NNIT A/S Releases Annual Report for 2024
Annual Report 2024
2024 marked a significant milestone for NNIT A/S as it was the first complete year operating under its specialized IT consultancy model. Focusing primarily on Life Sciences on an international scale while also serving both public and private sectors in Denmark, NNIT showcased dynamic revenue growth and maintained a respectable profit margin throughout the year.
Highlights of 2024
- The company achieved a 7.1% increase in revenue, reaching DKK 1,851 million, with organic growth of 6.0%. Despite facing regional challenges, especially in the third quarter, NNIT's performance outpaced overall market growth. A strong finish in the fourth quarter, complemented by key victories in the US and Denmark, laid the groundwork for continued momentum heading into 2025.
- NNIT's operating result before special items remained steady at DKK 117 million, matching the previous year's result. However, the operating profit margin before special items slightly declined to 6.3%, primarily due to lower utilization rates.
- Special items for the year totaled DKK 69 million, consistent with 2023 figures, largely attributed to earn-out payments and restructuring expenses.
2025 Forecast
- Looking ahead, NNIT anticipates improved organic growth and profitability throughout 2025.
- The Group projects organic revenue growth in the range of 7-10%, driven by expanding current engagements and onboarding new clientele.
- Moreover, the company expects an increase in the operating profit margin before special items to 7-9%. This improvement will benefit from enhanced optimization of utilization and billability, recovery of data migration services, and the year-long effects of initiatives from 2024, alongside continuous efforts for cost optimization.
- This outlook is contingent upon stable macroeconomic conditions and geopolitical factors similar to those observed in 2024, as well as stable exchange rates.
- In 2025, special items are expected to comprise around DKK 20 million in earn-out payments as it represents the final year for such expenses, with anticipated restructuring costs significantly lower than those in 2024.
Pär Fors, CEO of NNIT, reflected: "2024 was a pivotal year characterized by the achievement of several strategic goals as we transitioned into a dedicated IT consultancy. Despite facing macroeconomic uncertainties and a slight market slowdown within Life Sciences in the latter half, NNIT experienced organic growth through both existing and newfound customers. Our strengthened influence in Denmark's public sector through securing critical strategic contracts significantly contributed to our ability to meet our financial projections."
Conference Call Announcement
NNIT will host a conference call on February 19, 2025, at 9:30 AM CET for further discussions.
For participants wishing to dial in, the contact numbers are as follows:
DK: +45 7876 8490
SE: +46 31-311 5003
UK: +44 203 769 6819
US: +1 646-787-0157
Access code for participants: 472855
Contact Information
For additional inquiries, please reach out to:
Investor Relations
Carsten Ringius
EVP & CFO
Tel: +45 3077 8888
Email: carr@nnit.com
Media Relations
Sofie Mand Steffens
Senior Communications Consultant
Tel: +45 3077 8337
Email: smst@nnit.com
About NNIT A/S
NNIT A/S is a leading provider delivering IT solutions specifically to the life sciences sector globally and to both public and private sectors within Denmark.
Focusing on complex industries where regulatory demands are paramount, NNIT successfully operates within challenging environments.
The company specializes in advising on and constructing digitally sustainable solutions that cater to patients, citizens, employees, and clients alike.
With a commitment to excellence across its service areas, NNIT leverages its domain expertise to prioritize business requirements and objectives over mere technology considerations.
NNIT encompasses the parent company NNIT A/S and its subsidiary SCALES, employing over 1,700 professionals spread across Europe, Asia, and the USA.
Frequently Asked Questions
What were the key revenue figures for NNIT in 2024?
NNIT reported a revenue of DKK 1,851 million in 2024, marking a 7.1% increase.
How is NNIT preparing for future growth in 2025?
NNIT plans to achieve organic revenue growth of 7-10% by expanding existing engagements and onboarding new customers.
What factors affected NNIT's profit margin in 2024?
The profit margin saw a slight decline due to lower utilization rates, ending up at 6.3%.
What is the anticipated special items expense in 2025?
In 2025, expected special items will total around DKK 20 million with significantly reduced restructuring costs.
How does NNIT differentiate itself in the IT solutions market?
NNIT focuses on high complexity industries and offers tailored digital solutions that prioritize business needs above technology, ensuring regulatory compliance.
