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EQS-News: New Work SE / Key word(s): Quarterly / Interim Statement
New Work SE reaffirms forecast amid a challenging market environment (news with additional features)
2024-05-07 / 09:50 CET/CEST
The issuer is solely responsible for the content of this announcement.
New Work SE reaffirms forecast amid a challenging market environment

. kununu no. 1 for salary data in German-speaking countries
. Significant investments to reposition XING
. Restructuring largely completed

Hamburg, 7 May 2024 - New Work SE, the parent company of the brands XING and kununu, today presents its results for the
first quarter of 2024. The figures portray a company continuing to make strides in implementing its new strategy amid a
challenging economic environment.

Revenues in the HR Solutions & Talent Access segment fell by 6 per cent to EUR50.4 million (Q1 2023: EUR53.3 million). This
is mainly due to the decline in job ad postings, in turn resulting from the German economy's current recession. The B2C
segment, as expected, fell by 18 per cent to EUR15.9 million (Q1 2023: EUR19.5 million). This is due to the company's
strategic shift and full focus on monetisation from its HR Solutions segment. Revenues in the smallest segment, B2B
Marketing Solutions, declined by 36 per cent to EUR2.0 million (Q1 2023: EUR3.1 million). Consequently, total revenues were
ten per cent lower than those of the previous year's quarter (EUR68.2 million in Q1 2024 compared to EUR75.9 million in Q1
2023).

Despite the extremely difficult employment market environment, New Work SE continued to invest in implementing its
strategy in the first quarter of this year. To this end, XING launched its largest-ever advertising campaign, and the
brand is now the main sponsor of the recently founded Baller League to reach and appeal to new, younger target
audiences. kununu, the leading platform for employer reviews in German-speaking countries, has continued to invest in
its growth strategy with a regional campaign in the most populous federal state of North Rhine-Westphalia. These
investments are tangible in the restructuring-cost-adjusted pro forma EBITDA, which, as a result, is down 50 per cent
at EUR9 million compared to the previous year (Q1 2023: EUR17.9 million). Consequently, adjusted pro forma consolidated
profit fell by 87 per cent to EUR1.1 million euros (Q1 2023: EUR8.4 million).

Petra von Strombeck, CEO at New Work SE, said: "We're in the midst of restructuring the company. XING is becoming a
jobs network, with monetisation largely coming from our HR Solutions segment. However, repositioning one of Germany's
best-known online brands won't happen overnight and requires significant investments, many of which we've already
pushed through in the first quarter. By doing so, we're positioning XING as a network primarily geared towards jobs and
reaching new audiences. And kununu has made a successful and visible impact in western Germany in the first quarter to
further accelerate the brand's growth."

Continued growth of kununu's Workplace Insights, increasing by 28 per cent to 11.2 million in the first quarter of
2024, means the brand has not only extended its market leadership in German-speaking countries overall, but now also
leads the way there when it comes salary data with 4 million data points. This strong growth in data points ensures not
only a high volume but also, thanks to its currency, provides high-quality current insights.

Meanwhile, XING's transformation into a jobs network continues with several changes in Q1 2024 resulting in positive
changes to measurable KPIs. Recruiter profile visibility received a boost, reflected by a 200 per cent increase in
visits to recruiter profiles. Additionally, millions of XING users have already set their individual job preferences in
the newly designed Job Preferences section, which helps them with better-matching job offers. This was accompanied by
XING's marketing campaign at the start of the year which led to excellent brand recall, product use and reach -
especially from the online video spots.

The planned comprehensive restructuring measures have been largely completed ahead of schedule. 85 per cent of the
planned cost savings have already been achieved, although the full effects of the savings will not be achieved until
2025.

Despite the challenging macroeconomic environment, New Work SE reaffirms its forecast adjusted in January 2024. The
company expects a pro forma EBITDA in the range of EUR55-65 million.
About New Work SE
The New Work SE Group strives towards a better working world. With strong brands such as XING, kununu and onlyfy by
XING, and the largest talent pool in German-speaking countries, it claims the spot of recruiting partner Nr. 1 in these
countries. By bringing candidates and companies together, it guides talents to a more fulfilling working life while
simultaneously helping companies to greater success by winning the right talent. The Group has been listed on the
Frankfurt stock exchange since 2006, has its headquarters in Hamburg and currently employs around 1,500 people at
offices including Berlin, Vienna and Porto. Visit new-work.se and nwx.new-work.se for more information.

Additional features:
File: Q1_Report_24
2024-05-07 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG.
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Archive at www.eqs-news.com  
Language:     English 
Company:      New Work SE 

Am Strandkai 1
20457 Hamburg
Germany

Phone:        +49 (0)40 419 131-793 
Fax:          +49 (0)40 419 131-44 
E-mail:       ir@new-work.se 
Internet:     https://www.new-work.se 
ISIN:         DE000NWRK013 
WKN:          NWRK01 
Listed:       Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, 

Munich, Stuttgart, Tradegate Exchange
EQS News ID: 1897457

End of News EQS News Service
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1897457 2024-05-07 CET/CEST

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END) Dow Jones Newswires

May 07, 2024 03:50 ET (07:50 GMT)