SYGNIS reports nine month results for the period ended 30 September 2013
- Operating result improved by 65%
- Significant decrease of expenses by 46%
- New funds of €2.7 million raised
- Registration of Capital increase completed
Madrid/Heidelberg, 14 November 2013 – SYGNIS AG (Frankfurt: LIO1; ISIN: DE000A1RFM03; Prime Standard) today reported results for the first nine months ended 30 September 2013. Due to the business combination completed in December 2012, the new SYGNIS includes the total income and expenses of X-Pol and old SYGNIS for 9M 2013 and only those of X-Pol in the prior-year period, due to accounting requirements based on the reverse acquisition. Thus the comparability of the financial results reported for the first nine months 2013 with the corresponding prior-year data is very limited.
Adjusted for this effect, i.e. assuming that the income and expenses of both parts of the business would have been fully taken into account already in 9M 2012, the pro forma comparison of periods shows that cost savings measures have led to a significant decrease in total costs and expenses by 46% to €3.2 million (pro forma 9M 2012: €5.9 million). Excluding non-recurring expenses of €0.5 million, the decrease of expenses would have been more than 50%. Revenues remained at €0.4 million and the operating result (EBIT) improved by 65% to -€2.8 million (pro forma 9M 2012: -€8.1 million).
In the first nine months of 2013, the reported loss for the period was -€2.8 million (previous year: -€1.8 million). Operating expenses for the first nine months totaled €3.2 million (previous year: €0.9 million).
In the first nine months of the current fiscal year, the liquidity level decreased overall by €0.5 million to €0.1 million. The cash need during the nine months period was mainly covered by a shareholder loan of €0.7 million and a new investor loan of €0.6 million granted in March 2013 and July 2013 respectively
At the beginning of July 2013 SYGNIS was granted a new loan for a total amount of €0.6 million by a group of international investors. The loan amount was fully paid out at the end of September 2013.
At the Annual General Meeting of SYGNIS held end of August 2013 shareholders representing about 94% of the capital approved all proposals of the Management. Main decisions were related to the discharge of the members of the Supervisory and the Management Board for the past Fiscal Year, the election of new members of the Supervisory Board, the change of the trade name of the Company, as well as the creation of new authorised capital.
In addition, the Management Board, with the approval of the Supervisory Board, has resolved to increase the Company’s share capital by issuing new shares. The Company successfully completed a rights offering and private placement in October 2013. Upon registration of the capital increase with the Commercial Register (“Handelsregister”), the Company’s share capital increased from € 9,364,258.00 to € 10,383,567.00 by issuing 1,019,309 new shares. SYGNIS raised gross proceeds of €2.7 million with this transaction.
Pilar de la Huerta, CEO / CFO, commented: “In the past three months the company achieved important operational and financial milestones. Following our loan agreements with shareholders and new investors and a successful rights offering and private placement in October, the Company now is well financed to meet major milestones in 2014 and beyond.”
In the remaining quarter of the current fiscal year, SYGNIS expects first revenues from product sales. Due to the current operating expenses and extraordinary burdens from restructuring measures, the fiscal year 2013 will still show a loss. However, the Company assumes that the implemented cost saving measures will continue to have significant effects in the remaining quarter. With the additional funds from the capital increase just completed, on the basis of the current business plan assumptions the Company assumes that financing is given until break-even, which is planned at the end of fiscal year 2014.
|Figures for the nine months ended 30 September 2013 and comparative figures in accordance with IFRS and pro forma figures (9M 2012 pro forma information includes SYGNIS old and X-Pol)
|[Numbers in € million]
|Impairment of assets
|Net results for the period
|Operating Cash Flow
|Liquidity as of 30 September
The interim report for the first nine months, ended 30 September 2013, is available at www.sygnis.de
Press Release as PDF
For further information please contact:
Pilar de la Huerta, CEO/CFO