EQS-News: Kapsch TrafficCom AG / Key word(s): Quarterly / Interim Statement
Kapsch TrafficCom – Result for the first quarter of 2024/25.
21.08.2024 / 07:15 CET/CEST
The issuer is solely responsible for the content of this announcement.
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Kapsch TrafficCom – Result for the first quarter of 2024/25.
Highlights.
• Revenues increased by 5% to EUR 139 million.
• Significant operating improvement, but EBIT remains negative at EUR -3 million due to
deconsolidation effects and at previous year’s level.
• Net working capital and free cash flow show financial recovery.
• Outlook to financial year 2024/25: revenue growth above market growth and improvement
in adjusted EBIT.
Unless otherwise stated, all values in EUR million. Q1 2023/24 Q1 2024/25 +/-
Revenues 132.1 138.9 +5.2%
EBIT^1) -3.3 -3.4 -3.0%
EBIT margin^1) -2.5% -2.4% +0.1pp
Result for the period attributable to equity holders -5.9 -9.9 -68.5%
Earnings per share (EUR) -0.45 -0.69 -53.2%
^1) Adjustment previous year: reporting of gains from derivative financial instruments in
financial income
Vienna, August 21, 2024 – The first quarter of financial year 2024/25 shows a significant
operational improvement for the Kapsch TrafficCom Group. Revenues increased slightly
compared to the previous year. The result from operating activities (EBIT) was at the
previous year's level despite negative deconsolidation effects. The development of net
working capital and cash flows also confirms the recovery.
Earnings position.
Revenues increased by 5% from EUR 132 million in the first quarter of the previous year
to
EUR 139 million in the first quarter of 2024/25. At EUR -3 million, EBIT remained
negative and at the previous year's level, although no one-off operating effects had an
impact in the reporting period. The negative EBIT is primarily attributable to
deconsolidation in Africa, which had a negative impact of EUR -7 million on the other
operating result. Kapsch TrafficCom was therefore able to significantly improve its
operational performance, which would have been clearly positive without the non-operating
effects. This shows the success of the restructuring and the cost savings.
The financial result decreased from EUR -2 million to EUR -3 million, whereby the
interest result in particular had a negative impact of EUR -2 million.
The result for the period attributable to equity holders amounted to EUR -10 million
after
EUR -6 million in the same quarter of the previous year. This decline is due to the
deconsolidation in Africa, which resulted in a one-off increase in the result for the
period attributable to non-controlling interests. Earnings per share therefore amounted
to EUR -0.69 (previous year:
EUR -0.45).
Segment performance.
The tolling segment contributed 74% to total revenues, the traffic management segment
26%. Revenues in the tolling segment increased by 9% from EUR 95 million to EUR 103
million. EBIT, which was negative in the previous year at EUR -8 million, mainly due to
project margin adjustments in North America, amounted to EUR 3 million in the reporting
period. In the traffic management segment, revenues of EUR 36 million were 5% below the
previous year's figure of EUR 38 million. EBIT decreased from EUR 4 million to EUR -7
million due to lower revenues and, in particular, deconsolidation effects in Africa.
In regional terms, business in the EMEA region (Europe, Middle East, Africa) developed
very favorably with a revenue growth of 8%. The Americas region (North, Central and South
America) also performed positively with revenue growth of 5%. In contrast, Kapsch
TrafficCom recorded a decrease of 16% in the Asia-Pacific region due to completed
implementation projects.
Financial and asset position.
Cash flow from operating activities amounted to EUR 4 million after EUR -15 million in
the first quarter of the previous year. The primary factors influencing this were, on the
one hand, other cash flow from earnings, which included the capital inflow of EUR 11
million from the deconsolidation in Africa (previous year: EUR 0 million). On the other
hand, the change in net working capital declined to EUR -4 million, primarily due to the
reduction in trade receivables. In previous years, the change in net working capital in
the first quarter was consistently significantly negative (2021/22: EUR -16 million;
2022/23: EUR -19 million; 2023/24: EUR -18 million; Q1 in each case).
