Quarterly estimated results: Lleida.net to raise its sales

Madrid, 20April .- During 1Q 2020, the telecommunications company Lleida.net (BME: LLN, EURONEXT: ALLLN) sold 43 percent more than in the same period of the previous year, reaching a turnover of 4,046 millions of euros.
The company, which is dual listed on the Alternative Stock Market (MAB) and Euronext Growth, in Paris, today presented its estimated results for this period. The company's EBIDTA grew by 33%, to 424,000 euros. Likewise, the gross margin registered by the company was 1.89 million euros, or 26% more than in the same period of 2019.
Profit before tax was 68,000 euros, or 79 percent more than in 1Q 2019.
The increase in sales was particularly important in the wholesale market, growing by  71 percent, or 960,000 euros.
As a consequence of the behavioural changes derived from the state of alarm caused by the COVID-19 and the rise of remote working, the type of consumption has changed, with an upward trend in the sale of standard notification and contracting products.
In this period, and especially during March, the number of SMS and email users has quintupled.
This was especially influenced by the interconnection agreements signed with the Asian telephone companies China Mobile and China Telecom, as well as the licence granted by Subtel that has allowed the subsidiary Lleidanet Chile Spa to become a telecommunications' operator in that Latin American country. SaaS services (Software as a Service) has grown significantly, rose by 38 percent to 1,081 million euros.
This growth has been influenced by the new contracts the  signed during the quarter with companies such as La Liga, Ria Financial Services, the Germany insurer Zurich , Segurcaixa Adeslas in Spain and Compartamos Confianza in Peru.
The increase in the volume of business has led to new recruitments, both in the product development and in business development department at international level.
In year-on-year terms , the workforce has grown by 25% in the last year, which has meant, personnel expenses of around 119,000 euros, or 16% more compared to 1Q 2019.
Net financial debt has been reduced by 25%, and now stands at 884,000 euros, an amount that represents 0.52 times the EBITDA for the annualized first quarter.
The company's strategy continues to be supported by the pillars of internationalization, innovation in the electronic notification and contracting sector, and debt reduction.
The company, founded 25 years ago, has more than 110 patents on certification methods granted worldwide. Currently, over 70 countries recognize the legal validity of electronic methods to certify legal notifications in contracting processes.

The company's shares have appreciated significantly since the beginning of the year.
In the Spanish MAB, where the company has been listed this quarter on a continuous trading, the value of its shares has increased by 86% as of last Friday, to 1.86 euros per share, while in Paris they trade at 1.99 euros.
On 26 March , the company's Board of Directors proposed to distribute the first dividend in its history.
The current value of the company on the stock exchange is close to 30 million euros in Spain and exceeds 31 in the pan-European market.

Tomorrow, Tuesday, the company's CEO, Sisco Sapena, will present these results to investors via video-conference.