The group posted a net profit of RON52,579 in 2020 , compared with a loss of RON2.6 million in 2019.
“Just as bridges are subjected to extreme endurance tests before they are open to the public, so has 2020 been for us – a sum of endurance tests for Bittnet Group. I am happy that we have passed these tests well. Our group is financially and operationally ready for a new cycle of accelerated growth, adapted to the new business realities, challenges and local and international market opportunities. In a challenging year, we have still grown all our indicators, turning back to profit. In 2020, we generated a business of RON140 million but the international lockdowns and general elections in Romania resulted in delays in the finalization of the projects gained. We expect these delayed projects to have an additional, positive effect on our 2021 results,” said Mihai Logofatu, CEO and co-founder of Bittnet Group.
Bittnet Group achieved an operating cash flow of over RON8 million, which combined with access to the capital market, allowed the group to invest in development.
In 2020, Bittnet Group made new investments worth over EUR10 million in Equatorial Gaming, The eLearning Company and Softbinator.
The group’s technology division, which includes Dendrio and Elian, recorded RON96.6 million in revenues, up 11%. The gross margin grew 33% and the division ended 2020 with an increase of RON4 million in operating profit, to RON2.5 million.
Its education division, represented by Bittnet Training and Equatorial, was impacted by training budget cuts or freezes and revenues dropped 6% compared with 2019. Still, the group ended the year with an operating profit of RON4.3 million.
Bittnet’s stock market capitalization grew 22% in 2020, to RON159 million. Throughout 2020, approximately 40% of Bittnet’s free-float was actively traded by investors.
In 2020, the Bucharest Stock Exchange included Bittnet shares in BET-XT, BET-XT-TR, BET-BK and BETPlus indices. As of March 22, 2021, BNET shares will also be included in two global indices: FTSE Global Micro-Cap and FTSE Total-Cap.
For 2021, the group targets a consolidated turnover of RON157 million and an operation profit of RON12.8 million, driven by earnings from companies that joined the group in 2020.
Starting 2021, the education division consists of Bittnet Training, Equatorial Gaming, and The eLearning Company, while the technology division consists of Dendrio Solutions, Elian Solutions, and Softbinator Technologies.