Back to Market News

Harvest Technology plc – Full-Year Results

Jonathan Falzon

March 28, 2025

28 March, 2025
5 min read
28 March, 2025
5 min read

Following last week's article detailing the performance of the S&P 500 index in 2025, it is worth devoting time to review the developments across the European equity markers in my last article of the year.

Financial Performance

On 27 March 2025, Harvest Technology plc published the Annual Report and Financial Statements for the year ended 31 December 2024.

Revenue surged by 35.1% to €19.8 million (2023: €14.6 million) driven by an improved performance in the automation hardware. Furthermore, income from sale of goods practically doubled to €9.1 million from €4.8 million in the previous year. The growth in revenue was also positively impacted by contracts which were expected to be closed in 2023 but were awarded and delivered in 2024.

On the expenditure side, total operating costs rose by 38.9% to €18.0 million from €13.0 million in the previous year driven by higher cost of sales.

Excluding depreciation and amortisation charges of €0.89 million, EBITDA rose by 60.4% to €2.71 million, which translates into an EBITDA margin of 13.7% compared to 11.6% in 2023. Operating profit doubled to €1.83 million from €0.84 million in the previous year.

After accounting for minimal net finance costs, Harvest recorded a pre-tax profit of €1.78 compared to €0.8 million in 2023. Overall, Harvest posted a net profit of €1.11 million (2023: €0.59 million) which translates into a return on average equity of 7.97% (2023: 4.25%).

The Statement of Financial Position as at 31 December 2024 shows that total assets remained practically unchanged at €20.7 million, including a cash balance of €2.4 million. Meanwhile, total liabilities increased by 5.8% (or €0.4 million) to €6.95 million, which included lease liabilities of €0.58 million while the Group remain free from any borrowings. The company’s equity base contracted by 2.7% (or €0.4 million) to €13.7 million.

 

Dividend

The Directors of Harvest resolved to distribute a final net dividend of €0.015 per share which will be paid on 30 April 2025 all shareholders as at the close of trading on 2 April 2025. When including the two interim dividends of €0.03 distributed in 2024, the total net dividend attributable to the 2024 financial year amounts to €0.075 and translates into a payout ratio of 155%.

Outlook

The Board of Directors stated that Apcopay Limited reported a strong start to the year with transaction count and volumes both increasing by 13% for the first two months of the year, when compared to the same period in 2024. In 2025, Apcopay Limited is expected to complete the migration of all its client base onto the Synthesis platform.

Furthermore, following the strategic transfer of the automation hardware business from PTL Limited to Apco Limited and the new leadership in place, the Retail and IT segment built up strong momentum which is expected to result in better financial performance in 2025. Both companies have increased their pipeline, with PTL Limited focusing on business applications, cyber security and health whilst Apco Limited is expected to have another positive year in automation.

The Board expects that during 2025, Harvest will continue to build on its recent success, with a focus on client diversification, efficiency, and leveraging its inhouse technology expertise, while continuing to monitor macro-economic conditions, particularly inflation and interest rates.

The article contains public information only and is published solely for informational purposes. It should not be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in this article. Rizzo, Farrugia & Co. (Stockbrokers) Ltd (“Rizzo Farrugia”) is under no obligation to update or keep current the information contained herein. Since the buying and selling of securities by any person is dependent on that person’s financial situation and an assessment of the suitability and appropriateness of the proposed transaction, no person should act upon any recommendation in this article without first obtaining investment advice. Rizzo Farrugia, its directors, the author of this article, other employees or clients may have or have had interests in the securities referred to herein and may at any time make purchases and/or sales in them as principal or agent. Furthermore, Rizzo Farrugia may have or have had a relationship with or may provide or has provided other services of a corporate nature to companies herein mentioned. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Foreign currency rates of exchange may adversely affect the value, price or income of any security mentioned in this article. Neither Rizzo Farrugia, nor any of its directors or employees accepts any liability for any loss or damage arising out of the use of all or any part of this article. Additional information can be made available upon request from Rizzo, Farrugia & Co. (Stockbrokers) Ltd., Airways House, Fourth Floor, High Street, Sliema SLM 1551. Telephone: +356 2258 3000; Email: info@rizzofarrugia.com; Website: www.rizzofarrugia.com © 2021 Rizzo, Farrugia & Co. (Stockbrokers) Ltd. All rights reserved. This article may not be reproduced or redistributed, in whole or in part, without the written permission of Rizzo Farrugia. Moreover, Rizzo Farrugia accepts no liability whatsoever for the actions of third parties in this respect.

