Kapsch TrafficCom: revised outlook, no dividend for 2020/21.
Based on initial indications for the second quarter the company expects no improvement of the revenue and earnings situation compared to the first quarter of financial year 2020/21.
Consequently, the operating result (EBIT) of the financial year will likely be clearly negative. A negative two-digit million value is expected. An important reason for this is COVID-19: Revenues in the profitable components business strongly suffer from decreased traffic volumes. In addition – in spite of some pleasing project wins – there are more delays in tender processes and the award of contracts. Catch-up effects in a relevant scale are expected not before the next financial year. Possible impairments of non-current assets cannot be ruled out for financial year 2020/21.
For the annual revenues, precise forecasts are also still difficult. Currently the company assumes a decline of 15 to 20%.
As a result of the expected clearly negative results, the current dividend policy is being suspended until further notice. No dividend shall be expected for financial year 2020/21.
Kapsch TrafficCom is a globally renowned provider of transportation solutions for sustainable mobility. Innovative solutions in the application fields of tolling, tolling services, traffic management and demand management contribute to a healthy world without congestion.
Kapsch has brought projects to fruition in more than 50 countries around the globe. With one-stop solutions, the company covers the entire value chain of customers, from components to design and implementation to the operation of systems.
As part of the Kapsch Group and headquartered in Vienna, Kapsch TrafficCom has subsidiaries and branches in more than 30 countries. It has been listed in the Prime Market segment of the Vienna Stock Exchange since 2007 (ticker symbol: KTCG). In its 2019/20 financial year, around 5,100 employees generated revenues of EUR 731.2 million.