Austriacard Holdings (ACAG) H2 2025 earnings summary

Executive summary

• 2025 began with challenges, notably in the Turkish payment card market and a large European fintech metal card launch, but saw a strong H2 recovery validating strategic direction and restoring growth momentum despite macro and geopolitical headwinds.

• Strategic focus on digital technology, public sector digitalization in Greece, and security printing in Africa drove growth and margin improvement.

• Resilient, diversified business model drove substantial H2 rebound, with strong cash flow and improved leverage.

• Investments in R&D and expansion in the U.S., Africa, and Western Europe supported resilience and future growth.

• Proposed €0.10 per share dividend, maintaining a progressive payout policy.

Financial highlights

• Full-year revenue reached €360.2 million, down from €392.3 million in FY2024, mainly due to Turkish market normalization and prior year metal card sales base effect.

• Adjusted EBITDA margin improved to 14.4% from 14.1%, supported by higher-margin services and cost optimization.

• Net profit was €16.2 million, down from €19.2 million, with lower net financial expenses and higher depreciation.

• Operating cash flow grew 17% to €39.7 million; free cash flow rose 60% to €22.5 million; net debt reduced by 15% to €81.6 million.

• Gross profit margin expanded to 49.5% (+300bps year-over-year).

Outlook and guidance

• High single-digit revenue growth and further EBITDA margin improvement to 14–15% targeted for 2026.

• Strategic focus on digital technologies, trusted digital identity, and payment solutions, with efficiency initiatives and working capital normalization expected to support growth.

• Working capital pressure expected in H1 2026 due to Greek public sector projects, normalizing in H2.

• Dividend proposal of €0.10 per share, maintaining a 24% payout ratio.