Benefit Systems summed up the first quarter of 2022: dynamic reconstruction of the sports card base and expansion of the portfolio with new products and services

– We had a very good start to the year and the sales dynamics is still at a high level. We can see that the non-financial benefits market is returning to the pre-pandemic state and the interest in benefits as well as the level of their financing are significantly higher than a year or two ago. In April and May the sports card base increased by 55,000 cards which allows us to expect approximately 1.1 million cards in Poland at the end of this year. Achieving this goal depends primarily on the summer season, which is why we plan several loyalty activities, including MultiSport Summer Game with elements of gamification and rewards for training during the holidays – explains Bartosz Józefiak, Management Board Member at Benefit Systems. – This year we are increasing our involvement, also thanks to the financing from EBRD and Santander Bank Polska, in the development of new products and acquisitions. We are continuing our work on the MultiLife programme and the cafeteria platform which we have expanded by adding a gamification module. We have also strengthened our offer in the growing segment of the non-financial benefits market, meaning subsidising meals and supporting healthy nutrition of employees – adds Bartosz Józefiak.

In the first quarter of this year Benefit Systems sales revenues amounted to PLN 401.8 million and were as much as 308% higher than in the corresponding period in 2021. The Group recorded PLN 19.3 million of operating profit and PLN 8.1 million of net profit attributable to the shareholders of the parent company (compared to PLN 48.9 million of net loss a year earlier). At the same time, since the reopening of the sports and recreation facilities, the company has recorded higher activity of MultiSport card users, which proves their willingness to take care of their health and fitness after the pandemic. This trend is visible in markets where access to infrastructure was limited due to COVID-19.

Poland Segment: Due to the operational merger of MyBenefit and Benefit Systems, which aimed at increasing the sales potential of sales teams, starting with the beginning of 2022 the results of the Cafeteria Segment are presented in the Poland Segment.In the first quarter the sales revenues of the Poland Segment amounted to PLN 291.6 million, which means an increase of 242% year on year. The number of cards in this period in Poland reached the level of 940,500 (increase by 115% year on year). At the end of March this year the company had 169 own operating clubs, including five new ones (three in Warsaw, one in Piaseczno and one in Łódź).

The company carries out activities increasing the competitiveness of the cafeteria platform, both in terms of IT solutions and the product offer. Since March the offer includes a modern gamification module, MyBenefit Active, which increases the commitment and motivation of employees. In the first quarter the MyBenefit Programme was used by 500,100 people. The turnover increased by 38% to PLN 105.5 million and revenues amounted to PLN 10.2 million.

Foreign Countries Segment: At the end of March there were 316,300 active cards (an increase of 29% compared to the same period in 2021). In the first quarter of this year the revenues of the Foreign Countries Segment amounted to PLN 110.2 million and the operating profit – to PLN 1.1 million. The Group has completed the first phase of product development on the Turkish market and started the testing and sale stage of MultiSport cards.

– In line with the adopted schedule, in April we started issuing test cards to employers operating in Istanbul and in May we signed the first contracts. We are also continuing to expand our partner network which currently includes over one hundred facilities – explains Bartosz Józefiak. – Turkey is a very promising market, with over 23 million people living in only the three largest cities. The labour market is characterised by a very favourable demographic profile. High inflation, which can be perceived as a challenge, has been a permanent element of economic life for many years, and it can be properly addressed, for example by more frequent price indexation. If the situation on the Turkish market does not change significantly, we plan to sell several thousand MultiSport cards by the end of the year – explains Bartosz Józefiak.Detailed information on Benefit Systems financial results for the first quarter of 2022 can be found at https://www.benefitsystems.pl/en/for-investors/

The report presentation is available at https://www.benefitsystems.pl/en/for-investors/data-presentations/presentations/