Skip to content

Viria Plc’s financial statements release 1 January–31 December 2020: Profitable growth during a challenging period


October–December 2020 in brief

  • In Q4, revenue was EUR 30.6 million (2019: EUR 28.5 million), an increase of 7.2%
  • Adjusted EBITDA was EUR 2.2 million (EUR 2.1 million), or 7.3% (7.3%) of revenue
  • Adjusted EBITA was EUR 1.7 million (EUR 1.5 million), or 5.6% (5.3%) of revenue
  • The adjusted profit for the period was EUR 0.1 million (EUR 14.1 million)
  • Earnings per share were EUR -0.03 (EUR 2.29)

January–December 2020 in brief

  • Viria Group’s revenue was EUR 106.8 million (EUR 103.1 million), an increase of 3.6%
  • Adjusted EBITDA was EUR 6.2 million (EUR 5.5 million), or 5.8% (5.3%) of revenue
  • Adjusted EBITA was EUR 4.1 million (EUR 3.3 million), or 3.8% (3.2%) of revenue
  • The adjusted profit for the period was EUR -3.6 million (EUR 12.5 million)
  • Earnings per share were EUR -0.75 (EUR 2.04)
  • The Board of Directors proposes to the Annual General Meeting that a dividend of EUR 1.80 per share be paid from distributable funds. Based on the situation at the time of confirming the financial statements, this would correspond to EUR 10,231,736.40 in total.

Medium-term financial targets

In the next few years, Viria seeks growth. The company’s view is that this growth will be driven especially by the strong digitalisation development in society and the increasing need for cyber security services. In its strategy, Viria emphasises the growth of revenue and also expects revenue growth to contribute to the increase of the adjusted EBITDA in the medium term.

Outlook for 2021

The uncertainty caused by the COVID-19 continues in the market and reduces predictability. Viria intends to take measures in 2021 related to the achievement of long-term objectives, and the development expenses associated with these measures will temporarily reduce the company’s operational profitability. It can also be expected that the costs that decreased in 2020 due to the pandemic will return closer to normal levels in 2021.
In 2021, Viria expects the revenue of continuing operations in both the security business and the digital development business to be on a par with the previous year or show moderate growth. The Group’s adjusted EBITDA is estimated to be lower than in 2020.

Key figures

EUR 1,000 10–12/2020 10–12/2019 Change % 1–12/2020 1–12/2019 Change %
Revenue, EUR 1,000 30,561  28,517 7.2 106,823 103,104 3.6
 – Security business 20,558 18,571 10.7 69,122 65,091 6.2
 – Digital development business 10,156 9,886 2.7 37,859 37,670 0.5
EBITDA 1,868 1,988 -6.0 5,434 5,598 -2.9
Adjusted EBITDA, EUR 1,0001 2,232 2,076 7.5 6,160 5,492 12.2
EBITA, EUR 1,000 1,355 -273   3,386 1,723 96.5
EBITA, % 4.4 -1.0   3.2 1.7  
Adjusted EBITA, EUR 1,0001 1,719 1,513 13.6 4,113 3,315 24.1
Adjusted EBITA, %1 5.6 5.3   3.8 3.2  
Operating profit (EBIT), EUR 1,000 -420 -2,017 79.2 -3,838 -5,201 26.2
Adjusted operating profit (EBIT), EUR 1,0001 -56 -231 75.8 -3,111 -3,609 13.8
Profit for the period, EUR 1,000 -177 12,320   -4,172 10,859  
Adjusted profit for the period, EUR 1,0001 114 14,088 -99.2 -3,590 12,459  
Balance sheet total, EUR 1,000       136,652 152,512 -10.4
Equity-to-assets ratio, %       81.3 78.7  
Earnings per share (EPS), EUR2 -0.03 2.29   -0.75 2.04  
Book value of parent company’s equity per share, EUR2       22 23 -4.3
Average number of employees (FTE)       714 693 3.0

