NFON (NFN) CMD 2024 summary

Future plans and strategic direction

• Aims to become a leading provider of AI-based business communication solutions in Europe, focusing on innovation, integrated cloud offerings, and operational excellence.

• New strategy from 2025 centers on innovative product development, sales excellence, and strong partnerships, with a foundation in operative excellence.

• Accelerating AI integration through both organic development and acquisitions, highlighted by the acquisition of botario to enhance AI capabilities.

• Emphasizes customer-centricity, internationalization, and empowerment through training, collaboration, and streamlined processes.

• Focused on expanding in Germany and European markets, leveraging partnerships with technology leaders and targeted M&A.

Financial guidance and outlook

• Recurring revenue for 2024 expected to grow in the mid- to high-single-digit percentage range, with recurring revenues remaining above 90%.

• Adjusted EBITDA for 2024 projected between €10–12 million, up from €8.4 million in 2023.

• Midterm guidance targets double-digit revenue growth and an adjusted EBITDA margin above 15% by 2027.

• botario, acquired in 2023, reported €2.1 million revenue and over 30% EBITDA margin, contributing to group profitability.

• Strategic investments in partnerships and M&A are expected to drive both revenue and profitability from 2025 onward.

New business developments and innovation

• AI is central to product and process innovation, with a dedicated AI competence center and new VP of AI joining in October 2024.

• Product portfolio expanded to include AI-powered chatbots, voicebots, and advanced analytics, enhancing customer experience and automation.

• botario acquisition brings modular AI solutions for communication automation, with strong growth and profitability.

• Transformation journey includes continuous innovation, commercializing AI, and cross-company initiatives to disrupt traditional business models.

• Focus on ESG, transparency, and sustainable practices, including 100% renewable energy in data centers and CSRD compliance preparation.