Inside information, profit warning: Teleste lowers its 2023 financial guidance

Teleste Corporation
Inside information
December 14, 2023, at 19:30 EET

INSIDE INFORMATION, PROFIT WARNING: TELESTE LOWERS ITS 2023 FINANCIAL GUIDANCE.

As a result of the lower-than-expected business volume in the last fiscal quarter of the year, Teleste Oyj lowers its guidance for the financial year 2023.

New guidance for financial year 2023

Teleste now estimates that the net sales in 2023 will amount to EUR 145-152 million and that the adjusted operating result in 2023 will be EUR 1-2 million euros.

The main reason for the new guidance is the business volume of the Broadband Networks business remaining at a lower level than expected in the last quarter of the year. The customers' additional orders have not been realized as expected, and some of the deliveries at the end of the year are moving to the beginning of 2024 due to delivery delays and material availability.

Previous guidance for 2023

In its interim report on November 2, 2023, the company specified its financial guidance for 2023.

Teleste estimated that net sales in 2023 will amount to EUR 150-160 million and that the adjusted operating result in 2023 will be EUR 2-3 million. 

Measures

Due to the uncertainty of the market situation, the company has initiated several measures to increase efficiency, prioritize operations and adjust expenses. The planned measures will target reducing costs and securing cash flow. The company will implement annual cost savings of up to EUR 6 million, which are estimated to be realized in phases from the first quarter of 2024, during the years 2024–25.

TELESTE CORPORATION

Esa Harju
CEO

For further information, please contact:
Esa Harju
CEO, Teleste Corporation
Tel. +358 2 2605 611

Distribution:
Nasdaq Helsinki
Main Media
www.teleste.com