Financial results for Q3 and 9M 2023 released: Solid revenue growth of 19%

The positive trajectory from the first half of 2023 continued through the third quarter. The improvement of performance is in line with the upgraded guidance provided in August and emphasizes the positive direction set with the new strategy.

Please refer to nnit.com - Investors for the full company announcement re the financial results for Q3/9M 2023.

CEO Pär Fors comments:

“Q3 is the first full quarter after the launch of the new strategy, and we are really pleased to see a continued positive development in our business performance, revenue and profitability. This further supports that we are on the right track with our new strategic direction, and we remain fully focused on delivering in accordance with our guidance and longer-term aspirations.”

• Solid revenue growth of 19% to DKK 453m compared to Q3 2022 driven by more business with existing customers and new logos.
• The group operating profit before special items increased to DKK 26m, equal to a group operating profit margin of 5.8%. The margin expansion of 5%-points compared with the same quarter last year is due to improved business performance leveraging a lower cost base.
• The 2023 financial outlook is unchanged: Revenue growth of around 15% and group operating profit margin excl. special items of around 6%.

Business Review: Solid revenue growth and improving profitability

In Q3 2023, NNIT delivered solid revenue growth of 19% across the Life Science and Public-Enterprise spaces, compared with the same quarter last year, driven by growing existing engagements and bringing in new logos. Furthermore, NNIT continues to see solid growth coming from the group companies Excellis Health Solutions, SL Controls and SCALES. The revenue generated towards Aeven after the split and sale of the infrastructure business end of April is considered inorganic revenue in the reported trading statement.

Group operating profit excluding special items was DKK 26m compared with DKK 3m last year. The group operating profit margin excluding special items ended at 5.8% versus 0.8% in Q3 2022. Margin improvement of 5%-points compared with last year was primarily due to lowering of regional and group overhead cost.