Bechtle AG Reports Solid Growth Amid Economic Challenges

Bechtle AG has showcased significant growth in 2023, despite a challenging economic environment. The German IT system house noted a 7.0% increase in business volume, reaching €7.8 billion, and a 6.5% rise in revenue to €6.4 billion. Earnings before taxes (EBT) also saw a 6.8% boost to €374.5 million, keeping the EBT margin stable at 5.8%. This growth comes as Bechtle strengthens its market presence through seven acquisitions across the UK, Netherlands, Switzerland, Spain, France, and Germany, focusing on future-oriented technologies like artificial intelligence.

The company's service-oriented segment displayed exceptional performance with a 13.5% revenue increase, driven by high demand in cloud architecture and IT security services projects. However, the IT E-Commerce segment faced a 5.1% dip in revenue, attributed to medium-sized businesses delaying IT infrastructure projects due to economic pressures.

Bechtle's workforce expanded by 1,113 employees, partially through acquisitions, ending the year with 15,159 employees. Despite the economic uncertainty, Bechtle delivered a record operating cash flow of €459.0 million and plans a dividend increase to €0.70 per share, marking the 14th consecutive rise.

Looking ahead, Bechtle remains optimistic about 2024, expecting to outperform the market, driven by inevitable IT investments and advancements in digitization. The company anticipates significant growth in business volume, revenue, earnings, with the EBT margin expected to stay consistent with the previous year.