Bulgaria's Bianor widens Q1 cons net loss, revenue nearly trebles

The company's overall revenue nearly tripled to 4.2 million levs in January-March from 1.5 million levs a year earlier, Bianor Holding said in an interim financial statement. Of that, sales of services generated some 3.82 million levs against 1.24 million levs in the prior-year period.

The consolidation of four companies acquired last year and the organic business growth drove the significant increase in revenue, Bianor said in a separate statement. In 2023, Bianor acquired software developers Itido Technologies and Databreathe, along with IT infrastructure provider GoToAdmins Group and software company Bulbera.

In parallel, the company's operating expenses widened to 4.5 million levs in the three months through March from some 1.7 million levs in the like period of 2023, chiefly due to higher costs for hired services and remuneration.

Earlier this week, Bianor said it signed deals worth 50 million euro ($54.3 million) to acquire 100% of local peer Digital Lights and 51% of software solutions provider Prime Holding, with an option to buy the remaining stake. The acquisitions consolidate the companies already part of Bianor, as well as Prime Holding and Digital Lights, under a new brand, Wiser Technology.

"As a result, we expect to maintain the extremely rapid revenue growth in the second part of the year while at the same time starting work on some of the most direct synergies between the companies," Bianor CEO Kosta Jordanov said.

As of 1545 CEST on Thursday, shares in Bianor Holding traded 6.00% higher at 5.30 levs on the Bulgarian Stock Exchange.

(1 euro = 1.95583 levs)