SSH COMMUNICATIONS SECURITY CORPORATION STOCK EXCHANGE RELEASE FEBRUARY 14, 2020 AT 9:00 A.M
SSH COMMUNICATIONS SECURITY CORPORATION FINANCIAL STATEMENT RELEASE JANUARY 1 – DECEMBER 31, 2019
SALES DECLINED COMPARED TO PREVIOUS YEAR DUE TO AN EXCEPTIONALLY LARGE DEAL IN THE COMPARISON PERIOD – SLIGHT OPERATING LOSS BUT POSITIVE OPERATING CASH FLOW FOR THE QUARTER
September–December 2019: Our software program enterprise gross sales (software program charges, skilled companies, and recurring income) decreased -11.8% in comparison with the earlier 12 months. Internet gross sales decreased by -35.8% in comparison with the earlier 12 months primarily because of the finish of the patent licensing programme and diminished consulting income.
- Internet gross sales totaled EUR 4.1 million (10–12/2018: EUR 6.Four million)
- Working loss was EUR -0.1 million (EUR 1.Three million)
- Loss for the interval was EUR -0.5 million (EUR 1.Three million)
- Earnings per share was EUR -0.02 (EUR 0.03)
January–December 2019: Our software program enterprise gross sales (software program charges, skilled companies, and recurring income) decreased -7.8% in comparison with the earlier 12 months. Internet gross sales decreased by -21.6% in comparison with the earlier 12 months primarily because of the finish of the patent licensing programme and diminished consulting income.
Working money circulation remained constructive for the third consecutive 12 months, and our money place remained sturdy.
- Internet gross sales totaled EUR 14.Four million (1–12/2018: EUR 18.Three million)
- Working loss was EUR -1.2 million (EUR 0.5 million)
- Loss for the 12 months was EUR -1.5 million (EUR 0.5 million)
- Working money circulation for the 12 months was EUR 0.Three million (EUR 1.2 million)
- Earnings per share was EUR -0.06 (EUR -0.01)
Fairness ratio remained good at 78.0 % (December 31, 2018: 81.6 %) and liquid property have been EUR 12.Zero million (EUR 13.5 million).
BUSINESS OUTLOOK FOR 2020
For the 12 months 2020, we anticipate income progress of 10-15 % and an bettering working consequence. The expansion charges and profitability differ considerably between our product traces because the merchandise are in numerous levels of maturity and funding phases. We anticipate clearly sooner progress charges for PrivX and NQX, regular progress for UKM matching the trade progress price, and modest progress for Tectia, which is our most mature product. The mixed impact of those progress charges will end in average short-term progress, which we anticipate to speed up over the following a number of years.
|EUR million||10–12/2019||10–12/2018||1–12/2019||1–12/2018||Change %|
|Internet gross sales||4.1||6.4||14.4||18.3||-21.6|
|% of web gross sales||-3.2||20.0||-8.4||3.0||-383.0|
|Revenue/loss earlier than taxes||-0.4||1.3||-1.3||0.6||-339.7|
|Return on fairness, %||-11.3||3.8||-400.2|
|Return on funding, %||-9.8||4.1||-339.7|
|Fairness ratio (%)||78.0||81.6||-4.3|
|Earnings per share, EUR||-0.02||0.03||-0.06||-0.01||-509.6|
|Shareholders’ fairness per share, EUR||0.31||0.37||0.31||0.37||-15.3|
Valued shareholders, prospects, companions, and associates,
The fourth quarter and the entire 12 months 2019 was a difficult one for us – we missed our steering as a consequence of decreased skilled companies income, forex fluctuations, and delayed gross sales of NQX as introduced on November 12, 2019. Whereas we aren’t happy with our efficiency, we’re dedicated to growing shareholder worth and can give attention to bettering our leads to the approaching quarters.
We had a average decline in our software program enterprise gross sales (software program charges, skilled companies, and recurring income) in the course of the fourth quarter because the corresponding quarter in 2018 was exceptionally sturdy as a consequence of one of many largest UKM license offers in SSH historical past being acknowledged throughout that quarter.
