Emakina Group: Outlook 2020 in light of the COVID-19 pandemic

Emakina Group: Outlook 2020 in light of the COVID-19 pandemic
05 June 2020

Emakina Group (Euronext Growth Brussels: ALEMK) releases its 2020 outlook today, taking into account the context of the COVID-19 health crisis.

As announced at the end of March 2020, at the onset of the COVID-19 pandemic, the impact of containment measures and the pace of deconfinement will have a significant impact on Emakina's economic performance in 2020.

In order to preserve its margins and cash flow, the group's management quickly initiated temporary measures to reduce costs and set up additional credit lines. In addition, high-performance video-conferencing and online collaboration tools have enabled the organization to ensure continuity and quality of teleworking services to its clients.

To date, estimating the financial impact remains a complex exercise that depends heavily on the health aspects of the crisis and the uncertain economic situation.

Nevertheless, taking into account the good first quarter 2020, the growth of activities in the Middle East region, the volumes of work on ongoing projects and commercial indicators, management anticipates a limited single-digit impact on its consolidated annual revenues in 2020 compared to 2019. This outlook will be updated in September during our regular communication on the 2020 half-year results.

However, this development does not jeopardize the group's financial health, in view of the measures taken and the availability of appropriate credit lines. The impact of the crisis on the level of working capital requirements and cash flow is a priority focus of attention.

In addition, management wishes to recall that protecting the health of its 1,000 employees is its number one priority, through the implementation of precautionary measures in all its offices, but also by maintaining the strongly recommended teleworking policy in all our branches.

As a partner in digital transformation, Emakina Group pays the utmost attention to the challenges facing its clients. Their technological change must be accelerated, particularly through the implementation of e-commerce platforms to ensure their continued sales.

Contacts

Karim Chouikri                         
Chief Executive Officer                    
+32(0)2 400 40 75
kch@emakina.com

Frédéric Desonnay                 
Chief Financial Officer
+32(0)2 788 79 26
fds@emakina.com

Luc Malcorps                            
Director of Media Relations
+32(0)2 788 79 73 
lma@emakina.com

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Emakina Group S.A.
Rue Middelbourg 64A
1170 Brussels
Belgium
VAT 0464.812.221
ISIN BE 0003843605