Gross profit amounted to HRK 254.3 million, up by 46 percent year-over-year. Net profit amounted to HRK 177.3 million, which is an 88% increase compared to the previous year.

In Ericsson Nikola Tesla Group, 2021 will be remembered as another year during which, with a lot of skills, knowledge and dedication, we effectively managed health, economic and social consequences of the pandemic and during which, despite all the challenges, including disruption in the global supply chain, as well as political and economic situation in certain markets, we achieved excellent business results. Strategic multi-year agreements we signed with the customers in Croatian and export markets in the last two years, new responsibilities assigned by Ericsson to our R&D Center and other expert centers for end-to-end solutions and services, our experts’ quality and innovativeness, as well as a continuous focus on new areas of growth and transformation processes in the company had a significant positive impact on the company’s results. —stated Gordana Kovačević, president of Ericsson Nikola Tesla.

According to the CEO, the results show that they managed to remove or mitigate most of the risks, continuing to build an innovative, high-performance organizational culture and invest in the future.

“In 2021, we achieved revenue growth in all markets. Sales revenue amounted to HRK 2,204 billion up by 9% year-over-year. With more than one billion HRK of revenue realized in export markets, our Group is still ranked high at the list of the best Croatian exporters, and a leader in exporting knowledge,” Kovačević said and continued: “Owing to quality delivery of innovative solutions, products and services, we have continued to strengthen cooperation with our strategic partners in all three of our business areas – operator segment, ICT solutions for Industry&Society, and services to Ericsson and others.”

In the operator segment, the most significant event last year was the public auction for the allocation of the 5G frequency spectrum, that gave momentum to the implementation of 5G technology in Croatia. Ericsson Nikola Tesla Group, as the provider of solutions, equipment and services for 5G, provided great support to its strategic partners, operators HT and A1 Croatia, the company claims.

As independent international tests show year after, their customers’ networks are among the best in the world, proving that they are recognized as a reliable partner that provides the customer with the best user experience on safe and high-quality infrastructure.

Moreover, a significant contribution to achieving results in the operator segment was made by the subsidiary Ericsson Nikola Tesla Servisi, which successfully realized the agreed objectives in the field of construction and maintenance of fixed and mobile telecommunications infrastructure.

Gordana Kovačević further explains:

Our overall business results were positively impacted by the results in the business segment Industry&Society, where we have been intensively working on projects in e-Health, e-Business and public safety, and on many innovative solutions for Industry 4.0. We also made a significant step forward in e-Environment.
In export markets, we would like to highlight the contracts with our long-term partners in the operator segment in Bosnia and Herzegovina, Montenegro, Belarus, and Kosovo.  In ICT solutions for Industry &Society, our currently largest export project is the delivery of national healthcare IT platform for the Republic of Belarus. The project is ongoing as planned, however a challenging political situation in certain markets, such as Belarusian, continues at the time this report is published. Therefore, we continue to actively monitor the situation development and continue to estimate risks in order to timely respond to potential challenges.

The delivery of services for Ericsson is steadily growing, and their R&D Center, as well as other expert centers, continue to build a positive perception in the global corporation and contribute to the company’s results owing to knowledge and work of its experts. The biggest software design center in Croatia is located precisely in Ericsson Nikola Tesla, where more than 1700 experts are working on the development of the latest technologies, and there is potential for further growth

Thanks to investors’ trust in the quality and stable business performance of the company, as well as the importance of ICT industry, and despite all the uncertainties and fluctuations in the capital market, Ericsson Nikola Tesla’s annual share value increased by 22.67 percent.

Last year, ENT also continued a very good cooperation with technical and other faculties, so more than 150 students have the opportunity to learn and develop their skills daily by participating in their research and development projects.

“In 2021, more than 400 new employees, mainly highly educated STEM experts, strengthened Ericsson Nikola Tesla Group. The Group now has approximately 3,500 employees. Experts with ICT competences and interested in working on interesting activities and latest technologies, and primarily software development, are welcome to our company,” Gordana Kovačević noted before closing her remarks by saying:

In 2022, we expect increase in demand for ICT solutions to continue, which opens new opportunities for our company. We will continue to invest in research, development and implementation of modern ICT solutions, as well as our own digital transformation. Moreover, we will continue to invest in skills and knowledge of our employees, who are the key to our success, and open new jobs. In this way, we secure our company’s successful and long-term sustainable business performance and contribute to the realization of EU objectives in a digital decade. Having in mind the importance of ICT as the foundation of the networked society’s digital infrastructure, we are positive about the further development of our industry, and the role Ericsson Nikola Tesla Group has in this process.

In addition to the opportunities it brings, 2022 will be a challenging year due to political and economic uncertainties, disruptions in supply chain, significant increase in energy prices, increase in the prices of materials, raw materials and services, and will demand great knowledge, leadership and strong focus on company’s strategic directives. We remain focused on risk management, profitability and cash flow, and on corporate social responsibility.
We will put our maximum efforts to continue to be as efficient and as successful, both in overcoming challenges, as well as in the realization of new business opportunities. Excellent business results achieved in 2021 motivate us for further excellence in everything we do.