Theon International (THEON) H1 2024 earnings summary

Executive summary

• Achieved record H1 2024 results with revenue up 160.73% year-over-year to €152.4 million, driven by strong demand for night vision products and successful execution of growth strategy.

• Net profit rose to €28.35 million from €4.59 million in H1 2023, with industry-leading profitability and a healthy order book.

• Completed first acquisition since IPO, acquiring a 60% stake in Harder Digital, and made a strategic investment in a South Korean manufacturing plant.

• IPO on Euronext Amsterdam in February 2024 raised €93.9 million in net proceeds to fund growth and acquisitions.

• Order intake reached €77 million, up 35.1% year-over-year, with a robust order backlog providing strong visibility into H2 2024 and 2025.

Financial highlights

• Revenue for H1 2024 was €152.4 million, up 160.73% compared to H1 2023, with night vision devices accounting for 93% of total revenue.

• Adjusted EBIT reached €36.93 million, a 270.34% increase year-over-year, with an EBIT margin of 24.23%.

• Adjusted EBITDA was €38.01 million, up 252.64% year-over-year; adjusted EBITDA margin improved to 24.9%.

• Net cash position at end of H1 2024 was €53.3 million, including €40 million term deposit, up from €0.1 million at year-end 2023.

• Interim dividend of €0.26 per share paid, totaling €14.4 million, in line with a 40% payout ratio target.

Outlook and guidance

• FY 2024 revenue guidance confirmed at €330–350 million, with a 45/55 revenue split between H1 and H2 anticipated.

• Mid-twenties EBIT margin expected to be sustained over the midterm.

• Strong order book and additional €590 million in contract options provide visibility and security for future growth.

• Ongoing investment in R&D and production capacity to sustain innovation and market leadership.

• No change to guidance despite strong H1 performance, as results are in line with expectations.