11.2020 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
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Language: English
Company: CTS Eventim AG & Co. KGaA
Rablstr. 26
81669 München
Germany
Phone: 0421/ 3666-0
Fax: 0421/ 3666-290
E-mail: info@eventim.de
Internet: www.eventim.de
ISIN: DE0005470306
WKN: 547030
Indices: MDAX
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
EQS News ID: 1149240

 
End of News DGAP News Service

1149240  19.11.2020 

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