NCAB Group (NCAB) investor relations material

Executive summary

• Order intake grew 5% in SEK and 16% in USD year-over-year, with strong trends in Nordics and East, and early signs of recovery in Europe, despite FX headwinds and market uncertainty.

• Net sales remained stable in SEK at SEK 934 million, but up 8–10% in USD; margins declined due to FX and product mix effects.

• EBITA for Q2 was SEK 93.9 million, down 22% year-over-year, with a margin of 10%.

• Acquisition of BNB Leiterplatten/B & B Leiterplattenservice in Germany closed and integrated, contributing SEK 150 million revenue and over SEK 20 million EBITA in 2024.

• Financing renewed at improved terms, valid until 2030, supporting future M&A.

Financial highlights

• Net sales flat in SEK, organic growth of 8–10% in USD; EBITA at SEK 94 million, margin 10%, down 22% year-over-year.

• Gross margin for Q2 was 35.1% (down from 38.0%); for H1, 34.9%.

• Cash flow from operating activities at SEK 93.6 million in Q2 and SEK 146.8 million in H1, both below prior year.

• FX impact: SEK 90 million hit to revenue and SEK 17 million to EBITDA from weaker USD.

• Net working capital at SEK 353 million (9.2% of sales); available liquidity at SEK 1,263 million.

Outlook and guidance

• Gross margin expected to remain in the 35–36% range mid-term; no dividend planned for the year.

• Cautious optimism for European recovery; order intake momentum in Nordics and East, but US remains weak.

• M&A pipeline remains active, with focus on Europe, US, and East.

• No significant reshoring of PCB manufacturing to US or Europe anticipated; nearshoring of assembly work observed.

• Management remains positive about gaining market share organically and via acquisitions, despite macroeconomic and currency headwinds.