Biesse (BSS) Q4 2024 earnings summary

Executive summary

• FY 2024 revenues were €754.7 million, down 3.9% year-over-year, with a significant contribution from the GMM Group acquisition.

• Net profit dropped 70% year-over-year to €3.8 million, mainly due to lower sales, market normalization, and non-recurring items.

• The group continued its organizational transformation, accelerating strategic projects and rightsizing to enhance efficiency.

• Board proposes a gross dividend of €0.04 per share, totaling €1.1 million, representing about 30% of net profit.

Financial highlights

• Adjusted EBITDA was €58.9 million (7.8% margin), down 23.5% year-over-year.

• Adjusted EBIT was €18.7 million (2.5% margin), a 53.7% decrease from the prior year.

• Net financial position (excluding IFRS16) was €24.9 million, down €93.6 million from 2023, mainly due to the GMM Group acquisition and dividend distribution.

• Backlog at year-end stood at €255 million, down from €282 million in 2023, but remains solid.

• Net working capital increased by €35.9 million, primarily due to the GMM Group consolidation and lower down-payments.

Outlook and guidance

• Management expects challenging market trends to persist for at least the next six months, with no significant improvement expected in 2025.

• Order intake increased 3% year-over-year to €691 million, driven by the GMM Group, while Biesse orders declined due to market slowdowns and tighter credit conditions.

• Strategic transformation and cost rationalization initiatives are being accelerated under the 2024-2026 plan.