Capital Markets Day - Solutions30 outlines its 2026 roadmap

A European leader in rapid-response, multi-technology fields services, positioned on attractive markets where key players are investing several billions per year

A >€1 bn Group entering a new phase of its development, prioritizing margins and cash generation and applying strict selectivity and discipline to its operations, particularly on its most mature markets

Germany emerging as Group’s top performer in terms of growth and profitability and future 3^rd pillar alongside France and Benelux, with revenue to triple and reach €150m to €200m by 2026 as a first milestone

Clear action plan to accelerate diversification in energy transition-related services, expected to triple in size in France by 2026 and to rise sharply in other countries

Strong focus on margin: adjusted EBITDA margin expected above 10% in all three major geographies by 2026

Disciplined capital allocation: selective and accretive bolt-on M&A while maintaining a conservative financial policy, based on non-dilutive financing

Solutions30 is holding today a Capital Markets Day in Paris, where it will present its roadmap for 2026. The presentation is available live through a webcast (see connection details at the end of this press release).

Gianbeppi Fortis, Chief Executive Officer said: "Over the past 20 years, Solutions30 has consistently demonstrated its ability to grow and replicate its unique business model across technologies and sectors where it makes a difference for its customers. Now, having surpassed €1bn in revenue across nine countries, Solutions30 is entering a new phase of development with clear priorities: to establish Germany as the Group’s third pillar and top-performing region, accelerate diversification into the energy transition-related services, prioritize margins over volumes through strict discipline and contract selectivity particularly in its mature markets, and improve cash generation while maintaining a conservative financial policy. Although our ambition extends far beyond, we are setting an initial milestone for 2026, with concrete action plans and realistic targets, tailored to each of our markets. We are confident that our strategy will drive sustainable, long-term profitable growth.”

A European leader in rapid-response, multi-technology field services positioned on attractive markets driven by the digital transformation and the energy transition

Since its inception 20 years ago, Solutions30 has demonstrated its agility to deploy its business model wherever it makes a difference. Originated as a technology company, it has followed technological evolution and captured market opportunities from IT support to telecommunications, then energy.

Today, Solutions30 operates in 9 countries with 16,000 technicians and revenue over €1bn across 3 verticals: Connectivity (76% of Group revenue), Energy (14%) and Technology (10%). Key European customers on these markets, typically large technology and energy B2B and B2C groups, have announced several billion euros of investment budget per year, with a cumulative c.€50 billion p.a. in the coming years, driven by two strong secular trends that are shaping today’s world: the digital transformation and the energy transition.

Entering a new phase of development with a clear 2026 roadmap

Having surpassed the €1 billion revenue mark in 2023, and active in a broad range of markets with different stages of maturity, Solutions30 is entering a new phase of its development. Although its ambition extends far beyond, the Group is setting today an initial milestone for 2026, with concrete, bottom-up action plans and targets defined at regional level, and an over-arching priority given to selectivity and profitability.

In Benelux, Solutions30 is currently navigating a temporary situation where ongoing negotiations between Belgian telecom service providers aimed at streamlining fiber deployments across the country are causing delays in the Group’s activities and therefore impacting its performance in 2024. However, faced with strong opportunities offered by the early stage of fiber roll-out in Belgium, as well as the massive investments in power grid upgrade across the region, the Group is confident it can capitalize on its strong market positioning and resume its profitable growth trajectory as soon as 2025 (regardless of the outcome of the aforementioned negotiations) and expects adjusted EBITDA margin above 10% by 2026.

In France, vast opportunities lie ahead in the Energy sector, where the Group has successfully replicated his business model and has emerged as a key partner to its customers. Energy revenue is expected to triple compared to 2023 and reach c. €150 million in 2026. In Connectivity, the Group is working towards stabilization, applying strict contract selectivity and prioritizing margins over volumes, while positioning itself to seize future opportunities like copper decommissioning, which could represent a market size of up to €1 billion per year. Adjusted EBITDA margin, benefitting from the comprehensive transformation plan launched in 2022, is expected to be above 10% by 2026.