The gross sales decline was considerably mitigated by successes in a better variety of smaller offers and expansions in present installations. On account of the gross sales decline and persevering with funding in our product portfolio, we additionally incurred a slight working loss for the quarter however nonetheless had constructive working money circulation.
Whereas license gross sales have been down, our recurring income continued sturdy, and our subscription gross sales in UKM and PrivX grew by 63 % in comparison with the earlier 12 months. We anticipate the upward development in subscription income progress to proceed as we’re transitioning from a perpetual license gross sales enterprise mannequin in the direction of subscription-based and SaaS enterprise fashions.
Our enterprise fundamentals are nonetheless stable, and we proceed executing our Clever Entry Management pushed technique. We’re making progress with our new merchandise, PrivX and NQX, which we anticipate to start out having an growing affect on our income and backside line in 2020 and past.
This autumn software program enterprise gross sales have been EUR 4.1 million (EUR 4.7 million), down 12 %. The decline was primarily because of the smaller preliminary venture measurement in comparison with final 12 months (we obtained one of many largest-ever license offers in our historical past in This autumn/18) in addition to diminished consulting income.
Internet gross sales (taking patent licensing income within the comparability interval into consideration) have been 4.1 million (EUR 6.Four million), down 36 % year-on-year. In step with our expectations and as introduced earlier, we didn’t file any patent licensing income within the quarter, which accounted for over EUR 1.7 million of the general gross sales decline.
Resulting from cautious price administration, the affect of the gross sales decline on our working revenue was comparatively modest. We additionally continued investing in our product portfolio. Working loss for the quarter was EUR -0.1 million (EUR 1.Three million).
The loss for the quarter was EUR -0.5 million (EUR 1.Three million). The loss was affected by monetary prices of over EUR -0.2 million, primarily as a consequence of trade price losses and curiosity bills from gross sales and leasing contracts.
Quarterly money circulation from operations was EUR 0.2 million. Our stability sheet and money place stay sturdy and permit us to proceed with the execution of our technique.
Gross sales Efficiency
In regional phrases, software program gross sales within the EMEA area grew by 20.2% in comparison with the identical quarter in 2018. The APAC area declined by 4.9%, and the AMER area gross sales have been down by 23.2%.
The AMER area gross sales decline was prompted primarily by the timing of some massive offers and a few prospects preferring to start out their Common SSH Key Supervisor® (UKM) tasks on a restricted scale pilot foundation with the purpose of accelerating their property sooner or later.
In This autumn, we obtained a big new UKM license order with ING-DiBa AG, one of many largest retail banks in Germany. We additionally obtained vital new orders from a Hong Kong authorities company and a worldwide governmental monetary establishment. We additionally obtained vital growth orders from present monetary sector prospects.
Orders for the CryptoAuditor® product declined as deliberate as we introduced the product could be end-of-lifed on the finish of 2019. We’re actively migrating present prospects and shifting prospects within the pipeline in the direction of our PrivX® product.
The gross sales of our Tectia® product household remained sturdy and provides us the power to execute our progress imaginative and prescient. In the course of the quarter, we received a major Tectia SSH Server for IBM z/OS license order from a serious Scandinavian financial institution.
Our upkeep enterprise stays sturdy, and we obtained a number of massive upkeep renewals in the course of the quarter.
Supported by the EU Horizon 2020 funding introduced earlier, PrivX improvement progressed effectively, and we’re nearing the pilot launch of the SaaS model of PrivX throughout H1 of 2020. We anticipate PrivX to be the primary true SaaS-based Privileged Account Administration (PAM) resolution available in the market.
Creating and bringing PrivX to the market is a key precedence for us. We added a number of members to the workforce in the course of the fourth quarter, and we’ve got the equal of 27 full-time assets engaged on R&D, product administration, gross sales, advertising, and assist of PrivX.
As introduced earlier, the US Patent and Emblems Workplace (USPTO) granted SSH patent quantity US10523445, which covers safe passwordless entry to hosts in hybrid networks comprising on-premise and cloud assets. The patent gives SSH’s PrivX providing a sustainable differentiating edge available in the market of next-generation Privileged Entry Administration (PAM) instruments in hybrid networks, that are an important bridge within the present transition from legacy on-premises based mostly computing to cloud-based computing. Extra patent functions for this and different PrivX-related innovations are pending in related jurisdictions.
