Teleste Oyj - Inside information

Inside information, profit warning: Teleste lowers its 2024 financial guidance, due to low demand in European Broadband Networks business

Teleste Corporation
Inside information
September 16, 2024, at 15:00 EET


INSIDE INFORMATION, PROFIT WARNING: TELESTE LOWERS ITS 2024 FINANCIAL GUIDANCE,
DUE TO LOW DEMAND IN EUROPEAN BROADBAND NETWORKS BUSINESS

Teleste Corporation lowers its guidance for the financial year 2024.

New guidance for financial year 2024

Teleste now estimates that the net sales in 2024 will amount to EUR 120-135
million and that the adjusted operating result in 2024 will be EUR 1‒4 million.

The main reason for the updated guidance is the continued lower-than-expected
demand in the European market for the Broadband Networks business. North
American delivery volumes have started to grow, but they will not fully
compensate for the volume outlook in Europe. There is also still uncertainty
regarding the timing of deliveries and projects for the rest of the year.

Previous guidance for 2024

In its interim report on 14.8.2024, the company specified its financial guidance
for 2024.

Teleste estimated then that net sales in 2024 would amount to EUR 140-150
million and that the adjusted operating result in 2024 would be EUR 3-6 million.

Measures

The company has increased measures to improve cost efficiency and to prioritize
tasks in all its operations. The total amount of permanent cost savings
implemented is over 8 million euros annually. As a new measure, the company will
temporarily reduce working hours for some of its European personnel during the
rest of the year. Investments in the North American market will not be affected
and will be continued according to our strategy.

TELESTE CORPORATION

Esa Harju
CEO

Additional information:
Esa Harju, tel. + 358 2 2605 611

Distribution:
Nasdaq Helsinki
Main Media
www.teleste.com (https://www.globenewswire.com/Tracker?data=ZKS3MtzS35uTdEMH2b5Xt
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About Teleste
Teleste offers an integrated product and service portfolio that makes it
possible to build and run a better networked society. Our solutions bring
television and broadband services to you, secure your safety in public places
and guide your use of public transport. With solid industry experience and drive
for innovations, we are a leading international company in broadband, security
and information technologies and related services. We connect with our customers
through a global network of offices and partners. In 2023, Teleste's net sales
reached EUR 151.3 million and it had approximately 800 employees. Teleste is
listed on Nasdaq Helsinki. For more information, visit www.teleste.com.