Extraordinary information - Gloster switches to the next level, taking its international business model to the next level

Extraordinary information

The Gloster Infocommunications Public Limited Company Aktientársaság (company registration number: 13-10-042012; registered office: 2142 Nagytarcsa, Csonka János utca 1/A. building A/2.; hereinafter referred to as "the Company", Gloster) is subject to the relevant legislation, in particular the Capital Market Act 2001. CXX. of 2001 ("Tpt.") and the General Regulations of the Budapest Stock Exchange of the Budapest Stock Exchange, the Company hereby informs the Investors.

Gloster turns on the lights, takes international business to the next level its international model 

Focus on international growth, AI and Cloud

The Company the intensive organic and commercial development of its centres in the UK, German and US markets growth supported by acquisitions. The rapid to finance rapid growth opportunities by working exclusively for the domestic market. the sale of its Systems Integration business and the real estate that supports it Gloster will generate the signed today by the parties.

The aim of the significant own resources investment is to Company to achieve its ambitious growth plans, the the dynamic growth of its international sales team to achieve its ambitious development of its dynamic international sales force and the market launch of its new AI and cloud-based and the launch of its new AI and digitalisation products. In the future, Gloster will focus on larger international digitisation projects where it has the specific knowledge, industry expertise, innovative development, and industry-specific, innovative methodologies, solutions using the latest artificial intelligence and is more profitable than domestic projects.

International instead of domestic public procurement Gloster focuses on international expansion

Cleaning up your portfolio and new business model is to combine the Cloud business and International Software Development and International Business, with their unique technology expertise proven abroad, to make the Company even more competitive in the face of new digitalisation opportunities abroad. projects abroad. Gloster expects the transaction to have the following impact export share and foreign exchange revenue share will increase significantly next year, which will which will contribute to the financial stability of the Company and increase its profitability. Domestic domestic procurement revenues will no longer represent a significant portion of Gloster's revenue in 2026. and the EBITDA margin is expected to increase already from 2025. A from international expansion, management expects the annual average growth to accelerate and Gloster's export turnover to reach 75% by 2027.

"We are a success is that we made good decisions quickly. This is the only way we can to preserve what we have achieved so far. The success we have achieved in recent years and the further intensive development of our international customer base is where we expect to see real growth." - added Viktor Szekeres, founder, Chairman of the Board of Directors

Funding and management: significant resources will be released to support the new model

With today's signature of the contract, the Company - the domestic Systems Integration business serving the domestic market[1], as part of a portfolio clean-up, the operation of which is no longer an integral part of the long-term growth strategy supporting international expansion. The sale of the business will not only provide financial financial resources, but also management resources. Significantly significantly reduce the group's administrative burden and operational complexity. A of the other two business lines, the administrative and decision-making processes of the the time needed for internal coordination is reduced. A At the same time as the sale of the companies belonging to the Systems Integration business Gloster also sold the properties serving them, as a result of which infrastructure and infrastructure costs associated with maintaining the business will be eliminated. administrative costs of maintaining the business. The company will use the proceeds from the sale of the properties will also invest in its international expansion.

As of today, Gloster Infocommunications Nyrt. will no longer be the Domestic Operations Director, the Systems Integration the Head of the Domestic Sales Manager and the Head of the Domestic Service service positions. The Board of Directors of the Company remains unchanged. Gloster has two business units International Software Development and Cloud business will continue its international activities growth story.

The parties to the share transfer agreement at the same time a strategic cooperation agreement, in which the parties undertake to do business support each other's activities on a commercial basis. Company and Gloster Networks Kft. will continue to be contractually Gloster Networks Kft. will continue to operate under the same name (for the time being) in the domestic market. The closing period of the agreements has started today, with the closing is expected in spring 2025.

Read more acquisition opportunities are being explored

Eleven transaction experiences with Gloster management continues to actively seek value-creating acquisition opportunities opportunities that support the company's growth strategy and and strengthen its international presence. In particular, domestic and European companies European and European companies with high growth potential in the in cloud services, big data and artificial intelligence, and have strong professional competence and an international client base. The website such acquisitions not only accelerate growth but also create synergies Gloster's existing technology portfolio, while opening up new markets markets and expand customer relationships.

The Board of Directors of the Company has approved today's transaction will update its strategic plan by 28 February 2025 following the signing of the transaction taking into account changes in the economic environment. 

About Gloster

Gloster is listed in the standard category of BSE, offering a wide range of international IT service provider. In its more than 20-year history from a hardware garage company to a software-focused international medium-sized company. A Gloster's intensive growth strategy has led to eleven transactions since 2018 and has expanded its activities in the areas of systems integration, cloud solutions and international software development services. A group currently has a team of nearly 350 people, with an audit target of 2023. consolidated accounts, its revenue is HUF 10.3 billion, adjusted EBITDA of HUF 976 million and adjusted EBITDA of HUF 414 million.

Nagytarcsa, 12 December 2024.

Gloster Infocommunications Plc.

Further information:

Dr. Adrienn Karlovich-Szabó

Investor Relations Officer

karlovich.szabo.adrienn@gloster.hu

[1] With the Systems Integration business unit Gloster IT Security Kft. (registered office: 2142 212121 Nagytarcsa; Csonka János u. 1/A. A/2.; Cg. 212121, 2141, Zrt. (registered office: 2142 Nagytarcsa, Csonka János u. 1/A. A/2.; Cg.13-09-202159); and its other 100% owned companies Cableline Technologies Kft. (registered office: 2142 Nagytarcsa, Csonka János u. 1/A. A/2.; Cg. 13-09-182301); and Gloster Telekom Kft. (registered office: 2142 Nagytarcsa, Csonka János u. 1/A. A/2.; Cg. 13-09-208675);