The PrivX Free program continued to draw new prospects, and we gained greater than 1000 new registrations in the course of the quarter, growing the full variety of registrations to greater than 3500. We additionally accelerated the acquisition of recent paying prospects for PrivX in the course of the quarter and stored seeing growing curiosity from enterprise prospects.
Our Zero Standing Privileges strategy to PAM is resonating with prospects and provides us a transparent aggressive edge in opposition to conventional PAM distributors. Nonetheless, the paradigm shift in PAM represented by PrivX continues to be comparatively new, and appreciable effort shall be required to teach prospects and analysts about the advantages of PrivX.
Since we’ve got made a strategic choice to promote PrivX with a subscription-based enterprise mannequin, the affect of the product on our income in the course of the quarter was nonetheless comparatively small.
The technical improvement of NQX merchandise proceeds effectively, and we’ve got demonstrated the newest variations to key prospects in the course of the fourth quarter. Main governmental businesses have ongoing buying processes concerning VPN and firewall units.
The Finnish Nationwide Cyber Safety Authority licensed a brand new model of the NQX firewall and digital personal community (VPN) equipment throughout This autumn. The certification covers new options requested by prospects in addition to a brand new kind issue (NQX Nano), which extends the use circumstances and gross sales prospects of the NQX product household.
Because of the lengthy length of public tendering processes, nonetheless, we didn’t obtain vital income from the NQX merchandise in 2019.
The outlook within the cybersecurity phase stays sturdy. Regardless of some new macroeconomic uncertainties, the necessity for cybersecurity options retains rising, and most analysts predict medium-term progress charges of Eight to 12% for the trade. We anticipate to match or exceed this tempo (see part Enterprise Outlook for 2020 above for detailed steering) in our total progress. Nonetheless, the expansion charges will differ between our product traces because the merchandise are in numerous levels of maturity and market improvement.
A number one trade analyst, Gartner, named PAM because the #1 precedence within the Gartner Prime 10 Safety Tasks for 2019 report. Gartner senior director Felix Gaehtgens was quoted saying: “PAM is all about securing the keys to your kingdom. It is among the most crucial safety controls to implement.”
We share this view and strongly imagine the investments in PAM will hold growing at a speedy clip effectively into the longer term. With the persevering with rise of the Zero Belief motion, SSH’s Zero Standing Privileges strategy is more and more related and can strengthen the market place of PrivX even additional.
UKM’s buyer base has grown following the development of elevated market consciousness regarding the dangers of unmanaged SSH Keys. As our buyer base continues to increase and diversify, we’ve noticed smaller offers initially with firms increasing deployments over time, supporting income progress via new offers in addition to renewals. We anticipate each traits to proceed all through 2020.
Tectia enterprise continues to expertise sturdy renewal charges and we anticipate it to stay a major money generator for SSH in 2020 and past.
Lastly, NQX gross sales are projected to materialize throughout 2020 because the product providing begins to realize momentum throughout the Finnish public sector.
On the finish of 2019, the Group’s unrecognized tax losses on deferred tax property, which haven’t been booked based mostly on the precept of prudence, have been EUR 10.1 million (2018: EUR 11.6 million). As well as, the father or mother firm has EUR 31.6 million (2018: EUR 28.Three million) analysis and improvement bills and depreciations not deducted in taxation. Generally, non-deducted analysis and improvement bills and depreciations don’t expire.
Consolidated web gross sales for October–December totaled EUR 4.1 million (EUR 6.Four million).
Consolidated web gross sales for January–December totaled EUR 14.Four million (EUR 18.Three million), down by 21.6 %, 12 months on 12 months.
The Americas accounted for 54.3 % (49.1 %), the Europe, Center East and Africa area (EMEA) 25.3 % (22.9 %), and the Asia Pacific area 20.4 % (13.0 %) of reported consolidated web gross sales. International royalty revenue accounted for 0.0 % (15.0 %) of reported web gross sales.
|CONSOLIDATED NET SALES|
|EUR million||10–12/2019||10–12/2018||1–12/2019||1–12/2018||Change %|
|BY GEOGRAPHICAL AREA|
|International royalty revenue||0.0||1.7||0.0||2.7||-100.0|
|Software program charges||1.8||2.1||5.2||5.6||-7.9|
|Skilled companies & different||0.3||2.1||0.6||4.3||-86.5|
Many of the firm’s invoicing is U.S. dollar-based. With comparable trade charges, the software program enterprise gross sales (software program charges, skilled companies, and recurring income) decline in January – December would have been -11.4 % in contrast with the identical interval in 2018.
