Ekinops FY 2024 results: EBITDA margin of 15.3% and strong generation of operating cash flow
Ekinops (EKNPF) reported its FY 2024 financial results with revenue at 117.7m€, showing a -9% decline from the previous year. The company achieved an EBITDA margin of 15.3%, up from 14.4% in 2023, despite challenging market conditions.
Key highlights include:
- Gross margin improved to 54.8% (vs 52.1% in 2023)
- Access solutions grew +11%, while Optical Transport declined -30%
- Software & Services represented 18% of revenue
- Strong operating cash flow of 20.8m€
- Net cash position improved to 29.5m€
The company unveiled its new 'Bridge' strategic plan, aiming to return to double-digit growth and generate over 30% of annual revenue from Software & Services by 2028. The plan focuses on consolidating leadership in fast-growing market segments and positioning Ekinops as an integrated telecommunications solutions provider, targeting an EBITDA margin close to 20%.
Ekinops (EKNPF) ha riportato i risultati finanziari per l'anno fiscale 2024, con un fatturato di 117,7 milioni di euro, mostrando un calo del -9% rispetto all'anno precedente. L'azienda ha raggiunto un margine EBITDA del 15,3%, in aumento rispetto al 14,4% del 2023, nonostante le difficili condizioni di mercato.
I punti salienti includono:
- Il margine lordo è migliorato al 54,8% (rispetto al 52,1% del 2023)
- Le soluzioni di accesso sono cresciute del +11%, mentre il trasporto ottico è diminuito del -30%
- Software e servizi hanno rappresentato il 18% del fatturato
- Flusso di cassa operativo forte di 20,8 milioni di euro
- Posizione di cassa netta migliorata a 29,5 milioni di euro
L'azienda ha svelato il suo nuovo piano strategico 'Bridge', con l'obiettivo di tornare a una crescita a due cifre e generare oltre il 30% del fatturato annuale da Software e Servizi entro il 2028. Il piano si concentra sul consolidamento della leadership nei segmenti di mercato in rapida crescita e sul posizionamento di Ekinops come fornitore integrato di soluzioni di telecomunicazioni, mirando a un margine EBITDA vicino al 20%.
Ekinops (EKNPF) reportó sus resultados financieros para el año fiscal 2024, con ingresos de 117,7 millones de euros, mostrando una disminución del -9% en comparación con el año anterior. La compañía logró un margen EBITDA del 15,3%, en aumento desde el 14,4% en 2023, a pesar de las desafiantes condiciones del mercado.
Los puntos destacados incluyen:
- El margen bruto mejoró al 54,8% (frente al 52,1% en 2023)
- Las soluciones de acceso crecieron un +11%, mientras que el transporte óptico disminuyó un -30%
- El software y los servicios representaron el 18% de los ingresos
- Fuerte flujo de caja operativo de 20,8 millones de euros
- Posición de caja neta mejorada a 29,5 millones de euros
La empresa presentó su nuevo plan estratégico 'Bridge', con el objetivo de volver a un crecimiento de dos dígitos y generar más del 30% de los ingresos anuales a partir de Software y Servicios para 2028. El plan se centra en consolidar el liderazgo en segmentos de mercado de rápido crecimiento y posicionar a Ekinops como un proveedor integrado de soluciones de telecomunicaciones, apuntando a un margen EBITDA cercano al 20%.
에키놉스 (EKNPF)는 2024 회계연도 재무 결과를 보고했으며, 수익은 1억 1,770만 유로로 전년 대비 -9% 감소했습니다. 이 회사는 어려운 시장 상황에도 불구하고 EBITDA 마진 15.3%을 달성했으며, 이는 2023년의 14.4%에서 증가한 수치입니다.
주요 하이라이트는 다음과 같습니다:
- 총 마진이 54.8%로 개선됨 (2023년 52.1% 대비)
- 접근 솔루션은 +11% 성장했지만, 광 전송은 -30% 감소했습니다.
- 소프트웨어 및 서비스는 수익의 18%를 차지했습니다.
- 운영 현금 흐름이 2,080만 유로로 강력했습니다.
- 순 현금 위치가 2,950만 유로로 개선되었습니다.
회사는 '브릿지' 전략 계획을 발표했으며, 2028년까지 소프트웨어 및 서비스에서 연간 수익의 30% 이상을 생성하고 두 자릿수 성장을 회복하는 것을 목표로 하고 있습니다. 이 계획은 빠르게 성장하는 시장 세그먼트에서의 리더십을 공고히 하고, 에키놉스를 통합 통신 솔루션 제공업체로 자리매김하는 데 중점을 두고 있으며, EBITDA 마진을 20%에 가깝게 설정하는 것을 목표로 하고 있습니다.
