Delta Plus Group (ALDLT) investor relations material

Executive summary

• Revenue reached €196.4 million, up 4.6% year-over-year, driven by acquisitions, while organic growth declined by 4.3% due to weakness in historic European markets and the Middle East.

• Gross margin improved by 1.9 percentage points to 57.7%, reflecting a better product/customer mix and resilient pricing.

• Recurring operating income fell 2.3% to €19.6 million (10.0% of revenue), with acquisitions providing significant accretive impact.

• Net income attributable to the Group was €9.3 million, down from €11.3 million year-over-year.

Financial highlights

• Consolidated revenue: €196.4 million (+4.6% year-over-year), with a positive scope effect from acquisitions (+10.0%) and a negative currency effect (-1.1%).

• Gross profit: €113.3 million (57.7% margin, up from 55.7%).

• Recurring operating income: €19.6 million (10.0% margin, down from 10.7%).

• Net income: €9.3 million (down from €11.3 million).

• Personnel expenses rose 9.5% due to acquisitions and salary increases.

• Fixed expenses increased 16.7%, reflecting investments for future growth and ERP rollout.

• Cost of debt increased by €0.9 million to €3.6 million due to higher average debt from acquisitions.

Outlook and guidance

• Reported revenue growth expected to continue, driven by acquisitions.

• Gradual improvement in organic growth anticipated in H2, but full-year positive organic growth not expected.

• Focus remains on profitability, integration of acquisitions, and cash/working capital management amid macroeconomic and geopolitical uncertainty.