(Alliance News) - Circle Spa reported Tuesday that it closed 2023 with a value of production of EUR13.2 million, up 22 percent from EUR10.9 million in 2022.

The growth in the same could have exceeded even original expectations, however, it was affected by the replanning by governments in both Portugal and Italy of almost all PNRR funds, which were postponed to 2024. In particular, in Italy, funds related to ports were included within the MIT Call that expired on November 30, 2023 and was consolidated last March 6, confirmed in the acts defined on December 29, 2023 and that will take effect from the second quarter of 2024, and within the Interports Call published last February 23.

"It is, therefore, evident how the related activities have been postponed to the period following the first quarter of 2024 and until mid-2026," the company said.

In Portugal, a similar path postponed them to the period following the first half of 2024.

With respect to the analysis of preliminary data for 2023, management believes that despite the reflected effects on the value of production resulting from the explained shift, income statement margins are in line with the best expectations, thanks to efficiencies brought to project activities, increased synergies between group companies, accelerations and contextual use of new products and federated services, leaving substantial and increased opportunities on 2024 and 2025.

Luca Abatello, president and CEO of Circle Group, said, "As articulated as it was, 2023 was a year of remarkable satisfaction for Circle. The group's growth continued along the two nodal lines of developing proprietary software products and innovative projects; in addition, a key contribution was made by the Milos Federated Services, the basis of the Connect for Agile Growth business plan."

"On the European front, we have advanced the cornerstones related to Green & Energy Transition, signed several new EU projects as well as are working on the EU-wide implementation in nine member states of the new 2020/1056 eFTI Regulation for dematerialized and unified EU-wide management of control along the multimodal supply chain. Added to this is the excellent outlook: we have, in fact, entered the heart of the Next Generation EU and Energy Transition plans that will see their peak in the two-year period mid-2024 mid-2026."

Circle's stock closed Tuesday down 0.8 percent at EUR6.50 per share.

By Giuseppe Fabio Ciccomascolo, Alliance News senior reporter

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