Free cash flow was positive at EUR 1 million in the first quarter of 2024/25, after EUR
-16 million in the same quarter of the previous year and clearly negative figures in the
previous years (2021/22: EUR -11 million; 2022/23: EUR -21 million; 2023/24: EUR -16
million; Q1 adjusted in each case). The cash flows thus confirm the financial recovery.
There were almost no changes in the balance sheet since the end of the previous financial
year. The decline in trade receivables and other current assets from EUR 131 million to
EUR 116 million was particularly significant, which is attributable to incoming payments
as a result of the high level of invoiced revenues in the final months of the previous
year. The increase in current contract assets from customer contracts from EUR 78 million
to EUR 95 million reflects the recent high level of order processing. Financial
liabilities were reclassified from non-current to current in the amount of EUR 12 million
in line with their maturities.
The deconsolidation in Africa led to a decrease in total assets from EUR 444 million to
EUR 432 million compared to the balance sheet date of March 31, 2024. As a result, the
equity ratio improved from 19% to 20%. At the same time, net debt increased from EUR 106
million to EUR 110 million, causing the gearing ratio to increase slightly to 129%.
However, the gearing ratio was reduced considerably over the past year from 491% as of
June 30, 2023.
Outlook.
For the financial year 2024/25, the management expects revenues to grow above the
forecasted average annual market growth of 7.5% from 2024 to 2030 according to Grand View
Research. The operating result (EBIT) should show a slight improvement compared to the
result adjusted for one-time effects of EUR 15 million, whereby positive one-time effects
are also possible again. Despite the improved situation, the focus remains on costs.
In addition, the management continues to aim for further cash inflows from pending
proceedings and other measures to further reduce net debt. The aim is to achieve a
minimum level of net debt to EBITDA of less than 3.0x in the longer term.
The report on the first quarter of 2024/25 as well as further materials on the result are
scheduled to be available today, from 7:35 a.m. (CET), at: (1)http://www.kapsch.net/ir
Kapsch TrafficCom is a globally renowned provider of transportation solutions for
sustainable mobility with successful projects in more than 50 countries. Innovative
solutions in the application fields of tolling, tolling services, traffic management and
demand management contribute to a healthy world without congestion.
With one-stop-shop-solutions, the company covers the entire value chain of customers,
from components to design and implementation to the operation of systems.
Kapsch TrafficCom, headquartered in Vienna, has subsidiaries and branches in more than 25
countries and is listed in the Prime Market segment of the Vienna Stock Exchange (ticker
symbol: KTCG). In its 2023/24 financial year, about 4,000 employees generated revenues of
EUR 539 million.
Press contacts: Investor contact:
Sandra Bijelic
Carolin Treichl Head of Corporate Marcus Handl, Valerie Riegler
Executive Vice President Communications Investor Relations team
Marketing & Communications Kapsch TrafficCom AG Kapsch TrafficCom AG
Kapsch AG Am Europlatz 2 Am Europlatz 2
Am Europlatz 2 1120 Vienna, Austria 1120 Vienna, Austria
1120 Vienna, Austria T +43 50 811 1720 T +43 50 811 1122
T +43 50 811 1710 (3)sandra.bijelic@kapsch.net (4)IR.kapschtraffic@kapsch.net
(2)carolin.treichl@kapsch.net
Further information: (5)www.kapsch.net Follow us on LinkedIn
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21.08.2024 CET/CEST This Corporate News was distributed by EQS Group AG. www.eqs.com
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Language: English
Company: Kapsch TrafficCom AG
Am Europlatz 2
1120 Vienna
Austria
Phone: +43 50811 1122
Fax: +43 50811 99 1122
E-mail: ir.kapschtraffic@kapsch.net
Internet: www.kapschtraffic.com
ISIN: AT000KAPSCH9
WKN: A0MUZU
Listed: Vienna Stock Exchange (Official Market)
EQS News ID: 1971655
End of News EQS News Service
1971655 21.08.2024 CET/CEST
References
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