In 2023, doValue S.p.A. navigated a complex financial landscape, reflecting a blend of resilience and strategic shifts amidst economic challenges. The company’s gross revenues were reported at €485.7 million, a 13.0% decrease from the previous year, significantly impacted by the completion of the Sareb contract. This decline underscores the changing dynamics within the asset management sector and the company’s focus on optimizing its portfolio mix.
The EBITDA, excluding non-recurring items, was noted at €178.4 million, meeting the company’s forecasts despite a downward trend, highlighting doValue’s ability to manage costs and maintain operational efficiency in a demanding market environment. The financial structure remained conservative, with net debt reported at €475.2 million and a leverage ratio of 2.7x, reflecting the company’s prudent financial management and its commitment to maintaining a strong balance sheet.
Throughout 2023, doValue achieved significant business milestones, securing new gross book value (GBV) contracts worth approximately €10.6 billion, demonstrating its competitive edge and the trust of its clients even in challenging market conditions. The company also experienced an increase in its collection rate to 4.6%, indicating an improvement in asset recovery processes and operational efficiency.
Looking ahead to 2024, doValue is poised for transformation, with plans for cost rationalization and strategic investments aimed at driving growth. The company’s focus will be on enhancing its core business operations, exploring new market opportunities, and investing in technology to improve service delivery. The upcoming business plan for 2024-2026, to be unveiled during the Capital Markets Day on March 21, 2024, is expected to highlight these strategic initiatives and adjustments to the dividend policy to align with the current market conditions and financial strategy.
doValue’s preliminary results for 2023 and its outlook for the future illustrate a company in transition, navigating through economic uncertainties while laying the groundwork for sustainable growth. The company’s strategic adjustments, focus on operational excellence, and commitment to financial prudence are poised to redefine its market position and drive long-term value for stakeholders.
Blogger and Investment Management Advisor with focus on Distressed Assets & NPL. Massimo is Chief NPL & Fintech Editor at Credit Village Magazine.