DGAP-News: ARAGON AG / Key word(s): Preliminary Results
ARAGON AG: Aragon reports record results for 2010 - Increase of
revenues by 57% to EUR 109m
02.03.2011 / 11:15
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- Aragon reports record results for 2010
- Increase of revenues by 57% to EUR 109m
- Increase in assets under administration, brokers, and customers
- EBIT rises to EUR 2.3m despite acquisition-related one-off expenses
following pre-year loss
- Optimistic outlook for 2011: Revenues of EUR 130m-150m anticipated
- Targets for 2014: Revenues exceeding EUR 200m; >10 percent EBIT
margin
Aragon AG, one of the leading providers of financial services in Germany,
has today published the unaudited preliminary results for the fourth
quarter and the financial year 2010 according to the international
accounting standards IFRS.
Aragon reports record results for 2010
Despite an ongoing difficult market environment for financial services in
the fourth quarter of 2010, Aragon continued to pursue its record-breaking
development, reporting the quarter with the strongest sales volume and,
consequently, the best annual sales results in the company's history (pro
forma biw at equity). 2010 revenues rose by roughly 57 percent to EUR 109m
(2009: EUR 69.4m). Earnings before interest, tax, and depreciation (EBITDA)
improved significantly in 2010 to EUR 4.0m (2009: EUR 0.2m). Earnings
before interest and tax (EBIT) climbed by approximately EUR 3.6m to EUR
2.3m in 2010 (2009: minus EUR 1.4m). After adjustments for one-off effects
resulting from the acquisition of FiNUM.FINANZHAUS GmbH and Scopia AG,
Aragon AG's earnings before interest, tax, and depreciation (EBITDA) for
the full business year 2010 amounted to EUR 5.7m, with EBIT at EUR 4.0m.
The other key operating figures of Aragon AG also experienced a positive
development in 2010: Product sales soared to the historic record level of
roughly EUR 1.9bn. In this context it is worth noting that in 2010 all
asset classes recorded double-digit growth figures as compared to the
previous year. Another development worth emphasizing is the sale of
insurance products, which in 2010 exceeded EUR 1bn for the first time. The
assets under administration held by Aragon AG rose to roughly EUR 4.0bn at
the end of 2010, almost twice the value of the all-time low of EUR 2.1bn
reported at the end of March 2009. The number of brokers working with
Aragon AG rose from 18,000 at the end of 2009 to over 20,000 at the end of
2010. At the same time, the number of customers served by Aragon companies
increased to almost 920,000 in 2010 (2009: approx. 800,000).
As far as key balance sheet figures are concerned, Aragon is also holding
its positive course: Liquid assets rose by 18 percent to EUR 11.1m in 2010
against EUR 9.4m in 2009. Aragon AG equity stood at EUR 54.5m per
31.12.2010 (2009: EUR 52.9m), which corresponds to an equity ratio of 53.5
percent (2009: 53.6 percent).
'In 2010 we were able to reap the fruits of our successful crisis
management. Moreover, we succeeded last year in developing additional major
sales potential. This means we have definitely left the financial crisis
behind us. We are looking forward to the very successful years that are now
lying ahead of us, for never before has Aragon AG been in as excellent a
position as today' explains Dr. Sebastian Grabmaier, CEO of Aragon AG.
The continuing operations of Aragon AG developed as follows:
The Broker Pools division with a revenues growing by 30 percent to EUR
72.4m in 2010 (2009: EUR 55.8m) is still the business unit displaying the
strongest sales. Earnings before interest, tax and depreciation (EBITDA)
increased as compared to the previous year to EUR 2.1m (2009: minus EUR
0.3m) after a negative result in 2009. In the same period, earnings before
interest and tax (EBIT rose to EUR 1.1m (2009: minus EUR 1.7m).
The Financial Consulting division is Aragon AG's strongest growth sector,
more than doubling its figures in 2010 with revenues of EUR 37.1m (2009:
EUR 12.9m) and already accounting for over 34 percent of total revenues of
Aragon AG. Earnings before interest, tax, and depreciation (EBITDA) for the
Financial Consulting segment was EUR 3.0m in 2010 (2009: EUR 1.2 m).
Earnings before interest and tax (EBIT) were reported at EUR 2.7m for 2010
(2009: EUR 1.1m).
The Holding division recorded negative earnings of minus EUR 1.5m before
interest, tax, and depreciation (EBITDA) for 2010 in comparison to the
previous business year (2009: minus EUR 0.9m). This development is
attributable primarily to the transaction costs for example for the
purchase of FiNUM.FINANZHAUS GmbH and Scopia AG, the negative contribution
to operating income by Fundmatrix AG and to missing revenues as compared to
the previous year due to the sale of shareholdings.
Results of ordinary activities of the continuing operations were EUR 1.7m
(2009: minus EUR 1.8m). The annual profits of the continuing operations was
EUR 1.5m in 2010 (2009: minus EUR 2.0m), which corresponds to a profit per
share of EUR 0.24 (2009: minus EUR 0,3).
Optimistic outlook for 2011
Although the market environment can be expected to stay volatile, Aragon AG
is looking to 2011 with optimism. Wulf U. Schütz, COO of Aragon AG,
explained: 'Our strong growth in revenues and earnings in the past business
year has demonstrated the sustainability of our business model and of our
corporate strategy. In 2011 we aim to further build on this growth and at
the same time systematically boost our profitability. This year, the
acquisitions of 2010 - which will have an impact for the first time this
year - and the accompanying increasing business share of the Financial
Consulting division will work to our benefit. We aim for revenues between
EUR 130m and 150m while enhancing our profitability. We have a full
pipeline of possible acquisitions that offer additional opportunities for
inorganic growth for Aragon.'
Targets for 2014
Beyond the successful past business year 2010 and the optimistic outlook
for 2011, the corporate strategy of Aragon AG is built upon medium-term
objectives. According to Dr. Sebastian Grabmaier, CEO of Aragon AG, 'It has
been and is the aim of Aragon to achieve revenues of more than EUR 200m and
a double-digit EBIT margin in 2014. We are investing all our energy in the
achievement of this goal.'
The annual report of Aragon AG for the business year 2010 will be published
on 31 March, 2011.
About Aragon AG
Aragon AG is a broadly diversified financial services group comprising the
business units Broker Pools, Financial Consulting, and the Holding, which
apart from its share in the Institutional Sales unit Fundmatrix AG also has
minority shares in biw Bank für Investments und Wertpapiere AG. In the
operative business units, Aragon AG is actively engaged in the market with
several independent subsidiaries. The aim is to integrate a variety of
sales models under one roof without any of the sales teams losing their own
identity. The effect is a broad diversification across various asset
classes and sales types, with a consequently high stability in corporate
earnings. For further information on the company and its subsidiaries,
please visit www.aragon.ag.
Contact:
Aragon Aktiengesellschaft
Ralf Funke
Investor Relations
Tel.: +49(0)611 890 575-0
Fax: +49(0)611 890 575-99
E-Mail: ir@aragon.ag
End of Corporate News
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114133 02.03.2011
DGAP-News: ARAGON AG: Aragon reports record results for 2010 - Increase of revenues by 57% to EUR 109m
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