Ekinops (EKNPF) a publié ses résultats financiers pour l'exercice 2024, avec un chiffre d'affaires de 117,7 millions d'euros, affichant une baisse de -9% par rapport à l'année précédente. L'entreprise a atteint un marge EBITDA de 15,3%, en hausse par rapport à 14,4% en 2023, malgré des conditions de marché difficiles.
Les points forts incluent:
- La marge brute s'est améliorée à 54,8% (contre 52,1% en 2023)
- Les solutions d'accès ont augmenté de +11%, tandis que le transport optique a chuté de -30%
- Les logiciels et services ont représenté 18% du chiffre d'affaires
- Un flux de trésorerie opérationnel solide de 20,8 millions d'euros
- La position de trésorerie nette s'est améliorée à 29,5 millions d'euros
L'entreprise a dévoilé son nouveau plan stratégique 'Bridge', visant à retrouver une croissance à deux chiffres et à générer plus de 30% du chiffre d'affaires annuel provenant des logiciels et services d'ici 2028. Le plan se concentre sur la consolidation du leadership dans les segments de marché à forte croissance et sur le positionnement d'Ekinops en tant que fournisseur intégré de solutions de télécommunications, visant une marge EBITDA proche de 20%.
Ekinops (EKNPF) hat seine Finanzzahlen für das Geschäftsjahr 2024 veröffentlicht, mit einem Umsatz von 117,7 Millionen Euro, was einem Rückgang von -9% im Vergleich zum Vorjahr entspricht. Das Unternehmen erzielte eine EBITDA-Marge von 15,3%, die im Vergleich zu 14,4% im Jahr 2023 gestiegen ist, trotz herausfordernder Marktbedingungen.
Wesentliche Highlights sind:
- Die Bruttomarge verbesserte sich auf 54,8% (im Vergleich zu 52,1% im Jahr 2023)
- Zugangslösungen wuchsen um +11%, während der optische Transport um -30% zurückging
- Software und Dienstleistungen machten 18% des Umsatzes aus
- Starker operativer Cashflow von 20,8 Millionen Euro
- Die Nettokassenposition verbesserte sich auf 29,5 Millionen Euro
Das Unternehmen stellte seinen neuen 'Bridge'-Strategieplan vor, der darauf abzielt, wieder zweistelliges Wachstum zu erreichen und bis 2028 mehr als 30% des Jahresumsatzes aus Software und Dienstleistungen zu generieren. Der Plan konzentriert sich darauf, die Führungsposition in schnell wachsenden Marktsegmenten zu festigen und Ekinops als integrierten Anbieter von Telekommunikationslösungen zu positionieren, mit dem Ziel, eine EBITDA-Marge von nahe 20% zu erreichen.
- EBITDA margin increased to 15.3% from 14.4%
- Gross margin improved to 54.8% from 52.1%
- Access solutions business grew 11%
- Operating cash flow increased to 20.8m€ from 13.5m€
- Net cash position improved to 29.5m€ from 25.8m€
- Free cash flow doubled to 10.9m€
- Overall revenue declined 9% to 117.7m€
- Optical Transport business dropped 30%
- Net loss of 7.0m€ vs profit of 3.6m€ in 2023
- International sales declined 21%
- Operating expenses related to Ekinops Brasil closure of 10.4m€
"Bridge" strategic plan: accelerating Ekinops' leadership in the fastest-growing market segments
m€ – IFRS | 2023 | 2024 | Change |
Revenue | 129.1 | 117.7 | -9 % |
Gross margin | 67.3 | 64.5 | -4 % |
As a % | 52.1 % | 54.8 % | |
Operating expenses | 62.3 | 58.1 | -7 % |
EBITDA1 | 18.6 | 18.0 | -3 % |
As a % | 14.4 % | 15.3 % | |
Current operating income (EBIT) | 5.1 | 6.5 | +28 % |
Other operating income and expenses | (1.4) | (11.4) | |
Operating income | 3.6 | (5.0) | |
Consolidated net income (expense) | 3.6 | (7.0) | |
1 EBITDA (Earnings before interest, taxes, depreciation, and amortization) corresponds to current operating income | |||
FY 2024 revenue: 117.7 m€
In FY 2024, Ekinops' consolidated revenue stood at 117.7 m€, down -
Penalized by significant base effect and operators' reluctance to commit to their investment plans in a deteriorated market environment, the Optical Transport business line posted a decline of -
Software & Services accounted for
Geographically, sales in
FY 2024 gross margin of
For FY 2024, gross margin stood at 64.5 m€, versus 67.3 m€ a year earlier.
Gross margin thus amounted to
FY 2024 EBITDA margin of
EBITDA[1] stood at 18.0 m€ in 2024, versus 18.6 m€ a year earlier.
