ALSO Holding Bundle
What is the Growth Strategy and Future Prospects of ALSO Holding?
In the fast-paced ICT industry, ALSO Holding AG has transformed into a leading technology provider. A key development was the February 2025 regulatory clearance for its partnership with Westcoast, expected to finalize by Q1 2025. This move significantly boosts ALSO's global standing and ecosystem, especially in the UK ICT market, valued at 16 billion euros.
Founded in 1984, ALSO began by connecting ICT vendors and resellers, offering a broad range of hardware, software, and IT services. Its initial model focused on logistics, finance, and IT support for partners. Today, ALSO is a major European technology provider, active in 31 countries and reaching about 135,000 resellers with products from over 800 vendors.
Over the last 14 years, ALSO has achieved sustained growth by diversifying its ecosystem and developing solution-oriented business units and digital platforms. This strategy allows the company to seize future opportunities through ongoing ecosystem investment, including acquisitions, and by utilizing its platforms and technologies for expansion and innovation. Understanding the competitive landscape is crucial, and an ALSO Holding Porter's Five Forces Analysis can provide valuable insights.
How Is ALSO Holding Expanding Its Reach?
The primary customer segments for the company include IT resellers, system integrators, and managed service providers who rely on its extensive product portfolio and value-added services to serve their end-customers.
Strategic Partnership with Westcoast
A key expansion initiative is the February 2025 regulatory approval of the partnership with Westcoast. This collaboration is anticipated to unlock significant synergies, particularly in France, by boosting operational efficiency and accelerating growth in critical sectors.
Leveraging New Technologies
The company aims to harness its advanced platforms and technologies, including AI, IoT, virtualization, and cybersecurity, to drive future business growth. This strategic focus is designed to enhance its service offerings and market competitiveness.
Acquisition Strategy and Pipeline
The company has a proven history of inorganic growth, having completed 27 acquisitions over the past decade. It plans to continue investing in its ecosystem through further acquisitions in 2025 and beyond, supported by a robust acquisition pipeline.
Geographical Expansion
Expansion efforts also include broadening its geographical footprint. Recent market entries have been made into Norway, Austria, the United Kingdom, Czech Republic, and the USA, demonstrating a commitment to increasing global market penetration.
The company's business model is built around three core pillars: Supply, Solutions, and Service/Cloud. Supply handles the transactional provision of hardware and software. Solutions assists resellers in developing complex IT environments and new offerings in areas like IoT and security. Service/Cloud focuses on subscription-based 'as-a-service' models and the development of digital platforms for cybersecurity, IoT, virtualization, and AI. The cloud platform has shown substantial growth, with a 34% increase in unique users to 5.5 million and generating 845 million euros in revenue in the first half of 2025. These strategic moves are crucial for accessing new customer bases, diversifying revenue, and adapting to the dynamic IT industry landscape, aligning with the company's Mission, Vision & Core Values of ALSO Holding.
Key Growth Drivers
The company's expansion initiatives are driven by a clear strategy to access new customers, diversify its revenue streams, and maintain a competitive edge in the rapidly evolving IT sector.
- Strategic partnerships to create synergies and accelerate growth.
- Investment in new technologies like AI, IoT, and cybersecurity.
- Continued inorganic growth through targeted acquisitions.
- Expansion of geographical presence into new markets.
- Growth in subscription-based 'as-a-service' models and cloud platforms.
ALSO Holding SWOT Analysis
- Complete SWOT Breakdown
- Fully Customizable
- Editable in Excel & Word
- Professional Formatting
- Investor-Ready Format
How Does ALSO Holding Invest in Innovation?
The company's growth strategy is deeply intertwined with its commitment to innovation and technology. By focusing on digital transformation and embracing cutting-edge advancements, the company aims to achieve sustained business growth. This strategic direction prioritizes enhancing operational excellence through artificial intelligence and expanding its digital platforms.
Digital Platform Expansion
The company is actively growing its digital platforms, which include Cloud, IoT, Cybersecurity, Virtualization, and AI. These platforms are central to its innovation efforts.
AI-Driven Operational Excellence
A key aspect of the strategy involves leveraging Artificial Intelligence to improve operational efficiency and performance across the business. This focus is expected to drive significant advancements.
