• Incoming orders almost doubled to EUR 433m (2023: EUR 225m)
• After 26 per cent revenue growth in 2024, the EUR 300m mark is set to be surpassed in 2025
• EBIT increased to EUR 24.5m: Dividend to rise to EUR 0.80 per share (previous year: EUR 0.70 per share)

init innovation in traffic systems SE (ISIN DE 0005759807) closed the year 2024 successfully despite the general economic turmoil and is set to grow into a new dimension in the coming financial year. As announced by the Managing Board at today’s annual press conference and analysts’ meeting, the revenue generated by the digitalisation specialist for buses and trains grew stronger than expected in 2024, rising by 26 per cent to EUR 265.7m (2023: EUR 210.8m). EBIT of EUR 24.5m (2023: EUR 21.0m) also managed to meet the target, but only at the lower end of the target range due to higher costs and adverse exchange rate effects. However, the absolute highlight for the financial year lies in incoming orders, which soared by 92.3 per cent to a new record of EUR 432.8m (2023: EUR 225.0m), almost double that of the previous year. In view of the pleasing business development, the Managing Board will propose raising the dividend to EUR 0.80 (previous year: EUR 0.70) to the Shareholders’ Meeting scheduled for 22 May 2025.

“The record order intake is a testament to the international competitiveness of our company and the skills of our workforce. Our business model has therefore proven itself to be very resilient even in such a crisis-plagued year as financial year 2024. By advancing changes to the value chain and answering to the continuing growth trends discernible in the market we were once again able to meet our growth targets or even outperform them,” the Managing Board concluded.

init delivers a ticketing system to Atlanta for the 2026 World Cup

The new tenders won for major projects are particularly pleasing, such as in Atlanta, USA, where init is installing an automated fare collection system (AFC 2.0) with contactless ticketing in all buses and trains in preparation for the 2026 World Cup. Against the backdrop of the World Cup and the associated global attention this will attract, the project represents an important lighthouse project and, with a volume of over EUR 100m, is the most extensive ticketing project init has ever implemented.

From a technological and financial perspective, init is also entering new dimensions with a contract from Transport for London (TfL) for the delivery of onboard equipment and background systems for the next generation London iBus project. MOBILE-ITCS nextGen, the new background system from init, will manage the operation of roughly 700 bus routes and over 19,000 stops. To this end, 8,000 buses will be equipped with the latest init technology. The contract volume for London amounts to approximately GBP 80m. “Of particular note is that both of these projects will run for a number of years and include maintenance and service contracts, some with terms of over ten years. This provides us with a solid foundation to keep growing our business,” says the Managing Board in its annual report.

With these projects, init sees itself ahead of the competition. This edge is based on a consistently high level of investment, with a large part of the development work being carried out in cooperation with customers. In this way, software innovations can be tested directly in the company and brought to market more quickly. The course is set for continued success in the future.

Order backlog more than doubled

2025 will be a year in which init focuses on improving its profitability. “We are not satisfied with the quality of earnings in 2024, measured by the EBIT margin of 9.2 per cent
(2023: 10.0 per cent). We intend to return to the minimum target of 10 per cent in the current financial year and exceed it in the mid-term. Based on the record order backlog of over EUR 384m (previous year: EUR 175m), our revenues will break the EUR 300m barrier for the first time. Based on our current planning, EBIT will also pass the EUR 30m mark. We are also confident about the following years and intend to keep growing at least by 10 to 15 per cent,” the Managing Board announced.

Growth drivers continue to be digital transformation and the use of artificial intelligence in local public transport systems. init has been deploying AI for a number of years already. This is most visible in forecasting systems combining historical and real-time data to make more exact predictions to improve both passenger information and operational planning. As a result, public transport operators can generate substantial productivity gains and revenue gains. At the same time, AI contributes towards making public transport safer, more efficient and more climate-friendly. Together with the need to expand public transport for all, this is resulting in a high number of smart infrastructure projects being put out to tender worldwide. As one of the global leaders of this technology, init should benefit from this trend.

In addition to growth in the "traditional" business, init sees further impetus from the completed acquisition of the data management specialist DILAX Intelcom. Besides improved access to new markets and customer groups, the market position in the area of passenger counting was further expanded. Increasing public investment in rail infrastructure is expected, which will open up additional growth opportunities.

The full 2024 Annual Report with the integrated Sustainability Report and the presentation for today’s annual press conference can be found on our website.