ALSO Group: sustainably profitable growth

According to the CONTEXT market research institute, in the first quarter of 2014 the value of the ICT distribution market in the regions that are relevant for ALSO grew by 3.7 percent from the previous year. During this period, the ALSO Group generated net sales of 1 623.3 million euros (+1.6 percent). In the first quarter of 2014, ALSO did not enter into unprofitable transactions and could improve its net sales by means of growth in the Solutions und Supply (B2B) sector.

Central Europe market segment

According to CONTEXT, in the countries in this region that are relevant for ALSO (excluding Netherlands), the ICT distribution market grew by 4.8 percent. In the Central Europe market segment, ALSO increased its net sales by 1.7 percent from the previous year to 1 266.5 million euros. By clearly focusing on profitable business sectors with strong growth, ALSO wants to expand its market position further. Profit before tax (EBT) fell slightly from 15.0 million euros to 14.4 million euros. A further reason for the decline was the increased pressure on margins in the Supply business of ALSO Switzerland.

Northern/Eastern Europe market segment

According to CONTEXT, the ICT distribution market in this region (excluding the Baltic States) shrank by 1.1 percent. Compared to the previous year, ALSO increased its net sales by 0.8 percent to 398.7 million euros. Profit before tax (EBT) improved from 0.7 million euros to 2.7 million euros. This improvement in profit was attributable inter alia to the positive development of ALSO Finland.

Outlook

The recovery of the ICT market which began in the fourth quarter of 2013 appears to be sustained. "With the MORE strategy that was defined in 2011, the goals for the development of the company have been clearly formulated. On this basis, and encouraged by our entrepreneurial successes, we turn our attention to the future, which will continue to be challenging but also offer good opportunities, which we will consistently utilize", states Gustavo Möller-Hergt.

The Group will announce its profit expectations for the current year together with the half-year report.