ESI Group reveals its revenue for the first nine months of 2023 (period from January 1 to September 30) and the third quarter of 2023 (period from July 1 to September 30).
Recent Key Events
On November 3, ESI Group and Keysight Technologies announced the completion of the acquisition of a controlling block of shares in ESI Group by Keysight Technologies.
More info HERE.
On November 6, ESI Group’s board of directors issued a favorable opinion on the tender offer to be initiated by Keysight Technologies. Consequently, a draft mandatory tender offer (« Offre publique d’achat ») has been filed by Keysight with the French Autorité des marchés financiers (the “AMF”) on 7 November 2023 to acquire all the outstanding shares issued by ESI Group not already held by Keysight (the "Offer"), at a price of 155 euros per share in cash.
On the same day, ESI Group also announced changes to its board of directors and its CEO. The new chairman is Hamish Gray (SVP Corporate Services Keysight) et Olfa Zorgati was announced as the new CEO.
More info HERE.
Third-quarter, year-to-year, and constant perimeter comparison
In Q3 2023, ESI Group generated sales of €20.7m (+5.9% cer, and -0.2% YoY) driven by licenses at €17.4m (+6.9% cer, +0.5% YoY). The impact of the forex rates intensified in Q3, primarily driven by the Japanese Yen variation against Euro.
9-month, year-to-year, and constant perimeter comparison
ESI Group’s sales for the first 9 months of 2023 amounted to €104.1m (+6.8% cer, +4.0% YoY) compared to €100.1m for the same period last year, driven by licenses +10.0% cer. The ongoing growth of the ARR (Annual Recurring Revenue) is bolstering the Group's expansion, with a +14.0% cer increase, reaching €93.5 million compared to €84.0 million in the same period of 2022.
The business grew across all geographies at cer, led by EMEA with +10.0% growth. The 9-month 2023 sales geographical breakdown by region at current exchange rates is as follows: EMEA represents 48% (vs 45% in 2022), Asia represents 36% (vs 39% in 2022) and the Americas represent 16% (stable against 2022). The variations of the Japanese Yen continued to impact the Asian performance when looking at the numbers at current exchange rates.
Over the past 9 months, the Automotive industry has remained the primary driver of growth for ESI Group.
