Bechtle delivers consistent dividend

• Business volume up 2.0 per cent
• EBT totals €345.1 m
• Operating cash flow improves again to €558.2 m
• Dividend remains consistent at €0.70

Neckarsulm, 14 March 2025 – Bechtle AG’s business development remained under pressure in 2024 against a tough economic backdrop. All the same, business volume rose by 2.0 per cent to €7,949.0 m. Revenue shrank 1.8 per cent to €6,305.8 m and EBT stood at €345.1 m (previous year: €374.5 m). The EBT margin amounted to 5.5 per cent, compared to 5.8 per cent in the prior year. As of 31 December 2024, Bechtle had 15,801 employees, 642 or 4.2 per cent more than in the previous year.

Regionally, the picture varies with the Bechtle Group’s most important country markets—Germany and France—impacted by uncertainty and a reluctance to invest, which have stymied growth in both. However, in other European markets, including Belgium, the United Kingdom and Spain, Bechtle enjoyed very positive development. “2024 was an incredibly challenging year for Bechtle. While we are, of course, anything but happy with our figures, we have performed relatively well considering the conditions we were working in. Our international presence has once again proven its value,” says Dr Thomas Olemotz, CEO, Bechtle AG.

Bechtle invests in the future

Earnings before taxes totalled €345.1 m and were therefore unable to maintain the previous year’s very high level. While the cost of materials developed at a disproportionally lower rate than revenue, we saw a surge in other costs with those for personnel going up by 7.6 per cent—largely as a result of acquisitions. On the back of investments in the future, such as company acquisitions and the expansion of our AI activities, but also investments in cloud business and internal IT, depreciation and amortisation rose by 10.8 per cent compared to the previous year.

Operating cash flow reaches record heights

Operating cash flow developed very positively, amounting to €558.2 m in the 2024 fiscal year (previous year: €459.0 m)—an increase of close to €100 m. Bechtle continued to reduce its inventories and the development of trade payables also had a positive impact. At €377.0 m, free cash flow was also considerably up on the previous year’s €151.2 m. Liquid assets stand at €643.1 m, giving plenty of leeway for further acquisitions and investments in the company’s future, and with liquid assets exceeding financial liabilities, Bechtle is, in effect, debt free.

Increase in headcount due to acquisitions

As of 31 December 2024, the Bechtle Group’s workforce across its 120 European sites had increased by 4.2 per cent or 642 people, some 60 per cent of whom joined as a result of acquisitions. Organic growth amounted to just 1.7 per cent. However, the deliberate decision to moderate recruiting is by no means at the expense of a sustainable workforce, a fact underscored by a record total of 883 vocational trainees and university students currently working at Bechtle. At 6.7 per cent, the trainee ratio in Germany is on a par with the previous year’s level.

Dividend shows stability and confidence

Since its IPO, Bechtle has pursued a dividend policy characterised by stability and reliability. Against the background of economic developments in the 2024 fiscal year, and in light of the company’s solid financial assets, the Executive and Supervisory Boards will propose maintaining the divined at €0.70 per share at the Annual General Meeting. With the decline in earnings, the company sees this as a strong signal of continuity to their shareholders as well as confidence in Bechtle AG’s future growth. The dividend payout ratio totals 35.9 per cent (previous year: 33.2 per cent).

Muted but optimistic outlook

The start of 2025 remains characterised by choppy economic conditions and there are significant uncertainties regarding how the economy will develop. However, forecasts for the IT market are more positive than for the economy as a whole. Alongside the unwavering need for digitalisation, industry-specific developments such as the end of support for Windows 10 or the necessity to establish AI-ready IT infrastructures may drive demand in 2025. While it is not currently possible to predict if, when and to what extent customers will invest, we do not expect IT demand to pick up until the second half of the year. This lack of visibility also impacts the outlook for the 2025 fiscal year. We expect business volume to rise slightly, but revenue growth may not keep pace due to the continued positive development of our software business. Given the prevailing uncertainties, Bechtle is forced to extend the range of projected earnings, with a decrease of 5 per cent considered just as likely as a rise of 5 per cent. “Bechtle is synonymous with reliability—including in our forecasts—and our aim is to keep it that way in 2025. With that in mind, we have amended our outlook to cover a whole range of possible developments across the overall economy. It’s important to remember that the IT industry’s structural and technological trends remain intact. We are currently navigating our way through turbulent times, but will give our all to return to profitable growth and gain market share,” says Dr Thomas Olemotz.

Bechtle KPIs – Fiscal Year 2024

¹ Figures adjusted

² Including time deposits and securities

***

The Annual Report 2024 is available for download at bechtle.com/publications.

Moreover, you can find the Digital Annual Report 2024 at reports.bechtle.com/annual-report/2024.