Announcement • May 03
Econocom Group SE announces Annual dividend, payable on July 02, 2026 Econocom Group SE announced Annual dividend of EUR 0.0265 per share payable on July 02, 2026, ex-date on June 30, 2026 and record date on July 01, 2026. Declared Dividend • Apr 13
Dividend of €0.05 announced Shareholders will receive a dividend of €0.05. Ex-date: 30th June 2026 Payment date: 2nd July 2026 Dividend yield will be 3.5%, which is higher than the industry average of 2.4%. Sustainability & Growth Dividend is well covered by both earnings (16% earnings payout ratio) and cash flows (4% cash payout ratio). The dividend has decreased over the past 10 years, indicating a lack of growth and stability in payments. EPS is expected to grow by 2.5% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Feb 12
Full year 2025 earnings released Full year 2025 results: Revenue: €2.92b (up 6.5% from FY 2024). Net income: €53.2m (up 38% from FY 2024). Profit margin: 1.8% (up from 1.4% in FY 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 5.3% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the IT industry in the United Kingdom. Buy Or Sell Opportunity • Feb 06
Now 20% undervalued Over the last 90 days, the stock has risen 3.3% to €1.69. The fair value is estimated to be €2.12, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 3.2% over the last 3 years. Earnings per share has declined by 11%. Revenue is forecast to grow by 11% in 2 years. Earnings are forecast to grow by 85% in the next 2 years. Valuation Update With 7 Day Price Move • Jan 13
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to €1.86, the stock trades at a forward P/E ratio of 5x. Average forward P/E is 18x in the IT industry in the United Kingdom. Total loss to shareholders of 24% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at €2.15 per share. Buy Or Sell Opportunity • Oct 31
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 7.0% to €1.71. The fair value is estimated to be €2.15, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 3.2% over the last 3 years. Earnings per share has declined by 11%. Revenue is forecast to grow by 12% in 2 years. Earnings are forecast to grow by 85% in the next 2 years. Announcement • Oct 23
Econocom Group SE to Report Fiscal Year 2025 Results on Feb 10, 2026 Econocom Group SE announced that they will report fiscal year 2025 results After-Market on Feb 10, 2026 Reported Earnings • Jul 25
First half 2025 earnings released First half 2025 results: Revenue: €1.33b (flat on 1H 2024). Net income: €17.3m (down 2.8% from 1H 2024). Profit margin: 1.3% (in line with 1H 2024). Revenue is forecast to grow 6.3% p.a. on average during the next 3 years, compared to a 7.7% growth forecast for the IT industry in the United Kingdom. New Risk • Jul 24
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 46% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. Currently, the following risks have been identified for the company: Minor Risks High level of debt (46% net debt to equity). Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (1.4% net profit margin). Upcoming Dividend • Jun 23
Upcoming dividend of €0.078 per share Eligible shareholders must have bought the stock before 30 June 2025. Payment date: 02 July 2025. Payout ratio is a comfortable 44% and this is well supported by cash flows. Trailing yield: 5.1%. Lower than top quartile of British dividend payers (5.6%). Higher than average of industry peers (3.1%). Buy Or Sell Opportunity • May 05
Now 22% overvalued after recent price rise Over the last 90 days, the stock has risen 6.0% to €1.92. The fair value is estimated to be €1.56, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 3.9% over the last 3 years. Earnings per share has declined by 11%. For the next 3 years, revenue is forecast to grow by 4.5% per annum. Earnings are also forecast to grow by 21% per annum over the same time period. Declared Dividend • Apr 30
Dividend of €0.10 announced Shareholders will receive a dividend of €0.10. Ex-date: 30th June 2025 Payment date: 2nd July 2025 Dividend yield will be 5.5%, which is higher than the industry average of 2.4%. Sustainability & Growth Dividend is well covered by both earnings (44% earnings payout ratio) and cash flows (11% cash payout ratio). The dividend has increased by an average of 2.9% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 59% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Apr 30
Econocom Group SE announces Annual dividend, payable on July 02, 2025 Econocom Group SE announced Annual dividend of EUR 0.0520 per share payable on July 02, 2025, ex-date on June 30, 2025 and record date on July 01, 2025. Buy Or Sell Opportunity • Apr 04
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 9.9% to €1.73. The fair value is estimated to be €2.18, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 3.9% over the last 3 years. Earnings per share has declined by 11%. For the next 3 years, revenue is forecast to grow by 5.5% per annum. Earnings are also forecast to grow by 26% per annum over the same time period. Announcement • Feb 17
Econocom Group SE, Annual General Meeting, Mar 31, 2025 Econocom Group SE, Annual General Meeting, Mar 31, 2025. Reported Earnings • Feb 14
Full year 2024 earnings released Full year 2024 results: Revenue: €2.74b (up 2.3% from FY 2023). Net income: €38.4m (down 36% from FY 2023). Profit margin: 1.4% (down from 2.3% in FY 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 5.5% p.a. on average during the next 3 years, compared to a 7.5% growth forecast for the IT industry in the United Kingdom. Buy Or Sell Opportunity • Feb 11
