* The public company held its annual shareholders' meeting October 5th to approve the audited Annual Report 2020.
* The ECT Group reports annual revenue growth of 6.2% to 17.254 M EUR, while earnings after tax grew 33.6% to 0.288 M EUR. Retained profits increased to 6.415 M EUR.
* During 2020, the Group made voluntary COVID relief payments to all employees as well as paid voluntary employee bonuses for in total over 1.4 M EUR. Furthermore, the Group also invested over 2 M EUR in R&D and new product development, preparing the launch of several new products in 2021.
* Consolidated working capital nevertheless increased to 8.8 M EUR, due to the increase in cash by 2.2 M EUR to in total 5 M EUR. The equity ratio of the parent company, the European Computer Telecoms AG, increased to 56%.
* By the close of the year, the Group had an unusually high number of orders on the books for software and professional services to be delivered in 2021, totaling over 6.4 M EUR.[/b]
Munich, October 6th, 2021 ECT (European Computer Telecoms AG), provider of low-code technology and agile co-development dedicated to better business outcomes for CSPs and their customers, announces that the ECT Group's revenue and earnings continued to grow in 2020. According to ECT's annual report, approved at the company's general shareholders' meeting on October 5th, consolidated annual revenue grew 6.2% to 17.254 M EUR and earnings after tax 33.6% to 0.288 M EUR. Retained profits increased to 6.415 M EUR.
In 2020, the Group invested over 2 M EUR in new product development and R&D. Moreover, ECT also entered into a multi-year contract with the leading consultancy company in the telecoms industry, Gartner, Inc. The Group is using the expert guidance and tools of Gartner to enable faster, smarter decisions and stronger performance on its most critical priorities and preparing a relaunch of the company's brand and core technologies in 2021.
Throughout the pandemic, all of the Group's many clients, worldwide communications service providers, received the same excellent 24-hour maintenance support as always and were able to continue the many critical services running on ECT technology without issues.
In response to the pandemic, the Group awarded all employees voluntary COVID relief payments and instituted home office for a large portion of the year. As in previous years, the Group also paid voluntary employee bonuses and continued to be the main sponsor of the Munich Chamber Orchestra which, like all cultural institutions, was hit hard by the pandemic.
Even with this engagement, consolidated working capital increased to 8.8 M EUR, due to the 44% increase in cash to 5 M EUR at the end of the year. The equity ratio of the parent company, the European Computer Telecoms AG, increased to 56%.
Looking back on 2020, ECT CEO, Marshall E. Kavesh, commented, "Although these results are below pre-COVID expectations, we are satisfied with our performance given these difficult times. Most importantly, we continued to fulfil our responsibilities to our clients, employees and community while maintaining growth and investing heavily in the future of our company. After the end of the pandemic, we will be stronger than ever and well able to continue our long-term plan to grow to a 100 M Euro company by no later than 2025."
About ECT (European Computer Telecoms AG):
ECT is a tech company dedicated to better business outcomes for communications service providers (CSPs) and their customers. With our Telecoms Low-Code Application Platform (T-LCAP), Packaged Business Capabilities (PBCs), ready-to-use apps and agile co-development, we enable CSPs to compose, enhance and individualize telecoms services and products implemented within their telecoms network. We believe that business customers are ready to pay a premium price for reliable, individualized services, continuously evolving in cooperation with their trusted CSP. Toward this end, we collaborate with CSPs long-term and continuously, responding agilely to new and changing use cases, requests from individual customers, and emerging opportunities. Research and development are also a top ECT priority: we consult closely with leading analysts, implement emerging technologies and products early, and then test their viability together with the CSPs in our ecosystem. In addition to our own direct sales and service, primarily in Europe, we also partner with Nokia Networks which offers our products and services worldwide. Together with our clients and our partner Nokia, we at ECT enjoy meeting challenges and creating opportunities.
Founded in 1998, ECT is an unlisted German public company with its headquarters in Munich, Germany and wholly-owned sales and service subsidiaries in England, The Netherlands and the USA.
For more information about ECT, please visit ect-telecoms.com.
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