Bechtle bids farewell to tough financial year

Reported revenue decreased by around two per cent in FY24 according to preliminary figures

Bechtle ends FY24 on a bittersweet note, as reported revenues decreased two per cent despite reconciling its 2024 financial results with capital market expectations.

That reconciliation was made possible by the nearly two per cent increase in business volume, bringing it to nearly €8bn (£6.65bn), strongly boosted by growth in the company’s software business.

EBT also fell eight per cent compared to the previous year, dropping to €345m (€374.5m in FY23).

The EBT margin amounts to 5.5 per cent compared to 5.8 per cent last year.

Through acquisitions in Spain (iDooTech), Italy (MMN) and the UK (Driveworks, Qolcom) and a moderate 1.7 per cent organic workforce expansion, Bechtle grew its headcount by adding 642 people to its staff, a 4.2 per cent year-on-year rise.

The company also hired 1,113 people the previous year, a 7.9 per cent climb.

As of 31 December 2024, the German reseller employs 15,801 people.

Bechtle saw a glimmer of hope in its fourth quarter, with a strong final month as business volume grew by about four per cent from October to December.

Revenue did however decline by approximately five per cent and earnings were down by some six per cent.

Reported EBT margin also stood below last year’s results at 5.6 per cent, compared to 5.7 per cent for the same period the year prior.

Bechtle’s definite result will be published on 14 March 2025.

These preliminary results do not exactly come as a surprise, as company earnings have been dipping throughout Q1, Q2, and Q3 this year, due to various factors such as “a reluctance to invest” in France and Germany, less demand from SMEs, and a large-volume software project that had a positive impact in 2023 but did not repeat this year.

The company experienced its first dip in quarterly sales since 2009.