This article was produced by Edward Rizzo, Director at Rizzo Farrugia, which is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange. The company’s registered address is at Airways House, Fourth Floor, High Street, Sliema SLM 1551, Malta.

The article contains public information only and is published solely for informational purposes. It should not be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in this article. Rizzo, Farrugia & Co. (Stockbrokers) Ltd (“Rizzo Farrugia”) is under no obligation to update or keep current the information contained herein. Since the buying and selling of securities by any person is dependent on that person’s financial situation and an assessment of the suitability and appropriateness of the proposed transaction, no person should act upon any recommendation in this article without first obtaining investment advice. Rizzo Farrugia, its directors, the author of this article, other employees or clients may have or have had interests in the securities referred to herein and may at any time make purchases and/or sales in them as principal or agent. Furthermore, Rizzo Farrugia may have or have had a relationship with or may provide or has provided other services of a corporate nature to companies herein mentioned. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Foreign currency rates of exchange may adversely affect the value, price or income of any security mentioned in this article. Neither Rizzo Farrugia, nor any of its directors or employees accepts any liability for any loss or damage arising out of the use of all or any part of this article. Additional information can be made available upon request from Rizzo, Farrugia & Co. (Stockbrokers) Ltd., Airways House, Fourth Floor, High Street, Sliema SLM 1551. Telephone: +356 2258 3000; Email: info@rizzofarrugia.com; Website: www.rizzofarrugia.com © 2021 Rizzo, Farrugia & Co. (Stockbrokers) Ltd. All rights reserved. This article may not be reproduced or redistributed, in whole or in part, without the written permission of Rizzo Farrugia. Moreover, Rizzo Farrugia accepts no liability whatsoever for the actions of third parties in this respect.

This article was produced by Edward Rizzo, Director at Rizzo Farrugia, which is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange. The company’s registered address is at Airways House, Fourth Floor, High Street, Sliema SLM 1551, Malta.

On 27 March 2025, Harvest Technology plc published the Annual Report and Financial Statements for the year ended 31 December 2024.

Revenue surged by 35.1% to €19.8 million (2023: €14.6 million) driven by an improved performance in the automation hardware. Furthermore, income from sale of goods practically doubled to €9.1 million from €4.8 million in the previous year. The growth in revenue was also positively impacted by contracts which were expected to be closed in 2023 but were awarded and delivered in 2024.

On the expenditure side, total operating costs rose by 38.9% to €18.0 million from €13.0 million in the previous year driven by higher cost of sales.

Excluding depreciation and amortisation charges of €0.89 million, EBITDA rose by 60.4% to €2.71 million, which translates into an EBITDA margin of 13.7% compared to 11.6% in 2023. Operating profit doubled to €1.83 million from €0.84 million in the previous year.

After accounting for minimal net finance costs, Harvest recorded a pre-tax profit of €1.78 compared to €0.8 million in 2023. Overall, Harvest posted a net profit of €1.11 million (2023: €0.59 million) which translates into a return on average equity of 7.97% (2023: 4.25%).

The Statement of Financial Position as at 31 December 2024 shows that total assets remained practically unchanged at €20.7 million, including a cash balance of €2.4 million. Meanwhile, total liabilities increased by 5.8% (or €0.4 million) to €6.95 million, which included lease liabilities of €0.58 million while the Group remain free from any borrowings. The company’s equity base contracted by 2.7% (or €0.4 million) to €13.7 million.

Dividend

The Directors of Harvest resolved to distribute a final net dividend of €0.015 per share which will be paid on 30 April 2025 all shareholders as at the close of trading on 2 April 2025. When including the two interim dividends of €0.03 distributed in 2024, the total net dividend attributable to the 2024 financial year amounts to €0.075 and translates into a payout ratio of 155%.

Outlook

The Board of Directors stated that Apcopay Limited reported a strong start to the year with transaction count and volumes both increasing by 13% for the first two months of the year, when compared to the same period in 2024. In 2025, Apcopay Limited is expected to complete the migration of all its client base onto the Synthesis platform.

Furthermore, following the strategic transfer of the automation hardware business from PTL Limited to Apco Limited and the new leadership in place, the Retail and IT segment built up strong momentum which is expected to result in better financial performance in 2025. Both companies have increased their pipeline, with PTL Limited focusing on business applications, cyber security and health whilst Apco Limited is expected to have another positive year in automation.

The Board expects that during 2025, Harvest will continue to build on its recent success, with a focus on client diversification, efficiency, and leveraging its inhouse technology expertise, while continuing to monitor macro-economic conditions, particularly inflation and interest rates.