DGAP-News

EQS Group AG has significant jump in sales in 2016 - Seite 2

The new European Market Abuse Regulation that took effect in the second half of the year significantly boosted sales in the domestic market. The new regulation expands ad hoc obligations to a considerably larger group of listed companies and mandates expanded, comprehensive insider regulations. As a result, EQS developed the INSIDER MANAGER tool as a standard workflow solution for complying with these increased mandatory ad hoc and insider rules for investor relations departments in Germany. INSIDER MANAGER is now in demand by companies throughout Europe.

EQS Group AG's majority takeover of ARIVA.DE AG in the second half of 2016 led to the subsidiary being consolidated into EQS financial statements for the first time, thereby raising sales and EBIT. For its part, ARIVA.DE AG contributes a high level of sales dynamics in regulatory services, due in large part to the pan-European introduction of basic information sheets for financial products in accordance with the PRIIP regulation.

In total, EQS Group AG saw a 38% increase in sales in Germany, up to EUR20.38 million, of which EUR4.75 million accounted for consolidated sales of ARIVA.DE AG.

EQS Group AG's strategic market position has improved significantly in 2016, not least due to its accelerated international expansion. The Group is now represented on all major capital markets with its own staffed offices. With its entry into United States and its new subsidiary in the United Arab Emirates (UAE), EQS Group AG has completed its expansion to all global financial centers.

Foreign business accounted for 22% of overall sales in 2016, up from 20% the previous year. All foreign subsidiaries contributed to this increase. Revenues from foreign companies rose by 57% to EUR5.68 million. These established offices achieved double-digit growth rates.

The Asian subgroup EQS Asia Ltd achieved an increase in sales of 18% to EUR2.58 million in the 2016 financial year. Losses compared to the previous year were significantly reduced. In Switzerland, revenues rose by 176% to EUR2.15 million as a result of the acquisition of Tensid AG. Our Russian subsidiary increased sales by 10% to EUR724,000 despite a market environment which remains difficult.