Burkhalter (BRKN) H2 2023 earnings summary

Executive summary

• FY23 results were described as very positive; revenue topped CHF 1bn for the first time, while EPS rose 4.7% YoY to CHF 4.95.

• The year-on-year comparison is limited: FY23 included a full year of poenina consolidation for the first time, versus a partial year in FY22, plus six acquisitions in 2023.

• The Board proposed a CHF 4.45-per-share dividend for approval on 14 May 2024, up from CHF 4.25; half is to be paid from net profit and half from capital contribution reserves.

Financial highlights

• Revenue from trade accounts was CHF 1,127,289k, up from CHF 800,835k; net revenue from goods and services was CHF 1,159,829k, while the change to work in progress was -CHF 32,540k.

• EBITDA was CHF 73,079k versus CHF 54,049k; EBIT was CHF 64.8m versus CHF 48.1m; Group profit was CHF 51.9m versus CHF 38.5m.

• EPS was CHF 4.95 versus CHF 4.73; reported net income attributable to shareholders was CHF 51,869k versus CHF 38,495k.

• Operating cash flow increased to CHF 68,377k from CHF 51,820k; cash and cash equivalents ended the year at CHF 54,331k versus CHF 76,946k.

Outlook and guidance

• Management expects moderate EPS growth in FY24, citing sustained demand and the need for energy-efficiency renovations.

• A five-to-six-month order book, together with short-term service orders, was described as a comfortable order position.

• Energy consultation and energy-efficiency services are planned for expansion in the medium term.