Brief: BIMobject Initiates Cost Reduction Program

Bimobject AB

09/04/2020 10:30

April 9 (Reuters) - Bimobject AB  BIMOB.ST :
    * BIMOBJECT AB INITIATES COST REDUCTION PROGRAM AND PROVIDES
BUSINESS UPDATE RELATING TO COVID-19
    * TO INITIATE A COMPREHENSIVE SEK 50 MILLION COST REDUCTION
PROGRAM
    * FOR Q1 OF 2020, PRELIMINARY AND UNAUDITED INVOICED SALES
AMOUNTED TO SEK 28.6 MILLION, A CHANGE OF -5% COMPARED TO Q1 OF
2019
    * INVOICING WAS NEGATIVELY IMPACTED DUE TO DELAYED DECISION
MAKING
PROCESSES AT CUSTOMERS AND CONTINUED LOW VOLUMES WITHIN CONTENT
PRODUCTION
    * SALES TO NEW CUSTOMERS IN NORTH AMERICA AND NORDICS DID
NOT MEET
EXPECTATIONS
    * COST SAVINGS STEM FROM, AMONG OTHERS, REDUCING
ADMINISTRATIVE
STAFF (IT, LEGAL AND OTHER ADMINISTRATIVE) AT COMPANY
HEADQUARTERS
    * COMPANY EXPECTS THAT A MAJORITY OF SAVINGS WILL BE
POSSIBLE TO
CAPTURE ALREADY IN FISCAL YEAR 2020
    * COST REDUCTION TO INCLUDE REDUCING ADMINISTRATIVE STAFF
AND
TRIMMING SALES & MARKETING TEAMS
    * STRONG PLATFORM GROWTH CONTINUED, WITH 1.9 MILLION
REGISTERED
USERS AS OF MARCH 31, 2020, A GROWTH OF 33% SINCE MARCH 31, 2019

Source text for Eikon:  ID:nWkr8VcV8P 
Further company coverage:  BIMOB.ST 

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