DGAP-News: Wirecard AG: Wirecard AG postpones 2019 annual financial statements

18. Juni 2020

Wirecard AG postpones 2019 annual financial statements

- Sales growth and cash inflows positively reviewed

- Trust accounts for third-party business not confirmed by banks

Aschheim (Munich). Wirecard AG has been informed by the auditor EY that an audit certificate for the annual financial statements for the past fiscal year 2019 requires additional audits. This is due to recent communications from the two banks that have been managing the escrow accounts since 2019, according to which the account numbers in question could not be assigned. The responsible trustee is in continuous contact with the banks and Wirecard AG.

The respective subsidiaries of Wirecard AG have paid substantial security deposits totaling 1.9 billion euros into these escrow accounts in order to guarantee risk management for participating merchants. The banks managing the escrow accounts are two Asian banks. Both institutions have investment grade ratings. The trustee, who has been in office since 2019, holds numerous mandates in Asia.

Markus Braun, CEO Wirecard AG: "We are in contact with the trustee present on site. Previously issued confirmations by the banks were no longer recognised by the auditor. All parties involved are endeavouring to clarify the matter as quickly as possible. It is currently unclear whether fraudulent transactions to the detriment of Wirecard AG have occurred. Wirecard AG will file a complaint against unknown persons."

According to provisional figures, the transaction volume in the 2019 reporting year rose by almost 38.5 percent to EUR 173.0 bn (2009: EUR 124.9 bn). Group revenue rose by 37.5 percent to EUR 2.8 bn (2008: EUR 2.0 bn). Earnings before interest, taxes, depreciation and amortisation (EBITDA) rose by 37.8 percent to EUR 772.3 million (previous year: EUR 560.5 million). Free cash flow from operating activities (adjusted) rose by 37.0 percent to EUR 580.8 million (previous year: EUR 423.9 million). Earnings after taxes increased to EUR 482.4 million (previous year: EUR 347.4 million), which corresponds to earnings per share (undiluted) of EUR 3.90 (previous year: EUR 2.81).

Wirecard AG

Iris Stoeckl
VP Investor relations & Corporate Communications
Tel.: +49 (0) 89-4424-1424
E-Mail: [email protected]
http://www.wirecard.com
ISIN DE0007472060
Reuters: WDI.GDE
Bloomberg: WDI GY

About Wirecard:

Wirecard (GER:WDI) is one of the world's fastest growing digital platforms in the area of financial commerce. We provide both business customers and consumers with a constantly expanding ecosystem of real-time value-added services built around innovative digital payments by using an integrated B2B2C approach. This ecosystem concentrates on the areas payment & risk, retail & transaction banking, loyalty & couponing, data analytics & conversion rate enhancement in all sales channels (online, mobile, ePOS). Wirecard operates regulated financial institutions in several key markets and holds issuing and acquiring licenses from all major payment and card networks. Wirecard AG is listed on the Frankfurt Stock Exchange (DAX and TecDAX, ISIN DE0007472060). Visit us on www.wirecard.com, follow us on Twitter @wirecard and on Facebook @wirecardgroup.