Improved underlying margin despite challenging market conditions
Third quarter 2020 (third quarter 2019)
First nine months, January-September 2020 (January-September 2019)
Significant events in the third quarter 2020
Significant events after the end of the third quarter 2020
Comments from CEO Martin Malm:
"Transcendent Group’s revenue in the third quarter decreased by approximately 5 percent; however, for the first nine months of 2020 we exhibit a growth of 1 percent. At the time, excluding non-recurring items, we manage to improve our margins despite the challenging market conditions caused by the Covid-19 pandemic. The measures that we introduced in the first quarter continue to contribute to a reduced cost base for the remainder of the year.
The established markets show a slight decrease compared to last year due to Covid-19 but given our strong position we see good opportunities for growth when the market conditions improve. Among our new markets the Netherlands stands out from the crowd, and if the business continues to grow at the same pace as now it might become our next established market. Each market is unique but based on the success in the Netherlands, we will apply some learnings on the rest of the new markets. By closing Germany, which has clearly underperformed compared to the other businesses, we also achieve an improved risk balance between the new markets and better opportunities to create sustainable growth.
In 2020, our focus has been to ensure profitability and liquidity, and we have made some tough decisions along the way. Our long-term strategy remains more or less unchanged – but based on the effects from the pandemic we will put larger emphasis on sustainable growth. We will ensure that each newly established market has the conditions required to reach critical mass in terms of staff and the right service offering, while sharing best practice between the different markets."
Link to full interim report
The full interim report is available in Swedish on https://transcendentgroup.com/investor-relations/.
For further information, please contact:
Martin Malm, CEO Transcendent Group
+46 73 335 94 26
This is information that Transcendent Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was sent for publication, through the agency of the contact person set out above, on 19 November at 08:00 (CET).
About Transcendent Group
At Transcendent Group you will meet experienced consultants in Governance, Risk and Compliance. Transcendent Group’s services provide security and opportunities for government agencies, businesses and other organizations in a variety of industries. The company was established in Stockholm in 2001 and has from the start built a differentiated offering based on a value-driven culture with experienced experts. Transcendent Group has been ranked as one of Europe’s, Sweden’s and Norway’s best workplaces in 2020 and has been a Great Place to Work since 2012. Transcendent Group has approximately 120 employees in 8 markets across Europe. Transcendent Group is listed on Nasdaq First North Premier Growth Market. The company’s Certified Adviser is Avanza Bank, +46(0)8-409 421 20, email@example.com. For more information, visit www.transcendentgroup.com.