“We believe we are now on the right track,” CFO Hans Henrik Thrane said in a prepared statement. However, the slide has been going on for more than two years and Columbus executives previously thought they had turned around operations in this country. North American (essentially the U.S.) revenue for the most recently ended quarter fell to approximately $33.3 million, down 13 percent from a year earlier. North American EBITDA dropped 71 percent to about $710,000 for the third quarter. Columbus hired Chris Alagna as the CEO of the U.S. business unit in May and in the last month the company trimmed some key sales and marketing people. However, during the webcast executives said there had been staff cuts in July. “We reduced our staff costs quite a bit in July,” Thrane said. He also commented that there had been some unexpected business that will carry into the fourth quarter. In its Interim Management Statement the company commented, “The turnaround will address sales and marketing execution, delivery organization and digital leadership offerings.” Before tax earnings for Columbus rose to about $13.6 million for the most recently ended period, an increase of 42 percent. Revenue was roughly $202.9 million, an increase of one percent over the corresponding quarter in 2018.Last modified on Friday, 08 November 2019
COLUMBUS U.S. BIZ STAYS DOWN Featured
Columbus said a recovery of its business in the United States is just around the corner, well 2020. The Denmark-based reseller and developer said in this week’s webcast for earnings for the third quarter ended September 30 it will see further sales declines in 2019 but expects to report growth next year.