• Profitable from a standing start despite Covid-19 crisis: EUR 8 million EBITDA
• Turnover at EUR 200 million before additional acquisitions
• Advanced negotiations for acquisitions with a total turnover of EUR 100 million
• CEO Wanja S. Oberhof: "Within only six months, we have managed to steer our brand portfolio and our processes towards sustainable, profitable growth.”
Berlin, 11 May 2020. Die SOCIAL CHAIN AG (WKN: A1YC99) presents its first full year forecast: Based on turnover of around EUR 200 million (proforma consolidated), SOCIAL CHAIN AG will generate positive EBITDA of EUR 8 million in 2020. THE SOCIAL CHAIN AG was only founded in October 2019 through a merger of THE SOCIAL CHAIN Group AG and Lumaland AG.
Wanja S. Oberhof, CEO of SOCIAL CHAIN AG: "Despite the current Covid-19 crisis, our young SOCIAL CHAIN AG is operating at a significant level of profitability virtually from a standing start. Within only six months, we have succeeded in optimising our processes and our brand portfolio enough to be able to report a substantial positive EBITDA in our first full financial year 2020 with high growth momentum. SOCIAL CHAIN sees itself as a pioneer for social media brands, reaching over 80 million followers worldwide with its own social media channels and social events. SOCIAL CHAIN is also one of the leading providers of digital marketing services.
Oberhof: "With the first official forecast now available, we are proving the strong positioning of SOCIAL CHAIN AG. The Covid-19 crisis is reducing our turnover in digital marketing and social events considerably. On the other hand, we can more than compensate for these losses with exceptionally strong performance in Social Commerce with our own brands."
The current crisis offers substantial opportunities for SOCIAL CHAIN AG. SOCIAL CHAIN is currently in advanced negotiations to acquire various brands and companies with a potential additional turnover in the region of EUR 100 million. This could increase the proforma consolidated turnover of SOCIAL CHAIN AG to around EUR 300 million as early as 2020. Oberhof adds: "A key component of our strategy is to accelerate organic growth through selected acquisitions. We now have the critical mass of structures, management and capital to select the right companies and integrate them without delay. The current opportunities for acquisitions on attractive terms would be a promising basis for further growth in 2021".
SOCIAL CHAIN AG places a particular focus on expanding its business in the USA. By 2020, SOCIAL CHAIN aims to increase the share of turnover generated in the US to over 50 percent. A look at the company’s fan base reveals the reason behind it: today, around half of the 80 million followers of SOCIAL CHAIN's social media channels live in the USA.