ASBIS in Q1 2025: record revenues, net profit impacted by adverse market conditions

PRESS RELEASE. Limassol, Cyprus. May 8, 2025

OTHER IMPORTANT EVENTS IN 1Q2025:

• The largest country in terms of sales was the United Arab Emirates, while the CIS countries maintained the largest share in the Group's revenues (over 30%).
• Poland ranked 6th among the countries with the highest sales,  with revenues of over USD 40.5 million (an increase of 42% compared to the same period last year).
• The General Meeting of Shareholders adopted a resolution on the payment of the final dividend for 2024 in the amount of USD 0.30 per share. Thus, the total dividend from the Company's profits for 2024 (including the interim dividend paid in December 2024) amounted to USD 0.50 per share - which is equal to the highest dividend paid to shareholders in the history of ASBIS.
• ASBIS has expanded its product portfolio with the following companies: iLera (controls 65% of the iPhone screen protection market), Arctic Wolf (specializes in providing cybersecurity systems for companies), StorONE (data storage software for large enterprises).
• Breezy, a subsidiary of the ASBIS Group, specializing in the modernization and remarketing of used digital devices, has started operations in the Republic of South Africa. The Company has decided to enter a new market in a franchise format for the first time.   

Serhei Kostevitch, CEO of ASBIS Group, commented: "The first quarter of 2025 was very challenging for our Group. Despite ongoing difficulties in our key markets, we were able to generate record-high revenues. In Kazakhstan, we continue to face illegal imports of Apple products, while in Ukraine, the ongoing war is affecting our sales. It is worth noting that in February and March 2025, we managed to break our monthly sales records. However, we recorded a decline in gross profit margin, which, in addition to the factors already mentioned, was also impacted by lower prices from our main supplier and increased sales of business projects with lower margins. We expect an improvement in gross profit margin in the coming quarters of 2025."

Serhei Kostevitch added: “For the eighth consecutive year, we are paying a dividend to our shareholders. ASBIS is in a stable financial position, which is why shareholders will receive a dividend at the same level as last year, the highest we have paid to date. We intend to continue our dividend policy in the coming years.”

FINANCIAL RESULTS

A summary of the financial results of the ASBIS Group in the first quarters of 2025 and 2024 is presented in the tables below (presentation of the results are in USD and in the table below in PLN). USD remains the official reporting currency of the Group.

Financial results of the Group in Q1 of years 2025 and 2024
USD million

PLN million

DETAILED SALES DATA  

SALES BY REGION  

The Commonwealth of Independent States ("CIS") and Central and Eastern Europe regions traditionally account for the largest share of our revenues. This did not change in the first quarter of 2025.

In Q1 2025, revenues generated in the CIS region decreased by 32.4% compared to the same period in 2024, while sales in Central and Eastern Europe and other major regions significantly increased.  The main reason for lower sales in the CIS region was the extremely difficult market conditions in Kazakhstan (grey market and new consumer law), as well as the ongoing war in Ukraine, which also negatively affected the Group's results. 

The share of the CEE region increased in Q1 2025 to 30.13% (from 26.24% in Q1 2024). The share of the Middle East and Africa region increased to 25.52% in Q1 2025 (from 17.02% in Q1 2024). The share of the Western Europe region also increased to 12.32% (from 9.56% in Q1 2024).

Geographical structure of ASBIS sales in Q1 2025 and Q1 2024

SALES BY COUNTRY  

Analysis by country confirms the growth of the Group's shares in many major markets. One of them is the United Arab Emirates, which became ASBIS's largest market, with revenues of USD 123 million in Q1 2025, an increase of 42.8%.

In Kazakhstan - the Group's largest market so far, sales fell by 45.6% in Q1 2025 compared to the same period in 2024. This was due to the intensification of the grey and illicit trade, also affecting other CIS countries.

Ukraine, our third largest market, saw a 17.4% decline in Q1 2025 compared to Q1 2024.

Countries with the largest sales growth in Q1 2025:

• South Africa – 269% increase
• Germany – 63% increase
• United Arab Emirates – 43% increase
• Poland – 42% increase
• Romania – 40% increase

Revenue breakdown – Top 10 countries in the Q1 2025 and 2024 (USD thousand)