Baltic, Good for Business, Technology

International Internet Magazine. Baltic States news & analytics Thursday, 28.03.2024, 15:47

Atea Baltic’s business grows to EUR 113.8 mln in 2017

BC, Tallinn, 16.03.2018.Print version
In 2017, the Baltic business of the information technology services group Atea grew 5.4% year over year to 113.8 million euros, the group said in its annual report, cites LETA/BNS.

The Baltic operation's earnings before interest and taxes (EBIT) declined 2.5% to 2.4 million euros.


The Baltic region accounted for 3% of group revenue in 2017.


Revenue growth in the Baltics was driven by higher demand for products and services from the private sector, which offset lower sales to the public sector. The decline in EBIT was due to higher operating expenses compared with last year, Atea said.


It said that public sector IT spending in the Baltics is heavily dependent on EU funding programs for large IT projects. The timing of when funding programs will be made available for large public IT investments is unclear. In response to the uncertain market conditions in the public sector, the management in the Baltics reduced staff during the fourth quarter of 2017 to lower operating expenses.


Revenue of the Atea group climbed 4% on year to 3.4 billion euros and EBIT surged 17.9% to 84.1 million euros. Revenue of the biggest segment, the sale of hardware, grew 13% on year while revenue of the software segment moved up 10.5% and revenue of services 4%.


Changes in currency exchange rates had a negative impact on the outcome. Without the effect of changes in exchange rates, group revenue would have grown 4.4%.






Search site