Strong Digital Performance
The digital platforms demonstrated disproportionately strong results in the final three months of 2024, indicating successful adoption and market traction for these technological offerings.
Cloud Platform Revenue Growth
The cloud platform alone generated 845 million euros in revenue during the first half of 2025. This segment also saw a 34% increase in unique users, reaching 5.5 million.
Service/Cloud Segment Focus
The company's Service/Cloud segment is specifically designed to offer subscription-based as-a-service solutions and to develop new digital platforms for advanced technologies.
Strategic Partnerships
A partnership cleared in February 2025 is anticipated to unlock future growth opportunities by utilizing the company's new platforms and technologies, including AI, IoT, virtualization, and cybersecurity.
Infrastructure Investment and Digital Transformation
Significant investments are being made in infrastructure to support this digital transformation. This includes the implementation of SAP's S/4HANA ERP software, with completion planned by 2029, and other investments made in Portugal in February 2025. These initiatives are crucial for optimizing processes and enhancing the scalability of the company's extensive ecosystem.
- Maintaining the core business remains a priority.
- Continuous process optimization is a key objective.
- Reinventing new technological and business areas is essential for expansion.
- Enhancing reach and expertise through innovation is a core tenet of the growth strategy.
- Understanding Revenue Streams & Business Model of ALSO Holding provides further context on how these strategies are supported.
ALSO Holding PESTLE Analysis
- Covers All 6 PESTLE Categories
- No Research Needed – Save Hours of Work
- Built by Experts, Trusted by Consultants
- Instant Download, Ready to Use
- 100% Editable, Fully Customizable
What Is ALSO Holding’s Growth Forecast?
The company has demonstrated strong financial performance, with significant growth in both revenue and EBITDA in the first half of 2025. This upward trend is a key indicator of the effectiveness of its current growth strategy.
H1 2025 Financial Highlights
In the first half of 2025, the company reported a substantial 34% increase in EBITDA, reaching 126 million euros. Revenue also saw a significant rise of 35%, growing by 1.8 billion euros to 6.9 billion euros.
Full Year 2024 Performance
For the entirety of 2024, net sales were 9,505.58 million euros, with a net income of 115.05 million euros. EBITDA for 2024 was projected to be between 230 and 240 million euros.
2025 and Mid-Term Targets
The company has reaffirmed its 2025 financial targets, anticipating EBITDA between 285 and 325 million euros. Mid-term aspirations are even higher, with expected EBITDA of 425 to 525 million euros.
Shareholder Returns and Cash Position
As of June 30, 2025, the company held a trailing 12-month revenue of 12.1 billion USD. A strong cash balance of approximately 731 million euros in early 2025 supports its dividend policy, with a proposed increase for 2025.
The company's financial trajectory, marked by consistent revenue growth and a healthy EBITDA margin, underscores its effective business growth strategy. This performance is further bolstered by strategic acquisitions and a focus on digital platforms, as detailed in the Growth Strategy of ALSO Holding. The company's commitment to profitable expansion is evident in its financial outlook and its ability to generate strong cash flows, which in turn facilitates shareholder returns and further investment in its growth initiatives.
EBITDA Growth
A 34% surge in EBITDA to 126 million euros in H1 2025 highlights operational efficiency.
Revenue Expansion
Revenue increased by 35% to 6.9 billion euros in H1 2025, demonstrating strong market penetration.
Return on Capital Employed (ROCE)
ROCE was between 28% and 31% in 2024, with a target above 17% for 2025.
Dividend Policy
A dividend increase to CHF 5.10 was approved, reflecting confidence in sustained profitability.
Cash Reserves
A record cash balance of approximately 731 million euros in early 2025 provides financial flexibility.
Future Financial Outlook
Projected EBITDA for 2025 is between 285 and 325 million euros, with ambitious mid-term targets.
ALSO Holding Business Model Canvas
- Complete 9-Block Business Model Canvas
- Effortlessly Communicate Your Business Strategy
- Investor-Ready BMC Format
- 100% Editable and Customizable
- Clear and Structured Layout
What Risks Could Slow ALSO Holding’s Growth?
