French competition authority imposes fine with impact on 2020/21 operating income

Langmeil, 08.11.2021 - MOBOTIX announces that it has been fined € 644,757 by the French competition authority Direction générale de la concurrence, de la consommation et de la répression des fraudes (DGCCRF). The penalty was imposed for a distribution practice that existed for a period of 6 to 7 years from 2011/12 to 2017/18 and involved considerable sales of MOBOTIX products in France. The accusation is based on inadmissible price fixing. Three French wholesalers and distributors involved were fined more than € 750,000 for the same allegation in total.

The decision is not final. MOBOTIX intends to appeal against the penalty. The corresponding practice was changed in the 2017/18 fiscal year and is no longer used today.

For the penalty including legal fees, provisions in the amount of € 700,000 will be made in the annual financial statements for fiscal year 2020/21 as of 30 September 2021. The result of the 2020/21 business year will thus be burdened in the amount of € 700,000 on a one-off basis. The forecast made on 13 October 2021 to close the 2020/21 business year with an EBIT of € 1 million is therefore no longer tenable. The EBIT will therefore be around € 300,000 for the 2020/21 financial year. The annual audit is expected to be completed on 24 November 2021.