PresseBox
Pressemitteilung BoxID: 235152 (Getronics Germany GmbH)
  • Getronics Germany GmbH
  • Martin-Behaim-Str. 4a
  • 63263 Neu-Isenburg
  • http://www.getronics.de
  • Ansprechpartner
  • +49 (6221) 90574-23

Revenues and other income in Q4 of EUR 449m

(PresseBox) (Raunheim, ) In Q4 2008, Getronics' revenues and other income amounted to EUR 449m. Revenues in the Benelux for the ongoing operations showed a slight decrease in Q4 in line with expectations, whilst for FY 2008 the Benelux reported a slight increase. Compared to Q3 2008, revenues were EUR 16m lower, primarily due to the divestment of North America on 20 August 2008 and Business Application Services on 1 December 2008. In 2008, total revenues and other income amounted to EUR 1,933m compared to EUR 488m in 2007 (Getronics was consolidated from 23 October 2007). The underlying revenue trend is solid for the Dutch businesses of Workspace Management Services, Data Center & Hosting Services and Consulting.

EBITDA impacted by restructuring and integration costs

Q4 EBITDA amounted to EUR 3m including EUR 27m restructuring and integration costs. Furthermore, EBITDA was negatively influenced by a EUR 17m provision for superfluous office rental contracts in the Netherlands. This is part of the new facilities plan, of which execution will start in Q1 2009. This plan is expected to bring in annual savings of over EUR 15m. Despite EUR 56m restructuring and integration costs, Getronics generated EUR 79m of EBITDA in 2008. Contributions to the full-year EBITDA came from the Business Application Services, the Data Center & Hosting as well as the Consulting businesses in the Netherlands. Furthermore additional cost savings and synergy benefits had a positive impact on profitability.

Businesses classified as held for sale

Business Solutions for Local Governments and Healthcare (sale announced on 1 December 2008) and Document Services, both based in the Netherlands, have been classified as held for sale in the consolidated balance sheet as at 31 December 2008. Please refer to Appendix K for further details.

Operating review

Getronics overall performing according to plan

Operational performance of the core businesses in the Benelux showed a solid trend and has not been materially impacted by the economic downturn in 2008. Taking into account normal seasonality, the consulting and global services business continued to improve its profitability. Integration preparations are on track, in anticipation of the transfer of a large part of the Business Segment activities to Getronics as from January 2009. Led by a new management team, the UK business initiated its turnaround in Q3 and has shown promising results in Q4 2008.

Several large contract wins are highlighting the strong pipeline

Getronics concluded a number of large contracts in Q4. In December Getronics signed a major agreement to provide services to EDS, an HP Company, as part of their global agreement with Shell. The total contract value amounts to EUR 133m for a duration of 4.5 years. Several Dutch Government contracts were renewed with a total value of more than EUR 40m. In Belgium a number of large deals for the European Commission were won. Furthermore an international deal with a large financial institution for desktop services was extended for the value of EUR 40m. Overall, the pipeline for Getronics' ongoing operations continues to grow.

Reduced risk profile after disposals

The completion of the divestments of both North America and Business Application Services is an important milestone for Getronics in realizing its strategy to focus on growth in its core business. After the disposal program, Getronics has a reduced risk profile and is well-positioned to further execute its strategy of becoming the Benelux market leader in workspace management and growing in global workspace management.

Integration of Getronics with large part of Business market activities in H1 2009

As from 1 January 2009, Corporate Solutions, Enterprise Communication Solutions and Application Management Services, will transfer to Getronics. This represents approximately EUR 800-900m in annual revenues. Together with the integration of the marketing and sales department, which took place in the summer of 2008, Getronics expects to realize some EUR 50m of synergies from 2009 onwards.