Information security company Withsecure makes a write-down of EUR 15.5 million. The write-down concerns the goodwill of cyber security consulting.
As part of the preparation of the third quarter interim report, Withsecure tested the balance sheet values of intangible rights and goodwill. As a result of the testing, a 15.5 million euro write-down was recorded on the goodwill related to cyber security consulting, which is included in the result of the third quarter interim report.
In 2024, Withsecure lowered the consulting turnover forecast due to financial constraints observed in some important customers. At the same time, the increased risk level of the stock market has increased the average cost of capital, which is used to estimate the present value of the future cash flows of the business.
According to the company, the entry has no effect on Withsecure’s cash flow or adjusted EBITDA.
Goodwill related to consulting has arisen from the following business acquisitions: nSense (Denmark) in 2015, Inverse Path (Italy) in 2017, Digital Assurance (United Kingdom) in 2017 and MWR Infosecurity (United Kingdom) in 2018.
The balance sheet value of the goodwill related to cyber security consulting after the recording is 28.7 million euros.
Source: www.arvopaperi.fi
