Donkey Republic expects to close 2021 with €4.9-5.0M in revenue, and to double it in 2022.
*Contains inside information*
Company Announcement No. 10 – 2021
Donkey Republic expects to close 2021 with: 4.9 to 5.0M EUR [36 to 37M DKK] in revenue, approximately 0.3 to 0.4M EUR [2 to 3M DKK] higher than its latest forecast in October 2021, and guides for 2022 revenues to be: 9 to 10M EUR [67 to 75M DKK].
Thanks to a strong last quarter of 2021, Donkey Republic has performed better than in its forecast published in the Q3 report on 5. October 2021. The 5.0M EUR is a result of high performance in all business areas.
Especially the revenue performance on the existing bike fleet has been encouraging with more than 50% higher revenue per bike in H2 2021 compared to H2 2019. This is mostly thanks to a steadily growing local user traction in addition to visitors coming back. Both have been affected by lock-downs in H1 2021 and during 2020.
Now, Donkey Republic management indicates an approximate doubling in revenue in 2022 compared to 2021. This is mostly driven by management’s expectation to continue the strong performance of H2 2021 throughout 2022 in combination with a growing fleet. In addition, the start of the subsidized operation in Antwerp, Belgium will further improve revenue performance. Management expects Covid-19 restrictions to have a limited impact on Q1 2022.
We expect 2021 EBITDA of between -0.8 to -1.0M EUR [-6.0 to -7.5M DKK] and an EBIT of -2.5 to -2.8M EUR [-18.5 to -21.0M DKK]. This is an EBIT improvement of 0.4 to 0.7M EUR [3.0 to 5.5M DKK] compared to both 2020 and our guidance for this year from our H1 2021 report. The improved performance is driven by the higher revenue in the second half of 2021.
For 2022 EBITDA is expected to be between -2.5 to -3.0M EUR [-18.5 to -22.5M DKK] and EBIT between -5.0 to -5.5M EUR [-37 to -41M DKK]. The drop in profitability is driven mostly by investments into fixed costs - mainly sales, marketing and product. These investments will pay off in 2023 where Donkey Republic management expects a positive EBITDA result, before also having a positive EBIT in 2024.
All developments are in line with the IPO plan, and we do not expect new equity injection to continue our growth in 2023 and 2024. The company expects to have more than 10M EUR [75M DKK] in cash by the end of 2021. We remain confident about our profitability projection with a revenue of 25 to 30M EUR [185 to 225M DKK] in 2024.
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Donkey republic Q4 2021 report will be released on January 10th, 2022.
Invitation Q4 presentation 13. January with Q&A: Donkey Republic CEO and CFO invites you to join us for an online session on January 13th at 15:30 - 16:00. Details for the webinar are:
Video call link: https://meet.google.com/map-cqow-duh
Or dial: (DK) +45 70 71 49 22 PIN: 671 214 472#
Add event to Google Calendar here click here
|
(M EUR) |
2020 |
2021 (forecast) |
2022 (forecast) |
|
Revenue |
2.9 |
4.9 - 5.0 |
9.0 - 10.0 |
|
EBIT |
-3.2 |
-2.5 - -2.8 |
-5.0 - -5.5 |