RESULTS AND EXPENSES
Working revenue for October–December was EUR -0.1 million (EUR 1.Three million), with web revenue totaling EUR -0.5 million (EUR 1.Three million).
Working revenue for January-December was EUR -1.2 million (EUR 0.5 million), with web revenue totaling EUR -1.5 million (EUR 0.5 million).
Gross sales, advertising and buyer assist bills for October–December amounted to EUR -2.1 million (EUR -1.9 million), whereas analysis and improvement bills totaled EUR -1.Four million (EUR -1.5 million) and administrative bills EUR -0.Eight million (EUR -1.Zero million).
Gross sales, advertising and buyer assist bills for January–December amounted to EUR -7.5 million (EUR -8.5 million), whereas analysis and improvement bills totaled EUR -4.9 million (EUR -5.1 million) and administrative bills EUR -2.9 million (EUR -2.7 million). Working bills decreased by 7.2 % in comparison with the earlier 12 months.
BALANCE SHEET AND FINANCIAL POSITION
The monetary place of SSH Communications Safety was good in the course of the reporting interval. The consolidated stability sheet whole on December 31, 2019, stood at EUR 23.Eight million (December 31, 2018: EUR 24.2 million), of which liquid property accounted for EUR 12.Zero million (December 31, 2018: EUR 13.5 million), or 50.4 % of the stability sheet whole. Curiosity-bearing liabilities have been EUR 0.9 million on the finish of the monetary 12 months (December 31, 2018: EUR 0.2 million). Curiosity-bearing liabilities elevated by EUR 0.Four million from December 31, 2018, because of the utility of IFRS 16 Leases -standard and improve in lease legal responsibility. In June 2019, subordinated mortgage, which Kyberleijona Oy has taken out from the non-controlling curiosity holder State Safety Networks Group Finland, was elevated by EUR 0.Four million from EUR 0.2 million to EUR 0.6 million. On December 31, 2019, gearing, or the ratio of web liabilities to shareholders’ fairness, was -92.3 % (December 31, 2018: -93.5 %) and the fairness ratio stood at 78.0 % (December 31, 2018: 81.6 %).
The reported gross capital expenditure for January-December totaled EUR 2.Zero million (EUR 2.Three million). The reported monetary revenue and bills in whole to EUR -0.1 million (EUR 0.Zero million) consisted primarily of trade price features or losses and curiosity bills gross sales and leasing contracts.
Throughout January–December, SSH Communications Safety reported a money circulation of EUR 0.Three million (EUR 1.2 million) from enterprise operations, and investments confirmed a money circulation of EUR -1.1 million (EUR -2.Three million). Money circulation from investments contains EUR 0.9 million EU funding for the event of the PrivX product. Money circulation from financing totaled EUR -0.Eight million (EUR 0.9 million). The lower in money totaled EUR -1.6 million (EUR -0.2 million).
There have been no short-term investments by the top of the reporting interval.
RESEARCH AND DEVELOPMENT
Analysis and improvement bills for October–December totaled EUR -1.Four million (EUR -1.5 million), the equal of 33.1 % of web gross sales (23.7 %). Throughout October–December, the corporate has capitalized improvement prices EUR 0.Four million (EUR 0.6 million).
Analysis and improvement bills for January–December totaled EUR -4.9 million (EUR -5.1 million), the equal of 34.0 % of web gross sales (27.9 %). Throughout January – December, the corporate has capitalized improvement prices EUR 1.6 million (EUR 2.Three million). Capitalized product improvement prices have been diminished by the quantity of EUR 0.1 million obtained as funding from the EU (2018: EUR 0.Zero million). The depreciation of R&D capitalization property was EUR -1.Three million (EUR -1.5 million).
