Rocket Internet returns to net profit of 297 million euros in H1


Rocket Internet returns to net profit of 297 million euros in H1

by Prachi Singh
20 Sep 2018

Rocket Internet SE in H1 2018 reported 24 million euros (28 million dollars) of consolidated revenue and a consolidated profit of 297 million euros (347 million dollars) or 1.84 euros (2.15 dollars) earnings per share compared to a loss of 0.15 dollars in H1 2017. As of August 31, 2018, Rocket Internet said that it had a strong available cash position of 2.1 billion euros (2.4 billion dollars). Today, the company also announced a new share buy-back program with a consideration of up to 150 million euros and up to 5,500,000 shares, representing 3.6 percent of the currently 154,374,884 shares outstanding.

"We use our strong cash position also to further repurchase own shares", said Oliver Samwer, CEO, Rocket Internet in a statement, adding, "The share buy-back program underlines our aim to allocate capital most efficiently and to redeploy recent cash proceeds."

Select companies under Rocker Internet continue to grow in H1

In the first half, Global Fashion Group, the leading online fashion destination in emerging markets, grew group net revenue to 535 million euros, a year on year growth of 20 percent on a constant currency pro-forma basis and 5 percent on euro basis, due to strong FX headwinds. The adjusted EBITDA margin in the first half of 2018 improved to -7.3 percent, while total orders in the period increased by 22.3 percent compared to the prior year.

HelloFresh revenues rose 41 percent in H1 2018, while the company reduced losses significantly. The adjusted EBITDA margin improved from -10.7 percent in H1 2017 to -4.2 percent in H1 2018. Jumia, online platform in Africa, grew GMV to 315 million euros, a 67 percent increase over H1 2017 on euro basis and 89 percent based on constant FX. Jumia's number of active customers reached 2.8 million at the end of June 2018, a 79 percent increase compared to last year.

Online home & living company Westwing grew revenue by 22 percent to 121 million euros and posted an adjusted EBITDA margin of 2.3 percent. Home24 reported 151 million euros net revenue for H1 2018, a 14 percent increase over the prior year.