Press

Dr. Michael Blum und Volker Schneble bilden die Geschäftsführung der Betreibergesellschaft zur Erhebung der deutschen Infrastrukturabgabe („Pkw-Maut“).

Kapsch TrafficCom informiert, dass Herr Dr. Alexander Lewald, Chief Technology Officer (CTO), das Unternehmen Ende April 2019 einvernehmlich verlassen wird.

Kapsch TrafficCom und sein Partner EVOCON erhielten bei einer Ausschreibung den Zuschlag für die Lieferung der Komplettlösung für urbanes Mobilitätsmanagement.

Das dritte Quartal 2018/19 war für Kapsch TrafficCom sehr erfolgreich. Wir erzielten den höchsten Quartalsumsatz in der Konzerngeschichte.

The German Federal Ministry of Transport and Digital Infrastructure as the responsible contracting authority has informed Kapsch TrafficCom AG and CTS EVENTIM AG & Co. KGaA about its intention to award the contract regarding the collection of the German infrastructure charge (“passenger vehicle toll”) to a joint consortium of both companies. Kapsch TrafficCom and CTS EVENTIM have taken part in the EU-wide tender for this project. The operating company shall be a joint venture in which both companies hold an equal stake of 50% and which is expected to be consolidated at equity. According to the regular time frames of German procurement law for the required notification of the losing bidders, the award of the contract is not possible before December 30, 2018. Should a losing bidder make use of their legal protection rights and, thus cause a prohibition of the award, the outcome of the legal proceedings under public procurement law would need to be further waited for. The contract between the Federal Republic of Germany and the operating company commences with the binding statement of award and has a base term of twelve years starting with the first collection of the infrastructure charge. The principal can extend the contract once for three years or three times by one year (hence, up to a total term of 15 years). For the operating company (i.e. the joint venture), the total volume throughout the minimum term of the contract amounts to almost EUR 2 billion (including VAT).

