Ericsson NT has announced new contracts on the domestic and foreign market that will be realized in the next year.

On Wednesday, Ericsson NT has announced the signing of new contracts, which are worth HRK 38m. These contracts pertain to both the domestic and the foreign markets. Looking at the foreign market first, Ericsson NT signed new contracts in Kosovo and Belarus, regarding the expansion of the mobile operator networks BeCloud, A1 Bjelorusija, and Ipko.

Regarding the domestic market, the Company signed a contract with the Ministry of Justice and Public Administration and the State Geodetic Administration, relating to the „Development and Upgrade of the One Stop Shop of the Joint Information System of Land Registry and Cadaster (JIS)“.

As a reminder, Ericsson NT reported positive financial results in their 9M 2021 results. The Company’s sales increased by 6.2% YoY, their EBITDA increased by 47.8% YoY, while they had a profit increase of 70.9% YoY. These increases were driven by the continued cooperation with HT, which is one of the leaders of the 5G technology expansion in Croatia.

With the signing of these new contracts, the Company has more room for expansion in both the domestic and foreign markets. This is already reflected in the Company’s share price, which experienced a growth of 19.3% YTD, and with this news, this positive trend is surely going to continue. Also, at the current price of HRK 1,790, the Company is trading at a P/E of 16.8x and an EV/EBITDA of 9.1x.

Ericsson NT and CROBEX Performance YTD (%)