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 13% to €1.77. The fair value is estimated to be €2.22, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.7% over the last 3 years. Earnings per share has declined by 5.4%. Revenue is forecast to grow by 6.9% in 2 years. Earnings are forecast to grow by 24% in the next 2 years. Announcement • Oct 22
Econocom Group SE to Report Fiscal Year 2024 Results on Feb 13, 2025 Econocom Group SE announced that they will report fiscal year 2024 results After-Market on Feb 13, 2025 Buy Or Sell Opportunity • Aug 26
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 15% to €2.06. The fair value is estimated to be €2.59, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.7% over the last 3 years. Earnings per share has declined by 5.4%. Revenue is forecast to grow by 12% in 2 years. Earnings are forecast to grow by 50% in the next 2 years. Buy Or Sell Opportunity • Aug 03
Now 24% undervalued after recent price drop Over the last 90 days, the stock has fallen 15% to €1.89. The fair value is estimated to be €2.48, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.7% over the last 3 years. Earnings per share has declined by 5.4%. Revenue is forecast to grow by 12% in 2 years. Earnings are forecast to grow by 50% in the next 2 years. Reported Earnings • Jul 29
First half 2024 earnings released First half 2024 results: Revenue: €1.34b (flat on 1H 2023). Net income: €17.4m (down 18% from 1H 2023). Profit margin: 1.3% (down from 1.6% in 1H 2023). Revenue is forecast to grow 5.1% p.a. on average during the next 3 years, compared to a 6.9% growth forecast for the IT industry in the United Kingdom. New Risk • Jul 21
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 22% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (244% cash payout ratio). Shareholders have been diluted in the past year (22% increase in shares outstanding). Upcoming Dividend • Jun 21
Upcoming dividend of €0.13 per share Eligible shareholders must have bought the stock before 28 June 2024. Payment date: 02 July 2024. Trailing yield: 7.0%. Within top quartile of British dividend payers (5.6%). Higher than average of industry peers (2.2%). Announcement • Apr 10
Econocom Announces Board Appointments Econocom has appointed Chantal De Vrieze and Philippe Capron to its board, for a mandate of four years. Reported Earnings • Feb 16
Full year 2023 earnings released Full year 2023 results: Revenue: €2.68b (down 1.4% from FY 2022). Net income: €59.5m (down 16% from FY 2022). Profit margin: 2.2% (down from 2.6% in FY 2022). Revenue is forecast to grow 4.8% p.a. on average during the next 3 years, compared to a 5.9% growth forecast for the IT industry in the United Kingdom. Buying Opportunity • Nov 01
Now 23% undervalued after recent price drop Over the last 90 days, the stock is down 15%. The fair value is estimated to be €2.87, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 18%. Revenue is forecast to grow by 6.9% in 2 years. Earnings is forecast to grow by 44% in the next 2 years. Announcement • Sep 18
Econocom Group SE(ENXTBR:ECONB) dropped from S&P Global BMI Index Econocom Group SE(ENXTBR:ECONB) dropped from S&P Global BMI Index New Risk • Jul 28
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 71% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. Currently, the following risks have been identified for the company: Minor Risks High level of debt (71% net debt to equity). Profit margins are more than 30% lower than last year (2.0% net profit margin). Reported Earnings • Jul 27
First half 2023 earnings released First half 2023 results: Revenue: €1.34b (up 7.9% from 1H 2022). Net income: €20.1m (down 41% from 1H 2022). Profit margin: 1.5% (down from 2.8% in 1H 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 5.2% p.a. on average during the next 3 years, compared to a 8.6% growth forecast for the IT industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 29% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Jun 23
Upcoming dividend of €0.13 per share at 5.7% yield Eligible shareholders must have bought the stock before 30 June 2023. Payment date: 04 July 2023. Trailing yield: 5.7%. Lower than top quartile of British dividend payers (5.9%). Higher than average of industry peers (2.5%). New Risk • Jun 14
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 0.1% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. This is currently the only risk that has been identified for the company. Valuation Update With 7 Day Price Move • Feb 21
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to €3.37, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 24x in the IT industry in the United Kingdom. Total returns to shareholders of 47% over the past three years. Reported Earnings • Feb 18
Full year 2022 earnings released Full year 2022 results: Revenue: €2.72b (up 8.5% from FY 2021). Net income: €72.6m (flat on FY 2021). Profit margin: 2.7% (down from 2.9% in FY 2021). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 3.9% p.a. on average during the next 2 years, compared to a 16% growth forecast for the IT industry in the United Kingdom. Buying Opportunity • Jan 19
Now 22% undervalued Over the last 90 days, the stock is up 3.5%. The fair value is estimated to be €3.49, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 7.7% over the last 3 years. Earnings per share has grown by 25%. Revenue is forecast to grow by 0.2% in 2 years. Earnings is forecast to grow by 4.4% in the next 2 years. Board Change • Nov 16
