Good development and strategic acquisition after the quarterPublished 22 Oct 2020
Knowit improves its profit and margin for the third quarter 2020, despite the market being affected by due to covid-19. Net sales for the third quarter were SEK 661.4 (708.6) million, the profit increased to SEK 58.5 (56.3) million, and the profit increased to 8.8 (7.9) percent. After the end of the quarter, Knowit has signed a contract for acquisition of Creuna, thus further strengthening its position as the largest digital agency in the Nordic region.
The largest business area Solutions has had a continued stable development and improved its profit, net sales and margin. Experience has improved its efficiency and increased its profit and margin. Insight has, during the quarter, turned the downward trend around as well as continuing to streamline its organization.
“For the third quarter, we deliver a profit and margin in line with those of last year and the development thus far this year indicates increased net sales and improved margins. We see a continued strong demand. Our current client assignments are moving ahead and are seen as operation-critical by our clients,” says Per Wallentin, CEO and President.
After the end of the quarter, Knowit has signed a contract for acquisition of Creuna, thus reinforcing its position on the Nordic market. The client offers of the companies supplement each other well in digital business, data-driven sales, and market communication. The acquisition means that Knowit Experience grows to around 900 employees and the number of employees in the group to around 2,600. For more information, see the press release on knowit.eu.
“We can see that the shift to digital business models is now moving even faster among our clients. Together with Creuna, we will have the strongest digital transformation offer in the Nordic region,” says Per Wallentin.
The support measures offered by the government have affected the profit and margin positively, in particular through lowered employer’s contribution. These measures have gradually been phased out during the quarter as Knowit no longer meets the requirements for making use of them.
For more detailed information on the results for the third quarter, please see the interim report available on the website.