EQS-News

Avemio AG remains on course for growth after forecast adjustment for 2023 – market weakness opens up attractive opportunities for M&A activities

EQS-News: Avemio AG / Key word(s): Forecast/Change in Forecast Avemio AG remains on course for growth after forecast adjustment for 2023 – market weakness opens up attractive opportunities for M&A activities 22.01.2024 / 13:55 CET/CEST The issuer is solely responsible for the content of this announcement. Avemio AG remains on course for growth after forecast adjustment for 2023 – market weakness opens up attractive opportunities for M&A activities Frankfurt/Main, 22 January 2024 – Avemio AG (ISIN DE000A2LQ1P6, WKN A2LQ1P), a leading system supplier for hardware and software in the field of broadcast as well as professional media, audio and video solutions, today adjusted its forecast for the 2023 financial year, in particular as a result of an unexpectedly weak final quarter in the trading business. For this reason, the realization of already planned synergies from the acquisitions made and the integration of existing subsidiaries will now be accelerated. The aim here is to strengthen profitability in view of the changed market environment. The Executive Board emphasizes that the current market weakness, as part of a normal industry cycle, also offers opportunities given the impact on smaller competitors. The Company's growth strategy will continue to be driven forward. Fourth quarter of 2023 characterized by economic investment restraint after strong coronavirus years The unexpectedly weak final quarter in the trading business is a consequence of the previously strong investments by customers in the coronavirus years and the persistent weakness of the economy as a whole, which, contrary to expectations, did not dissipate in the second half of the past financial year. At the subsidiary BPM Broadcast & Professional Media GmbH, which specializes in high-priced capital goods and project business with complete production, post-production and broadcasting systems, corporate customers' spending propensity was temporarily dampened by increased financing costs and a lack of innovations for professional film and television technology. The performance of the subsidiary VDH Video Data Handels GmbH, which specializes in consumer and semi-professional products, was impacted not only by higher inflation but also by the declining investment propensity of content providers, many of whom are financed by advertising.