Frequentis AG: News from April 12, 2023
Frequentis AG: Order intake exceeds EUR 400 million for the first time
- Revenues +15.7% to EUR 386 million
- Order intake +21.5% to EUR 405 million
- Orders on hand intake +11.6% to EUR 522 million
- EBIT EUR 25 million
- Proposal to increase the dividend again to EUR 0.22
Vienna, April 12, 2023 – “Thanks to the extensive commitment of all our employees, we were able to grow revenues by almost 16%. As a result of the continuous organic and inorganic expansion of our product portfolio, we registered new orders worth more than EUR 400 million for the first time,” reports Frequentis CEO Norbert Haslacher. “As a high-tech company, in 2022 we invested around 7% of revenues in research and development for our future growth.”
In January 2022, Frequentis acquired a 51% interest in Regola S.r.l. (based in Turin, Italy). Regola’s innovative software solutions complement Frequentis’ public safety product portfolio and therefore support its long-term growth strategy in this business domain.
In September 2022, Frequentis acquired a 25% stake in the Finnish software producer Aviamaps Oy. This company’s software enables users of its platform to book drone flights directly online by clicking on a map (real-time aviation maps platform). In 2023, Aviamaps’ software will be integrated into the Frequentis solution for automatic approval of drone flights in Austria.
Development of revenues and earnings
Revenues rose 15.7% to EUR 386.0 million. Looking at the regional split, Europe accounted for 65%, the Americas for 16%, Asia for 12%, and Australia/Pacific/Africa for 7%. Demand for Frequentis products remains high around the world. This is evidenced by order intake, which rose 21.5% to EUR 404.8 million in 2022. Orders on hand increased to EUR 522.0 million, a rise of 11.6%.
The operating business was still partially held back by the COVID-19 pandemic, which subsided in 2022. The outbreak of war in Ukraine in February 2022 indirectly impacted the Frequentis Group through higher inflation (initially for electricity, gas, and fuels). Inflation then filtered through to the cost of goods sourced from suppliers, salary rises, and thus earnings. EBIT was EUR 25.0 million and the EBIT margin was 6.5%, which was within the target range of 6-8%.
Proposal to increase the dividend again
The profit for the period was EUR 18.9 million and earnings per share were EUR 1.41. Frequentis is proposing another dividend increase this year. A dividend of EUR 0.22 would be 10% higher than in the previous year.
Asset and capital structure
Equity was EUR 147.3 million as at end-December 2022 and the equity ratio increased by 2.2 percentage points to 43.3%. The net cash position was EUR 91.0 million.
Sustainable corporate governance
Our ESG (environment, social, governance) activities were rewarded by the rating agencies.
Frequentis was awarded a silver medal by EcoVadis (previously bronze), so it ranks among the top 25% of companies evaluated by this rating agency. Gaïa Research and Sustainalytics also noted improvements in aspects of sustainability.
Depending on the development of inflation, the supply chain problems, and the war in Ukraine, Frequentis aims to achieve the following targets in 2023 (compared with 2022):
- Increase revenues,
- Increase order intake,
- EBIT margin of around 6-8%.
The current financial publications can be found at http://www.frequentis.com/publications.
About the company
Frequentis is a global supplier of communication and information systems for control centres with safety-critical tasks. The listed family company develops and markets its “control centre solutions” in the Air Traffic Management segment (civil and military air traffic control, air defence) and the Public Safety & Transport segment (police, fire brigades, emergency rescue services, railways, coastguards, port authorities). With a market share of 30%, Frequentis is the world market leader in voice communication systems for air traffic control. Frequentis is also the global leader in aeronautical information management and aeronautical message handling systems.
As a global player with around 2,100 employees (full-time equivalents/FTE), Frequentis has a global network of companies and representatives in more than 50 countries. Its head office is in Vienna, Austria. Frequentis’ products, services, and solutions are used at more than 45,000 operator working positions in around 150 countries. Shares in Frequentis are traded on the Vienna and Frankfurt stock exchanges; ISIN: ATFREQUENT09, WKN: A2PHG5. In 2022, revenues were EUR 386,0 million and EBIT was EUR 25.0 million.
Wherever Frequentis’ systems are used, safety-critical operators bear responsibility for the safety of other people and goods. The company also works towards a more sustainable future through its air traffic optimisation solutions.
For more information, please visit www.frequentis.com.
Barbara Fuerchtegott, Head of Communications/Company Spokesperson
firstname.lastname@example.org, +43 1 81150-4631
Stefan Marin, Head of Investor Relations
email@example.com, +43 1 81150-1074
|Contact Person:||Stefan Marin|
|Stock Exchange(s):||Official Trade in Vienna|
|Other Stock Exchanges:||Regulierted Marktet in Frankfurt|
Source: Frequentis AG