Company announcement 01/2020
NNIT releases preliminary figures for 2019 and preliminary guidance for 2020
In connection with reporting the collected consensus information back to analysts, the preliminary, unaudited figures were unfortunately disclosed by a mistake. Please find further information below.
Revenue increase of 1.7% and an operating profit margin of 7.8% before restructuring costs (8.0% in constant currencies) in 2019.
Performance highlights for the fourth quarter of 2019 and guidance:
- Revenue decreased by 2.7% in Q4 2019 compared to Q4 2018 driven by a 27% decline from the Novo Nordisk Group. This was partly countered by growth from international life sciences (35%), finance (24%), public (18%) and Danish life sciences (5.9%)
- Excluding business from Novo Nordisk Group revenue increased 13% (8.4% organic) in Q4 2019. The share of NNIT’s revenue from clients outside the Novo Nordisk Group increased to 70% in Q4 2019 from 61% in Q4 2018
- Gross profit decreased by 13% in Q4 2019 following the significant decline in revenue from the Novo Nordisk Group where costs could not be adjusted at the same pace. This led to an operating profit margin before restructuring costs of 10.1% and an operating profit margin of 9.1%
- Net profit was DKK 58m in Q4 2019 compared to DKK 85m in Q4 2018
- Order backlog for 2020 at the beginning of Q1 2020 was DKK 2,039m, a decrease of 6.1% compared to the same time last year negatively impacted by a decline of 26% from the Novo Nordisk Group partly countered by other clients which grew by 6.3%
- NNIT’s revenue growth of 1.7% and operating profit margin before special items of 8.0% (constant currencies) in 2019 were in line with the most recent outlook
- Preliminary guidance for 2020:
- Revenue growth of -4% to -8% in constant currencies
- Operating profit margin before special items of 6-8% in constant currencies
- Level of investments (CAPEX) is 5-7% of total revenue
NNIT will provide the financial statement for Q4 2019 and the annual report 2019 on January 29, 2020 as planned.
Contact for further information
Carsten Krogsgaard Thomsen
Tel: +45 3075 1415
Tel: +45 3077 8080
NNIT A/S is one of Denmark’s leading IT service providers and consultancies. NNIT A/S offers a wide range of IT services and solutions to its clients, primarily in the life sciences sector in Denmark and internationally and to clients in the public, enterprise and finance sectors in Denmark. As of December 31, 2019, NNIT A/S had 3,207 employees. NNIT has approximately 350 clients of which around 150 are located outside Denmark. More than 30% are international life sciences clients (December 2019). For more information please visit www.nnit.com