Bitcoin Group SE adjusts earnings forecast for 2018 – company nevertheless expects strong positive result
- Expected revenue of EUR 9.5 million for 2018 (previous year: EUR 12.6 million)
- Strong positive result expected for fiscal year 2018
- Important milestones reached to expand business model
Herford, December 04, 2018 – Bitcoin Group SE (ISIN DE000A1TNV91) has adjusted its previously announced earnings forecast for fiscal year 2018. Although revenues at the end of November 2018 had risen by about 35% compared to the same period last year, the company, which operates Germany's only regulated trading platform for digital currencies with Bitcoin.de, sees itself prompted to take this step. Specifically, Bitcoin Group SE expects revenues of more than EUR 9.5 million for the financial year 2018 (previous year: EUR 12.6 million). With expected costs of no more than EUR 2.5 million (previous year: approx. EUR 1.8 million), profit before taxes is expected to be above EUR 7 million.
The reason for the adjustment is the unusually high demand for Bitcoin in December 2017. At that time, the price of the cryptocurrency rose from approx. 8,000 euros to almost 17,000 euros within a few days. Accordingly, the trading volumes essential for the company developed at that time. At present, a similarly dynamic price development cannot be assumed due to the prevailing market and media environment. In spite of the still high dynamics in the acquisition of new customers, the target of 1 million users in 2018 will not be reached. Bitcoin Group SE will nevertheless achieve a strongly positive result for the current financial year.
In order to further diversify its business model, the company has already taken decisive steps and achieved important milestones. In mid-November 2018, Bitcoin Group SE acquired 100% of the shares in Tremmel Wertpapierhandelsbank GmbH. This opens up the possibility of significantly extending the value chain. This includes proprietary trading in cryptocurrencies, the issue of corresponding financial products and the installation of ATMs for cryptocurrencies. In the future, the aim is to develop Bitcoin.de into a cryptocurrency exchange while retaining the marketplace model.
"Many clients are more cautious in their investment decisions due to the overall challenging market environment. This is also reflected in the listing of major cryptocurrencies. We are continuously expanding our business model in order to be able to act even more independently in the future. We have already reached important milestones in this respect, and more will follow. In this way, we will be able to increase our pace on the growth path and inspire more customers with our services and products," says Marco Bodewein, Managing Director of Bitcoin Group SE.