Group Financial Results as of March 31st 2024 Approved, Continued Growth and EBITDA Margin Expansion, € 500 Million Share Buy-Back Program Launched
May 09 2024 - 2:00AM
Business Wire
- Revenues at € 781.6 million in 1Q24, +6.0%
Y/Y
- EBITDA at € 361.7 million in 1Q24, +8.6% Y/Y, with c. +112
bps EBITDA margin expansion
- 2024 Guidance confirmed
- Up to € 500 million share buy-back program launched
today
The Board of Directors of Nexi S.p.A. approved on May 8th the
Group’s consolidated financial results as of March 31st 2024.
Key consolidated financial managerial
results1
In 1Q24 the Group delivered revenues at € 781.6 million, +6.0%
versus 1Q23, and EBITDA at € 361.7 million, +8.6% versus 1Q23. The
EBITDA margin was at 46%, up by 112 basis points compared to 1Q23,
also thanks to the accelerating efficiencies and cost synergies
delivery on the back of Group integration.
Nexi Group’s operating businesses delivered the following
results in 1Q24:
- Merchant Solutions, representing approximately 56% of
Group's total revenues, reported revenues of € 437.7 million, +6.8%
Y/Y, with eCommerce growing double-digit driven by accelerated
customer base growth and volume growth. In 1Q24, 4,514 million
transactions were processed, +9.5% Y/Y, with value of processed
transactions at € 192.5 billion, +5.0% Y/Y. In 1Q24 there has been
a continued international schemes sales volume growth in all
geographies, with DACH region growing double-digit Y/Y and Italy
high single-digit. During the quarter, SMEs acquiring volumes
continued to grow driven by customer base expansion, particularly
in Italy and DACH region. Nexi firmly believes that convergence of
digital payments and software for SME is a topic that will
contribute to shape the industry in the next years. Therefore, Nexi
continues to reinforce its position as the "partner of choice" in
Europe for best-in-class local ISVs, with >500 ISVs partners in
8 markets and POS solutions already being sold by Nexi channels in
the Nordics and Germany, to be extended over time to additional
markets and verticals.
- Issuing Solutions, representing approximately 33% of
Group's total revenues, reported revenues of € 257.6 million in
1Q24, +5.2% Y/Y. The growth was mainly supported by the performance
in Italy, benefitting from the acceleration of international debit.
In 1Q24, 4,737 million transactions were processed, +8.2% Y/Y, with
value of processed transactions at € 207.9 billion, +4.6% Y/Y.
- Digital Banking Solutions, representing approximately
11% of Group's total revenues, reported revenues of € 86.3 million,
+4.3% Y/Y, sustained by volume growth and positive impact from new
initiatives. Specifically, during the first quarter, Nexi launched
a new pan-European antifraud solution for EBA Clearing’s SEPA
credit transfers and Instant payments.
In 1Q24, Total Costs were at € 419.9 million, with a
growth of 3.8% Y/Y mainly thanks to the operating leverage and to
synergies and efficiencies, as well as some phasing effects,
despite volume and business growth and inflationary pressure.
As of March 31st 2024, the Net Financial Debt was down to
€ 5,035 million, while the Net Financial Debt / EBITDA ratio
decreased at 2.8x. The weighted average debt maturity is ~2.8 years
with an average pre-tax cash cost of debt, stable versus FY23, of
~2.86%. With reference to the ~€ 1.3 billion of 2024-2025 debt
maturities, Nexi confirms its plan to fully pay down them with the
existing cash; in particular, ~€ 220 million have been already
reimbursed in April 2024.
2024 Guidance confirmed
For 2024, considering the persistent complex macro-outlook, Nexi
confirms the following targets:
- Net revenues: Mid-single digit Y/Y growth;
- EBITDA: Mid-to-high single digit Y/Y growth, with margin
expansion of 100 bps+;
- Excess cash generation: More than € 700 million;
- Net leverage: decreasing to below 2.9x including announced
M&A and share buy-back effects, (~2.6x on organic basis).
