Santa Fe Group revises the Outlook for 2018 – Company announcement No 7/2018

20 July 2018

The Santa Fe Group continue to face significant headwinds in a few key markets, including the very important Australia and UK markets, both of which have disappointed in recent months with Brexit uncertainty continuing to impact the UK market. The recent trend, as well as the initiations leading up to peak season, confirms lower expectations for the year overall. With these key markets not delivering according to expectations, Santa Fe Group revises the full-year Outlook as follows:

• Santa Fe Group’s consolidated revenue is now expected to be around EUR 270m (previously around EUR 295m).
• Consolidated EBITDA before special items is now expected to be around EUR 0m (previously around EUR 6.3m).
• Special Items are expected to be a net gain of around EUR 5m (in line with previous expectations) including the net gain from the divestment of the warehouse building in Beijing related to the Records Management divestment in China, which is now expected to close during Q3.

Commenting on the revised outlook, Group CEO Martin Thaysen says:

“Santa Fe Group continues to make really solid progress on the strategic initiatives with many strong individual milestones reached also in recent months. We continue to see growth in Relocation Services and in focus segments. However, it is now apparent that a few of our key markets for different reasons have fallen significantly behind. As we are faced with a continued very soft market environment, we do not foresee the rest of the business will be able to offset the shortfalls. The revised Outlook is clearly very unsatisfactory, and we are launching initiatives to adapt, to re-generate revenue growth and reduce cost.”

Santa Fe Group A/S will announce its Interim Report for Q2 on 30 August 2018.

For additional information, please contact:

Martin Thaysen, Group CEO, tel. 0, e-mail:

Christian Møller Laursen, Group CFO, tel. 4, e-mail:

Disclaimer: The 2018 outlook reflects management’s expectations of future events

and must be viewed in the context of the business environments and currency

markets, which may cause actual results to deviate materially from those projected

by Santa Fe Group. The outlook is stated at current exchange rates and based on

estimated consensus growth rates in key economies as well as present expectations

from key corporate customers. Santa Fe’s business is seasonal and dependent on

the third quarter peak season at the Northern Hemisphere as well as the local fourth

quarter peak season in Australia. Hence, the majority of revenue and earnings may

be recognised in these periods.

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