Profile Group witnesses significant growth in 2022 for 5th consecutive year
By Leandra Monteiro
Profile Group reported a significant increase in revenue with a spectacular increase in after-tax profitability in 2022. Despite the general geopolitical conditions, the Group continued its strong growth, domestically and internationally, presenting new solutions and significant updates of the existing ones, which lead to the undertaking of new projects, the constant preference of clients as well as the undertaking of specialised projects for the Public sector, where there are very important growth prospects of the Group’s key figures in the coming years.
At a consolidated level from continuing operations (excluding the business unit of Ticketing, which was divested in 2022), the turnover of the Profile Group marked an increase of 30% and amounted to € 25.0 million compared to € 19,3 million in the corresponding period of 2021. Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) amounted to € 6.20 million compared to € 5.15 million in 2021, Profit before Taxes increased by 49% to € 3.83 million from € 2.57 million., while Profits after Tax increased by 60% to € 3.27 million from € 2.04 million.
It is noted that the adjusted EBITDA of the Profile Group, without the impact of extraordinary and non-recurring items, such as the accounting of the stock options in the executives of the Group, amounted to € 6.76 million in 2022 from € 5.38 million in the corresponding period of 2021. The adjusted Profits after Tax (including the profits resulting from the sale of Ticketing business unit and excluding the extraordinary and non-recurring items and the depreciation of the valuation of the acquired companies’ intangible assets) amounted to € 5.22 million from € 2.93 million, increased by 78%.
The Group’s liquidity remained at satisfactory levels, with total cash at the end of the year 2022 at € 14.2 million. In addition, the Profile Group maintained its financial strength, with a debt/equity ratio of 24% and a general liquidity ratio of 1,9x, as a result of the effective management of working capital, strengthening the guarantees for seamless financing of the Group’s investment plan, against the challenges of the volatile economic environment.
On an operational level, in 2022, the Profile Group presented a dynamic course by closing new agreements and making significant expansions with 34 organisations in 12 countries, while at the same time, it received new international awards for the solutions Investment Management (Axia), Digital Banking (Finuevo) and Treasury (Acumen) from World Economic Magazine, International Business Magazine, Chartis, Innovatech Awards, Finance Derivative and IBS Intelligence.
On a product level, the Group presented “Finuevo Suite”, the next-generation banking in-a-box platform, consisting of “Finuevo Core” and “Finuevo Digital”. “Finuevo Core” is the evolution of the leading FMS.next banking system, which combines innovative and flexible functionalities for Accounts, Loans, Cards, Payments, etc., based on new technologies, while “Finuevo Digital” provides mobile-first advanced Digital Banking applications for the end user, being the evolution in digital banking.
In addition, the new innovative solution “Acumen.plus Loan Portfolio Management” for large companies, shipping companies, etc. was presented, providing full support in the field of loan portfolio management, Treasury Management and risk management with advanced functionalities.
Also, there was a significant upgrade of the investment management platform, Axia Suite, for Mutual Fund and Asset Management Companies, offering front-to-back office operations, which fully meet the needs of investment companies that manage their own mutual funds.
“RiskAvert”, the risk management platform for the calculation of capital requirements, was upgraded with the addition of new functions, to cover the supervisory requirements for Non-Performing Exposures (NPE Backstopping), as well as for Interest Rate Risk in the Banking Book (IRRBB).
With respect to the activity in the Public Sector, various projects are under implementation, such as for the Ministry of Justice and the Army Pension Fund, while a number of projects were contracted, such as the portal of the Economic Chamber of Greece, the portal of the new Social Security Fund TEKA for the Ministry of Labour, the Integrated Portal for AADE (Independent Public Revenue Authority), the Integrated Information System of the Renewable Energy Sources for the Ministry of Energy and the Digitisation of the Greek Land Registry. New projects are expected, which consolidate the Profile Group as an important technological partner of the Public Sector.
The strong and healthy financial position of the Profile Group allows for the seamless implementation of the investment plan, aimed at further development in financial sector projects, as well as strengthening its presence in complex and large-scale projects for the Greek Public sector, enjoying strong comparative advantages. In particular, 2023 begins with 70% recurring revenues of the financial sector’s total and with a backlog of projects of over 100 million euros, which evolves incrementally over time.
Considering the aforementioned, the Management of the Profile Group estimates that, as long as the general geopolitical and macroeconomic conditions are not further burdened, its growth is expected to accelerate significantly in 2023 in the domestic and international markets, developing the potential of doubling the key figures within the next three years.
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