HUMAN RESOURCES AND ORGANIZATION
On the finish of December, the Group had 90 staff on its payroll (December 31, 2018: 85). The variety of staff elevated by 5 individuals from the earlier 12 months (5.9 %).
On the finish of the interval, 35.6 % (38.8 %) of the workers labored in gross sales, advertising and buyer companies, 51.1 % (48.2 %) in R&D, and 13.3 % (12.9 %) in company administration.
BOARD AND AUDITORS
The Annual Normal Assembly of SSH Communications Oyj was held on March 26, 2019. The Annual Normal Assembly unanimously adopted the monetary assertion and consolidated monetary assertion and granted discharge from legal responsibility to the Board members and CEO who’ve been lively in the course of the accounting interval between January 1, 2018, and December 31, 2018. Within the assembly, it was determined that the Board of Administrators would encompass six members. Petri Kuivala, Tatu Ylönen, Timo Syrjälä, Anne Marie Zettlemoyer, and Sam Curry have been re-elected, and Sauli Kiuru was elected as a brand new member of the Board of Administrators. Petri Kuivala was elected because the Chairman of the Board of Administrators on the Board´s organizing assembly, and Sauli Kiuru was elected because the Vice-Chairman of the Board of Administrators.
The Licensed Public Accountants Ernst & Younger Oy was re-elected because the auditor of the corporate. Ernst & Younger Oy have knowledgeable that Erkka Talvinko, Licensed Public Accountant, will proceed to behave because the principal auditor.
SHARES, SHAREHOLDING, AND CHANGES IN GROUP STRUCTURE
The reported buying and selling quantity of SSH Communications Safety shares totaled 3,951,350 shares (valued at EUR 5,308,768). The very best citation was EUR 1.97 and the bottom EUR 0.97. The trade-weighted common share value for the interval was EUR 1.34, and the share closed at EUR 1.04 (December 31, 2019).
The corporate’s principal proprietor Mr. Tatu Ylönen holds straight 47.2 %, Mr. Timo Syrjälä holds straight and thru his firm Acme Investments SPF S.a.r.l. 9.2 % and Mr. Juha Mikkonen holds straight 5.2 % of the corporate’s shares. Extra details about the shareholding may be obtained from the corporate´s website online www.ssh.com.
No dividend or return of capital has been distributed in the course of the reporting interval.
SHARE CAPITAL AND BOARD AUTHORIZATIONS
The corporate’s registered share capital on December 31, 2019, was EUR 1,164,066.99, consisting of 38,802,233 shares.
The Annual Normal Assembly accepted the Board of Administrators’ proposal to authorize the Board of Administrators to resolve upon the issuing of a most of 6,000,00Zero shares as a share subject in opposition to fee or by giving inventory choices or different particular rights entitling to shares, in accordance with Chapter 10 Part 1 of the Finnish Firms Act, both in keeping with the shareholders’ pre-emptive proper to share subscription or deviating from this proper, in a number of tranches. Based mostly on the authorization, it may be both issuing of recent shares or switch of personal shares, which the corporate probably has in its possession.
Based mostly on the authorization, the Board of Administrators shall have the identical rights because the Annual Normal Assembly to resolve upon the issuing of shares in opposition to fee and particular rights (together with inventory choices) in accordance with Chapter 10 Part 1 of the Finnish Firms Act. Thereby, the authorization to be given to the Board of Administrators contains, inter alia, the proper to deviate from the shareholders’ pre-emptive rights with directed points offering that the corporate has a weighty monetary purpose for the deviation in respect of the share subject in opposition to fee.
Moreover, the authorization contains the Board of Administrators’ proper to resolve who’re entitled to the shares and/or inventory choices or particular rights in accordance with Chapter 10 Part 1 of the Finnish Firms Act in addition to the associated compensation, subscription and fee intervals and the registering of the subscription value into the share capital or invested non-restricted fairness fund throughout the limits of the Finnish Firms Act.
The authorization shall be legitimate till the following Annual Normal Assembly, however will nonetheless expire on the newest on June 30, 2020.
