Sygnity’s financial results for H1 FY2020
The first half of the fiscal year 2019/2020 is behind us. We have closed it with nearly PLN 20 million of operating profit and PLN 13.3 million of net profit. Today we can proudly say that those results are a proof that restructuring process was successful. Our main priority is still a sustainable business growth and building value for both shareholders and stakeholders.
Highlights of the last six months
We have focused our efforts on improving the internal efficiency and further reduction of operational risks. We also continue to develop our portfolio of proprietary products and services (including those using cloud and RPA technologies) to meet the current needs of both business and public administration. We have renewed a number of contracts with our long-term Clients, supporting them in strategic business development as well as ongoing adaptation to the new legal and reporting requirements.
The pandemic, which has been paralysing the global economy for several months now, has not had a negative impact on our business and quality of our projects.
According to Bogdan Zborowski, CEO of Sygnity – We have achieved things that we had not even thought about earlier – almost 100% of our team works remotely every day, leading projects that are crucial for the largest companies and the most important public institutions in Poland. This proves our operating efficiency and effectiveness of internal processes. What is important, the change in the way we work did not affect the quality of our services, and often it was even a catalyst for new ideas – it helped us to find new, effective forms of cooperation, communication and leading projects.
The vast majority of our Clients not only didn’t limit their activities, but signalled an increased demand for IT services. This was also related to the government support of both the labour market and social security sectors. District labour offices as well as social welfare organizational units have had to serve a larger number of Clients, introduce new forms of assistance or change the way they performed their existing tasks.
Between October 2019 and March 2020, Sygnity generated revenue of PLN 123 million, a level similar to the previous fiscal year (PLN 122.6 million). At the same time, the company has noted PLN 19.9 million of operating profit, i.e. slightly more than in the same period last year. EBITDA increased from PLN 24 million to PLN 28 million. The net result in this half-year was PLN 13.3 million. However, it should be emphasized that the net result in the comparable period of the previous year (PLN 15.3 million) was influenced by a one-off, not related to operating activities, in the amount of PLN 5.7 million (discounted bonds buyout).
As Mariusz Jurak, Vice President of the Board, says – Those results would not be possible without the commitment and discipline of the entire team. We have made the next step towards a strong, modern and financially stable organization, which proves our ability to both lead new projects and help our Clients in achieving their goals. We would like to thank them for their trust.
Strategy for the future – sustainable growth
The main priorities for the following months are: internal efficiency maintenance, further development of our own products and strengthening financial stability by both acquiring new Clients and introducing products and services that meet the current market needs.
At Sygnity for the last 30 years we have been supporting business and the government in the digital transformation, working with the largest companies and the most important public institutions in Poland.
We help business Clients use the technology to build a solid market advantage. Our solutions optimize processes, improve management and help make strategic decisions based on data. We support public administration institutions in the most important transformation projects, building together the foundation of digital country.
In our teams, business experts work hand in hand with IT specialists in order to design, implement and maintain technology that improve the business of our Clients and makes life easier for Polish citizens.