CANCOM: CANCOM Group starts the 2024 financial year with significant growth

EQS-News: CANCOM SE / Key word(s): Quarterly / Interim Statement
CANCOM: CANCOM Group starts the 2024 financial year with significant growth

14.05.2024 / 07:59 CET/CEST
The issuer is solely responsible for the content of this announcement.

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CANCOM: CANCOM Group starts the 2024 financial year with significant growth

* Group revenue rises significantly by 38.7 percent to EUR440.6 million

  * Operating cash flow around EUR100 million higher than in the same quarter
    of the previous year and thus at a historic record high of EUR+56.3
    million in the first quarter

* Executive Board confirms forecast for the financial year

Munich, Germany, 14 May 2024 - The CANCOM Group has started the 2024
financial year with significant growth at Group level. Revenue increased by
38.7 percent to EUR 440.6 million in the first quarter of 2024 (previous year:
EUR317.7 million). Gross profit increased disproportionately, rising by 46.2%
to EUR171.0 million (previous year: EUR117.0 million). EBITDA was also up
significantly at EUR30.4 million (previous year: EUR24.1 million) and EBITA at
EUR16.9 million (previous year: EUR13.5 million). The 'International' segment,
which accounts for the majority of the CANCOM Austria Group's contribution,
performed particularly well.

'CANCOM has made a good start to the year: in the first quarter we have seen
the restraint that is the result of the weak economic development and the
reluctance of public sector clients to place orders, particularly in
Germany,' says Rüdiger Rath, CEO of CANCOM SE, summarising the first
quarter. 'In our major international market, the development was extremely
positive thanks to the contribution of the CANCOM Austria Group and demand
for our strategic focus areas, especially Security & Networking and AI,
remains strong.'

Operating cash flow improved significantly
At EUR+56.3 million, cash flow from operating activities was significantly
higher than the previous year's figure of EUR-43.6 million and improved
accordingly by around EUR100 million. Significantly lower trade receivables
and a substantial reduction in inventories were responsible for the
significant improvement.

Business segment International remains strong, business segment Germany
under pressure as expected
With revenue of EUR147.7 million (previous year: EUR9.8 million), the business
segment International performed extremely well, primarily due to the
contribution of the CANCOM Austria Group. With a segment EBITDA of EUR12.3
million (previous year: EUR1.9 million), the EBITDA margin in the first
quarter was 8.3 percent. As a result of the restraint shown by small and
medium-sized SME customers and public-sector clients, particularly at the
beginning of the year, revenue in the business segment Germany totalled
EUR292.9 million (previous year: EUR297.9 million). EBITDA in the segment
amounted to EUR18.1 million (previous year: EUR22.2 million) and the EBITDA
margin arrived 6.2 percent.

Executive Board confirms forecast for the full year
'So far, the development is in line with our comments and our forecast, and
the economic development in the second half of the year will be important
for CANCOM,' says Rüdiger Rath, explaining the outlook for the full year.
'Uncertainty about the development will continue to accompany us for the
foreseeable future, but we expect demand for our solutions to increase,
especially in our focus areas of Modern Workplace, Security & Networking,
Cloud & Datacenter, IoT Solutions and AI.' The start of replacement cycles
for hardware, rising demands on IT landscapes and the need for investment
driven by AI solutions will drive demand over the course of the year and
support growth for the CANCOM Group well above the level of the IT market.
Accordingly, the Executive Board confirms the forecast from the 2023 Annual
Report and expects the key financial figures to develop as follows in 2024:

     CANCOM Group    Forecast 2024
     Revenue         EUR1,750 to EUR2,000 million
     Gross profit    EUR640 to EUR740 million
     EBITDA          EUR130 to EUR155 million
     EBITA           EUR75 to EUR100 million

About CANCOM
As a Digital Business Provider, CANCOM accompanies organizations into the
digital future. CANCOM supports customers to simplify complex enterprise IT
and increase their business success through the implementation of modern
technology. In order to comprehensively meet the IT needs of companies,
organizations, and the public sector, CANCOM delivers tailor-made IT end to
end from a single source.
The CANCOM Group's range of IT solutions includes consulting,
implementation, services, and the management of IT systems. Customers
benefit from the extensive expertise as well as a holistic and innovative
portfolio that covers the IT requirements that are necessary for a
successful digital transformation. As a hybrid IT integrator and service
provider, the Company provides an integrated range of services and solutions
including business solutions and managed services, such as cloud computing,
analytics, enterprise mobility, IT security, hosting, and as-a-service
offerings.
With more than 5,600 employees, CANCOM Group and its efficient partner
network ensure market presence and customer proximity in Germany, Austria,
Switzerland and Belgium. The CANCOM Group is led by Rüdiger Rath (CEO),
Jochen Borenich (CSO) and Thomas Stark (CFO). The company is headquartered
in Munich, Germany. CANCOM generated revenue of around EUR 1.5 billion in the
financial year 2023. Its parent company CANCOM SE is listed in the SDAX and
TecDAX of the Frankfurt Stock Exchange (ISIN DE0005419105).

Contact
Lars Dannenberg
Director Investor Relations
+49 89 54054 5371
lars.dannenberg@cancom.de

Note
If you do not wish to receive information from us via e-mail, please write
to ir@cancom.de.

Data protection notification
You are receiving this notification because you are included in the CANCOM
investor information e-mail distribution list. You have been included as you
have indicated in the past to be informed about company news. For this
reason CANCOM stores and processes personal data like name and e-mail
address to be able to provide to you this service. CANCOM stores and uses
this data solely to obtain information about the development of the
shareholder communication and to be able to contact investors as part of the
investor relations activities.

General information on the use of data by CANCOM
CANCOM will not pass on personal data obtained in the course of investor
relations activities to third parties without the express consent of the
person concerned. The only exception to this rule is that CANCOM receives a
request for data transmission from competent authorities such as the Federal
Financial Supervisory Authority.
Even after you have agreed to receive investor information from us and thus
permitted CANCOM to store and use your personal data, you have the right to
revoke this agreement at any time. All you need to do is send an informal
message by e-mail to widerspruch@cancom.de or to ir@cancom.de
For any further information about CANCOM's privacy policy, who to contact or
your individual rights as a data subject, please visit our website
https://www.cancom.com/privacy-protection/


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   Language:       English
   Company:        CANCOM SE
                   Erika-Mann-Straße 69
                   80636 Munich
                   Germany
   Phone:          +49-(0)89/54054-0
   Fax:            +49-(0)89/54054-5119
   E-mail:         info@cancom.de
   Internet:       http://www.cancom.de
   ISIN:           DE0005419105
   WKN:            541910
   Indices:        SDAX, TecDAX
   Listed:         Regulated Market in Frankfurt (Prime Standard);
                   Regulated Unofficial Market in Berlin, Dusseldorf,
                   Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
   EQS News ID:    1902067

End of News EQS News Service
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1902067 14.05.2024 CET/CEST