Amadeus FiRe (AAD) Q3 2024 earnings summary

Executive summary

• Amadeus Fire Group specializes in personnel services and training for commercial and IT sectors in Germany, with nearly 40 years of experience and a leading market position in finance and accounting temporary staffing.

• The group operates two main segments: Personnel Services (temporary staffing, permanent placement, interim/project management) and Training (publicly funded, corporate, and private training).

• Revenue grew 1.9% year-over-year to €337.7 million, driven by strong Training segment performance, partially offsetting declines in Personnel Services.

• Operating EBITA fell 14.8% to €46.4 million, with profit for the period down 19.5% to €26.4 million.

• Management Board adjusted full-year 2024 operating EBITA forecast to €58 million due to a weaker third and anticipated fourth quarter.

Financial highlights

• Q3 2024 group revenue declined by 2.7% year-over-year to €111.6m; operating EBITA margin fell to 15.7%.

• For the first nine months of 2024, group revenue was €331.5m (-1.9% year-over-year), operating EBITA margin at 13.8%, and net result at €26.4m (-19.5%).

• Free cash flow: €36.2 million (-38.3% year-over-year); Net cash from operating activities: €41.7 million (-35.6%).

• Equity ratio increased to 45.0% (prior year: 40.5%).

• Dividend of €27.2 million paid in May 2024.

Outlook and guidance

• FY 2024 group revenue expected between €437–449m, with operating EBITA of €57–60m (vs. €70m in 2023) and margin around 13–14%.

• Full-year 2024 operating EBITA forecast lowered to €58 million (previously €64–70 million).

• No improvement expected in Q4 2024; recessionary trend to persist.

• Management Board targets >€500m revenue and >€100m operating EBITA in the long-term strategic plan.