Significant subsequent
events
- Nexi announces the start of a share buy-back program up to 500
€M to be completed by October 31st, 2025 and already approved by
the Shareholders' meeting on April 30th, 2024. The substantial
existing cash balances and the strong current and expected cash
generation growth allow to start returning capital to Shareholders
in 2024, while still continuing to support the planned debt
reduction and the limited M&A opportunities in the future.
Nexi’s management and the Board believe that the current share
price does not reflect the full value of its business and outlook
and that a share buy-back offers the most effective value creating
opportunity for the shareholders to deploy the excess cash. In the
longer term, Nexi plans to continue to allocate a material portion
of excess capital to shareholders either through further share
buy-back programs or dividends depending on overall market
conditions.
- On April 8th, 2024, the bonds issued by Nassa TopCo AS for a
nominal amount of about € 219.6 million, plus the accrued interest,
were redeemed at maturity using the already available cash.
- Following the resignation of Mr. Bo Nilsson from the Board of
Directors occurred on April 30th, 2024, the Board of Directors of
the Company during yesterday’s meeting, appointed by co-optation
Mr. Luca Velussi as a non-executive and non independent Director,
after the favorable opinion of the Board of Statutory Auditors. His
curriculum vitae is available in the governance section of the
company website www.nexigroup.com. Mr. Luca Velussi will remain in
post until the next Shareholders' Meeting and, as of today, does
not own any Nexi share.
Pursuant to paragraph 2 of article 154 bis of the Consolidated
Finance Act, the undersigned, Enrico Marchini, in his capacity as
the manager in charge of preparing Nexi’s financial reports,
declares that the accounting information contained in this press
release corresponds to the accounting documents, books and records
of Nexi S.p.A..
Disclaimer: This is the English translation of the original
Italian press release “Approvati i risultati finanziari di Gruppo
al 31 marzo 2024”. In any case of discrepancy between the English
and the Italian versions, the original Italian document is to be
given priority of interpretation for legal purposes.
Nexi
Nexi is Europe's PayTech company operating in high-growth,
attractive European markets and technologically advanced countries.
Listed on Euronext Milan, Nexi has the scale, geographic reach and
abilities to drive the transition to a cashless Europe. With its
portfolio of innovative products, e-commerce expertise and
industry-specific solutions, Nexi provides flexible support for the
digital economy and the entire payment ecosystem globally, across a
broad range of different payment channels and methods. Nexi’s
technological platform and the best-in-class professional skills in
the sector enable the company to operate at its best in three
market segments: Merchant Solutions, Issuing Solutions and Digital
Banking Solutions. Nexi constantly invests in technology and
innovation, focusing on two fundamental principles: meeting,
together with its partner banks, customer needs and creating new
business opportunities for them. Nexi is committed to supporting
people and businesses of all sizes, transforming the way people pay
and businesses accept payments. It offers companies the most
innovative and reliable solutions to better serve their customers
and expand. By simplifying payments and enabling people and
businesses to build closer relationships and grow together, Nexi
promotes progress to benefit everyone. www.nexi.it/en
www.nexigroup.com
1 2023 and 2024 pro-forma normalised managerial data at constant
scope and FX (average 2024 budget FX).
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240508329060/en/
Nexi - External Communication &
Media Relations
Daniele de Sanctis daniele.desanctis@nexigroup.com
Mobile: +39 346 0151000
Matteo Abbondanza matteo.abbondanza@nexigroup.com Mobile:
+39 348 4068858 Søren Winge soeren.winge@nexigroup.com
Mobile: +45 29482635
Danja Giacomin danja.giacomin@nexigroup.com Mobile: +39
334 2256777
Nexi - Investor Relations
Stefania Mantegazza stefania.mantegazza@nexigroup.com
Mobile: +39 335 5805703
NexImmune (NASDAQ:NEXI)
Historical Stock Chart
From May 2024 to Jun 2024
NexImmune (NASDAQ:NEXI)
Historical Stock Chart
From Jun 2023 to Jun 2024