The 1st half of 2021 at TIM Group: record-breaking turnover, consolidated net profit increased by 357% YOY

In the 1st half of 2021, TIM corporate group generated PLN 602.4 million sales revenue (+22% YOY). Consolidated net profit reached over PLN 43 million, which means an increase by 357% YOY. The sales revenue of TIM SA increased by 32% as compared to the 1st half of 2020, reaching PLN 569.7 million. The total amount for the last 12 months (Q3 2020 – Q2 2021) exceeded PLN 1.07 billion. Work is underway to make 3LP SA public on the Warsaw stock exchange.
The increase in consolidated sales revenue is even higher (+34% YOY) when the data is made comparable, i.e. when we do not take into account the revenue of Rotopino.pl S.A. in the 1st half of 2020 (the company left TIM Group at the end of 2020).

Increase in the sales of logistics services outside of TIM corporate group

The Group’s revenue from the sales of services (PLN 34.3 million) for the 1st half of 2020 increased by 78.7% year on year. What can be observed here is mainly the growing scale of operations related to the provision of automated logistics services to external customers by 3LP SA. 

‘The increase in revenue generated for 3LP by this segment was 83% as compared to the 1st half of 2020. It results from the fact that 3LP acquires new customers and that the scale of its operations is growing. It also confirms that 3LP adopted the right strategy when it decided to specialise in automated logistics services for entities from the e-commerce market,’ notes Krzysztof Flota, President of the Management Board of TIM SA. ‘We are working on the company’s prospectus. We are sure that investors on the Warsaw stock exchange will appreciate the attractiveness and the perspectives for developing the business model of 3LP,’ adds Krzysztof Flota. 

More clients, more indices

Since March 2021, each month in TIM SA brings monthly sales revenue of over PLN 100 million. The increase in sales is accompanied by very good statistics on the number of customers. The number of new customers is increasing, but what is also growing is the group of loyal customers, i.e. those who made purchases in at least six out of the last twelve months.  In the 1st half of 2021, there were 5,826 of such customers, which means an increase by 16% as compared to the corresponding period of 2020. The average number of monthly registrations of new business customers was 1,153, which means an increase by almost 25% as compared to the 1st half of 2020. 

‘Analysing data concerning visits on the TIM.pl platform in the first six months of 2021, we can see a similar 27% increase in the number of users. Importantly, it is largely thanks to the organic channel (SEO), which directed to us 44.5% more users than in the first half of 2020,’ emphasises Piotr Nosal, Member of the Management Board and Commercial Director of TIM SA. ‘An increase in the number of views that come from natural search results is the product of optimisation work whose aim is to improve the visibility of TIM.pl, so that as many customers as possible can satisfy their shopping needs at TIM.pl.  They are attracted for example by a growing range of products at TIM.pl, which come from our own warehouse and from the marketplace model,’ adds Piotr Nosal. 

At the end of June 2021, the e-commerce platform of TIM SA gave access to over 276.5 thousand unique indices as compared to 235.1 thousand in the previous year. In the first half of 2021, orders placed by TIM.pl customers included over 98.7 thousand unique indices in total. 

The product segment used in PV systems is still dynamically growing. In the 1st half of 2021, it generated 4.5% of the sales revenue of TIM SA. Its value was PLN 25.9 million, which means an increase by 74.5% as compared to the 1st half of 2020. If we only compare the second quarters of 2021 and 2020, the increase amounts to 113%. 

The 2nd quarter of 2021 – the best in history. New investments on the horizon

The 1st half of 2021 brought about more than just a record-breaking increase in the net profit of TIM Group. Consolidated EBITDA increased by 123.4% year on year, reaching almost PLN 67 million. The 2nd quarter of 2021 was the best in terms of quarterly financial results in the history of TIM Group. The consolidated sales revenue was PLN 328.3 million (+29.3 YOY), net profit – PLN 29.6 million (+233% YOY) and EBITDA – PLN 42.3 million (+142% YOY). 

‘The positive assessment of the financial situation of the Group is reinforced by a “healthy” condition of moving products in the inventory and the best quality of the receivables portfolio in our history, when we look at it from the perspective of exposure to credit risk. Moreover, we reduced the net debt by almost 22%, to PLN 78.5 million. As a result, the ratio of the net debt to EBITDA is only 0.7,’ says Piotr Tokarczuk, Member of the Management Board and Financial Director of TIM SA. ‘We are well-prepared for new investments that are underway. What I mean is a modern production floor with an area of 25 thousand square metres with high-grade automation, created for the use of 3LP SA, and new IT architecture related to work on a new version of our e-commerce platform and sales-related systems, developed as part of the TIM.pl 2.0 project,’ adds Piotr Tokarczuk. 

See the consolidated report for the first half of the year (POLISH ONLY) >>