Shelly achieves a successful financial year 2024 with profitable growth well above the industry average

Shelly achieves a successful financial year 2024 with profitable growth well above the industry average
 

• Group revenue grows by 42.4% to EUR 106.7 million (BGN 208.7 million)
• EBIT increases by 34.4% to EUR 25.7 million (BGN 50.3 million)
• EBIT adjusted for IFRS effect related to sale of office building amounted to EUR 26.3 million.
• Consolidated net profit grows by 36.9% to EUR 23.1 million (BGN 45.1 million)
• R&D, working capital and product expansion fuelled by cash flow from operations
• Growth in Shelly Cloud user base to around 1.9 million (31 December 2023: 1.3 million)
• Outlook 2025: Revenue growth to between EUR 145 million and EUR 155 million (BGN 284 million to BGN 303 million) and an increase in EBIT to between EUR 35 million and EUR 40 million (BGN 68 million to BGN 78 million) 

Sofia / Munich, 24 February 2025 – Shelly Group SE (Ticker SLYG / ISIN: BG1100003166) (“Shelly Group”), a provider of IoT and smart building solutions based in Sofia, Bulgaria, has continued to grow profitably well above the industry average in financial year 2024 based on preliminary figures by expanding its international distribution channels and geographical footprint, broadening its product and service portfolio and increasing the share of sales to professional users. With a revenue performance above the market average in all sales regions, the German-speaking countries continued to make the largest contribution to growth with an increase of 36.0% to EUR 49.9 million (BGN 97.6 million). The international expansion of distribution structures continued to accelerate, with particularly strong growth in Italy and the Iberian Peninsula. The rest of Europe grew by 47.4% and the rest of the world by as much as 54.5%.

Group figures (unaudited)

Note: The equity ratio and cash comparison relate to the reporting dates 31 December 2024 and 31 December 2023. The figures for the twelve-month period 2024 are unaudited. Rounding differences may occur.

Shelly Group achieved a 42.4% increase in group revenue to EUR 106.7 million (BGN 208.7 million) in the twelve-month period of 2024. Earnings before interest and taxes (EBIT) grew by 34.4% to EUR 25.7 million (BGN 50.1 million). The EBIT margin remained at a high level of 24.1%. Here, the sale of the Company's previous office building through the corresponding real estate company is to be taken into account, the proceeds of which are recognized as income from discontinued operations. EBIT adjusted for the corresponding IFRS effect amounted to EUR 26.3 million. In addition to increased sales and marketing expenses in connection with trade fair participations, third-party marketing activities and online advertising, the clearance sale of products from previous generations had a noticeable impact. Group net result increased by 36.9% to EUR 23.1 million (BGN 45.1 million).

With an equity ratio of 81.4% as at 31 December 2024, the Shelly Group has a solid balance sheet (31 December 2023: 85.8%). Here, the repayment of liabilities through the use of the proceeds from the sale of the previous office building was offset by the future rental expenses to be recognized in accordance with IFRS 16.

With a cash inflow of EUR 2.8 million (BGN 5.4 million), cash flow from operating activities in the twelve-month period of 2024 reflects in particular an increase in working capital from the Company's own funds to strengthen growth momentum. The corresponding increase in inventories was offset by an overall improvement in receivables management. Improved planning using the newly implemented SAP system, increasing economies of scale in procurement and faster inventory turnover, as well as more efficient deliveries and shorter payment terms, are expected to contribute to an optimization of working capital from 2025 onwards. The cash flow from investing activities reflects investments in research and development as well as the acquisition of a further 16% in Shelly Tech (GOAP), the acquisition of a further 50% in Shelly Asia Ltd, and the sale of the former office building (Shelly Properties). The cash flow from financing activities was attributable in particular to the dividend payment and the repayment of financial liabilities. Cash and cash equivalents decreased accordingly to EUR 14.0 million (BGN 27.3 million) as of 31 December 2024 compared to EUR 15.7 million (BGN 30.7 million) as of 31 December 2023. The Shelly Group has a solid capital and financial structure for further growth.

Outlook for 2025

For the current financial year 2025, the Board of Directors expects revenue growth to between EUR 145 million and EUR 155 million (BGN 284 million to BGN 303 million) and an increase in EBIT to between EUR 35 million and EUR 40 million (BGN 68.5 million to BGN 78.2 million). In the past financial year 2024, revenue amounted to EUR 106.7 million (BGN 208.7 million; forecast: EUR 105.0 million, BGN 205.3 million) and EBIT to EUR 25.7 million (BGN 50.3 million; forecast: EUR 26.0 million, BGN 50.9 million; EBIT adjusted for IFRS effect related to sale of office building amounted: EUR 26.3 million).

Wolfgang Kirsch, Co-CEO of Shelly Group, on business development: “The Shelly Group looks back on a successful 2024 financial year and is operationally on track to achieve its 2026 medium-term targets. It is particularly pleasing that all regions grew well above the industry average and that we significantly increased the share of professional users in sales. In the current 2025 financial year, we will continue our regional expansion and the strong progress we have already made in diversifying our sales markets from DIY to professional users. A broader product range will support future growth, while our cloud and premium app will unlock additional revenue potential.”

Earnings Call:

Co-CEOs Dimitar Dimitrov and Wolfgang Kirsch will comment on the unaudited consolidated results for the financial year 2024 by means of a webcast presentation on 25 February 2025, 09.00 CET (10.00 EET). The webcast/call will be held in English.

Please register to participate in the webcast/call at:
Shelly Group – Earnings Call Unaudited 12M 2024.

The unaudited twelve-month report is available under Publications/Financial Results on the Company's website at corporate.shelly.com.

Note: EUR/BGN exchange rate is fixed at EUR 1 = BGN 1.95583.

About Shelly Group

Shelly Group SE is a technology holding company that stands for innovation through the development, manufacture, and distribution of high-quality IoT products. End users and their needs are always at the heart of development. Shelly Group was founded in Bulgaria and works with a team of young, talented developers who are dedicated to producing competitive and user-friendly products. The Group consists of 6 subsidiary companies and has offices in Bulgaria, Germany, and Slovenia as well as in China and USA. Shelly Group’s products have already conquered over 100 markets. Shelly Group SE has been listed on the Bulgarian Stock Exchange since December 2016 and on the Frankfurt Stock Exchange as of November 2021 where its shares are traded under GSIN A2DGX9, ISIN BG1100003166, ticker SLYG.

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