KPS AG Reports Mixed Financial Performance for H1 of 2023/2024

KPS AG, a leader in digital transformation and process optimisation in the retail sector, disclosed its financial results for the first half of the 2023/2024 fiscal year on May 6, 2024. The company, based in Unterföhring near Munich, reported a revenue of EUR 75.9 million, which marks a reduction of 19.8% compared to the previous year's EUR 94.7 million.

The decline in revenue was attributed to several factors, including a slow recovery in demand and the maturity of existing projects, which could not be offset by new projects. Additionally, the company faced significant financial impacts due to the insolvencies of customers KaDeWe and The Body Shop, leading to impairments totaling EUR 4.2 million. Restructuring measures added further costs of EUR 0.7 million.

Consequently, unadjusted EBITDA plummeted by 122.1% to EUR -1.7 million. However, when excluding these one-off costs, adjusted EBITDA stood at a positive EUR 3.2 million. Despite these challenges, KPS remains optimistic about the second half of the fiscal year, expecting a recovery in revenue growth and confirming an EBITDA forecast between EUR 11.5 million and EUR 13.0 million for the full year.