Bechtle AG: Third-Quarter Earnings Below Expectations

Bechtle AG has announced that its earnings before taxes (EBT) for the third quarter of 2024 are significantly lower than those of the previous year. The company's performance also fell short of its own market expectations. This underperformance is largely attributed to a sustained reluctance to invest, particularly among small and medium-sized enterprises (SMEs) in Germany and France, Bechtle's primary markets.

The business volume for Q3 2024 slightly decreased by about 1% year-over-year, standing at €1,890 million. Meanwhile, revenue increased by approximately 2%, reaching €1,510 million. However, EBT dropped to €78 million from €93.9 million the previous year, with an EBT margin of 5.2%.

Given the current economic conditions and earnings trend, Bechtle's Executive Board no longer expects to meet the adjusted forecast projected earlier in July. While a potential improvement is anticipated in Q4 2024, the board finds it difficult to accurately predict its impact due to ongoing market uncertainties. As a result, Bechtle will not release a new forecast for the fiscal year's remaining weeks.