Eight reasons to invest in Netel

Strong growth

Netel has grown at an average annual rate of 24.4 per cent between 2010 and 2023. Netel’s strengths are its specialist expertise in the roll-out and project management of critical infrastructure and its decentralised organisation.

Netel’s decentralised organisation means that the Group has deep insights into and knowledge about local conditions and regulations, is close to customers and has short decision-making pathways. The ability of subsidiaries to act independently, with the strength of a group, is a competitive advantage.

Clear growth strategy

Through its long-standing customer relationships with leading stakeholders in Northern Europe, Netel has a stable foundation for organic growth. There is an underlying healthy growth driven by the huge need for more capacity and modernisation of infrastructures. At the same time, Netel’s service business is growing at the same pace that the base of executed projects and installations is growing.

Growth through acquisitions

Acquisitions are a key part of Netel’s growth strategy. Through acquisitions, Netel will strengthen existing operations and expand into new market segments or countries. The strategy is successful and 14 acquisitions were carried out between 2021 and 2023.

Record-breaking order backlog

At the end of the year, Netel’s order backlog amounted to SEK 4.0 (3.7) billion.

Leading profitability in the industry

Adjusted EBITDA has grown at an average annual rate of 16.0 per cent between 2010 and 2023. Netel is a profitability leader in the industry due to a successful business model, long-standing customer relationships and stable customer base with the largest network owners in the Nordic region. One of the factors for success is that Netel engages subcontractors for construction and installation.

Asset-light business model

Netel’s operations tie up little capital. This asset-light business model means that Netel has a long-term high cash conversion and stable, low capital requirements.

Markets driven by powerful megatrends

Netel operates in markets that are critical to society. These markets are affected by three powerful megatrends: climate change, digitalisation and the need to update the infrastructures.

Strong sustainability focus a key part of success

Netel’s strong sustainability focus and responsibility for the environment and work environment is one of the Group’s factors for success. Netel sets the same high sustainability requirements for its subcontractors as for its own operations.