AS Storent Holding interim report for 1st quarter 2024Insider information, 2024-05-15 16:06 CEST --
In Q1 of 2024 the Group reached turnover of 8.46 million euro, EBITDA 1.67 million euros. In accordance with the Group's strategic framework, as of January 1st, the Group has completed very complicated transition from existing ERP systems to the new cloud-based systems in all 5 operating countries and Holding company.
Although the transition turned out to be more challenging than anticipated, the teams from all Groups operational countries have worked closely with IT support leading to significant progress in overcoming technical obstacles. The biggest part of implementation process is already done and management estimates to finish full ERP systems implementation by the end of Q2. Despite of challenging implementation of ERP systems the rental income increased by 2%, compared to Q1 of 2023 with the highest income growth in Baltic countries reaching 7% increase. The Group’s total sales decrease in Q1 of 2024 by 5% compared to the same period last year. IT system implementation and low season leaded to 942 thousand euro losses during the first quartal, with largest increase in interest expenses, depreciation and personal expenses.
In April and May season is picking up and rental income estimation is with two-digit growth compared to the same period last year and estimation already is with positive bottom line and more positive trend should come with each next month. Great focus of the Group is the logistics of managing the new equipment acquired in the worth of 13 million euro in 2023 and new investment plan in amount more than 20 million euro.
The operations in the Baltic region, which account for approximately 72% of the Group’s net revenue, showed a rental revenue increase of 7%, compared to Q1 of 2023. The increase was promoted by involvement in large industrial projects, such as the Rail Baltic, wind parks in Lithuania, as well as many projects in the military sector.
The management of the Group predicts that in 2024 the turnover will continue to grow, as a result of system improvements, structural changes and investments in the fleet exceeding 20 million euro.
Baiba Onkele
Storent Holding CFO
Mobile: + 371 29340012
E-mail: baiba.onkele@storent.com
www.storentholding.com
|