Business
Half-year Report
Half-year Report.
About this update from W.a.g. Payment Solutions Plc
[{"type":"text","content":"\n\n7 September 2023\n \nW.A.G payment solutions plc (\"Eurowag\" or the \"Group\")\nInterim results for the six months ended 30 June 2023\nRobust growth despite macro pressures, large-scale digital transformation continues\n \nW.A.G payment solutions plc (\"Eurowag\" or the \"Group\"), today announces its interim results for the six-month period ended 30 June 2023.\n \nH1 financial highlights\n \n· Net revenue1 up 36.9% year-on-year to €119.1m, with organic growth2 of 14.4%.\n- Payment solutions revenue1 grew by 14.1% year-on-year to €72.4m, with organic growth2 of 12.5%. Economic headwinds have impacted the Commercial Road Transport (\"CRT\") industry, with fewer kilometres driven.\n- Mobility solutions revenue1 grew 98.6% year-on-year to €46.7m, with organic growth2 of 19.9%; reflecting strong sales across all our mobility products.\n· Adjusted EBITDA1 up 43.5% year-on-year to €50.2m, with margin1 of 42.2%, reflecting the impact of acquisitions. Organic adjusted EBITDA1 up 21.6% to €42.6m, with margins at 43.3% (H1 2022: 40.7%); Excluding the benefit from the foreign exchange gain as a result of our prudent currency risk management3, organic adjusted EBITDA was €36.6m.\n· Transformational capex of €11.7m and ordinary capex of €12.9m, with our transformational programme on track to finish at the end of the year, in-line with guidance.\n· On a statutory basis, profit before tax was €8.5m, a decrease of 36.7% year-on-year; due to higher depreciation from our transformational capital expenditure programme, the inclusion of our new acquisitions, and higher interest costs following the acquisition of Grupa Inelo S.A. (\"Inelo\").\n· Net debt position of €300.9m (H1 2022: cash position of €28.7m); leverage increased as expected to 2.9x net debt to adjusted EBITDA4. \n \nMartin Vohánka, Founder and CEO, commented:\n \n\"We delivered strong double-digit organic growth in the first half of the year. This was in spite of the macroeconomic headwinds across Europe which are impacting the CRT industry through a notable slowdown in freight demand, in turn delivering a reduction in kilometres driven. Our performance against this backdrop continues to demonstrate the resilience of our business model w...