Germany's Bechtle flags return to growth, shares surge

(Sharecast News) - Shares in Germany's Bechtle surged on Friday, after the IT services provider confirmed it had returned to growth on the back of strong overseas demand. Business volumes rose 8.4% in the three months to September end to €2.05bn, while revenues were 5.1% stronger at €1.59bn.

The growth was fuelled by strong demand in Bechtle's overseas markets, in Benelux, Spain and the UK especially.

International revenues surged 16.5% during the period to €696.1m, helping to offset a 2.4% decline in domestic sales to €892m.

Earnings before interest and tax rose 3.4% to €83.5m.

As at 1100 GMT, the Frankfurt-listed stock had put on 15%.

Economic uncertainty both in Germany and overseas has weighed heavily on Bechtle this year, as customers defer spending decisions. However, chief executive Thomas Olemotz said: "Looking at the individual quarters of the 2025 financial year, a clear upward trajectory emerges.

"We have overcome the most difficult period and are firmly back on the path to growth."

Looking to the rest of the year, Bechtle acknowledged that the economic backdrop remained challenging.

In Germany and France, two of its most important markets, customers' willingness to spend was "continuing to dampen" due to the weak economic backdrop.

However, the ongoing strength of other overseas markets led Bechtle to reiterate its full-year guidance.

"We are fully aware that the expected earnings growth in the fourth quarter is ambitious," Olemotz said. "However, we have shown time and again that Bechtle can achieve an exceptional year-end performance."