Colt CZ sees record revenues of Kc22.38bn in 2024

Uhersky Brod, South Moravia, March 27 (CTK) - Colt CZ Group SE's revenues increased by 50.6 percent yr/yr to a record Kc22.38bn last year, and adjusted net profit after tax fell by 5.7 percent to Kc1.93bn, according to preliminary consolidated unaudited financial results for 2024.

The board of directors will propose to the general meeting a dividend of Kc15 per share, compared to Kc30 last year.

"Preliminary results for 2024 are in line with our expectations, particularly regarding the organic growth of our firearms business and the successful contribution of the Sellier & Bellot acquisition," said Jan Drahota, board chairman of Colt CZ.

The acquisition was completed on May 16, 2024.

The group recorded a higher share of orders from the military and law enforcement segment, and the increase in sales was also recorded in the commercial segment in all key regions, including the US commercial market.

The decline in adjusted profit was primarily influenced by the result of financial operations, which was affected mainly by higher interest costs associated with acquisition financing.

"Nevertheless, we still see room to further improve our performance, in terms of both revenues and profitability. Our key focus for 2025 and beyond will remain on driving profitable growth, as cost efficiency is essential to the long-term competitiveness of our business," Drahota said.

"Given the results achieved, the company's board of directors decided to use the profit of approximately Kc847m to pay a cash dividend of Kc15 per share and allocate Kc847m to a share buy-back programme," Drahota added.

The general meeting is due to be held before the end of the first half of the year.

The number of firearms sold in 2024 increased by 2.0 percent compared to the same period in 2023, reaching 633,739 units sold, Colt CZ said in a press release today.

The adjusted EBITDA (earnings before interest, taxes, depreciation and amortisation) net of extraordinary items reached Kc4.6bn, up by 50.9 percent yr/yr, in line with the company's guidance, Colt CZ said.

The key markets for Colt CZ are North America, Asia and Europe. The USA accounted for 39.5 percent of the group's total revenue last year. The Czech Republic and Canada accounted for 19.8 percent and 5.1 percent, respectively. Revenues generated in the European market excluding the Czech Republic accounted for 27.6 percent, while Asian contribution was 4.2 percent. Revenues in Latin America made up 2.6 percent, in Africa 0.8 percent and the rest of the world contributed 0.4 percent.

Colt CZ released Kc921m for investments last year, up 54.7 percent in annual terms.

With regards to the outlook for 2025, Colt CZ sees major global business opportunities in the military and law enforcement segment. Cooperation with NATO and EU member countries and the NATO Support and Procurement Agency (NSPA) remains a top priority, although the group notices the growing importance of other markets, mainly in Asia.

The group expects revenues of Kc25bn for 2025, with adjusted EBITDA expected to reach Kc5.5bn.

Colt CZ Group (Colt CZ) is one of the leading producers of firearms and ammunition for military and law enforcement, personal defense, hunting, sport shooting, and other commercial use. It markets and sells its products mainly under the Colt, CZ (Ceska zbrojovka), Colt Canada, Dan Wesson, Sellier & Bellot, swissAA, Spuhr and 4M Tactical brands.

Colt CZ Group is headquartered in the Czech Republic and employs more than 3,600 people in its production facilities in the Czech Republic, the United States, Canada, Sweden, Switzerland, and Hungary.

Colt CZ has been listed on the Prague Stock Exchange since 2020, and the majority shareholder is the Ceska zbrojovka Partners SE group.

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