ADVEO reports mixed results for first quarter
| 21 April, 2017
European wholesaler ADVEO reports that it generated €5.7 million EBITDA during the first quarter and that total net debt has been reduced by 41.4%, from €297 million in March 2016 to €174.2 million in March 2017.
?Revenues decreased by 39% due to the transfer of certain less profitable channels of Ink and Toner to Westcoast last August. Excluding this category, total revenues would have decreased by 2.3%.
According to ADVEO: "First quarter results show the new business dimension of ADVEO after repositioning in the EOS segment. 2017 had begun with certain weakness in the markets, particularly in Germany and France. Despite this, Iberia has reached its objectives during the first quarter, improving its EBITDA in € 1.0 m, and is moving forward on the path for the recovery of the expected profitability."?
Following the transformation plan of Group IT systems in April the implementation of the new ERP in Italy was fulfilled, integrating all business processes in one platform. This will be implemented in Germany in July 2017 and France in January 2018.
Finally, in April a framework agreement was signed among ADVEO and its financing partners to redesign the balance sheet structure in order to be able to face the future challenges raised by the new Strategic Plan.