Operating expenses declined by -
EBIT margin at
After accounting for net depreciation, amortization and provisions (10.8 m€, including 2.0 m€ of amortization relating to post purchase price allocation technologies) and non-cash expenses relating to share-based payments (0.7 m€), current operating income came to 6.5 m€ in FY 2024, representing a strong increase of +
Current operating margin therefore stood at
Other operating expenses totaled 11.4 m€, including 10.4 m€ linked to the closure of Ekinops Brasil[2], versus 1.4 m€ a year earlier. At the end of FY 2024, operating income came to -5.0 m€, versus 3.6 m€ a year earlier.
After taking into account financial expenses of -1.3 m€, mainly comprising interest expense on financial borrowings and foreign exchange results on currency hedging, and a tax expense of -0.7 m€, net loss amounted to -7.0 m€, vs. net income of 3.6 m€ in 2023.
Strong generation of operating cash flow at +20.8 m€ and doubling of free cash flow in 2024
Despite the economic challenges impacting its business, Ekinops once again showed its operational efficiency in 2024, through its growing ability to generate cash in its business activity.
Operating cash flow amounted to 20.8 m€ in 2024, vs. 13.5 m€ the previous financial year. Change in working capital requirements was positive at +7.6 m€ (vs. -3.3 m€ in 2023), driven by the effective management of account receivables and inventories.
Cash flow from investments (fixed assets and R&D capitalization) amounted to a 10.0 m€ (vs. 8.2 m€ a year earlier), with 2.8 m€ in equipment investments, 7.0 m€ for capitalized R&D, and the acquisition of the 5View software suite. As a result, free cash flow[3] doubled in 2024 to 10.9 m€ vs. 5.5 m€ in 2023.
Cash flow from financing activities (-11.6 m€) reflected the Group's significant deleveraging in 2024, with -6.4 m€ in net repayments of bank loans (including the French research tax credit (CIR) pre-financing). As of 31 December 2024, change in cash position was -0.8 m€ (vs. +7.8 m€ in 2023).
Improved net cash position of 29.5 m€ at end-2024, with accelerated financial deleveraging
ASSETS – €m | 12/31 | 12/31 2024 | LIABILITIES – €m | 12/31 | 12/31 2024 | |
Non-current assets | 78.8 | 82.0 | Shareholders' equity | 119.4 | 112.1 | |
o/w goodwill | 28.5 | 28.4 | Financial borrowings | 21.4 | 16.9 | |
o/w intangible assets | 17.1 | 13.4 | o/w bank loans | 18.6 | 15.0 | |
o/w right-of-use assets | 6.7 | 11.6 | o/w factoring | 2.8 | 1.9 | |
Current assets | 66.6 | 57.0 | French research tax credit pre-financing | 5.1 | 2.3 | |
o/w inventories | 25.9 | 22.8 | Trade payables | 18.2 | 17.8 | |
o/w trade receivables | 30.0 | 23.7 | Lease liabilities | 7.0 | 12.2 | |
Cash | 47.2 | 46.4 | Other liabilities | 21.5 | 24.1 | |
TOTAL | 192.6 | 185.4 | TOTAL | 192.6 | 185.4 |
In 2024, Ekinops signed the lease for its new headquarters in Lannion (Brittany) as well as renewed its Belgian subsidiary's commercial lease. This increased the Group's right-of-use assets and lease liabilities of +4.9 m€ and +5.2 m€ respectively. Cash and cash equivalents amounted to 46.4 m€ at end-December 2024 (vs. 47.2 m€ one year earlier), with a reduction in financial borrowings[4] to 16.9 m€ (vs. 21.4 m€ the year prior), due to the Group's financial deleveraging. The Group's net cash[5] position improved by the end of 2024, at 29.5 m€ (vs. 25.8 m€ in 2023), for shareholders' equity of 112.1 m€.
Strengthened sustainability initiatives in 2024 with the implementation of a carbon trajectory by 2030
In 2024, Ekinops stepped up its commitment to sustainability, with work on Corporate Social Responsibility (CSR) heavily linked to regulatory developments and the introduction of the CSRD (Corporate Sustainability Reporting Directive).
The Group conducted a double materiality assessment (financial and impact) in an effort to comply with the new CSRD requirements. Through this analysis, the Group identified a list of material IROs (Impacts, Risks and Opportunities), factoring in the increased expectations of internal and external stakeholders: energy consumption of Ekinops' products, greenhouse gas (GHG) emissions, quality of life at work and diversity within the workforce.
Regarding GHG emissions, the 2024 assessment reported a reduction of nearly -
Moreover, Ekinops updated its CSR assessment process for its 60 main suppliers who account for more than
Lastly, the Group inaugurated in 2024 its new headquarters in Lannion (Brittany), which is not only a modern flagship for innovation but also designed to be environmentally friendly, with more energy-efficient buildings.
