ASMALLWORLD AG continues to grow profitably despite difficult market environment
ASMALLWORLD AG / Key word(s): Half Year Results Press release ASMALLWORLD AG (SWX:ASWN) continues to grow profitably despite difficult market environment Zurich, 27.08.2020 - Today, ASMALLWORLD AG announced its H1 2020 results. The company grew its revenue and maintained profitability despite a difficult market environment and ongoing investments in the ASMALLWORLD Collection, its online hotel booking engine. The operating cash flow improved significantly, to CHF 1.4M, while the member base increased by 11% to 60'821. ASMALLWORLD AG continues to grow profitably, despite a difficult market environment and significant investments in the ASMALLWORLD Collection, its online hotel booking engine, which launched in July 2020. For H1 2020, the company recorded revenues of CHF 5.9M, compared to CHF 5.7M in H1 2019, an increase of 4.4% year-on-year. Both its business segments, Subscriptions and Services, contributed to the growth with 2.1% and 8.2% respectively. ASMALLWORLD maintained its profitability and achieved an EBITDA of CHF 0.4M for the period, compared to CHF 0.5M in 2019. The net result came in at CHF 0.3M, on par with H1 2019, resulting in earnings per share of CHF 0.03. The company also significantly improved its operating cash flow to CHF 1.4M, from CHF -0.1M in H1 2019. The member base grew from 54'831 in June 2019 to 60'821, which represents an 11% increase. The company's cash position at the end of June 2020 was CHF 3.8M. "I am very proud that ASMALLWORLD continues to deliver profitable growth despite a difficult market environment while we invested heavily in the launch of the ASMALLWORLD Collection, our own hotel booking platform, which opens up an entire new revenue stream for us," comments ASMALLWORLD CEO Jan Luescher. Social network ASMALLWORLD focused on online events and premium memberships COVID-19 limited the activity and the revenue potential for ASMALLWORLD's event business. As a result, ASMALLWORLD pivoted from in-person events to new online event formats which have proven popular with members and which will become part of the permanent service offering going forward. Despite the difficult market environment, the ASMALLWORLD Prestige Membership, the company's higher priced membership, offered in partnership with Miles & More, the loyalty subsidiary of the Lufthansa group, experienced strong revenue growth in H1. The main driver was stronger interest in Business and First-Class flights in light of the health crisis, and the ability to purchase such flights with award miles. Profitability maintained despite investments into the ASMALLWORLD Collection During the first six months of 2020, ASMALLWORLD continued to invest in its travel & lifestyle platform and launched the 'ASMALLWORLD Collection,' its own hotel booking engine, in July 2020. Despite the required investments in the tech setup and operations, the company managed to keep costs under control and maintained profitability for the period. The 'ASMALLWORLD Collection' focuses exclusively on the world's best hotels and offers its customers the unique 'ASMALLWORLD Preferred Rate,' which includes extraordinary benefits like room upgrades, $100 food & beverage credits, and late check-outs. The launch of the 'ASMALLWORLD Collection' in July allows the company to further monetise its travel-savvy member base and is expected to become a key contributor to the company's growth going forward. Earnings call and further information ASMALLWORLD AG will hold a conference call later today to provide additional details and commentary for the 2020 H1 results. The call starts at 3pm CET. To participate in the call, please use the confirmation code 7837239 and the following dial-in numbers: Switzerland: +41 (0)43 550 0294 United Kingdom: +44 (0)20 8089 2860 Germany: +49 (0) 32 214219720 United States: +1 334-777-6978 The 2020 H1 Financial Report as well as the presentation for the 2020 H1 Earnings Call are available for download on the ASMALLWORLD AG website at: https://www.asmallworldag.com/financial-reports This press release and further information can be found at www.asmallworldag.com. Definition of EBITDA as alternative performance measure: Earnings before interest (including all financial income and expenses), taxes, depreciation, and amortization
The ASMALLWORLD Group ASMALLWORLD is the world's leading travel & lifestyle community, focusing on experiences, the modern-day definition of luxury. Centred around the ASMALLWORLD social network, the company operates a digital travel & lifestyle ecosystem which inspires members to travel better, experience more and make new connections. Members of the ASMALLWORLD social network connect through its app and website, where they can meet other members, book hotels, receive travel and lifestyle inspiration, and enjoy a wealth of travel privileges. Members also meet in person at over 1'000 global ASMALLWORLD events every year, ranging from casual get-togethers in major cities around the world to flagship weekend experiences hosted in iconic destinations such as Saint-Tropez and Gstaad. Other businesses of the ASMALLWORLD travel & lifestyle ecosystem include: ASMALLWORLD Collection, an online hotel booking engine focused on the world's best hotels, offering the unique "ASMALLWORLD Preferred Rate" (expected to go live in July 2020) ASMALLWORLD Private, a high-end travel agency offering personalised travel curation service ASW Hospitality, a hotel management company that operates and manages the iconic North Is-land resort in the Seychelles First Class & More, a subscription-based smart luxury travel service that allows members to enjoy luxury travel at insider prices The World's Finest Clubs, the world's leading nightlife concierge offers its members VIP access to the most exclusive nightlife venues around the world For more information, please visit: www.asmallworldhospitality.com Contact: ASMALLWORLD AG End of ad hoc announcement |
| Language: | English |
| Company: | ASMALLWORLD AG |
| Löwenstrasse 40 | |
| 8001 Zürich | |
| Switzerland | |
| ISIN: | CH0404880129 |
| Valor: | A2JE3W |
| Listed: | Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt, Stuttgart, Tradegate Exchange; SIX Swiss Exchange |
| EQS News ID: | 1123781 |
| End of Announcement | EQS Group News Service |