Edison Investment Research - Technology: IT Competence Group (ITCG) is focusing on increasing its recurring
revenue stream through becoming a partner for digital transformations.
After unsuccessful investments, which cast a shadow on last year’s
results, the company is now back on the growth path with 9M18 sales up yo-
y and a positive EBITDA (margin at 5.2% in 9M18, compared with a
negative 5.0% in 9M17). The company also increased its order backlog to
€14.8m from €14.5m at end 2017. Better than expected ytd results triggered
an upward revision of FY18 EBITDA guidance. The shares are currently
trading at a 4% premium to peers on FY18 EV/EBITDA ratio.