Atea reports strong Q2 results despite continued decline in Finland
Sweden was the company’s strongest market, and the Baltics its fastest growing one
IT infrastructure and service provider Atea has shared Q2 results on the up despite a continued dip in Finland.
The company’s revenue grew 9.1 per cent to NOK 9.14bn (£662.1m), from NOK 8.38bn the year prior.
Hardware revenue led the charge, reaching NOK 6.24bn, a 9.8 per cent increase from NOK 5.63bn the year prior.
Services revenue rose 6.2 per cent uptick, from NOK 2.35bn to NOK 2.51bn.
On the other hand, revenue from software went down 4.3 per cent, from NOK 398.1m to NOK 381.2m.
In terms of territories, the company’s activities in Sweden were the strongest, as revenue in the country generated SEK 3.32bn, a 7.3 per cent increase from SEK 3.09bn last year.
Despite more subdued growth of 0.9 per cent, the company’s home country, Norway, still ranked second in terms of revenue, standing at NOK 2.13bn (Q2 FY24: NOK 2.11bn)
It was followed by Denmark, which reported DKK 1.21bn, 11.8 per cent more than the DKK 1.17bn from last year.
The company’s smallest territory in terms of market share, the Baltics, is also the one which has seen the biggest improvement, with revenue 18.7 per cent, from €36.7m to €43.6bn.
On the other hand, Finland’s figures were negative for the second quarter in a row, dipping to €82.2m, a three per cent dip from €84.8m.
While gross profit for the quarter was NOK 2.78bn, up 5.1 per cent from last year (Q2 FY24: NOK 2.64bn), Atea’s gross margin was 31.4 per cent from the same period the year before, reaching 30.4 per cent due to lower vendor incentives on software and a lower proportion of its services in the revenue mix.
“Atea continues to see strong growth in demand from customers across all lines of business,” said Steinar Sønsteby, CEO of Atea.
“Our customers seek a full-service IT infrastructure partner which can help them manage their complex environments and realise maximum value from their IT investments.
“As the largest provider of IT infrastructure and related services in the Nordic and Baltic regions, Atea is uniquely well-positioned to serve the needs of the market.”