Copyright © Inderes 2011 - present. All rights reserved.
  • Latest
  • Markets
    • Stock Comparison
    • Financial Calendar
    • Dividends Calendar
    • Research
    • Articles
  • inderesTV
  • Forum
  • About Us
    • Our Coverage
    • Team
Analyst Comment

Tecnotree wins a new customer in Nigeria

By Roni PeuranheimoAnalyst
Tecnotree

Translation: Original comment published in Finnish on 9/21/2023 at 7:03 am EEST.

Under the contract announced yesterday by Tecnotree, the company will supply Nigerian virtual network operator Bricklinks Africa PLC with its traditional BSS products (Switch), as well as its digital wallet solution (DiWa) and digital marketplace platform Moments. The press release did not mention the value of the order, but we do not consider it to be particularly large as it was announced through a press release. The order now does not cause estimate revisions but contributes to the growth outlook that we project for Tecnotree in the coming years.

The exact structure of the order was not disclosed, but typically for the company's license-based orders (most of the company's BSS products), about half consists of a license (payable immediately) and delivery (payable typically within 12 months). In contrast, DiWa and Moments that will be provided under the contract are mainly based on transaction-based recurring revenue. Tecnotree has commented that it will continue to focus on increasing recurring revenue streams (ARR) and we consider the announced transaction to be positive for the company in this respect. The successes in the sales of Moments and DiWa are also encouraging, as these will be important strategic growth drivers for the company in the coming years.

Tecnotree

8.73EUR20.09.2023, 18.00
10.8EURTarget price
Accumulate
Recommendation updated:07.08.2023

Tecnotree operates in the IT sector. The company specializes in the development of digital communication solutions. The services include, for example, business process and subscription management services for customers in telecom and other digital service providers. Operations are held on a global level, with the largest presence around Asia, Africa and the Middle East.

Read more on company page

Key Estimate Figures07.08.2023

202223e24e
Revenue71.677.383.2
growth-%11.5 %8.0 %7.6 %
EBIT (adj.)18.321.524.9
EBIT-% (adj.)25.6 %27.8 %29.9 %
EPS (adj.)0.740.841.09
Dividend0.000.000.00
Dividend %
P/E (adj.)16.85.64.4
EV/EBITDA9.42.71.9
Find us on social media
  • Inderes Forum
  • Youtube
  • Facebook
  • X (Twitter)
Get in touch
  • info@hcandersencapital.dk
  • Bredgade 23B, 2. sal
    1260 København K
Inderes
  • About us
  • Our team
  • Careers
  • Inderes as an investment
  • Services for listed companies
Our platform
  • FAQ
  • Terms of service
  • Privacy policy
  • Disclaimer
Inderes’ Disclaimer can be found here. Detailed information about each share actively monitored by Inderes is available on the company-specific pages on Inderes’ website. © Inderes Oyj. All rights reserved.
  • Latest
  • Markets
    • Stock Comparison
    • Financial Calendar
    • Dividends Calendar
    • Research
    • Articles
  • inderesTV
  • Forum
  • About Us
    • Our Coverage
    • Team