Solutions 30 (S30) Q3 2024 TU earnings summary

Executive summary

• Revenue for the first nine months of 2024 was €742.8m, down 3.5% year-over-year, reflecting a strategic shift to prioritize margins over revenue growth.

• Q3 2024 revenue declined 10.1% year-over-year to €225.4m, continuing trends from Q2, with selectivity in French and Spanish telecom contracts and reduced fiber activity in Belgium.

• Strong growth in Germany (+28% YTD, +33% in Q3) and Energy activities (+28% YTD), supported by three bolt-on acquisitions in 2024.

Financial highlights

• Organic revenue decreased by 4.2% year-to-date, with total revenue down €26.9m from 9M 2023.

• Q3 2024 revenue was €225.4m, a 10.1% year-over-year decline (10.5% organic).

• France revenue down 9.3% over nine months, with Q3 down 16.9% year-over-year, mainly from reduced exposure to less profitable contracts.

• Benelux revenue up 3.5% over nine months, but Q3 down 8.3% due to fiber rollout delays in Belgium.

• Net income for the period was €7.2m.

Outlook and guidance

• Full-year outlook confirmed: slight decrease in revenue expected for 2024, but improvement in Group adjusted EBITDA margin and an increase in Group adjusted EBITDA.

• By 2026, Benelux and France targeting adjusted EBITDA margins above 10%; Germany expected to reach €150–200m revenue and margin well above 10%.

• Energy activity in France expected to triple revenue by 2026, reaching €150m.

• Continued focus on margin improvement and profitable growth drivers.