Avenir Telecom (AVT) H1 2025 earnings summary

Executive summary

• Revenue for the half-year ended 30 September 2024 was €5.1m, down 30.7% year-over-year, mainly due to macroeconomic headwinds and the loss of a major client in Asia-Pacific and EMEA.

• Net loss for the period was €3.1m, slightly improved from €3.3m a year earlier, with operational losses contained despite lower sales.

• Operational focus was on strict cost control and financial resource preservation to prepare for product range expansion and entry into new markets.

• The company extended its exclusive Energizer license to 2030, adding new product lines in IT, tools, and electrical equipment, with first sales expected in early FY 2025-26.

• The group maintains a strong cash position of €16m and positive equity of €10.6m, with no financial debt except lease liabilities and judicial liabilities.

Financial highlights

• Consolidated revenue fell to €5.1m from €7.3m year-over-year; France contributed €0.4m.

• Operating result before central costs improved to €0.5m from €0.2m, showing cost discipline.

• Operating loss narrowed to €2.8m from €3.1m; net loss per share was €-0.042.

• Cash flow from operations was negative at €-3.7m, mainly due to lower sales and increased inventory.

• Equity decreased to €10.6m from €13.7m at 31 March 2024.

Outlook and guidance

• Management expects growth to resume with the launch of new Energizer-branded IT and electrical products in early 2025.

• Sales ramp-up is anticipated in the second half of FY 2025-26 as new product lines reach the market.

• The company remains focused on expanding its product offering and entering new markets.