The Brazilian supplier’s net revenue grows and totals R$ 279.6 million in the first nine months of 2023.
Padtec Holding (B3: PDTC3), the sole shareholder of Padtec S/A, a leading manufacturer of optical transport systems, ended the third quarter of 2023 with net revenue of R$ 103.5 million, a value that represents growth of 6.8% compared to the second quarter. The company’s net revenue reached R$ 279.6 million in the first nine months of 2023 – an increase of 7.2% compared to the same period in 2022.
Padtec’s gross profit, in the third quarter of the year, reached R$ 39.2 million, a value that represents record growth – 12.3%, compared to the previous quarter. The gross margin of 37.9% and net profit of R$ 15.5 million in the quarter were also records. The company’s net profit per share, in the nine months of 2023, reached R$ 0.21 – four times higher than that recorded in the same period last year.
The company also recorded a record improvement in EBITDA in the quarter, with earnings before interest, taxes, depreciation and amortization of R$ 25.4 million (EBITDA margin of 24.5%) – almost double the value recorded in the second quarter. In the nine months of 2023, Padtec’s EBITDA reached R$ 46 million (margin of 16.4%), which is an increase of 65.8% compared to the same period last year. In addition, the company closed the quarter with net debt of R$ 53.6 million, compared to a total debt of R$ 104.3 million, reinforcing its solid capital structure.
Between January and September 2023, Padtec invested R$ 31.1 million in research and development, to create new products for high-performance optical communications systems – the same percentage of investments in R&D, in relation to net revenue, as in recent years. As a result of the company’s commitment to technological innovation, a new product platform for DWDM networks was announced in September – called LightPad Max – scheduled for market launch in the first half of 2024.
The new platform consists of a complete line of next generation transponders with extremely high data transmission capacity: up to 1.2 Tb/s per optical channel (or 2.4 Tb/s in total), in 1RU high mechanics. “We are committed to continuing to invest in the evolution of our product line, always challenging the limits of innovation. In this way we offer the market solutions at the forefront of technology in optical communication systems, ready to meet current and future demands”, highlights Argemiro Sousa, Chief Operations Officer for Equipment at Padtec.
Also in the third quarter, Padtec announced a partnership with FYCO, a global company specialized in technological solutions for the telecommunications sector. The goal is to expand its presence in Mexico and, at the same time, boost the implementation of high-capacity communication networks, based on DWDM technology, in that country. Furthermore, the company hopes to contribute to the training of professionals in the telecommunications sector in Mexico, through education projects in partnership with FYCO Learning – FYCO’s academic institution accredited by the Fiber Broadband Association (FBA). Padtec has already lit more than 2 thousand kilometers of optical networks in Mexico, connecting the states of Quintana Roo and Yucatán, for one of the most important operators in the region.
The full results report is available on the ‘Investor Relations’ page of the Padtec website (www.padtec.com.br/investor/padtec-holding/).¹
1 considers combined consolidated results (Padtec S.A. + IdeiasNet S.A.) since January 2019.