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Hexatronic Group (HTRO) investor relations material
Hexatronic Group Investor Update summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Strategic Direction and Business Area Focus
The updated strategy emphasizes diversification across Fiber Solutions, Data Center, and Harsh Environment, each with tailored strategies and financial targets for 2028.
Data Center and Harsh Environment are expected to represent half of global sales and profits by 2028, while Fiber Solutions undergoes a turnaround.
The company is transitioning from a European fiber cable provider to a global connectivity solutions provider.
Fiber Solutions: Turnaround and Growth Plan
SEK 110 million EBITA/EBITDA improvements targeted via cost savings, including closure of the Weterings plant in the Netherlands and 120 FTE reductions, with full run-rate impact by Q1 2026.
One-time restructuring costs are estimated at 230 MSEK, with 125 MSEK in cash impact, mostly in Q3 2025.
2028 targets: SEK 6 billion in sales and 10% EBITA/EBITDA margin.
U.S. market is the main growth driver, with Europe expected to remain flat; focus areas include submarine cables, transport networks, and adjacent segments.
Renewed focus on innovation, including the launch of a first-to-world dry microcable, to accelerate time-to-market and enhance customer productivity.
Data Center: Growth and Profitability Outlook
Data Center achieved a 46% sales CAGR and a 17.3% EBITA/EBITDA margin in the last 12 months.
2028 targets: SEK 3 billion in sales and 15% EBITA/EBITDA margin, with growth driven by organic initiatives and M&A.
Services account for nearly half of revenue, with a strong presence in both the US and Europe, focusing on hyperscale leased and colocation segments.
M&A pipeline is robust, with acquisition multiples expected at 5–7x EBITDA.
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