I connected closes the first quarter of the year with revenues growing in 6% to 781.6 million of Euro. In the first three months, the group recorded an EBITDA also growing by 8.6% on an annual basis to 361 million of euros we read in the company note. EBITDA margin was 46%, up 112 basis points compared to the first quarter of 2033, driven by accelerated efficiencies and cost synergies resulting from the Group’s integration. The stock rises on the stock market (+5,5%) to 6.032 euros per share following the publication of the accounts.
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Nexi, in the heat of the debt
In the first quarter of 2024, i total costs were equal to €419.9 millionwith growth of 3.8% y/y mainly due to operating leverage and synergies and efficiencies, as well as some phase effects, despite volume and business growth and inflationary pressures.
L’net financial debt fell to 5,035 million euros, while the Net Financial Debt/EBITDA ratio decreased to 2.8x. The weighted average debt maturity is ~2.8 years with an average pre-tax cost of debt, stable compared to FY23, of approximately 2.86%.
With reference to the ~€1.3 billion of debt maturing in 2024-2025, Nexi confirms the plan to repay it entirely with existing cash; in particular, ~€220 million have already been repaid in April 2024.
Guidance 2024 confirmed
For 2024, “in light of a persistent complex macroeconomic scenario”, we read in the note released by the company, Nexi confirms the 2024 guidance, with revenues in mid-single digit growth on year, Ebitda in mid-to-high single digit growth on year, with a margin expansion of over 100 basis points, an excess cash generation of over 700 million euros. Furthermore, the group confirms the net financial leverage decreasing to below 2.9x Ebitda, including the M&A operations already announced and the effects of the share buyback program (approximately 2.6x on an organic basis).
“We believe that 1Q24 gives greater visibility to the FY24 guidance, especially considering the above-expected cash generation,” analysts at Equity.
Buyback yes 500 million
The company also announced the launch of its share buyback program (buyback) for a maximum amount of 500 million euros, to be completed by 31 October 2025. The buyback, as stated in a note, will be for a maximum number of ordinary shares equal to 20% of Nexi’s share capital, including treasury shares already in portfolio. In execution of the resolution of the meeting of April 30th, the shares will be canceled with the exclusion of those necessary to satisfy the long-term incentive plans.