Monday, August 2, 2021 - 15:06


Improved margins and cash generation

  • CONSOLIDATED REVENUES: Euro 276.3 million, +24.2% compared to 222.4 million in the first half 2020. +26.8% currency neutral.
  • EBITDA ADJ: Euro 48.0 million, +28.7% compared to 37.3 million in the first half 2020
  • NET PROFIT ADJ: Euro 20.0 million, +75.8% compared to 11.4 million in the first half 2020
  • FREE CASH FLOW: Euro 31.6 million, compared to 22.5 million in the first half 2020 with a conversion rate at 54% pre tax
  • NET FINANCIAL POSITION: Euro +70.4 million as of June, increasing from 14.1 million as of June 2020

Nerio Alessandri, Chairman and CEO, commented:

"In these days, 12 thousand athletes from all over the world are training with Technogym’s products and digital solutions at the Tokyo Olympic Games, where for the eighth time Technogym has been chosen as Official Supplier. We are proud of this result that rewards the work of our team and represents a great opportunity for us both from the point of view of innovation, thanks to the feedback from the world's best athletes, as well as with regards to the promotion of the brand globally.

From a business perspective, we have approached this first half of the year with the same attitude as the sports champions. In 2020, despite the challenging environment in some market segments, we focused on home fitness, where we performed above expectations. In 2021, we have continued to consolidate our performance in the home fitness segment and at the same time we promptly built on the recovery in the BtoB segments.

The first semester closed with revenues up over 24%, marking a significant acceleration in the second quarter. This performance, which makes us confident for the year-end, is the result of a progressive recovery in BtoB, with all segments positive in the period, and a steady growth in the BtoC segment.

Innovation continues with the recent launch of the Technogym App, which completes the Technogym Ecosystem and allows users to access personalized workouts from an artificial intelligence-based digital smart coach, with on-demand video from top trainers, at home, in the gym, in the office, on the road and outdoors. As we have been saying for years, the wellness sector has finally become a hybrid: in the future, people will train both at home and at the gym. Technogym, thanks to its digital ecosystem, is in the ideal position to offer the exclusive "connected wellness experience" in fitness, sport and health, for the benefit of both industry operators and consumers.

The results of the first half of the year, both in terms of revenue growth and improved profitability, confirm the long-standing focus of the entire Technogym team in pursuing sustainable and profitable long-term growth. Innovation has always been central to the company's strategy and for this reason we continue to develop the Technogym Community through our brand, our extraordinary people, talents and distinctive skills."

Cesena (Italia), August 2nd, 2021 – The Board of Directors of Technogym S.p.A. (MTA: TGYM), one of the world’s leading companies in smart equipment, service and digital services for the fitness, sport and health sectors, as part of the broader wellness sector, examined and approved the consolidated half-yearly financial report as of June 30, 2020 today, drawn up in accordance with IAS/IFRS international accounting standards.

The first half of the year was influenced by the progress of the Covid-19 vaccination campaign in many countries, which enabled a gradual relaxation of the restrictive measures decided to counter the spread of the pandemic. Thanks to the reopening of many activities, the climate of greater optimism among the various economic players and the growing interest in Wellness Technogym recorded a significant acceleration in revenue growth during the second quarter, returning to positive performance in all BtoB segments and in all geographical areas.

In terms of Adjusted EBITDA, there was an improvement compared to last year, returning to a level of profitability in line with the first half of 2019, thanks to the acceleration of turnover in the second quarter.

The net financial position improved compared to December 31, 2019, despite the payment of a dividend. This result is all the more remarkable in light of the usual negative seasonality that characterizes the first half of the year and the payment of dividends of €44 million during the period.

Net income adjusted for non-recurring items shows a strong improvement compared to last year and benefits from the general recovery of the business and the improvement in operating profitability.

On the innovation front, during the first half of the year the company expanded its library of services and content to support the growing interest in digital fitness by releasing Mywellness app 6.0 and the Technogym App. The former is an open CRM software platform that enables the club to improve the customer experience and accelerate attraction and retention by providing the consumer with a greater level of personalization of the center experience. The Technogym App, on the other hand, establishes a direct dialogue with the end consumer, providing them with an A.I.-based smart coach that can support everyone in achieving their fitness, health or sports goals by adapting to the available equipment available in the various training locations.

Today Technogym has several tens of thousands of centers set up around the world with over 20 million end users registered on the Mywellness platform.

During the semester, the company continued its commitment to marketing and communication activities, as well as to the development of new training content, aimed at maintaining Technogym's positioning as a Premium brand in the BtoB sector and Prestige in the BtoC sector and supporting the company's role as a partner for end-user training with a hybrid approach, thus capitalizing on endusers' growing interest in Wellness on the Go launched back in 2012.