MUNICH (dpa-AFX) - The IT service provider Cancom has achieved its sales target at the lower end of the forecast range in a difficult environment. In terms of operating results, the Bechtle competitor only partially met its own targets. However, Group CEO Rüdiger Rath saw the key targets of the forecast achieved. The performance in 2023 laid the foundation for successful development in the new year in a difficult environment, he said according to the press release. The share price fell noticeably.

The share lost 3.1 percent to 28.16 euros in early Tuesday trading, extending its decline this year to more than four percent. The share price is already a long way from the highs of almost EUR 65 in fall 2021. Jefferies analyst Martin Comtesse spoke of a slow end to the year in an early assessment. Demand from small and medium-sized companies in Germany, Cancom's core clientele, remains weak, while public customers have once again offered support. However, this is no longer a surprise after the statements made by competitor Bechtle last week.

A week ago, the Bechtle Group emphasized that the environment in the fourth quarter had been very challenging. However, business with public clients and major customers had developed positively.

Cancom's revenue climbed by almost 18 percent to 1.52 billion euros, mainly thanks to acquisitions, as the SDax company announced in Munich on Tuesday on the basis of preliminary figures. Thanks to acquisitions in the German-speaking core market, Cancom was also able to grow in 2023, said CEO Rüdiger Rath.

In terms of operating earnings before interest, taxes, depreciation and amortization, Cancom also just reached its own forecast range with an increase of almost eleven percent to an expected 116.3 million euros. Analysts had expected similar figures. However, Cancom fell short of its own forecast for another key earnings figure, earnings before interest, taxes and goodwill amortization.

The Bechtle competitor will present its annual report with detailed figures and the new forecast on March 28./men/niw/stk