Syn hf. : Strong organic revenue growth


The interim consolidated financial statements of Sýn hf. for the first quarter of 2022 were approved by the Board of Directors on May 11and2022.

Principle results:

  • Revenue for the first quarter (Q1) of 2022 was ISK 5,682 million, an increase of ISK 682 million compared to the same period in 2021.
  • EBITDA for the first quarter of 2022 was ISK 1,710 million, compared to ISK 1,388 million in the first quarter of 2021. EBITDA margin was 30.1% in the first quarter of 2022, compared to 27, 8% in the first quarter of 2021. Increases in operating costs are below inflation due to reduced costs and increased gross margin. from year to year.
  • The profit in the first quarter of 2022 amounted to ISK 207 million, compared to a loss of ISK 231 million in the same quarter of last year. Of the ISK 231 million loss, ISK 189 million relates to the sale of the Faroese partner Hey sold at the end of the first quarter of 2021.
  • Cash flow from operations in the first quarter of 2022 was ISK 1.107 million compared to ISK 542 million in the same period of 2021, an increase of 104%.
  • Total investments for the first quarter of 2022 amounted to ISK 819 million, of which ISK 285 million in tangible and intangible assets (excluding broadcast license fees) and ISK 531 million in broadcast license fees.
  • Negative cash flow from financial activities for the first quarter of 2022 amounted to ISK 2.402 million compared to ISK 320 million in the first quarter of 2021, the difference being mainly explained by the share buyback.
  • The Company’s equity ratio was 27.2% at the end of the first quarter of 2022.
  • At the beginning of 2022, the board of directors decided to launch a buyback program. The program began with a reverse tender offer on January 7and to January 9and followed by a regular share buyback from January 13and to March 3rd. A total of 28,064,512 shares were purchased, representing 9.47% of the total shares for an amount of ISK 1,860,000.
  • The general meeting of March 18and approved the Board’s proposal to reduce the issued share capital of the Company based on the number of own shares. The capital reduction was implemented on April 12and and the updated total number of shares is 268,376,962.

Heiðar Guðjónsson, CEO:

“We are proud to report organic revenue growth of 14% year-over-year. Operating costs are increasing less than inflation, resulting in an increase in EBIT of ISK 359 million We have a profit of more than 200 million ISK on regular operations in the first 3 months of the year.

Due to seasonal fluctuations in the Company’s business, earnings generally increase as the year progresses. In addition, growth is expected through improved services, new product lines and the development of 5G and related technologies. Therefore, we are on track to achieve a steady operating profit of up to ISK 100 million per month on average over the year. Free cash flow is also very strong and increased by ISK 603 million during the period.

Several parts of the business that were impacted by COVID are now returning to normal as the year progresses. There is an increase in revenue from Endor, an increase in roaming and rising advertising sales.

Regarding media operations, ads sold out on Vísir for the first time in the first quarter of a year. Radio operations are doing well and there is growth around our TV operations as well, despite the negative trends evident overseas due to reduced COVID restrictions.

We returned approximately ISK 2 billion to shareholders in the first quarter of the year through share buybacks and we intend to continue to do so this year.

Following changes to the law on the publication of the financial results of listed companies, we will not have a presentation meeting this quarter. We will make detailed presentations on the half-year and annual results. As before, questions can be sent to us or meetings can be requested.”

  • Syn hf. Fréttatilkynning 1F 2022 – EN


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