2024/07/10
2024 Q2 Order Backlog Report
Gloster's open order book maintains growth trend
2024 Q2 Order Backlog Report
Gloster's open order book maintains growth trend
Gloster closed the first half of 2024 with a net order backlog of HUF 3,369 million, up 139% compared to the same period in 2023. This represents a significant increase of 78% (CAGR) on average in the first half Order backlog growth rate since 2021.
All products and services for which all subsidiaries of the Gloster Group have a valid order but have not yet been delivered to customers are included in the open order backlog. Gloster's open order backlog for the quarter was as follows:
all data in millions of HUF, unaudited, unconsolidated data
Source: Gloster Finance Department
The Company's open order backlog increased by 139% to HUF 3369 million in Q2 2024 compared to HUF 1410 million in Q2 2023.
In the case of the systems integration business, growth in Order backlog will be driven by an increase in project work. In terms of services (installation, operations and engineering), the systems integration business is at a milestone, with management forecasting significant growth in the second half of 2024.
There is no change in the regular revenues of the Cloud business, but there is a growing trend of Cloud "consumption" by our customers, mainly in the more conscious use of Azure services and reservation, as well as Microsoft Modern Work licenses. In terms of order book for the second half of 2024, in addition to the traditional migration projects, there is a trend towards both security and BizApps services, these projects being mainly in Intune and Autopilot deployments on the security side and in the delivery of custom solutions based on Power Platform for BizApps.
In the international software development business, we see stable business and expect regular orders from our customers. Our framework agreements are all in place and management expects to see a steady flow of orders from all customers in 2024. Preparations are underway for specific customers for the major automotive framework contracts that will be renewed in the coming years. Our personal presence in Germany and Sweden is being steadily strengthened, and we are now expanding our sales team by 2 people in the UK, so we expect new customers and orders from strengthened sales teams next year.
The Order backlog for 2024.Q2 includes orders that will be fulfilled at the end of 2024.
Analyst target prices
Gloster is also followed by two independent investment providers. Links to the full analyses and target prices can be found in the table below:
| Erste | Equilor | |
| 12-month target price | 1183 HUF 2023.12.19. | 1396 HUF 2022.06.15 |
| Recommendation | Purchase | Holding |
| Full analysis | link to the analysis | link to the analysis |
In this information, the quarterly stock of open orders represents the amount of orders already contracted at group level but not yet fulfilled as at 30.06.2024. The quarters included in the report are calendar quarters. This report contains preliminary, unaudited, unconsolidated data.
Upcoming, planned releases
2024.Q3 Order backlog report - second week of October 2024
This prospectus has been prepared by Gloster Infocommunications Plc. (registered office: 2142 Nagytarcsa, Csonka János u. 1/A. building A/2.) This prospectus contains only factual information and reasonable conclusions based on reasonable calculations, which have been made public by the persons entitled to do so in accordance with the applicable legal obligations. This prospectus does not constitute an "investment recommendation" within the meaning of Section 5 (1) 9) of the Act on Capital Markets (Act CXX of 2001 on the Capital Market) and Section 4 (2) 8) of the Act on Investment Firms and Commodity Exchange Service Providers and the Rules of Activities They May Perform (Act CXXXVIII of 2007 on Investment Firms and Commodity Exchange Service Providers and the Rules of Activities They May Perform). 4.4.1.2. does not contain any analysis, proposal or other information concerning an investment analysis, a financial instrument, a stock exchange product or its issuer, the disclosure of which, in itself or in any other way, could influence an investor to make his own or another's money or other assets dependent, in whole or in part, on the effects of the capital market. Gloster Infocommunications Plc. , and its representatives shall not be liable for any investment decisions based on the conclusions drawn from the information in this prospectus, for any adverse legal consequences thereof, or for any financial loss.
More information:
Dr Eszter Bassola - Investor Relations Officer