Highlights. “After disappointing first three months we managed to achieve a significant improvement in the second quarter of the current fiscal year. That we are heading in the right direction is also demonstrated by the various new orders that we have announced in the last few weeks. And we are working hard to report further major successes by the end of the fiscal year“, says Georg Kapsch, CEO of Kapsch TrafficCom. Unless otherwise stated, all values in EUR million Q2 2017/18 Q2 2018/19 +/- H1 2017/18 H1 2018/19 +/- Revenues 175.6 177.6   +1.2% 339.8 335.8   -1.2% EBIT   13.5   10.7 -21.1%   25.3   17.8 -29.5%     EBIT margin        7.7%        6.0%     -1.7%p        7.4%        5.3%     -2.1%p Profit for the period    7.5    5.9 -21.0%   14.1     8.4 -40.4% Earnings per share (EUR)       0.58       0.49 -15.7%       1.10       0.70 -36.8% Vienna, November 21, 2018  – In the first half of the current fiscal year, Kapsch TrafficCom’s revenues reached EUR 335.8 million, an amount slightly (-1.2%) below the previous year’s level. The EBIT amounted to EUR 17.8 million (-29.5%) and the EBIT margin decreased from 7.4% to 5.3%. Like the first quarter as a whole, the beginning of the second quarter was still influenced by deferments within existing implementation projects (ETC segment). After a traditionally calm August, a good September helped us achieve quarterly revenues 12.3% above the figure for the first three months of the fiscal year and at the level of the comparable quarter of the previous year. The result from operating activities (EBIT) rose sequentially by 50.3%, but was EUR 2.9 million lower than in the second quarter 2017/18. The financial result in the first half of 2018/19 remained stable compared with the same period of the previous year. Tax expenses fell to EUR 3.6 million (previous year: EUR 4.7 million) due to the lower pre-tax earnings. In the first half of 2018/19, the profit for the period amounted to EUR 8.4 million (previous year: EUR 14.1 million), which corresponds to earnings per share of EUR 0.70 (previous year: EUR 1.10). The free cash flow of EUR -16.9 million (previous year: EUR -1.0 million) reflected the weaker operating results and the more than double increase in working capital. As a consequence of this and due to the dividend distribution of EUR 19.5 million, net debt rose to EUR 31.7 million (March 31, 2018: net cash of EUR 16.2 million). This corresponds to a gearing ratio of 14.4%. The equity ratio remained strong at 35.9% (March 31, 2018: 37.0%). The balance sheet total amounted to EUR 614.6 million (March 31, 2018: EUR 621.1 million). Segment results. In the first half of 2018/19, 78.1% of the revenues were attributed to the ETC segment and 21.9% to the IMS segment. ETC (Electronic toll collection). Unless otherwise stated, all values in EUR million Q2 2017/18 Q2 2018/19 +/- H1 2017/18 H1 2018/19 +/- Revenues 137.4 142.6 +3.8% 260.7 262.1   +0.5% EBIT   17.4   17.8 +2.2%   32.1   24.8 -22.7%     EBIT margin      12.7%      12.5%    -0.2%p      12.3%        9.5%     -2.8%p In the second quarter 2018/19, Kapsch TrafficCom succeeded in increasing ETC-revenues by 19.2% compared with the first three months to EUR 142.6 million. The EBIT margin reached 12.5% and was at previous year’s level. In the first half of the year, ETC revenues rose by 0.5% to EUR 262.1 million. Kapsch TrafficCom managed to offset an 9.0% decline in revenues in the EMEA region by a rise in revenues in the Americas (+17.7%) and APAC (+44.0%). Primarily as a consequence of the relatively weak results of the first quarter, the ETC-EBIT of EUR 24.8 million was 22.7% lower than in the previous year. In the first half of 2018/19, Kapsch TrafficCom sold 6.77 million on-board units (previous year: 5.85 million). IMS (Intelligent mobility solutions). Unless otherwise stated, all values in EUR million Q2 2017/18 Q2 2018/19 +/- H1 2017/18 H! 2018/19 +/- Revenues 38.2 35.0   -8.2% 79.1 73.7 -6.8% EBIT  -3.9  -7.1 -83.0%  -6.8  -7.0 -2.8%     EBIT margin   -10.2%   -20.4%   -10.2%p     -8.6%     -9.5%   -0.9%p In the second quarter 2018/19, IMS-revenues fell to EUR 35.0 million (-9.3% compared to the first three months). After a slightly positive EBIT in the first quarter (EUR 0.1 million), the company had to accept an operating loss of EUR 7.1 million in this segment in the second quarter. The segment’s revenues for the first half of 2018/19 amounted to EUR 73.7 million (-6.8%). Decreases in revenues were recorded in all regions. While operations revenues increased by 0.4% the implementation revenues fell by 14.9%. IMS-EBIT in the first half of 2018/19 amounted to EUR -7.0 million (previous year: EUR -6.8 million). The investment in Intelligent Mobility Solutions Ltd. in Zambia, which is fully consolidated from September 2018, had a negative impact on EBIT, primarily due to currency losses. In addition, operating losses in the business area Smart Urban Mobility as well as adjustments to profit margins on several existing projects contributed to the result Outlook. Despite already winning numerous and in some cases substantial projects in the current financial year, Kapsch TrafficCom continues to work intensively on exciting opportunities. The management expects to reach revenues and EBIT for the current fiscal year to reach the previous year’s level. Naturally, any currency and special effects are not taken into account. The departure of the United Kingdom from the EU (Brexit) in spring 2019 should not have a significant impact on Kapsch TrafficCom’s results. The company’s local revenues there are in the single-digit million range. The report on the first half of fiscal year 2018/19 is available here .

Kapsch TrafficCom has taken part in the tender “planning, development, implementation, operation and maintenance of the automated ISA enforcement system (automatic enforcement)” for the enforcement of the German infrastructure charge (passenger car toll). The responsible contracting authority has informed Kapsch TrafficCom of its intention to award the contract to MTS Maut & Telematik Services GmbH, a 100% subsidiary of Kapsch TrafficCom AG. According to the regular time frames of German procurement law for the required notification of the losing bidders, the award is not possible before October 22, 2018. In addition, should the losing bidders make use of their legal protection rights which would cause a prohibition of the award, the outcome of the legal proceedings under public procurement law would need to be further waited for. The contract has a base term of twelve years starting with the first collection of the infrastructure charge. The Federal Republic of Germany can extend the contract once for three years or three times by one year (hence, up to a total term of 15 years). Furthermore the Federal Republic of Germany has the option on additional deliverables. Depending on the extent of additional deliverables to be supplied, the order volume can be in the range of (for the total term) less than EUR 100 million up to EUR 120 million. While legal ownership on the toll enforcement equipment is transferred to the Federal Republic of Germany at the time of installation, commercial ownership remains with Kapsch TrafficCom Group until the end of the contract. The enforcement of toll infringements is not within the scope of the contract and will be performed by the responsible German authorities or separately commissioned third parties.

