Columbus continues solid progress
In the first half of 2016, Columbus delivers 8% revenue increase and improves earnings by 70%. The services business and acquisitions are driving the progress.
Ballerup, 2016-08-25 09:41 CEST (GLOBE NEWSWIRE) -- Copenhagen, Denmark — 25 August 2016 — Columbus (OMX:COLUM): Columbus A/S has today published the Interim Report for first half of 2016, and announces solid growth in the Group.
The global consultancy realizes a revenue of DKK 595m in the first half of 2016, corresponding to an increase of 8% compared to the same period last year. Earnings (EBITDA*) increased by 70% to DKK 66.8m. The services business and acquisitions are driving the progress.
"We continue the positive progress and can announce overall growth. I am especially satisfied with the result in our services business, as the services business represents the largest business unit and at the same time creates high value for our customers", says CEO & President in Columbus, Thomas Honoré.
The revenue growth is further affected by the impact of acquisitions made in 2015 and 2016. In 2016, Columbus acquired two companies: the Danish cloud- and hosting company SystemHosting and the US ERP-company CSG. In 2015, Columbus acquired four companies.
Strong growth in Columbus' services business
Columbus' services business delivers 10% revenue growth in the first half of the year. At the same time earnings (EBITDA) increased from DKK 11.5m to DKK 35.8m. The main reason for the growth is the improvement in productivity and increased sale of projects. Columbus' US and Norwegian subsidaries deliver the largest progress.
Columbus Software delivers stable progress
Columbus' software business, which develops and sells business solutions, shows stable progress. In first half of 2016, the sale of Columbus Software grew by 9%. Compared to a growth of 57% in 2015, the progress in the first half of 2016 is satisfying.
"2015 was a very strong software year for Columbus, and that means that we are now seeing the effect on revenue in subscriptions, which increased by 28% in 2016. Subscriptions are recurring revenue, and create stability and predictability in our business", says Thomas Honoré.
Columbus maintains expectations to 2016
Columbus maintains the announced expectations to 2016 and thus expects revenues in the level of DKK 1.2bn and EBITDA* in the level of DKK 124m.
Columbus2020 — towards growth
In March, Columbus annonced the five-year strategy Columbus2020 with the clear purpose of being the preferred business partner, that helps our customers increasing the value of their ERP investment and leads them in the digital transformation of their business. Columbus2020 focuses on four strategic elements; Customer Success, Digital Leadership, Process Excellence and Our People.
*EBITDA før aktiebaseret aflønning
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