1 The adjusted EBITDA, the adjusted EBITA, the adjusted operating profit (EBIT) and the adjusted profit for the period are calculated by excluding capital gains/losses arising from the disposal of properties, fixed asset shares and businesses, insurance and other compensations and other adjustments from the respective reported figure.
2 The own shares owned by the Group are excluded from the total number of shares

CEO Samu Konttinen:

Viria performed fairly well in the challenging circumstances during 2020 and increased its revenue by 3.6 per cent to EUR 106.8 million. Adjusted EBITDA improved by 12.2% year-on-year and amounted to EUR 6.2 million.
Revenue for October–December increased by 7.2 per cent year-on-year to EUR 30.6 million. Adjusted EBITDA totalled EUR 2.2 million, representing a year-on-year increase of 7.5%.
To prevent the spread of the COVID-19 pandemic, the company’s employees switched to remote work in March in all jobs that can be performed remotely. During the past year, we established a number of new operating practices and we have worked together with our customers to adapt to the exceptional circumstances while always putting safety first. Cost savings were achieved due to the restrictions introduced in response to COVID-19, but the cost savings are estimated to be temporary. While COVID-19 has had a negative impact on our growth, we expect the situation to begin to return to normal in the latter part of 2021.
The final quarter of the year is traditionally strong in Viria’s security business, and I am satisfied with the 10.7 per cent growth we achieved. The second wave of the COVID-19 pandemic again brought increased restrictions on installation operations, but this did not slow down sales or the start-up of customer projects to the same extent as in the early stages of the pandemic. We achieved good growth in our continuing services in cyber security and we will continue to invest in them. While our revenue from cyber services is still relatively low, it is an important aspect of our One Security approach.
Our digital development business grew by 2.7% in the fourth quarter. During the quarter, we won significant data analytics projects and the utilisation rate of our consulting services was at a good level. With more than 300 experts, we can offer a wide range of digital development services to our customers and we are a leading provider of several technologies related to business intelligence and data analytics. The shortage of highly competent professionals in the industry is a challenge to accelerating the rate of growth, and one of our key goals is to be the most attractive employer in our industry.
I want to take this opportunity to thank everyone at Viria for the past year. The employees of our companies have demonstrated excellent flexibility and adaptability in these exceptional circumstances. We operate in dynamic industries – digital development and security – that play a significant role in building the future of our society. We have a lot of highly competent professionals and our long-term customer relationships are proof of our competitiveness and customer orientation as a service company.

Proposal on the use of the profit for the period

The parent company’s distributable funds amount to EUR 114,367,427.41 and the parent company’s profit for the period is EUR 3,292,243.99. The Board of Directors proposes to the Annual General Meeting that a dividend of EUR 1.80 per share be paid from distributable funds. Based on the situation at the time of confirming the financial statements, this would correspond to EUR 10 231 736,40 in total. Of the proposed dividend, EUR 0.29 per share equals the amount of a minority dividend specified in the Limited Liability Companies Act i.e. half of the profits of the financial period, and EUR 1.51 per share is regarded as an extra dividend.
No material changes have taken place in the company’s financial position after the end of the financial period.

Events after the financial year

Samu Konttinen became Viria Plc’s CEO on 1 January 2021.
Pursuant to an agreement signed on 19 February 2021, Viria Plc sold its shares in Oy Hibox Systems Ab to Accedo AB. The transaction entered into effect on 1 March 2021.
On 25 February 2021, the Finnish Tax Administration decided to approve Viria Plc’s claims for adjustment concerning the taxation of Vemetra Holding Oy submitted in 2017 and 2018, at which time Vemetria Holding Oy was a subsidiary of Viria Plc. As a result of the decision, Viria Plc will receive a tax refund of approximately EUR 1 million.
4 March 2021
Viria Plc
Board of Directors

Further information

CEO Samu Konttinen, samu.konttinen (at)
Appendix: Viria Plc Financial Statements Release 2020