Bridge: a strategic plan to accelerate Ekinops' leader position in the fastest-growing market segments
Ekinops unveils today its new strategic plan – Bridge – which was kick-started at the end of 2024:
- The purpose of Bridge is to consolidate Ekinops' leadership in fast-growing market segments for its two product lines, Access and Optical Transport.
- The goal of Bridge is also to position Ekinops as a supplier of integrated telecommunications solutions, including equipment, software and related services which qualifies the Group for the most strategic projects led by telecom operators and enterprises.
- Thanks to Bridge, Ekinops intends to be recognized as one of the players offering end-to-end solutions to the global telecoms market.
Through Bridge, Ekinops aims to quickly return to double-digit growth, generating more than
This brisker pace of growth over the next years will combine organic development as well as acquisitions, boosted by Ekinops' robust financial position. The Group's innovative R&D capabilities, its firm foothold in its key markets and the trust established among its customers are cornerstones of this ambition.
In profitability terms, the Group seeks to achieve an EBITDA margin close to
Bridge also includes a CSR component, enabling Ekinops to forge a long-term commitment towards its social and environmental impacts.
For more details on the new Bridge strategic plan, refer to the dedicated press release on Ekinops' website.
Outlook
With Bridge, Ekinops prioritizes growth while betting on a market recovery, anticipated by all in 2025, and by focusing on the products the market will need in 2026 and 2027. As such, Ekinops is targeting a gradual return to revenue growth, particularly in
By developing new high value-added solutions, Ekinops will operate at the heart of booming market segments. The combined evolutions in Access and Optical Transport portfolios will therefore enable the Group to considerably increase its addressable market size by 2026.
FY 2025 will be the first of implementation for the Bridge strategic plan. Ekinops bolstered its leadership team and announces the appointment of Harald Bock as Chief Product Officer as of February 1st, 2025. Harald Bock draws on his extensive experience driving innovation, product development and strategy in the telecommunications industry with companies such as Infinera, Coriant, Nokia Siemens Networks, and Ericsson. Under his leadership, the new DCI and cybersecurity products will be released end-2025, early-2026, and will contribute to boosting sales from 2026 onwards.
The clients for the new products developed through Bridge, and the decision-makers within these clients, will be the same as those currently purchasing Ekinops' existing products and services. Significant commercial synergies will emerge from these new products for operators, through upselling to their customers. Operators will thus be able to position themselves in the adjacent, fast-growing segments of DCI and cybersecurity.
As part of Bridge, the R&D department resources have been aligned to match the new strategic initiatives. R&D investments for the development of new DCI and SASE solutions, as outlined in the Bridge framework, have been launched without significantly increasing overall R&D expenditure.
Financial calendar is available on Ekinops website.
Appendices – Alternative performance indicators- EBITDA
The Group has opted to communicate this metric in view of (i) its significance for the analysis of financial performance, and (ii) the vesting terms applicable to the Group's employee bonus share and stock option plans. As such, the Group defines EBITDA as current operating income restated for (i) amortization, depreciation, provisions and write-offs, and (ii) expenses and income related to share-based payments.
The Group defines adjusted EBIT as current operating income restated for amortization of intangible assets identified post purchase price allocation, i.e. developed technologies and customer relation.
€m - IFRS | 2023 | 2024 |
Current operating income | 5.1 | 6.5 |
Depreciation, amortization and provisions | 6.8 | 8.8 |
Amortization of developed technologies and customer relations | 5.3 | 2.0 |
Share-based payments | 1.4 | 0.7 |
EBITDA | 18.6 | 18.0 |
EKINOPS Contact
Didier Brédy, Chairman and CEO
contact@ekinops.com
Investors
Mathieu Omnes, Investor relation
Tel.: +33 (0)1 53 67 36 92
momnes@actus.fr
Press
Amaury Dugast, Press relation
Tel.: +33 (0)1 53 67 36 74
adugast@actus.fr
1 EBITDA (Earnings before interest, taxes, depreciation and amortization) corresponds to current operating income restated for (i) amortization, depreciation and provisions, and (ii) income and expenses relating to share-based payments.
2 See press release of November 12, 2024 on the closure of Ekinops Brasil
3 Free cash flow = cash flow from operating activities – acquisitions of operating cash flow tangible and intangible assets (CAPEX)
4 Excluding bank debt relating to French research tax credit (CIR) pre-financing and IFRS 16 lease liabilities
5 Net cash = cash and cash equivalents – borrowings (excluding bank debt relating to French research tax credit (CIR) pre-financing and IFRS 16 lease liabilities)
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SOURCE Ekinops
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