25.06.2019

LiveChat's net profit increased by 18.5%, revenues by over 22% in the Financial Year 2018/19

  • Consolidated revenues of LiveChat Software in FY 2018/19 increased by 22.2% to PLN 109.3 million, and net profit by 18.5% to PLN 57.2 million.
  • During this period, the number of customers of the company’s flagship product - the LiveChat solution - increased by 2.649 companies and institutions.
  • The result for the fourth quarter was clearly better than the one expected by analysts.
  • Despite an increase in employment, the company has maintained very high margins (over 50% of net profitability for the whole FY), has been generating cash, has financed development work from its own funds and has maintained its dividend policy.

“_We’re summarizing the record year and the record quarter in which we achieved better results than expected by the market. It’s worth noting that in the last three months of the financial year our net margin returned to over 50%. We finance our development with own found, our team grows. What’s more, we generate very high cash flow and plan to allocate the entire profit for shareholders in accordance with our dividend policy,_” said Mariusz Ciepły, CEO at LiveChat Software.

During the entire financial year (April 1 - March 31), LiveChat Software generated PLN 109.3 million in revenues, PLN 74.5 million in EBITDA (an increase of 16.8%) and PLN 57.2 million in profit. The separate net profit of LiveChat Software S.A. amounted to PLN 57 million.

In the fourth quarter, the company’s revenues amounted to PLN 29,4 million and the net profit was PLN 15.1 million. This represents an increase of 28% and 18.5% respectively. Analysts’ expectations (PAP’s consensus) amounted to PLN 28.6 million in revenues and PLN 13.7 million in net profit.

During the financial year, the company significantly increased employment, which should translate into increased results in the future. At the end of March, the team consisted of 140 people, compared to 84 people a year earlier. Despite the cost increases, LiveChat Software continued to maintain very high margins. Throughout the entire financial year, the EBITDA margin was 68.2%, the EBIT margin - 64.8%, and the net margin - 52.4%.

High profitability translates into the ability to generate significant cash flows. In the period of January - March, cash flows from operating activities amounted to PLN 14.8 million, and in the entire financial year - PLN 61.2 million.

LiveChat Software’s dividend policy prescribes allocating the entire profit to the shareholders, on condition that there are no investments that would provide the company with a higher rate of return. The company also makes advanced payments from the previous financial year towards expected dividends. In January, the shareholders received 13.905 million PLN (PLN 0.54 per share) as part of the first advanced payment for the expected dividend for the Financial Year 2018/19.