Germany's Syzygy nine-month sales fall, driven by decline in German market
Germany's Syzygy nine-month sales fall, driven by decline in German market
Overview
Germany digital marketing firm's nine-month sales fell 14% yr/yr to EUR 37.8 mln
Company reported nine-month EBIT of EUR 0.9 mln, up from break-even last year
Company confirmed full-year sales and EBIT margin guidance
Outlook
Syzygy confirms 2026 sales forecast of around EUR 50 mln and EBIT margin of 3-4%
Company says focus remains on profitable new business and scaling AI-enabled services
Company notes market environment remains subdued
Result Drivers
SALES DECLINE - In the core German market, sales for the first nine months amounted to EUR 29.1 million, down 18%, followed by Poland
EFFICIENCY MEASURES - Cost base adjustments and improved operating efficiency contributed to higher EBIT and margins
SEGMENT CONTRIBUTIONS - All segments delivered positive EBIT despite subdued market conditions
Company press release: ID:nPexGV0hma
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
9M Sales |
| EUR 37.75 mln |
|
9M EPS |
| EUR 0.04 |
|
9M Net Income |
| EUR 523,000 |
|
9M Operating Cash Flow |
| -EUR 766,000 |
|
9M Operating Income |
| EUR 893,000 |
|
Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the business support services peer group is "buy."
Wall Street's median 12-month price target for Syzygy AG is €2.98, about 254.2% above its October 28 closing price of €0.84
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 14 three months ago
Reuters Recommended Reads
Oct 26 - MotorK nine-month revenue falls 13% on non-core exit; withdraws FY26 CARR guidance
Oct 26 - Germany's EDAG Engineering prelim 9M revenue falls on automotive customer restructuring, cuts FY26 outlook
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)