Germany is delivering on its promises, establishing itself as the Group’s top performer in terms of revenue growth, margins and cash flow performance. While the region is on a trajectory to become Solutions30’s third pillar alongside France and Benelux, benefitting from unique market dynamics in both Connectivity and Energy, a first milestone is set in 2026, when Germany’s revenue is expected between €150 million and €200 million, with adjusted EBITDA margin well above 10%. The country should then continue to grow faster than the rest of the Group.

Across the rest of Europe, Solutions30 has adopted a portfolio management approach, aiming at sustaining Poland’s profitable growth, further improving performance in the UK, and either restoring margin in Italy and Spain by 2026 or initiating a strategic review in these two countries.

Targeted and selective bolt-on acquisitions as a key growth driver. Since 2009, the Group has leveraged this strategy, successfully completing over 30 acquisitions with a combined annual revenue of approximately €350 million, all financed without any capital increase. Bolt-on M&A will continue to be a central pillar of the Group’s growth strategy and a primary focus for capital allocation, as part of a conservative financial policy that has historically resulted in a very limited leverage ratio, consistently below 2x net debt to adjusted EBITDA, and excludes any dilutive financing instruments.

Lastly, the Group confirms its 2024 full-year outlook, as detailed in its press release dated September 18^th, 2024.

Beyond 2026, longer-term ambitions

Building on its strong positioning, the attractiveness of its markets, and the fragmented nature of its competition, Solutions30 believes that, in the long term, it can double in size, with a service portfolio increasingly focused on Energy, and achieve a double-digit adjusted EBITDA margin at the Group level. Upon completion of its 2026 roadmap, Solutions30 will host another Capital Markets Day to set objectives for the next milestone.

Sustainability at the heart of Solutions30’s business

A significant portion of Solutions30’s activities act as enablers of the energy transition. 8% of the Group’s revenue is aligned with the EU Taxonomy for sustainable activities, including installation and maintenance of Smart meters, photovoltaic panels, EV chargers and grid services, as well as reutilization and refurbishment of IT equipment. Internally, the Group has defined a comprehensive ESG strategy, translated into concrete objectives for 2024, which will be complemented by 2030 carbon emissions reduction targets for Scope 1, 2 & 3 through the SBTi process (validation expected by the end of 2024).

Webcast for investors and analysts

Date: Wednesday, September 26, 2024
8:30 PM (CET) – 7:30 PM (GMT)

Speakers:
Thomas Kremer, Member of the Supervisory Board
Gianbeppi Fortis, Chief Executive Officer
Amaury Boilot, Group General Secretary
Luc Brusselaers, Chief Revenue Officer
Wojcieh Pomykala, Chief Operations Officer
Katarzyna Kuszewska, Group Head of Legal
Denis Coleu, Groupe HR Director
Jonathan Crauwels, Chief Financial Officer
Nathalie Duchesne, Group Head of ESG, Risk & Compliance

Connection details:

Webcast in English: https://solutions30.capital-markets-day.eu/

Upcoming events

Q3 2024 Revenue Report November 4, 2024 (after market close)

About Solutions30 SE

Solutions30 provides consumers and businesses with access to the key technological advancements that are shaping our everyday lives, especially those driving the digital transformation and energy transition. With its network of more than 16 000 technicians, Solutions30 has completed over 65 million call-outs since its inception and led over 500 renewable energy projects with a combined maximum output surpassing 1600 MWp. Every day, Solutions30 is doing its part to build a more connected and sustainable world. Solutions30 has become an industry leader in Europe with operations in 10 countries: France, Italy, Germany, the Netherlands, Belgium, Luxembourg, Spain, Portugal, the United Kingdom, and Poland.
The capital of Solutions30 SE consists of 107,127,984 shares, equal to the number of theoretical votes that can be exercised. Solutions30 SE is listed on the Euronext Paris exchange (ISIN FR0013379484- code S30). Stock indexes: CAC Mid & Small | CAC Small | CAC Technology | Euro Stoxx Total Market Technology | Euronext Tech Croissance.
Visit our website for more information: www.solutions30.com

Contact

Individual Shareholders:
shareholders@solutions30.com - Tel: +33 (0)1 86 86 00 63

Analysts/investors:
investor.relations@solutions30.com

Press - Image 7:
Charlotte Le Barbier - Tel: +33 6 78 37 27 60 - clebarbier@image7.fr

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• S30 - CMD EN 26-09-24