The first nine months of 2019 (9M19) were marked by the maintained strategy of developing integrated and higher added value offers in order to improve operational sustainability, as well as the development of management models with the introduction of robotization components. These measures led to an increase in project profitability and a 1.9 pp improvement in EBITDA margin.
The 9M19 results, presented below, are compared with the figures for the first nine months of 2018 (9M18).
Operating Revenues amounted to 18.0 million euros in 9M19, reflecting a 27.6% decrease compared to the same period in 2018.
The revenue contraction, when compared to the same period of the previous year, results from a strategic decision to focus commercial efforts on projects with higher added value.
Despite the reduction in 9M19 revenue, Reditus was awarded new contracts which, despite a representing a lower revenue, present a higher profitability, and was able to advantageously renew several contracts in the IT Consulting and BPO segments.
In 9M19, revenues from the international area decreased by 37.7% compared to 9M18, as a result of investment postponements by the clients. These decisions reflect the slow economic recovery in those geographies, impacting their weight on the Group's overall revenues. We are working proactively with the markets and we expect those international projects in the ITO and ITC areas to be about to initiate.
The Group foresees a positive growth throughout the end of 4Q19, with the expected start of the mentioned international projects, while actively pursuing efforts to close various portfolio opportunities, including Nearshore projects.
EBITDA reached 2.7 million euros, equivalent to an EBITDA margin of 14.9%, or 1.9 pp above the 13.0% margin achieved in the same period last year.
Consolidated Net Income amounted to a negative 156 thousand euros, an improvement of 266 thousand euros when compared with the same period of the previous year.