Tecnotree Oyj

Tecnotree Corporation reported an 11% increase in revenue and a 28% rise in EBIT on a constant currency basis for the first three quarters of 2024. The company achieved free cash flow for the second consecutive quarter and implemented a reverse stock split. Revenue for Q3 2024 was EUR 19.0 million, with a focus on improving profitability and cash flow through growth in European and North American markets. The order backlog increased modestly to EUR 75.1 million. Operating expenses were reduced by 10% in Q3 2024, aligning with the company's cost-saving targets. Tecnotree's net profit for Q3 2024 was EUR 4.1 million, and collections improved, reducing accounts receivable by 7.8%. The company continues to focus on building its order book in North America and Europe and maintaining positive free cash flow. Tecnotree has been recognized by industry analysts for its enterprise monetization capabilities and digital platform offerings.

Tecnotree Corporation announced that its Board of Directors, under the authorization granted by the Annual General Meeting on April 15, 2024, has passed resolutions regarding the payment of dividends on September 16, 2024. Tecnotree is a digital Business Support System (BSS) provider with 5G readiness, AI/ML capabilities, and multi-cloud extensibility. The company is ranked No.1 on the TM Forum Open API Conformance table with 59 Open APIs. Tecnotree offers a comprehensive Digital BSS Stack for telecom and digital services industries, and its Tecnotree Moments platform provides a digital marketplace for various sectors. Tecnotree is listed on Helsinki Nasdaq (TEM1V). For more information, visit www.tecnotree.com or their social media channels. Further details can be obtained from CFO Indiresh Vivekananda at +971 56 410 8357.

On 13 September 2024, Tecnotree Corporation announced a directed share issue decided by its Board of Directors on 13 June 2024. This share issue, aimed at recruitment, retention, and incentive, resulted in the issuance of 7,760 shares to Tecnotree employees and key persons without consideration. The decision was based on authorization from the Annual General Meeting of Shareholders on 15 April 2024. Following this, Tecnotree holds 1,092,467 treasury shares. Tecnotree is a 5G-ready digital Business Support System provider with AI/ML capabilities, known for its multi-cloud extensibility and leadership in the TM Forum Open API Conformance table. The company offers a comprehensive Digital BSS Stack and provides Fintech and B2B2X digital marketplace services through its Tecnotree Moments platform. Tecnotree is listed on Helsinki Nasdaq. For more information, visit their website or social media channels.

Tecnotree Corporation announced it will host a virtual Investor and Analyst Connect event today, as detailed on its website. The event will present forward-looking financial guidance, reiterate 2024 guidance, and update the outlook and guidance for 2025. Additionally, new financial guidance for 2025 will be provided. The company will maintain its forward guidance for revenue, operating profit, and Capex to sales on a constant currency basis and update its dividend distribution policy to allocate 10% of free cash flow as dividends. Event recordings and presentation materials will be available on the company's website. Tecnotree is a digital Business Support System provider with a strong presence in 5G, AI/ML capabilities, and multi-cloud extensibility. It leads the TM Forum Open API Conformance table and offers a comprehensive Digital BSS Stack and the Tecnotree Moments platform for various digital services. Tecnotree is listed on the Helsinki Nasdaq. For more information, visit their website or social media channels.

Tecnotree Corporation reported positive free cash flow for the second quarter of 2024, maintaining revenue growth. The company executed a reverse stock split in April 2024 and incurred one-time expenses related to asset sales and impairments. For 2024, Tecnotree anticipates free cash flow of EUR 2-5 million in the second half, a 2%-7% increase in revenue, and a 7%-15% rise in operating profit compared to 2023. The company is focusing on increasing license sales and evolving its delivery model to ensure more predictable revenue. In the second quarter, Tecnotree's revenue grew by 15% from the previous quarter to EUR 18.7 million. The first half revenue in constant currency terms was EUR 40.8 million, with stable real currency revenue of EUR 34.9 million. The company added six new customers and announced strategic partnerships with Bytedance, HCLTech, and Emirates Integrated Telecommunications Company. Cost optimization efforts have reduced operating expenses to 66% of revenue, down from 70% in 2023. Headcount reductions and other cost-saving measures are expected to save EUR 4.5 million in the second half of 2024 and EUR 7 million in 2025. The adjusted operating result for the first half increased by 10.7% to EUR 10.9 million. Tecnotree managed to reduce exchange losses and reported a positive free cash flow of EUR 0.8 million in the second quarter. Collections improved significantly, reducing the accounts receivable balance by 10.6%. The order book for the first half increased by 6.1% to EUR 72.6 million, driven by demand for digital transformation projects and fintech solutions. Tecnotree received several industry recognitions, including mentions in Gartner reports and being a finalist in the TMForum 2024 Excellence Awards. The company remains focused on stabilizing revenue growth, optimizing costs, increasing receivables collection, and ensuring consistent positive operational cash flow in the second half of 2024. Board members have agreed to a fee reduction to support cost reduction initiatives.