Nikola Tesla

Croatian blue-chip ICT solutions provider Ericsson Nikola Tesla [ZSE:ERNT] said on Tuesday its consolidated net profit fell 32.8% on the year in 2022, to 1.

Gross margin decreased to 8.2%, from 11.5% in 2021. Sales revenue increased primarily on the back of sales growth in services to parent company Ericsson and to the digital society in the domestic market. “If we exclude the one-off impact of the termination of eHealth contract in Belarus, gross margin was 9.7% compared to 11.5% in 2021, while the operating profit decreased by 15% to 158.4 million kuna," the company said. “In 2023, we expect the trend of growing demand for ICT solutions to continue, which opens new opportunities for our company on the market,” the company added. Gross profit amounted to 183.8 million kuna, down by 27.7% year-on-year, primarily due to higher costs as a result of termination of eHealth implementation contract in Belarus, as well as business mix, increase of labor costs, increase of prices of services as well as energy, raw materials and materials. “In 2022, Ericsson Nikola Tesla Group achieved a stable business performance despite the extremely dynamic and turbulent business environment, with sales revenue of more than 2.24 billion kuna, 1.7% more compared to the record 2021," CEO Gordana Kovacevic said in a filing to the Zagreb bourse.