Earnings Alerts

Alten SA (ATE) Earnings Disappoint as FY Net Income Falls Short of Estimates

By February 21, 2025 No Comments
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  • Alten’s net income for the fiscal year was €186.4 million, marking a 20% decrease compared to the previous year and missing the estimated €238.4 million.
  • The operating result from activity was €376.5 million, a slight decline of 1.6% year-over-year, yet it surpassed the estimate of €348.7 million.
  • Operating profit stood at €277 million, which represents a 13% decrease from the previous year.
  • The company maintained an operating margin of 6.7%.
  • Free cash flow saw a significant increase, reaching €333.2 million, up by 81% from the previous year.
  • In January, Alten’s potential business activity was 3.4% below the average business level of 2024, excluding acquisitions.
  • The company experienced intensified slowdown in activity throughout 2024, particularly affecting sectors like Automotive, Life Sciences, Civil Aeronautics, and Tertiary.
  • Despite no signs of recovery yet, the business activity appears to be stabilizing.
  • Improvement in macroeconomic factors, such as lower interest rates and a favorable geopolitical situation, are expected to aid a return to growth in the second half of 2025.
  • Market sentiment towards Alten includes 7 buy ratings, 2 hold ratings, and 2 sell ratings from analysts.

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A look at Alten SA Smart Scores

FactorScoreMagnitude
Value3
Dividend2
Growth3
Resilience4
Momentum3
OVERALL SMART SCORE3.0

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

When looking at the long-term outlook for Alten SA based on the Smartkarma Smart Scores, the company seems to be in a solid position. With a Value score of 3, Alten SA is considered to have a fair valuation, indicating that it may be priced reasonably in the market. The Growth score of 3 suggests that there is potential for the company to expand and develop over time. In terms of Resilience, Alten SA scores a 4, indicating a strong ability to withstand economic challenges and uncertainties. Maintaining Momentum with a score of 3 suggests that the company is moving steadily forward in its strategic initiatives.

Overall, Alten SA, a company that offers consulting and engineering services in various sectors including telecommunications, computer systems, and defense, appears to have a balanced outlook based on the Smartkarma Smart Scores. While the Dividend score of 2 might indicate a relatively lower dividend outlook, the company’s strength in areas such as Resilience and Growth suggests a promising future. Investors may find Alten SA to be a company worth considering for long-term investment, given its overall positive assessment across multiple key factors.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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