DGAP-News: JDC Group AG

DGAP-News: JDC Group increases earnings in its growth segment Advisortech

DGAP-News: JDC Group AG / Key word(s): Quarter Results JDC Group increases earnings in its growth segment Advisortech

24.06.2016 / 07:58 The issuer is solely responsible for the content of this announcement.

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* Group revenues of EUR 17.3 million at previous year's level in difficult market environment

* EBITDA of Advisortech segment increases by EUR 0.1 million to EUR 0.4 million

* App-based digital wallet "allesmeins" with positive start

* Attractive market conditions for further portfolio acquisitions

Wiesbaden, 22 June 2015 - JDC Group AG (ISIN DE000A0B9N37), the leading Advisortech company in Europe, has released its first quarter 2016 results today. Group revenues of the first three months of the fiscal year remained on previous year's level at EUR 17.3 million. The same applies to the earnings before interest, taxes, depreciation and amortization (EBITDA) of EUR 0.2 million and the earnings before interest and taxes (EBIT) of EUR -0.2 million.

'As expected, market environment in the classic advisory industry continues to be difficult. With re-focusing our business segments we prepared for this trend early enough, though", Dr. Sebastian Grabmaier, CEO of JDC Group, explains. 'Our classic business - Advisory - remains stable and guarantees sustained, recurring revenues and earnings for us. Our digital business, meaning the Advisortech segment, increasingly gains momentum.'

In the Advisory segment, JDC Group generated slightly lower revenues of EUR 4.9 million in the first quarter (Q1 2015: EUR 5.1 million). This was primarily due to weaker investment fund sales as well as weaker portfolio income against the background of highly volatile capital markets in the first quarter. This decline unabatedly affected the EBITDA, which is reduced to EUR 0.0 million (Q1 2015: EUR 0.2 million), as well as the EBIT of the business segment, which dropped to EUR -0.1 million (Q1 2015: EUR 0.1 million).

In the Advisortech segment, revenues generated in the group remained unchanged at EUR 14.1 million in the first quarter (Q1 2015: EUR 14.1 million). The EBITDA increased to EUR 0.4 million as a result of higher contribution margins (Q1 2015: 0.1 million). The same applies to the EBIT, which was positive again at EUR 0.1 million (Q1 2015: EUR -0.2 million).

'Only looking at the sheer figures does not show the dynamics and the potential, which is currently incorporated in the Advisortech segment', Ralph Konrad, CFO of JDC Group, stresses. ' Since the launch of our digital wallet "allesmeins" in February, more than 2,000 contracts were already transferred to the App and thus digitalized. We are currently approaching the threshold of 1,000 contract transfers per month via allesmeins.'

The most relevant key figures regarding the business development in the first quarter of 2016 are as follows:



Continued operations Q1 2016 Q1 2015 change (in TEUR) Revenues 17,301 17,344 -0.25% - thereof Advisortech 14,050 14,079 -0.21% - thereof Advisory 4,923 5,143 -4.28% - thereof Holding/Cons. -1,672 -1,878 10.97% EBITDA 222 180 23.33% EBIT -208 -193 -7.77% EBT -448 -275 -62.91% Group net result -233 -325 28.31% Earnings per share -0.02 -0.03 33.33%





Furthermore the executive board sees positive effects of the current market environment on further portfolio acquisitions in the insurance market. 'We are currently negotiating the acquisition of insurance contract portfolios with various companies. We expect similarly attractive conditions as seen lately in the course of the acquisition of Geld.de', Ralph Konrad continues. 'After the recently completed capital increase, further acquisition would be securely financed as well. This would further improve our financial key figures already in the current fiscal year.'

Further information about JDC Group AG as well as the shareholder's newsletter for the first quarter of 2016 are available at www.jdcgroup.de.

About JDC Group

JDC Group AG (ISIN: DE000A0B9N37) stands for new advisory technologies flanked by smart financial advice. In our "Advisortech" segment, we are developing state-of-the-art advisory and administration technologies for customers and advisors alike. Many sales operations and partners view technological change as presenting a problem and see young Fintech players as new competitors. We, by contrast, see the "technology" factor as offering a great opportunity. In future, solutions from the "Advisortech" segment will help advisors support their customers even more closely and thus also generate higher sales. In our "Advisory" segment, our Jung, DMS & Cie. and FiNUM subsidiaries broker financial products to private end customers via independent advisors, brokers and financial sales operations. With more than 16,000 affiliated sales partners, approximately 1,000,000 end customers, a managed portfolio of more than Euro 4 billion and new business of more than Euro 1.3 billion a year, we are one of the market leaders in German-speaking countries.

Disclaimer:

Members of the Management Board of JDC Group AG hold material shareholdings in JDC Group AG and thus have proprietary interests in the nature and contents of the information provided in this notification.

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24.06.2016 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.

The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de

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