The Annual Normal Assembly accepted the Board of Administrators’ proposal to authorize the Board of Administrators to resolve upon acquisition of a most of two,000,00Zero personal shares of the corporate with property belonging to the corporate’s non-restricted fairness, which quantities to roughly 5.2 % of the corporate’s whole shares. The shares will also be acquired in any other case than in proportion to the holdings of the prevailing shareholders. The utmost compensation to be paid for the acquired shares shall be the market value on the time of buy, which is decided in public buying and selling.
The Board of Administrators proposes that the authorization for the buying of the corporate’s personal shares could be used, inter alia, with a purpose to strengthen the corporate’s capital construction, to finance and notice company acquisitions and different preparations, to understand the share-based incentive applications of the corporate or in any other case to be stored by the corporate, to be transferred for different functions or to be canceled. The acquisition of shares reduces the corporate’s distributable non-restricted fairness.
A choice in regards to the buying of personal shares can’t be made in order that the mixed quantity of the personal shares, that are within the possession of, or held as pledges by, the corporate or its subsidiaries exceeds one-tenth of all shares. The Board of Administrators shall resolve upon all different issues associated to the acquisition of shares.
The authorization shall be legitimate till the following Annual Normal Assembly however will nonetheless expire on the newest on June 30, 2020.
RISKS AND UNCERTAINTIES
The biggest dangers which may affect the profitability of the corporate have remained by and huge the identical as within the earlier reporting interval and are listed under. Different dangers, that are presently both unknown or thought-about immaterial to SSH Communications Safety, could, nonetheless, turn out to be materials sooner or later.
- Uncertainty of the macroeconomic setting
- Cybercrime, together with e.g., ransomware
- Delays in product improvement and shutting new enterprise in addition to phasing of recent enterprise circumstances
- Capability to execute the technique
- Capability to retain and recruit key personnel
- Sustaining the power to innovate and develop the product portfolio together with mental property rights (IPR)
- IPR litigation and utilization of the patent portfolio
- As a big portion of the corporate income is invoiced in USD forex, doable massive fluctuation in USD forex charges throughout 2020 may have unpredictable results for profitability which might be on the time troublesome to estimate. The corporate decides on hedging of USD based mostly contracts case by case.
Rules and group of threat administration of SSH Communications Safety may be learn from the corporate´s webpage: www.ssh.com.
RELATED PARTY TRANSACTIONS
In the course of the reporting interval, there haven’t been any vital transactions with the associated events.
EVENTS AFTER THE BALANCE SHEET DATE
After the stability sheet date, there haven’t been any vital transactions.
This Monetary Assertion Launch has been ready in accordance with IAS 34 Interim Monetary Reporting. The Monetary Assertion Launch doesn’t embrace all the data and disclosures required within the Annual Monetary Statements. This Monetary Assertion Launch has not been audited.
The accounting insurance policies adopted for this Monetary Assertion Launch are in step with these utilized in 2018 Consolidated Monetary Statements aside from the adoption of recent requirements efficient as of January 1, 2019. The Group has not early adopted another commonplace, interpretation or modification that has been issued however will not be but efficient.
New and amended requirements adopted
The Group has modified its accounting insurance policies on account of adopting IFRS 16 Leases on January 1, 2019. The affect of the adoption of the leasing commonplace and the brand new accounting insurance policies are disclosed under. The opposite modifications within the requirements and interpretations didn’t have any affect on the Group’s accounting insurance policies and didn’t require retrospective changes.
IFRS 16 Leases
The brand new commonplace changed IAS 17 commonplace and associated interpretations. The brand new commonplace requires a lessee to acknowledge a leasing contract within the stability sheet as a lease legal responsibility and associated asset. IFRS 16 doesn’t have an effect on leases the place the Group is the lessor.
The Group adopted IFRS 16 commonplace utilizing the modified retrospective strategy, and the comparative data has not been restated. The classifications and changes arising from the brand new accounting guidelines have been acknowledged within the opening stability sheet on January 1, 2019. The Group elected to make use of the popularity exemptions for short-term lease contracts which have a lease time period of 12 months or much less and don’t comprise a purchase order choice and lease contracts for which the underlying asset is of low worth.
The Group leases primarily workplaces. Till the 12 months 2018, leases of property, plant, and gear have been categorized as working leases. Funds made below working leases have been acknowledged within the revenue assertion on a straight-line foundation over the interval of the lease.
