Conscia delivers historically strong performance in 2022/23

“The financial results in 2022/23 are exceptional, and we are especially pleased to see a consistent strong performance across all our markets and business areas. During the last couple of years, we have expanded our offerings and are now benefitting from our ability to deliver a full package of network, cloud infrastructure and cybersecurity solutions and services to our customers in all our markets. The order intake in 2022 was fantastic, and 2023 turned out even better,” says CEO Erik Bertman, Conscia.

Highlights

• Revenue increases 32% to DKK 4,337 million (2021/22: DKK 3,277 million)
• Solutions grows by 38% to DKK 3,393 million
• Service grows by 15% to DKK 944 million
• The highest growth is concentrated to the largest markets in the Nordic region – with all six geographical markets growing between 15% and 57%
• Normalized EBITDA (excluding special items) increases to DKK 434 million (2021/22: DKK 351 million), corresponding to a normalized EBITDA margin of 10% (2021/22: 11%)
• The organization grows by 7% to 1,020 employees at year-end.

Conscia is a leading European network, cybersecurity and cloud IT specialist, delivering secure infrastructure solutions and 24/7 managed services to customers with complex network, data center, cloud, IoT and mobility requirements. The company today publishes its record-breaking annual report for the period 1 October 2022 to 30 September 2023.

Financial year 2022/23 marks the second consecutive year of very strong organic growth. Total revenue increases by 32% to DKK 4,337 million, driven by robust sales and commercial activities across the Group coupled with a normalization in the spring of 2023 of supply chain issues related to the Covid pandemic. Notably, the solutions business area delivers a particularly high growth rate of 38%. Solutions provide design and implementation of network, cloud infrastructure and cybersecurity, and the related sale of hardware and software.

"With recent years’ broadening of Service and Solutions product lines, we are successfully helping our customers in three distinct technology areas: Networking, cloud and data center, and cybersecurity. We work closely with technology partners like Cisco, Palo Alto and VMware to fulfil our customers’ needs for reliable and secure IT infrastructure," says Erik Bertman, former Chief Executive Officer, Conscia A/S

Conscia’s service business area delivers 24/7 managed services as well as reactive services across its key technology areas by supporting IT solutions and actively handling and monitoring installed hardware and software around the clock. Service grows by 15% to DKK 944 million.

“There’s no doubt, that our Service offering is becoming increasingly relevant to customers with our consistently improving ability to deliver on our One Conscia approach. Customers now have access to any relevant expert among our more than 1,000 employees, no matter where they are based and what service they request. We have several cases where we deliver to customers in one geographical market from Conscia specialists in multiple countries,” says Erik Bertman.

The organization of Conscia holds 1,020 employees – up with 68 during the year. It is affected by the acquisitions of Miradot, adding new competences in Sweden, and ethcon and lifecon adding competences and scale in Germany.

Geographical Markets 2022/23	Revenue in DKKm	Growth
Denmark	1,564	+30%
Nordic ex Denmark	1,217	+57%
The Netherlands	845	+23%
Germany	408	+19%
Slovenia	303	+15%
Conscia Group	4,337	+32%

Normalized EBITDA grows 24% to DKK 434 million, corresponding to a normalized EBITDA margin of 10%. Earnings are primarily driven by the strong growth in revenue and further supported by diligent control of fixed costs. The result for the period is a loss of DKK 64 million, which is an improvement of 35% compared to the 2021/22.

In 2023/24, Conscia expects strong organic revenue growth based on consistent execution of the One Conscia approach and underlying positive market trends. The organization is expected to expand by more than 120 employees compared to 2022/23. As a natural consolidator in the fragmented European market, Conscia aims for expanding its presence in current and adjacent markets.

Selected financial key figures

Million DKK	2022/23	2021/22	2020/21
Revenue	4,337	3,277	2,750
Gross profit	1,080	921	848
EBITDA	392	286	270
Normalized EBITDA*	434	351	309
Normalized EBITDA margin, %	10%	11%	11%
Net financial	(239)	(195)	(192)
Result for the period	(64)	(99)	(98)

(*) Reported EBITDA adjusted for non-recurring items