KPS AG Reports Financial Performance for 2022/2023 and Q1 of 2023/2024

KPS AG, a leader in digital transformation for retail, announced its financial results for the 2022/2023 fiscal year and the first quarter of 2023/2024. The company faced challenges including the KaDeWe insolvency and economic headwinds, impacting its revenue and EBITDA figures. For the 2022/2023 financial year, revenue slightly declined to €177.8 million from €180 million in the previous period, with adjusted EBITDA at €13.2 million after accounting for restructuring costs and impairments linked to KaDeWe’s insolvency.

The German ERP projects showed positive development, outperforming other areas amidst a general decline in retail investment willingness. The company saw a significant restructuring to match the shift in project demands, improving the German market revenue share to 49.6%. Despite challenges, KPS remains optimistic, outlining a cautious financial forecast for 2023/2024, expecting revenue between €164 million and €167 million and an EBITDA increase to between €11.5 million and €13.0 million.

The first quarter of 2023/2024 reflected ongoing struggles with decreased revenue and a negative EBITDA influenced by the KaDeWe Group’s insolvency and tepid project demand. Nonetheless, KPS anticipates a rebound in business performance as the year progresses, supported by strategic cost-cutting measures amidst ongoing economic and geopolitical uncertainties.