The company operates in a fast-paced ICT industry, facing significant challenges that could affect its business growth. These include intense market competition, evolving regulatory landscapes, and potential supply chain disruptions. Technological advancements also present a risk, as new innovations could impact current business models.
Market Competition
The IT sector is highly competitive and constantly changing. This dynamic environment requires continuous adaptation to maintain market position and pursue growth strategy for ALSO Holding.
Regulatory Changes
New regulations concerning data privacy, cybersecurity, and international trade could create compliance hurdles or limit market access. These shifts necessitate careful strategic planning for ALSO Holding.
Supply Chain Vulnerabilities
Disruptions in the global supply chain can impact the availability of essential hardware and software. This risk directly affects the company's ability to deliver its products and services effectively.
Technological Disruption
The rapid pace of technological innovation, including AI and IoT, poses a risk of obsolescence for existing offerings. Proactive investment in cutting-edge technologies is crucial for future prospects of ALSO Holding.
Internal Resource Constraints
Securing skilled talent, particularly in specialized areas like AI and cloud solutions, can be a challenge. This scarcity could impede the execution of ambitious growth plans.
Financial Resilience
Despite potential risks, the company maintains a strong financial position. A record cash balance of approximately 731 million euros in early 2025 provides significant flexibility to navigate challenges and fund strategic initiatives.
To mitigate these potential risks and ensure continued business growth for ALSO Holding, the company employs a multifaceted approach. Its diversified business model, spanning Supply, Solutions, and Service/Cloud segments, offers inherent resilience against sector-specific downturns. Furthermore, a proven history of successful acquisitions, with 27 integrations over the past decade, highlights its adaptability and capacity for expansion. The focus on operational excellence, including portfolio and cost optimization, also plays a key role in managing financial risks.
Diversified Business Model
Operating across Supply, Solutions, and Service/Cloud segments provides a buffer against volatility in any single area, supporting stable business growth for ALSO Holding.
Acquisition Integration Capability
The successful integration of 27 companies in the last ten years demonstrates a strong capability to expand and adapt, a key element in the growth strategy for ALSO Holding.
Operational Excellence Focus
Continuous efforts in portfolio management and cost optimization are crucial for mitigating financial risks and enhancing the company's overall market position and growth potential.
Financial Strength
A robust cash position, exemplified by the record balance of approximately 731 million euros in early 2025, offers the financial flexibility needed to address unforeseen challenges and pursue new opportunities, supporting the future prospects of ALSO Holding.
ALSO Holding Porter's Five Forces Analysis
- Covers All 5 Competitive Forces in Detail
- Structured for Consultants, Students, and Founders
- 100% Editable in Microsoft Word & Excel
- Instant Digital Download – Use Immediately
- Compatible with Mac & PC – Fully Unlocked
- What is Brief History of ALSO Holding Company?
- What is Competitive Landscape of ALSO Holding Company?
- How Does ALSO Holding Company Work?
- What is Sales and Marketing Strategy of ALSO Holding Company?
- What are Mission Vision & Core Values of ALSO Holding Company?
- Who Owns ALSO Holding Company?
- What is Customer Demographics and Target Market of ALSO Holding Company?
Disclaimer
All information, articles, and product details provided on this website are for general informational and educational purposes only. We do not claim any ownership over, nor do we intend to infringe upon, any trademarks, copyrights, logos, brand names, or other intellectual property mentioned or depicted on this site. Such intellectual property remains the property of its respective owners, and any references here are made solely for identification or informational purposes, without implying any affiliation, endorsement, or partnership.
We make no representations or warranties, express or implied, regarding the accuracy, completeness, or suitability of any content or products presented. Nothing on this website should be construed as legal, tax, investment, financial, medical, or other professional advice. In addition, no part of this site—including articles or product references—constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any securities, franchises, or other financial instruments, particularly in jurisdictions where such activity would be unlawful.
All content is of a general nature and may not address the specific circumstances of any individual or entity. It is not a substitute for professional advice or services. Any actions you take based on the information provided here are strictly at your own risk. You accept full responsibility for any decisions or outcomes arising from your use of this website and agree to release us from any liability in connection with your use of, or reliance upon, the content or products found herein.