AddLife (ALIF) Q4 2024 earnings summary

Executive summary

• Finished 2024 with strong performance, driven by healthy customer demand, efficiency and profitability improvements, and significant debt reduction.

• Sales increased by 11% year-over-year in Q4 2024, with 9% organic and currency-adjusted growth.

• EBITDA/EBITA margin improved to 12.3% in Q4 (from 10.2% last year), driven by profitability initiatives.

• Operating cash flow rose to SEK 666m in Q4 and SEK 1,095m for the year, reflecting strong cash generation.

• The group remains focused on profit improvement, organic growth, cash flow, and acquisitions for 2025.

Financial highlights

• Q4 net sales up 11% to SEK 2,818m; full-year net sales SEK 10,286m, up 6%.

• Adjusted EBITDA/EBITA grew 33% year-over-year, with Q4 margin at 12.3%.

• Full-year EBITA margin was 11.3% (10.5% last year); adjusted EBITA up 14%.

• Operating cash flow for the year was SEK 1,095m, up from SEK 909m.

• Net debt reduced by SEK 430m in Q4, with a SEK 450m bank loan repayment.

Outlook and guidance

• Priorities for 2025 include profit protection, organic growth, cash flow, and selective acquisitions.

• Market trends indicate persistent high demand for surgical procedures and efficiency needs.

• Healthcare budget constraints seen in 2024 expected to ease in 2025, with new funding and targeted improvement efforts.

• Acquisition activity to increase gradually in 2025, with a focus on smaller deals.

• Board proposes a 50% higher dividend of SEK 0.75 per share for 2024.