2022: A Remarkable Year for Kontron AG
Kontron AG, a leading technology group, has had a remarkable year in 2022, as highlighted by CFO Clemens Billek in his captivating presentation. Despite the challenges of a difficult market due to geopolitical upheavals and the aftermath of the pandemic, Kontron has achieved impressive results.
Financial Highlights and Achievements
Revenue Growth and Strategic Realignment
Revenue in 2022 increased by 10.6% from the previous year to a total of €1.48 billion, reflecting the strategic realignment and focus on the Internet of Things (IoT) segment. Of this, €1.1 billion was generated by continuing operations, while the remaining €387.4 million came from divested IT service companies.
Profitability and Net Profit
Perhaps the most impressive result is the increase in net profit from the operating business to €55.5 million (before special effects) from continuing operations, compared to €29.8 million in 2021. This, combined with the profit from selling IT services and other special effects, led to a total net profit of €232.5 million in 2022.
Cash Flow and Order Backlog
Kontron’s cash flow has also been solid, with an operating cash flow of €109.4 million in the fourth quarter and €44.4 million for the year. The company has also seen further growth in order backlog, which rose to €1.46 billion in continuing operations in 2022, up from €1.16 billion in the previous year.
Looking Ahead: Kontron’s Future Prospects
Guidance for 2023 and Strategic Acquisitions
Looking to the future, Kontron is optimistic, with guidance for 2023 up by 10% to €66 million in net profit. The company uses its liquidity for further organic growth and strategic acquisitions in the IoT segment. Part of the proceeds from the sale will go to shareholders, and a dividend proposal of €1.00 (compared to €0.35 in 2021) will be made to the Annual General Meeting.
Revenue Growth and Profitability Enhancement
Focusing on enhancing profitability and reducing low-margin turnover, Kontron aims for organic revenue growth of around 10% to €1.2 billion in 2023. The company also has its sights set on reaching €2 billion in revenue by 2025, with significantly higher profitability.
Summary: Kontron AG’s Successful 2022
In summary, Kontron AG had a fantastic year in 2022, and the company’s strategic focus on the IoT segment is paying off. With substantial financial results, a growing order backlog, and a clear plan for future growth, Kontron is well-positioned to continue its success story in the years ahead.