Highlights. “Although the results of the first quarter are weaker than initially expected I remain optimistic about the future. We have not lost any significant orders, but there have been differences between the planned and current project progress in some projects for various reasons – which were sometimes beyond our control. The order situation remains positive and we also expect decisions on the awarding of a number of major projects“, said Georg Kapsch, CEO of Kapsch TrafficCom. Unless otherwise stated, all values in EUR million Q1 2017/18 Q1 2018/19 +/- Revenues 164.3 158.2   -3.7% EBIT   11.7    7.1 -39.3%     EBIT margin        7.1%        4.5%     -2.6%p Earnings for the period    6.6    2.5 -62.3% Earnings per share (EUR)       0.52       0.21 -60.3% Vienna, August 23, 2018  – The final earnings for the first quarter of fiscal year 2018/19 were published by Kapsch TrafficCom today and hardly deviate from the preliminary revenues and operating result (EBIT) announced on July 24, 2018. It was primarily delays in existing implementation projects (ETC segment) that caused revenues in the first quarter of 2018/19 to decline by 3.7% to EUR 158.2 million as compared to this period in the previous year. Since the contribution margins have also not yet been included in the results as planned, EBIT fell by 39.2% to EUR 7.1 million. This corresponds to an EBIT margin of 4.5%. The project business accounts for a significant portion of Kapsch TrafficCom’s revenues (more than 25% in Q1 2018/19). It can occasionally happen that project milestones are reached in a different quarter than planned. Sometimes even a short delay (beyond the end of the reporting period) is enough to cause shifts between quarters. Furthermore, higher currency losses in the financial result and income taxes led to a decline of more than 60% in the result for the period and to earnings per share of EUR 0.21. Segment results. In Q1 2018/19, 75.6% of the revenues were attributed to the ETC segment and 24.4% to the IMS segment. ETC (Electronic toll collection). Unless otherwise stated, all values in EUR million Q1 2017/18 Q1 2018/19 +/- Revenues 123.4 119.6   -3.1% EBIT   14.6    7.0 -52.3%     EBIT margin      11.9%       5.8%     -6.0%p Revenues in the ETC segment totaled EUR 119.6 million (-3.1%) and the EBIT reached EUR 7.0 million (52.3%). Since approximately 67% of Kapsch TrafficCom’s total revenues were generated in the EMEA region, a 7.4% drop in revenues could not be offset by revenue increases in the regions of the Americas (+3.7%) and in the APAC region (+19.7%). The 3.3 million on-board units sold in the first quarter set a new record. IMS (Intelligent mobility solutions). Unless otherwise stated, all values in EUR million Q1 2017/18 Q1 2018/19 +/- Revenues 40.9 38.6 -5.7% EBIT  -2.9   0.1 n.a.     EBIT margin     -7.1%      0.3%  +7.5%p Revenues in the IMS segment decreased by 5.7% to EUR 38.6 million. While revenues in the EMEA region increased (+8.9%), they fell in the region of the Americas (-17.8%) and in the APAC region (-46.7%). The IMS EBIT was positive for the second quarter in a row (EUR 0.1 million). Free cash flow and balance sheet. As a consequence of the lower earnings and changes in working capital, the free cash flow in the first quarter amounted to EUR -12.2 million (Q1 2017/18: EUR -4.3 million). The balance sheet continues to be strong – with an equity ratio of 37.6% as of June 31, 2018, exceeding the value as of March 31, 2018 (37.0%). A net debt of EUR 5.8 million (March 31, 2018: net cash of EUR 16.2 million) corresponds to a gearing ratio of 2.5%. Kapsch TrafficCom had total assets of EUR 614.8 million as of June 30, 2018 (March 31, 2018: EUR 621.1 million). Event after the end of the quarter. Kapsch TrafficCom increased its shareholding in Intelligent Mobility Solutions Ltd., a joint venture in Zambia, to 51% already in May 2018. In August 2018, the shareholders agreement was adapted giving Kapsch TrafficCom control over the joint venture so that it will be fully consolidated going forward. The report on the first quarter of the fiscal year 2018/19 is available here .

Vienna, July 24, 2018  – Based on preliminary data, Kapsch TrafficCom announces that revenues and operating result (EBIT) of the first quarter 2018/19 are expected below plan. Revenues of about EUR 158 million and EBIT of about EUR 7 million are expected. Based on these lower than expected values, the company lowers the outlook for the current fiscal year 2018/19. Revenues and EBIT should reach previous year’s levels (revenues: EUR 693 million, EBIT: EUR 50 million). Initially a growth of 10% was forecasted for both figures. The main reason for the weaker results of the first quarter 2018/19 are deferments in certain existing projects. As a consequence, revenues and earnings for these projects budgeted in the current fiscal year could be deferred into the next fiscal year. The general order situation of the company remains positive. The results of Kapsch TrafficCom for the first quarter 2018/19 will be published on August 23, 2018.