How did TGL's revenue and expenses shift in Q1 2025 compared to previous quarters?

TGL's revenue and expenses in Q1 2025 showed a decline in revenue but a reduction in cash consumption compared to the previous quarter, Q1 2024: 1. **Revenue Shift**: - TGL's revenue for Q1 2025 was €2,068 million, which represented a decrease of -15.9% organically compared to the same period in the previous year, Q1 2024. This decline was primarily due to lower order entry and contract completions recorded in 2024, which were impacted by the financial restructuring of the company that took place in December 2024. - The revenue decline was more pronounced in certain business segments: - Eviden experienced a decrease of -14.0% organically. - Tech Foundations saw a decline of -17.5% organically. 2. **Expense Shift**: - Cash consumption in Q1 2025 was significantly reduced, amounting to approximately €-40 million, compared to €-415 million in Q1 2024. This reflects a deliberate effort to manage expenses more efficiently after the financial restructuring. - The company's liquidity position improved, with estimated liquidity of around €1,958 million as of March 31, 2025, compared to €2,179 million as of December 31, 2024. This improvement was due to a combination of factors, including reduced cash consumption and effective management of trade payables. 3. **Strategic Highlights**: - Despite the revenue decline, TGL maintained a strong commercial recovery, fueled by strategic large deal signatures and a high book-to-bill ratio of 81%, an increase of 17 points compared to Q1 2024. This was supported by the signing of multi-year contract renewals and the establishment of new material revenue streams. - The company's focus on innovation and high-quality services is evident, with a relentless pursuit to serve customers, which is a key aspect of its post-restructuring strategy. In conclusion, TGL's Q1 2025 financial performance demonstrated a strategic shift towards cost containment while maintaining commercial momentum, setting the stage for a potential recovery in revenue and profitability as the company continues to implement its post-restructuring plans.