Jena, 28 April 2021 - Intershop Communications AG (ISIN: DE000A254211), a leading independent provider of innovative solutions for omnichannel commerce, increased its consolidated revenues by 4% to EUR 8.8 million in the first quarter of 2021. At EUR 0.4 million (previous year: EUR 0.3 million), earnings before interest and taxes (EBIT) were positive for the fifth consecutive quarter. The business performance in the first three months of 2021 again confirms the company's sustainably positive revenue and earnings trend based on recurring cloud revenues and an optimized cost structure.

In the reporting period, cloud and subscription revenues rose by 41% to EUR 2.4 million. Incoming cloud orders (new and existing customers) amounted to EUR 4.6 million in the first three months of 2021, which represents an increase by 15% (previous year: EUR 4.0 million). Cloud ARR (annual recurring revenues) rose by 42% to EUR 10.0 million (previous year: EUR 7.0 million). Net new ARR increased from EUR 0.3 million to EUR 0.7 million.

As a result of the modified business model, maintenance revenues declined as expected by 10% to EUR 1.8 million, while license revenues fell by 42% to EUR 0.6 million. While the coronavirus pandemic led to project delays in the service business, especially in the second and third quarter of 2020, corresponding catch-up effects and the further expansion of the cloud customer base sent service revenues rising by 9% to EUR 3.9 million.

Intershop CEO Dr. Jochen Wiechen, who will hand over to COO Markus Klahn as planned after the Annual General Meeting in May, is satisfied: "The successful start to 2021 reinforces our belief that Intershop is now on a stable growth path thanks to the difficult but ultimately successful cloud transformation. Due to the greater certainty of planning and controlling that comes with recurring cloud revenues, we are moreover able to respond faster and more effectively to short-term developments in individual areas. At the same time, we are becoming less dependent on short-term business success. All this contributes to the new stability of Intershop."

The gross margin improved by another percentage point to 46%. Operating expenses rose by 6% to EUR 3.7 million. This was mainly attributable to higher investments in the company's own cloud platform, which led to a 22% increase in research and development costs to EUR 1.2 million. Marketing and sales expenses were up 2% to EUR 1.8 million. Administrative expenses dropped by 4% to EUR 0.7 million. Earnings before interest and taxes (EBIT) amounted to EUR 0.4 million (previous year: EUR 0.3 million). Earnings before interest, taxes, depreciation and amortization (EBITDA) stood at EUR 1.1 million (previous year: EUR 1.2 million). Net income for the period after taxes amounted to EUR 0.2 million (previous year: EUR 0.2 million).

At the interim balance sheet date of 31 March 2021, total assets of Intershop Group amounted to of EUR 40.3 million. Compared to the end of 2020, this represents an increase by 37%, which is mainly attributable to the capitalization of the right of use for the rental of new office space pursuant to IFRS 16. At the end of January 2021, the company's headquarters relocated to the immediate vicinity of the new campus of Friedrich Schiller University Jena. As a result of the increase in total assets, the equity ratio declined from 56% to 42% at the interim balance sheet date. Including restricted cash, cash and cash equivalents amounted to EUR 12.9 million as of 31 March 2021.

"To continue the positive trend of the past five quarters and become even more agile and customer-oriented, we are currently adapting our organization and internal processes to the lifecycle of our product," says Markus Klahn, COO and future CEO of Intershop Communications AG. "This transformation is also supported by our new headquarters and the modern and attractive working environment. For the coming months, we have a well-filled pipeline of new customers, which makes us generally optimistic for the current fiscal year in spite of the still complex pandemic situation."

The company confirms its forecast for the full year 2021 and continues to expect incoming cloud orders to rise by at least 10% and net new ARR to pick up slightly. Earnings before interest and taxes (EBIT) are projected to be slightly positive on slightly growing revenues.

The quarterly statement for the first three months of 2021 is available at https://www.intershop.com/financial-reports.

Contact:

Investor Relations
Heide Rausch
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F: +49-3641-50-1309
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