STRASBOURG, France, July 31, 2020 — 2CRSi presents its consolidated and audited earnings for the 2019-20 period and confirms the forecasts issued on July 8, 2021. As a reminder, the Group had been unable to issue its definitive accounts on that date, due to the unprecedented impact of the COVID-19 crisis, which severely impeded the first-time consolidation of Boston Limited’s accounts, the company having been integrated for the first time.
The Board of Directors met on July 29, 2020 to approve the Group’s financial statements for the fiscal year ended February 29, 2020. The consolidated financial statements have been audited and the auditors’ report certifying the financial statements is currently being prepared.
Note that, in this particular instance, the period lasted 14 months (January 1, 2019 to February 29, 2020), the end of its fiscal year having been set to end-February to align with that of Boston Limited and present its activities in a manner that is more consistent with the seasonal nature of its business, which is traditionally strong over the final months of the year.
Highlights of the 2019-20 Period
Acquisition of Boston Limited, a change of dimension to accelerate the Group’s commercial and international expansion
As discussed in the press release of 8 July, a key highlight of 2019 was the acquisition of Boston Limited in November 2019, allowing 2CRSi to address the three priorities set out in 2018: accelerate its commercial transformation, diversify its client portfolio, and extend its reach beyond France. The long- term strategic advantages of this transaction were set out in the press release.
The 12-month integration of Boston Limited (March 1, 2019 – February 29, 2020) resulted in Group pro forma revenue of €141.1m over 12 months (compared with €145.3m initially estimated). As a reminder, 2CRSi generated revenue of €65.2m for the 2018 period (January 1, 2018 – December 31, 2018).
As expected, Group revenue was hit by the first effects of the coronavirus outbreak from January and February 2020. Indeed, from early January numerous parts manufacturers shut down while transport supply was drastically reduced. These supply problems directly reduced revenue, increased stocks (as certain missing components impeded the production of servers that had already been ordered) and caused a relative decrease in supplier payables.
Consolidated Group revenue for the 2019-20 accounting period (January 1, 2019 – February 29, 2020) came to €77.0m over 14 months (compared with €81.7m initially forecast), integrating a €32.5m contribution from Boston Limited for the period from November 18, 2019 to February 29, 2020.
As already announced, 2CRSi has substantially strengthened its positions abroad, with over 87% of its business conducted outside France. Excluding the contribution from Boston Limited, revenue generated in markets outside France would have come to less than 57% of total revenue over the same period.
Definitive Earnings for the 2019-20 Period
Having changed its closing date and thus presenting its accounts as at February 29, 2020 over 14 months, a comparative of certain aggregates over 12 months (March 1, 2019 to February 29, 2020) is presented with the integration of Boston Limited over a full year.
For the full announcement, visit https://investors.2crsi.com/wp-content/uploads/2020/07/Publication-of-definitive-2019-20-earnings.pdf
Founded in Strasbourg (France), 2CRSi group develops, produces and sells high-performance customised and environmentally-friendly servers. In the financial year 2019/2020, the Group achieved pro forma turnover of €141m. The Group today has 355 employees and markets its offer of innovative solutions (processing, storage and network) in more than 50 countries. 2CRSi has been listed since June 2018 on the regulated market of Euronext in Paris (ISIN Code: FR0013341781) and is included in the European Rising Tech label. For further information please visit: www.2crsi.com