Czech gunmaker Colt CZ proposes dividend, buyback program as 2024 earnings rise

Colt CZ SE

27/03/2025 08:44

PRAGUE, March 27 (Reuters) - Czech gunmaker Colt CZ Group CZG.PR reported a 50% rise in both revenue and earnings before interest, tax, depreciation and amortisation (EBITDA) in 2024, and said on Thursday it would proposed a dividend and share buy-back program from earnings.

Revenue rose last year to 22.4 billion crowns  ($968.10 million), just above company guidance, and adjusted EBITDA reached 4.6 billion crowns, at the top end of its outlook.

Results were boosted by the acquisition of ammunition producer Sellier & Bellot last year, along with growth in European and U.S. markets, Colt CZ said.

Adjusted net profit fell 5.7% to 1.9 billion crowns, hit by higher interest costs, it said.

The group said it would propose paying 847 million crowns in dividends, amounting to 15 crowns per share, and another 847 million for a share buyback program from 2024 profit. The payout would be similar, albeit in a different structure, to a 2023, when it paid a 30 crown per share dividend.

Colt CZ has seen its business grow on the back of acquisitions such as Sellier & Bellot, while its revenue last year was split between the commercial and military & law enforcement divisions, after leaning more toward commercial in 2023. The U.S. market accounted for 40% of revenue in 2024.

"With regards to the outlook for 2025, Colt CZ sees major global business opportunities in the military and law enforcement segment," the company said.

"Cooperation with NATO and EU member countries and the NATO Support and Procurement Agency (NSPA) remains a top priority."

It said in an outlook it expected revenue to rise to around 25 billion crowns in 2025 and adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) to reach 5.5 billion crowns.

($1 = 23.1380 Czech crowns)

 (Reporting by Jason Hovet, Editing by Louise Heavens)

 ((jason.hovet@thomsonreuters.com;))