From January 1, 2019, in keeping with the brand new IFRS 16 Leases commonplace, leases are acknowledged within the stability sheet as right-of-use property and a corresponding monetary legal responsibility on the date at which the leased asset is obtainable for the use by the Group. Every lease fee is allotted between the legal responsibility and the finance price. The finance price is acknowledged within the revenue assertion over the lease interval. The fitting-of-use asset is depreciated over the shorter of the asset’s helpful life and the lease time period on a straight-line foundation. The lease liabilities have been discounted on the borrowing price as of January 1, 2019. The weighted common incremental borrowing price was 7.5 %.
The change in accounting coverage affected the next gadgets within the stability sheet on January 1, 2019:
- right-of-use asset – improve by EUR 0.5 million
- non-current liabilities – improve by EUR 0.2 million
- present liabilities – improve by EUR 0.Three million
The acknowledged leases within the stability sheet as of December 31, 2019, and within the revenue assertion for the 12 months 2019 are as follows:
|LEASES IN THE BALANCE SHEET|
|EUR million||31 Dec 2019|
|Proper-of-use property – property||0.3|
|EQUITY AND LIABILITIES|
|Lease liabilities, non-current||0.1|
|Lease liabilities, present||0.2|
|LEASES IN THE INCOME STATEMENT|
|Different lease bills||-0.0||-0.1|
|Depreciation of right-of-use property||-0.1||-0.3|
|Curiosity expense on lease liabilities||-0.0||-0.0|
|Complete quantities acknowledged within the revenue assertion||-0.1||-0.4|
|CONDENSED CONSOLIDATED COMPREHENSIVE INCOME STATEMENT|
|Internet gross sales||4.1||6.4||14.4||18.3|
|Price of gross sales||-0.1||-0.7||-0.5||-1.4|
|Different working revenue||0.1||0.1||0.0|
|Promoting, advertising, and buyer assist bills||-2.1||-1.9||-7.5||-8.5|
|Analysis and improvement bills||-1.4||-1.5||-4.9||-5.1|
|Monetary revenue and bills||-0.2||0.0||-0.1||0.0|
|Revenue/loss earlier than taxes||-0.4||1.3||-1.3||0.6|
|Revenue/loss for the interval||-0.5||1.3||-1.5||0.5|
|Homeowners of the father or mother firm||-0.4||1.6||-1.3||0.8|
|Different complete revenue|
|Objects which may be later transferred to revenue or loss:|
|Overseas subsidiary translation variations||0.1||-0.0||-0.0||-0.1|
|Complete complete revenue||-0.4||1.3||-1.5||0.4|
|Homeowners of the father or mother firm||-0.3||1.5||-1.3||0.7|
|Earnings per share|
|Earnings per share (EUR)||-0.02||0.03||-0.06||-0.01|
|Diluted earnings per share (EUR)||-0.02||0.03||-0.06||-0.01|
|CONDENSED CONSOLIDATED BALANCE SHEET|
|EUR million||Dec 31, 2019||Dec 31, 2018|
|Property, plant, and gear||0.1||0.2|
|Complete non-current property||5.9||5.4|
|Commerce and different receivables||5.9||5.4|
|Money and money equivalents||12.0||13.5|
|Complete present property||17.9||18.9|
|EQUITY AND LIABILITIES|
|Attributable to father or mother firm’s shareholders||11.4||13.4|
|Different non-current liabilities||0.1||0.0|
|Complete non-current liabilities||0.7||0.2|
|Complete present liabilities||11.1||9.8|
|Complete fairness and liabilities||23.8||24.2|
|CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY|
|Attributable to the house owners of the Firm|
|EUR million||Share capital||Hybrid capital securities||Translation distinction||Unrestricted invested fairness fund||Retained earnings||Complete||Non-controlling pursuits||Complete fairness|
|Fairness Jan 1, 2018||1.2||12.0||-1.3||22.1||-21.2||12.8||–||12.8|
|Change in Group construction1||-0.1||-0.1||1.1||1.0|
|Fairness December 31, 2018||1.2||12.0||-1.4||22.7||-21.1||13.4||0.8||14.2|
|Fairness December 31, 2019||1.2||12.0||-1.4||22.7||-23.0||11.4||0.6||12.0|
1 State Safety Networks Group Finland turned a non-controlling curiosity holder of Kyberleijona Oy with 35 % possession. The quantity of funding was EUR 1.Zero million, and moreover, State Safety Networks Group Finland has issued a subordinated mortgage of EUR 0.6 million to Kyberleijona Oy.
|CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS|
|Money circulation from operations||0.3||1.2|
|whereof change in working capital||-0.6||-1.2|
|Money circulation from investing actions||-1.1||-2.3|
|Money circulation from financing actions||-0.8||0.9|
|Improve (+) / lower (-) in money||-1.6||-0.2|
|Money at interval begin||13.5||13.5|
|Impact of trade price||0.1||0.2|
|Money at interval finish||12.0||13.5|
|EUR million||31 Dec 2019||31 Dec 2018|
|Curiosity on hybrid capital securities||0.7||0.7|
|Hire safety deposits||0.1||0.1|
|Leasing commitments outdoors the stability sheet|
|Maturing inside 1 12 months||0.0||0.3|
|Maturing between 1 and 5 years||0.0||0.2|
|KEY FIGURES AND RATIOS|
|Internet gross sales||14.4||18.3|
|% of web gross sales||-8.4||2.9|
|Revenue/loss earlier than taxes||-1.3||0.6|
|% of web gross sales||-9.3||3.0|
|Return on fairness (%)||-11.3||3.8|
|Return on funding (%)||-9.8||4.1|
|Curiosity-bearing web liabilities||-11.1||-13.3|
|Fairness ratio (%)||78.0||81.6|
|Gross capital expenditure||2.0||2.3|
|% of web gross sales||13.9||12.3|
|% of web gross sales||34.0||27.9|
|Personnel, interval common||88||82|
|Personnel, interval finish||90||85|
|PER SHARE DATA|
|Earnings per share undiluted2||-0.06||-0.01|
|Earnings per share diluted2||-0.06||-0.01|
|Fairness per share||0.31||0.37|
|No. of shares at interval common (thousand)||38 802||38 578|
|No. of shares at interval finish (thousand)||38 802||38 802|
|Share value interval finish||1.04||1.68|
|Market capitalization interval finish (EUR million)||40.2||65.2|
|Quantity of shares traded (million)||5.3||7.8|
|Quantity of shares traded as % of whole||10.2||20.2|
|Worth of shares traded (EUR million)||4.0||15.6|
|Value per earnings ratio (P/E)||neg.||neg.|
|Dividend per share||0.00||0.00|
|Dividend per earnings, %||0.00||0.00|
|Efficient return on dividend, %||0.00||0.00|
2 Earnings per share is impacted by the unpaid curiosity of hybrid capital securities.
The content material on this report is supplied by SSH Communications Safety and its third-party content material suppliers in your private data solely. And doesn’t represent a proposal or invitation to buy any securities. Nor does it present any type of recommendation (funding. tax. authorized) amounting to funding recommendation. Or make any suggestions concerning explicit investments or merchandise. SSH Communications Safety doesn’t present funding recommendation or suggestions to purchase or promote its shares or the shares of others. In case you are inquisitive about investing in SSH Communications Safety, please contact your monetary advisor for additional particulars and knowledge. Previous efficiency of SSH Communications Safety shares will not be indicative of future outcomes. EXCEPT AS PROVIDED BY APPLICABLE COMPULSORY LAW SSH COMMUNICATIONS SECURITY EXPRESSLY DISCLAIMS ALL WARRANTIES, EXPRESSED OR IMPLIED. AS TO THE AVAILABILITY, ACCURACY OR RELIABILITY OF ANY OF THE CONTENT PROVIDED, OR AS TO THE FITNESS OF THE INFORMATION FOR ANY PURPOSE.
SSH Communications Safety will launch its Interim Report of the primary quarter of the 12 months on April 23, 2020.
Helsinki, February 14, 2020
SSH COMMUNICATIONS SECURITY
Board of Administrators
For additional data, please contact:
Kaisa Olkkonen, CEO tel. +358 40 579 5216
Niklas Nordström, CFO tel. +358 50 541 0543
NASDAQ Helsinki Ltd.