Teleste Oyj

Teleste Corporation has issued a profit warning, lowering its financial guidance for 2024 due to lower-than-expected demand in the European Broadband Networks business. The company now estimates net sales for 2024 to be EUR 120–135 million and an adjusted operating result of EUR 1–4 million. This is a revision from the previous guidance, which estimated net sales of EUR 140-150 million and an adjusted operating result of EUR 3-6 million. Despite growth in North American delivery volumes, they will not fully offset the decline in Europe. Teleste has implemented cost-saving measures amounting to over 8 million euros annually and will temporarily reduce working hours for some European personnel. Investments in the North American market will continue as planned. Teleste specializes in broadband, security, and information technologies, and in 2023, it reported net sales of EUR 151.3 million with around 800 employees. The company is listed on Nasdaq Helsinki.

Teleste has launched a new central software, Teleste Hub, designed for content management in the public transportation industry. Developed in collaboration with ITESMEDIA, Teleste Hub enables transit operators to manage real-time information, advertisements, and entertainment content across multiple vehicles and stations through a user-friendly interface. The software aims to enhance operational efficiency, drive continuous improvement, and create new revenue streams for public transport operators. Teleste Hub serves both existing and new clients and is tailored to the evolving needs of global public transport systems. Teleste will showcase this software at InnoTrans 2024 in Berlin. For more information, visit Teleste's website or contact Executive Assistant Hannele Ahlroos. Teleste is a leading provider of broadband, security, and information technologies, with a global presence and significant industry experience.

Teleste Corporation has secured a EUR 53 million syndicated loan facilities agreement with three relationship banks, consisting of a EUR 26 million term loan, a EUR 19 million revolving credit facility, and EUR 8 million in commercial guarantee limits. The agreement, which includes customary covenants, has a 2-year maturity with two 1-year extension options and replaces bilateral loan agreements maturing in 2025 and 2026. The term loan will be amortised in quarterly instalments of EUR 0.8 million. The lead arrangers are Danske Bank, Nordea Bank, and OP Corporate Bank. Teleste's CEO, Esa Harju, expressed satisfaction with the terms and lender base of the agreement, which supports the company's strategy. Teleste, an international company in broadband, security, and information technologies, reported net sales of EUR 151.3 million in 2023 and employs approximately 800 people.

Teleste Corporation released its half-year report for January to June 2024, showing a decline in net sales and adjusted operating results. The European networks market remains weak, while deliveries in North America have increased. Key figures for April–June 2024 include a 26.3% decrease in net sales to EUR 29.5 million and a 68.1% drop in adjusted operating results to EUR 0.2 million. For January–June 2024, net sales decreased by 22.6% to EUR 66.1 million, and adjusted operating results fell by 15.5% to EUR 1.7 million. Teleste has revised its 2024 outlook, now estimating net sales of EUR 140–150 million and an adjusted operating result of EUR 3–6 million. The company has restructured its segment reporting to include Broadband Networks and Public Safety and Mobility. President & CEO Esa Harju noted that the second quarter was challenging, with significant declines in orders and revenue, especially in the European market. However, North American deliveries of 1.8GHz ICON smart amplifiers have increased. The company is implementing cost-saving measures and restructuring its group structure, aiming for growth in North America and the Public Safety and Mobility business, particularly in the train manufacturers and public transport segments.

Teleste Corporation will release its half-year financial report for the period from January 1 to June 30, 2024, on August 14, 2024, at approximately 8:30 a.m. EEST. A virtual investor briefing will be held on the same day at 1:00 p.m. EEST via Microsoft Teams, hosted by CEO Esa Harju and CFO Juha Hyytiäinen. The briefing will be conducted in English. Interested parties are requested to register by noon on August 13, 2024. Teleste provides integrated products and services for broadband, security, and information technologies, and had net sales of EUR 151.3 million in 2023 with around 800 employees. The company is listed on Nasdaq Helsinki.

Teleste Corporation announced the appointment of Mervi Kerkelä-Hiltunen as the new Chief Financial Officer, effective October 2024. She will also join the company's management team. Kerkelä-Hiltunen brings over 25 years of experience in financial management across various industries and previously served as CFO of QPR Software Plc. She expressed enthusiasm for contributing to Teleste's strategic initiatives addressing issues like climate change and digitalization. Teleste’s CEO, Esa Harju, welcomed her, highlighting her valuable international experience. Teleste is a leading company in broadband, security, and information technologies, with 2023 net sales of EUR 151.3 million and around 800 employees.