Ericsson Nikola Tesla's net profit rises 40% in 2023

"Gross profit amounted to 31.8 million euro, up by 30.4% year-over-year, primarily as a result of the sales mix, successful risk mitigation and focus on operational and cost efficiency," the company said in a filing to the Zagreb bourse.

Sales revenue came in at 304.2 million euro, up from 297.6 million in 2022. In total sales revenue, the domestic market accounted for 42.8%, services to the parent company Ericsson contributed 46.6%, while other export markets had a share of 10.6%.

Selling and administrative expenses amounted to 13 million euro, up by 2.9% compared to 2022, primarily due to higher selling costs aimed at increasing sales in existing and new up-and-coming segments.

Operating profit rose 45.2% year-on-year to 24.8 million euro in 2023 on the back of a significant increase in gross profit and the collection of compensation under the insurance policy against political risks.

The gross margin increased to 10.5%, from 8.2% in 2022.

Cash flow from operating activities fell to 16.7 million euro last year, compared to 24.8 million euro in 2022 as a result of the dynamics of project completions and, accordingly, the dynamics of customer payments.

Ericsson Nikola Tesla's shares traded 2.39% lower at 204 euro on the Zagreb Stock Exchange by 1217 local time on Thursday, bourse data showed.

($ = 0.922 euro)