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Introduction & Market Context
Econocom Group SA (EBR:ECONB) presented its H1 2025 results on July 24, highlighting a 6.6% year-over-year revenue growth to €1.42 billion, driven primarily by its Technology Management & Financing segment. The company's stock closed at €1.61 on November 20, 2025, within its 52-week range of €1.55-€2.055.
The presentation, led by Operational Chairman Jean-Louis Bouchard, CEO Angel Benguigui, and Managing Director of Finance and M&A Philippe Renauld, detailed the company's performance across its three business segments and outlined strategic initiatives focused on audiovisual integration and sustainable growth.
Executive Summary
Econocom's H1 2025 results showed continued acceleration of organic growth (+5.9%), with total revenue increasing to €1.42 billion. Operating margin grew by 8.7% to €41.4 million, maintaining a stable profitability rate of 2.9% despite investments in salesforce expansion and competitive market pressures.
The company's performance varied significantly across segments, with Technology Management & Financing showing strong momentum (+18.4% growth), Services delivering steady growth (+3.6%), and Products & Solutions facing challenges (-2.4%) in a difficult market environment.
As shown in the following chart of group-level organic growth acceleration:
Quarterly Performance Highlights
The Technology Management & Financing segment was the standout performer in H1 2025, with revenue increasing by 18.4% to €599 million and operating margin nearly doubling to €25.3 million. This strong performance was attributed to strategic asset financing deals, which boosted the segment's profitability rate to 4.2%.
The following chart illustrates the segment's impressive growth trajectory:
By contrast, the Products & Solutions segment faced headwinds, with revenue declining by 2.4% to €575 million and operating margin dropping significantly to €5.8 million. Econocom attributed this performance to reduced public spending, particularly in France, along with market pressure and lower operational leverage.
The challenges facing this segment are clearly visible in the financial metrics:
The Services segment delivered more stable results, with revenue growing by 3.6% to €248 million and operating margin increasing to €10.3 million. The segment's profitability rate improved to 4.2%, driven by continuous model optimization efforts.
The steady growth trajectory of the Services segment is illustrated below:
Detailed Financial Analysis
Econocom's simplified income statement shows that while operating profit increased by 7.7% to €35.0 million and net profit from continuing operations grew by 8.1% to €18.7 million, overall net profit fell dramatically from €23.0 million in H1 2024 to just €0.8 million in H1 2025. This decline was primarily due to Synertrade losses and impairment, contrasting with the €8 million capital gain from Les Abeilles disposal in H1 2024.
The company's financial position is detailed in the following income statement:
Net financial debt increased from €180 million as of June 30, 2024, to €208 million a year later, though the company emphasized that this remains under control. Econocom successfully executed a €225 million Schuldschein issuance in April 2025, strengthening its balance sheet and enhancing liquidity to support its strategic plan.
Strategic Initiatives
Econocom highlighted three key growth strategies: the agent model, cross-selling, and strategic acquisitions. The company added 41 new agents since 2024, piloted a cross-sell model in Spain that delivered 23% growth on a €30 million client base, and successfully integrated bb-net while completing four acquisitions of audiovisual integrators.
The company's growth strategy is illustrated in the following slide:
A major strategic achievement was Econocom's confirmation as the leading audiovisual integrator in Europe, achieved through acquisitions that added approximately €60 million in annual revenue and 200 new colleagues to its workforce. The company now has a global audiovisual presence with over 750 professionals.
The company's European audiovisual integration footprint is shown below:
Econocom also emphasized its ESG achievements, including an improved EcoVadis sustainability rating placing it in the top 5% with a score of 76/100 (+2 points from 2024). The company reported refurbishing approximately 600,000 IT devices through its circular economy initiatives and onboarded over 300 employees in France to support associations through its "Mécénat de compétence" program.
The company's sustainability achievements are highlighted here:
Forward-Looking Statements
Looking ahead, Econocom expects H2 2025 revenue growth to remain in line with H1 levels, continuing its balanced portfolio approach across activities and geographies. The company plans to maintain its focus on salesforce expansion, tooling improvements, and incentive plans to drive future growth.
Management emphasized two key takeaways for investors: the acceleration of growth through a balanced portfolio and focused deal execution, and the continuous transformation of the company through investments in salesforce, tooling, and incentive plans.
The company's growth acceleration strategy centers on three pillars, as shown below:
While Econocom faces challenges in its Products & Solutions segment and has taken a significant write-down on Synertrade, its strong performance in Technology Management & Financing and steady growth in Services position the company to continue its revenue growth trajectory through the remainder of 2025.
Full presentation:
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