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 7 experienced directors. 1 highly experienced director. 3 independent directors (5 non-independent directors). Independent Director Marie-Christine Levet was the last independent director to join the board, commencing their role in 2016. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Buying Opportunity • Oct 12
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 12%. The fair value is estimated to be €3.44, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 7.7% over the last 3 years. Earnings per share has grown by 25%. Revenue is forecast to decline by 1.2% in 2 years. Earnings is forecast to grow by 9.4% in the next 2 years. Buying Opportunity • Sep 07
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 19%. The fair value is estimated to be €3.76, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 7.7% over the last 3 years. Earnings per share has grown by 25%. Revenue is forecast to decline by 1.2% in 2 years. Earnings is forecast to grow by 9.4% in the next 2 years. Reported Earnings • Jul 27
First half 2022 earnings released First half 2022 results: Revenue: (down 100% from 1H 2021). Net income: (down €28.7m from profit in 1H 2021). Profit margin: (down from 2.3% in 1H 2021). The decrease in margin was driven by lower expenses. Over the next year, revenue is expected to shrink by 3.8% compared to a 20% growth forecast for the industry in the United Kingdom. Upcoming Dividend • Jun 23
Upcoming dividend of €0.13 per share Eligible shareholders must have bought the stock before 30 June 2022. Payment date: 04 July 2022. Trailing yield: 4.2%. Lower than top quartile of British dividend payers (5.2%). Higher than average of industry peers (2.6%). Board Change • Apr 27
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was not an independent director. The company's board is composed of: 1 new director. 7 experienced directors. 1 highly experienced director. 3 independent directors (6 non-independent directors). Independent Director Marie-Christine Levet was the last independent director to join the board, commencing their role in 2016. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Feb 15
Full year 2021 earnings: Revenues miss analyst expectations Full year 2021 results: Revenue: €2.51b (down 2.1% from FY 2020). Net income: €77.6m (up 68% from FY 2020). Profit margin: 3.1% (up from 1.8% in FY 2020). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 2.5%. Over the next year, revenue is forecast to grow 5.4%, compared to a 18% growth forecast for the industry in the United Kingdom. Upcoming Dividend • Jul 29
Upcoming dividend of €0.084 per share Eligible shareholders must have bought the stock before 05 August 2021. Payment date: 09 August 2021. Trailing yield: 3.3%. Lower than top quartile of British dividend payers (3.9%). Higher than average of industry peers (2.0%). Reported Earnings • Jul 25
First half 2021 earnings released The company reported a decent first half result with improved earnings and profit margins, although revenues were flat. First half 2021 results: Revenue: €1.24b (flat on 1H 2020). Net income: €31.2m (up €27.4m from 1H 2020). Profit margin: 2.5% (up from 0.3% in 1H 2020). Reported Earnings • Apr 04
Full year 2020 earnings released: EPS €0.21 (vs €0.25 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: €2.56b (down 12% from FY 2019). Net income: €46.1m (down 18% from FY 2019). Profit margin: 1.8% (down from 1.9% in FY 2019). Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has fallen by 17% per year, which means it is performing significantly worse than earnings. Is New 90 Day High Low • Feb 24
New 90-day high: €3.07 The company is up 26% from its price of €2.45 on 26 November 2020. The British market is up 6.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the IT industry, which is up 16% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €1.70 per share. Valuation Update With 7 Day Price Move • Feb 08
Investor sentiment improved over the past week After last week's 17% share price gain to €3.03, the stock is trading at a trailing P/E ratio of 13.1x, up from the previous P/E ratio of 11.2x. This compares to an average P/E of 47x in the IT industry in the United Kingdom. Total return to shareholders over the past three years is a loss of 49%. Is New 90 Day High Low • Feb 04
New 90-day high: €2.83 The company is up 34% from its price of €2.11 on 06 November 2020. The British market is up 12% over the last 90 days, indicating the company outperformed over that time. It also outperformed the IT industry, which is up 19% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €1.79 per share. Is New 90 Day High Low • Jan 15
New 90-day high: €2.55 The company is up 10.0% from its price of €2.33 on 16 October 2020. The British market is up 16% over the last 90 days, indicating the company underperformed over that time. It also underperformed the IT industry, which is up 11% over the same period. Valuation Update With 7 Day Price Move • Oct 26
Market pulls back on stock over the past week After last week's 18% share price decline to €1.92, the stock is trading at a trailing P/E ratio of 8.3x, down from the previous P/E ratio of 10.1x. This compares to an average P/E of 31x in the IT industry in the United Kingdom. Total return to shareholders over the past three years is a loss of 69%. Is New 90 Day High Low • Oct 24
New 90-day low: €2.00 The company is down 12% from its price of €2.26 on 24 July 2020. The British market is down 2.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the IT industry, which is up 3.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €1.63 per share.