First-quarter 2019 revenue
Angers, April 25, 2019 – Evolis, the world leader in plastic card personalization solutions, posted first-quarter revenue of €20m, up 9.6% (+5.7% at constant exchange rates**).
Projects business momentum in Q1
Channel business posted revenue of €13.4m (+0.1% at current exchange rates, -3.3% at constant exchange rates) in the first quarter, with trends varying from one region to another. In the Americas, business grew, driven mainly by North America. The EMEA region remains impacted by geopolitical tensions in the Middle-East. The Channel business in the region declined despite the solid performance of the French subsidiary, ACTS. The Asia-Pacific region was impacted by one-off items in China and India that mask the growth in business across the rest of the region. In China, the Channel business declined due to a delay in orders from distributors/importers, which should be reversed in the coming months. In India, as expected, business remains stable, temporarily suffering from the organization of parliamentary elections.
Projects business made an excellent start to the year with revenue of €5.5m, up 44.8% (+40.3% at constant exchange rates) across all regions. In North America, the recovery of the banking business initiated in third-quarter 2018 is continuing, with Evolis making significant deliveries over the period. In the EMEA region, business was driven by the continued commercial rollout of the Edikio Price Tag solution in the large retail market in Europe, a government project in Central Europe and a banking project in Africa. In the Asia-Pacific region, a government project in Indonesia and a banking project in Central Asia are enabling the region to generate growth despite less Projects activity in China and India.
In terms of regions, the Americas region posted an outstanding performance at +33.4% (+23.5% at constant exchange rates), propelled by the Projects business. Revenues in the EMEA region amounted to €11.3m, driven by the traction from the Projects business, which partially offset the difficulties in the Middle-East region. Overall, the Asia-Pacific region declined, impacted by the situation in China and India, despite the upturn in both Projects and Channel business across the rest of the region.
The quarter ended slightly below expectations. However, thanks to its existing organization and commercial performance, Evolis is confident in its momentum for the year and confirms its target of 2019 revenue growth of +7% at constant exchange rates.
The Group confirms its target for revenue of €100m in 2021.