Turin, April 19, 2019. The Board of Directors of BasicNet S.p.A., in a meeting today chaired by Marco Boglione, reviewed the Group Q1 2019 commercial performance.

The consolidated commercial results for 2019 reported below reflect the effects from the acquisition of the French licensee, for the Kappa^® brands in France, UK, Switzerland, Spain and Portugal in the beginning of this year.  In summary:

• aggregate sales of Group products by the global Licensee Network as follows:

- commercial licensees of Euro 154.6 million in Q1 2018. +19% at current exchange rates, (+14.6% at like-for-like exchange rates) and

- productive licensees of Euro 57.6 million, Euro 53.5 million in Q1 2018, +7.7% at current exchange rates (unchanged at like-for-like exchange rates);

totalling Euro 241.6 million, compared to Euro 208.1 million in 2018, +16.1% at current exchange rates (+10.8% at like-for-like exchange rates), against which royalties and sourcing commissions matured of Euro 18.7 million by BasicNet and the brand licensees, up 10.4% on the same period of the previous year;

• strong growth across all markets: +36% in America, +13.4% in Europe, +17.1% in Asia and Oceania.  Major recovery for Middle East and African markets +56.3%;
• consolidated revenues, net of the inter-company items, reached Euro 74.6 million, with contributions from:

- royalties and sourcing commissions of Euro 12.9 million, and

- sales of the Italian licensee BasicItalia S.p.A. and of the French licensee of Euro 61.7 million.

For comparability with 2018, the key commercial indicators are compared below at like-for-like consolidation scope, i.e. without the contribution of the Kappa Europe Group: 

• consolidated revenues amounted to Euro 62.6 million, up 16.5% at current exchange rates (+15.9% at like-for-like exchange rates), on the basis of:

- royalties and sourcing commissions of Euro 14.3 million, +7.4% at current exchange rates (+4.8% at like-for-like exchange rates), compared to Euro 13.3 million in Q1 2018;

- direct sales of the Italian licensee BasicItalia S.p.A. amount to Euro 48.3 million, growth of 19.5% on Euro 40.4 million for Q1 2018. 

Outlook

In general, Group operating results are expected to be strong in the first half of the year based on the order book and expected royalties and sourcing commissions.

(*) figure includes the consolidation of the Kappa Europe Group, acquired for 61% in January 2019

 

In relation to the “alternative performance indicators�, as defined by CESR/05-178b recommendation and Consob Communication DEM/6064293 of July 28, 2006, we provide below a definition of the indicators used in this press release:

 

 

The Executive Officer for Financial Reporting Mr. Paolo Cafasso declares in accordance with Article 154-bis, paragraph 2, of the Consolidated Finance Act that the accounting information contained in the present press release corresponds to the underlying accounting documents, records and accounting entries.