Noventi Reports 6.6 Million Euro Profit as Company Recovers

Noventi has announced a profit of 6.6 million euros for the past fiscal year, indicating a successful recovery from a tumultuous period marked by significant financial losses. After incurring a record loss of 133 million euros in 2022, the company underwent a leadership change and launched a restructuring initiative dubbed 'Focus 2025' aimed at stabilizing operations.

In 2023, Noventi faced an expected loss of 11 million euros, but the company has now achieved a positive turnaround, reflecting a solid financial performance for 2024. While revenue saw a modest increase of approximately 700,000 euros, bringing total earnings to around 262.8 million euros, the firm benefited from an upgraded pricing system introduced in 2023 as well as growth in ancillary service providers.

Despite the slight increase in sales, Noventi's leadership considers the stabilization of revenues a noteworthy achievement, especially given the restructuring process that led to a loss of clients. The company has discontinued its software systems Pharmasoft and Infopharm, with plans to phase out Jump by the end of the month. A substantial number of pharmacies opted to leave the company for competitors, particularly market leader Pharmatechnik, which has gained several contracts previously held by Noventi.

The reported profit of 6.6 million euros is primarily attributed to cost reductions rather than new business acquisitions. In 2023, Noventi's expenditure on wages and salaries amounted to 101 million euros, which has been effectively reduced to 91 million euros in the subsequent year. This reduction was facilitated by a social plan that accompanied workforce downsizing, a critical component of the company's restructuring strategy.

Additionally, Noventi has made significant adjustments in its financial investments. While its stakes in affiliated companies were written down from nearly 10 million euros to zero, the value of direct investments increased by a comparable amount, rising from 3.8 million euros to 14 million euros. This change was influenced by Noventi's diluted stake in the platform Gesund.de, which fell below the 25% threshold after the company chose not to participate in the latest funding rounds of the joint project, now predominantly controlled by Phoenix.