The Ordinary General Shareholders' Meeting of Ezentis, held telematically in Madrid, has supported by a large majority the management of the Board of Directors and the company's accounts for the financial year 2019.
The CEO, Fernando González, said during the meeting that "Ezentis has a promising future ahead of it. With 60 years of history behind us, today we have a solid strategic and economic positioning, being a reference in the sector. Our business model is a story of sustained and profitable growth in the period 2014 to 2019".
Last financial year, the company chained, for the first time in many years, four consecutive quarters of profits, closing the year with a positive result of €4 million and revenues of €455 million (3.4% more than in 2018), which shows, according to the CEO, that "both management and business approach successfully ensure our sustainability and future growth".
Fernando González also referred to the impact of the health crisis in the first quarter. "It was a moderate impact, with an 8% decline in revenues in constant currency, an impact that also reflects the effect of the depreciation of Latin American currencies, which has been cushioned by our management model, greater natural hedging of collections and payments in local currencies and greater generation of revenues in euros.
“We maintain our outlook”
As the CEO explained, "the effect of the healthcare crisis will be more pronounced in the second quarter, with the greatest impact in April and May. However, in the context of the year and thanks to our core and resilient business and the multi-year contracts we have, we expect a strong recovery in the last two quarters, supported by the measures taken during the first quarter of the year.
Ezentis, according to the CEO, maintains its medium-term outlook. "We expect to double revenues by 2023, to €1 billion, with an EBITDA margin of between 8% and 9%. In addition, we will complete our geographic diversification with a 65%-70% weighting in Europe and a focus on the Teleco (60%-65%) and Energy (35%-40%) sectors. Within Europe, the priority market for our diversification will be Germany, where there are good expectations in terms of fibre optic deployment and installation for the period 2021-2025," he said.
The non-executive chairman, Guillermo Fernández Vidal, highlighted the "essential" business carried out by the company. "Our activity - the deployment, operation and maintenance of telecommunications and energy infrastructures - is essential to sustain and maintain the entire network," he said. "This is what all the countries where we are present have considered, classifying our activity as essential and indispensable for the operation of these networks".
Fernández Vidal also thanked all Ezentis employees for their dedication during these difficult months. "Our more than 12,000 employees, through teleworking or in the field, have continued to maintain the network, operating the system, providing and deploying telecommunications and energy services, and, from the corporate areas, providing the necessary support to keep everything running.
In addition to the 2019 accounts, the shareholders also approved the re-election of three independent directors, the remuneration policy 2021-2023 and the other resolutions contemplated at the AGM.