Gentrack Group Full Year 2023 Earnings: Beats Expectations

Gentrack Group (NZSE:GTK) Full Year 2023 Results

Key Financial Results

• Revenue: NZ$169.9m (up 35% from FY 2022).
• Net income: NZ$10.0m (up from NZ$3.32m loss in FY 2022).
• Profit margin: 5.9% (up from net loss in FY 2022). The move to profitability was driven by higher revenue.
• EPS: NZ$0.10 (up from NZ$0.033 loss in FY 2022).

All figures shown in the chart above are for the trailing 12 month (TTM) period

Gentrack Group Revenues and Earnings Beat Expectations

Revenue exceeded analyst estimates by 7.2%. Earnings per share (EPS) also surpassed analyst estimates by 13%.

The primary driver behind last 12 months revenue was the Utility segment contributing a total revenue of NZ$147.9m (87% of total revenue). Notably, cost of sales worth NZ$143.8m amounted to 85% of total revenue thereby underscoring the impact on earnings. The largest operating expense was Depreciation & Amortisation (D&A) costs, amounting to NZ$8.45m (53% of total expenses). Explore how GTK's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 9.7% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Software industry in Oceania.

Performance of the market in New Zealand.

The company's shares are up 10% from a week ago.

Risk Analysis

You still need to take note of risks, for example - Gentrack Group has 1 warning sign we think you should be aware of.

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