Landis+Gyr Financial Year 2024 Highlights
Landis+Gyr Group AG (SIX: LAND), a prominent player in integrated energy management solutions, recently shared its unaudited financial results for the fiscal year 2024. The period spanned from April 1, 2024, to March 31, 2025.
Exceptional Order Intake and Backlog
The company achieved an impressive order intake totaling USD 2.6 billion, which marks a 33.3% increase year-over-year. This achievement reflects successful contract wins across all regions, resulting in a book-to-bill ratio of 1.5. Furthermore, Landis+Gyr recorded a committed backlog of USD 4.6 billion, representing a 22.9% increase compared to the previous year.
Revenue and EBITDA Insights
Despite the notable order intake, FY 2024 net revenue stood at USD 1,729.3 million, indicating a 10.5% decline in constant currency. This decrease was attributed to the non-recurrence of pent-up demand from 2023 and timing issues due to tariffs impacting shipments in March. The company's adjusted EBITDA was USD 170.9 million, reflecting a year-over-year decline of 25.7%, largely tied to reduced operating leverage and an inventory write-off of USD 20 million. The adjusted EBITDA margin was 10.4% when excluding one-off effects.
Financial Performance and Future Guidance
Landis+Gyr experienced a net loss from continuing operations of USD (84.7) million, or USD (2.97) per share (diluted), impacted by a non-cash goodwill impairment amounting to USD 111.0 million. Cash flow from operating activities decreased by 34.9%, landing at USD 78.9 million, which was influenced by lower profitability and higher working capital.
Given these circumstances, the company has decided to propose a reduced dividend of CHF 1.15 per share at the upcoming Annual General Meeting. Looking ahead, guidance for FY 2025 anticipates net revenue growth ranging from 5% to 8%, along with an expected adjusted EBITDA margin between 10.5% and 12.0%.
Strategic Transformation Initiatives
Landis+Gyr is undergoing a strategic transformation, with reviews of its operations in EMEA and the potential for a U.S. listing progressing as planned. CEO Peter Mainz expressed optimism, stating, "The financial year 2024 has demonstrated the resilience of our business model, highlighted by a record order intake and backlog. We are excited about the future and the growth trajectory ahead." The CEO emphasized how the adoption of innovative grid-edge technology is key to addressing rising energy demands.
Leadership Insights
According to Davinder Athwal, CFO of Landis+Gyr, FY 2024 served as a transitional year, but there is a strong sense of optimism for the coming years. "We anticipate revenue growth within the 5% to 8% range for FY 2025, expecting an improvement in our margins. Our well-structured balance sheet puts us in a solid position for continued investment and growth in the long term, despite any tariff-related challenges we might face,” he stated.
About Landis+Gyr
Landis+Gyr is a leading global provider of integrated energy management solutions, focusing on measuring and analyzing energy utilization. The company's advanced analytics are tailored for smart grid and infrastructure management, aiming to assist utilities and consumers in reducing energy consumption. With a broad portfolio of software, services, and intelligent sensor technology, Landis+Gyr plays a crucial role in decarbonizing the grid. Having saved 9 million tons of CO2 in FY 2024, Landis+Gyr has been effectively managing energy since 1896, with sales reaching USD 1.7 billion and a workforce of around 6,300 professionals worldwide.
Frequently Asked Questions
What are the main highlights of Landis+Gyr's FY 2024 results?
The company reported a notable order intake of USD 2.6 billion and a committed backlog of USD 4.6 billion despite a net revenue decline due to various factors.
How did tariffs affect Landis+Gyr’s performance?
Tariffs contributed to shipment timing issues, impacting overall net revenue and EBITDA during the financial year.
What future growth does Landis+Gyr anticipate?
For FY 2025, the company expects revenue growth between 5% and 8%, alongside improvements in profitability margins.
Who are the key leaders at Landis+Gyr?
Peter Mainz serves as CEO, and Davinder Athwal is the CFO, both optimistic about the company's growth potential and strategic direction.
What is Landis+Gyr's contribution to carbon savings?
Landis+Gyr has successfully avoided 9 million tons of CO2 emissions in FY 2024 through its energy management solutions.
