This is highlighted in the 2023 Financial Report, presented by the CEO of Cuatroochenta, Alfredo R. Cebrián, the Chairman of the Board of Directors, Vicente Montesinos, and the CFO, David Osuna, at the company's Investors Day, held at Masía Fuente La Reina. The first in the city of its headquarters, Castelló de la Plana, since it joined BME Growth in 2020 as a listed company, the only one in Castellón.
The technology firm reported a turnover of €22.41 million in 2023, marking a 21% increase from 2022, and an EBITDA of €2.07 million, up by 54%. Cuatroochenta also achieved a positive result of €0.17 million, a rise of €1.27 million from the previous year. According to CEO, Alfredo R. Cebrián, this has led to an operating cash flow of €1.72 million, enabling the company to further invest and grow both organically and through acquisitions with increased stability.
Cuatroochenta's profitability is driven by growth in recurring revenues and international expansion. The company's ARR (annual recurring revenue) surged by 27% to €15.13 million in 2023, now making up 67% of its total revenues. Furthermore, international sales have increased to 35% of the total, with notable growth in Panama, Colombia, and Costa Rica.
Results 2023
The growth of cybersecurity services under the Sofistic brand stands out for its recurring license revenues and its leading position in Central America. In 2023, this segment saw a 45% revenue increase, acting as a driving force for the company's other software products.
Cebrián also highlighted the results of Ekamat, which specialises in the implementation of Microsoft's personalised ERPs, and the strategy of FAMA and CheckingPlan, facility management & services platforms, focused on "achieving more scalable products by simplifying implementation processes, which has put them in a position to expand internationally and increase recurring revenues".
«Cuatroochenta's Partner Program is expanding its network in countries like Mexico and Colombia to further enhance its growth»
Business Development Company: An Opportunity for Investors
We bolster the optimization of our structure and the enhancement of operating margins through a meticulously selected inorganic growth strategy. This strategy is designed to elevate the performance and profitability of the companies we acquire. Since 2019, companies that form part of the Cuatroochenta group have seen sales grow from €12.50 million at the time of acquisition to €19.02 million in 2023, marking a 52% combined revenue increase.
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increase in sales volume
"The growth of the acquired companies highlights the success of Cuatroochenta's M&A model. Through integration, they gain management expertise, understanding of the business model, resources, visibility, and company culture," the CEO explained.
«This is an opportunity for investors because, sooner rather than later, it will mean that the intrinsic value of Cuatroochenta will once again be reflected in the share price on BME Growth»
First EINF and Best Workplaces Ranking
For the first time, Cuatroochenta has released its verified Non-Financial Information Statement (NFS) alongside its 2023 results. This statement details the social, environmental, and governance (ESG) impact of its operations, following its voluntary Sustainability Report release in 2023. The NFS reflects Cuatroochenta's annual commitment to social responsibility and transparency. This includes efforts like the CAR Learning by doing initiative, low staff turnover rates, a digital disconnection policy, ISO 14001 certification for environmental management, a compliance system, a social cooperation program, and a commitment to supporting local suppliers.
