Teleste Corporation
Stock exchange release
August 14, 2025 at 8.30 a.m. EEST
TELESTE CORPORATION: ORDERS RECEIVED AND NET SALES INCREASED. PROFIT IMPROVED
SIGNIFICANTLY.
Unless otherwise specified, the figures in parentheses refer to the year-on-year
comparison period.
april-june 2025 in brief
· Net sales were EUR 35.9 (29.5) million, representing increase of 21,5%.
· Adjusted EBITDA was EUR 3.4 (1.6) million, representing increase of 116%.
· The adjusted operating profit was EUR 2.2 (0.4) million, representing
increase of 384.4%.
· The operating profit was EUR 2.0 (-0.5) million, an increase of EUR 2.5
million.
· Earnings per share were EUR 0.02 (-0.06), representing increase of EUR 0.08.
· Cash flow from operations was EUR 4.9 (-0.2) million, representing increase
of EUR 5.1 million.
· Orders received increased by 47.7% to EUR 39.5 (26.7) million.
january-june 2025 in brief
· Net sales were EUR 68.0 (66.1) million, representing increase of 2.9%.
· Adjusted EBITDA was EUR 6.1 (4.6) million, representing increase of 31.7%.
· The adjusted operating profit was EUR 3.6 (2.0) million, representing
increase of 81.2%.
· The operating profit was EUR 3.5 (-0.9) million, an increase of EUR 4.4
million.
· Earnings per share were EUR 0.06 (-0.08), representing an increase of EUR
0.14.
· Cash flow from operations was EUR 6.4 (7.1) million, representing a decrease
of EUR 0,7 million.
· Orders received were EUR 76.5 (57.2) million, representing increase of
33.7%.
outlook for 2025
Teleste estimates revenue for 2025 to be between 135 and 150 million euros, with
adjusted operating profit in the range of 4 to 7 million euros.
Import tariffs in the United States continue to create uncertainty and may
impact profitability in the short term.
[][][][]
EUR million 4-6 4-6 Change 1-6 1-6 2024 Change 1-12 2024
2025 2024 2025
Net sales 35.9 29.5 21.5 % 68.0 66.1 2.9 % 132.5
Adjusted 3.4 1.6 116.0 6.1 4.6 31.7 % 9.3
EBITDA[1)] %
Adjusted 9.4 5.3 4.1 8.9 % 7.0 % 2.0 ppt 7.0 %
EBITDA, % [1)] % % ppt
Adjusted Operating 2.2 0.4 384.4 3.6 2.0 81.2 % 4.2
profit[1)] %
Adjusted 6.0 1.5 4.5 5.3 % 3.0 % 2.3 ppt 3.2 %
Operating profit, % % ppt
% [1)]
Operating profit 2.0 -0.5 n/a 3.5 -0.9 n/a -5.4
Operating 5.6 -1.7 7.3 5.1 % -1.3 % 6.4 ppt -4.1 %
profit, % % % ppt
Net result for the 0.3 -1.1 n/a 0.9 -1.6 n/a -5.9
period
Earnings per 0.02 -0.06 n/a 0.06 -0.08 n/a -0.32
share, EUR
Cash flow from 4.9 -0.2 n/a 6.4 7.1 -9.2 % 12.4
operations
Orders received 39.5 26.7 47.7 % 76.5 57.2 33.7 % 124.9
Order backlog 126.8 117.1 8.3 % 118.3
Net gearing, % 40 % 47 % -6.6 ppt 46 %
Equity ratio, % 46 % 48 % -1.3 ppt 45 %
Personnel at 635 699 -7.1 % 630
period-end
1) An alternative performance measure defined in the tables section of the
report.
Comments by Esa Harju, President & CEo
"The second quarter of 2025 demonstrated strong performance across the entire
organization. Orders received and net sales grew significantly, compared with
both the same period last year and the first quarter of 2025. Profit increased
substantially, and operating cash flow remained positive.
In the Broadband Networks segment, intelligent network deliveries to customers
in North America continued at a solid pace, increasing from earlier in the year.
We also received additional orders for 1.8 GHz intelligent network products in
Europe, with deliveries beginning already during the second quarter. We
announced our related agreement with VodafoneZiggo at the beginning of July, and
we believe other European operators will also adopt 1.8 GHz intelligent network
technology in their networks in the future.
In the Public Safety and Mobility segment, the year progressed according to plan
with the execution of several project deliveries. Orders received rose sharply,
and profitability improved compared with the same period last year. We expanded
our customer base among train manufacturers by signing, in early July, an
agreement with new customer Hitachi Rail for the delivery of train systems.
Changes in U.S. government import tariffs are affecting global markets and the
operating environment. We have taken several measures to adapt to these
developments. As a result, tariffs had only a limited impact on second-quarter
results, although the outlook for the remainder of the year remains uncertain.
We are prepared to continue adjusting our operations should the business
environment change further.
On April 22, 2025, we announced, in a separate stock exchange release, our long
-term strategic growth targets through 2030. Our objectives are to achieve
average annual net sales growth of 10% by 2030 and an adjusted operating margin
of 7% to 12% by that time. We have updated our strategy and action plans so that
all businesses are expected to contribute to the company's long-term strategic
growth goals. We see multiple growth opportunities in our target markets and
intend to leverage our strong expertise to capture them. In the Broadband
Networks segment, North America will serve as the growth engine, while in Europe
we aim for clear market leadership. In the Public Safety and Mobility segment,
we are focused on expanding our market share across all product lines."
For further information, please contact:
Esa Harju
President and CEO
Mervi Kerkelä-Hiltunen
CFO
tel. +358 2 2605 611
investor.relations@teleste.com
About Teleste
Teleste offers an integrated product and service portfolio that makes it
possible to build and run a better networked society. Our solutions bring
television and broadband services to you, secure your safety in public places
and guide your use of public transport. With solid industry experience and drive
for innovations, we are a leading international company in broadband, security
and information technologies and related services. We connect with our customers
through a global network of offices and partners. In 2024, Teleste's net sales
reached EUR 132.5 million and it had approximately 670 employees. Teleste is
listed on Nasdaq Helsinki. For more information, visit www.teleste.com.