FORTEC Elektronik: EPS Misses Expectations in Full Year 2024 Earnings

FORTEC Elektronik AG, a leading international distributor of standard solutions in the field of power supplies, embedded systems, and displays, recently reported its full-year 2024 earnings. While the company's revenue and earnings before interest and taxes (EBIT) remained within the forecast range, earnings per share (EPS) missed expectations. This article delves into FORTEC's financial performance, the impact of its "Strong Together 2030" strategy, and the implications for investors.


FORTEC's full-year 2024 earnings showed a mixed bag of results. The company's consolidated turnover reached EUR 94.5 million, nearly matching the adjusted revenue forecast of EUR 95 million to EUR 100 million. However, earnings per share from continuing operations fell to EUR 1.63, down from EUR 2.32 in the previous year, missing analyst expectations. Despite the EPS miss, FORTEC's EBIT remained within the forecast target range at EUR 7.1 million.

The company's data visualization segment contributed EUR 56.7 million to total turnover, a decline from EUR 68.0 million in the previous year. The power supplies segment maintained the previous year's level at EUR 37.8 million. CEO Sandra Maile attributed the solid result to the company's "Strong Together 2030" strategy, which aims to guide the digital and sustainable transformation of the business.


FORTEC's "Strong Together 2030" strategy has focused on future investments, with a forecasted group turnover of EUR 95.0 million to EUR 110.0 million and a Group EBIT of EUR 6.0 million to EUR 8.0 million for the upcoming 2024/2025 financial year. Despite geopolitical uncertainties and macroeconomic developments, the company's cautious yet optimistic outlook reflects its commitment to long-term growth.

The company's dividend policy remained unchanged, with a proposal to distribute EUR 0.85 per share for the 2023/2024 financial year. This consistent payout, despite reduced earnings, indicates FORTEC's dedication to shareholder returns.


In conclusion, FORTEC Elektronik AG's full-year 2024 earnings showed a mixed performance, with revenue and EBIT within the forecast range but EPS missing expectations. The company's "Strong Together 2030" strategy has guided its digital and sustainable transformation, but FORTEC must address the decline in data visualization segment turnover and maintain the stability of its power supplies segment. Despite these challenges, the company's long-term growth prospects and commitment to shareholder returns make it an attractive investment opportunity for value-oriented investors seeking a balance between growth and stability.