Anoto Group (ANOT) Q2 2024 earnings summary

Executive summary

• Net sales for Q2 2024 declined 36% year-over-year to 6 MSEK, with gross margin dropping to 38% from 51%.

• Operating loss remained at -16 MSEK, while net loss widened to -17 MSEK from -9 MSEK in Q2 2023.

• Livescribe sales fell 28% and Enterprise Forms sales dropped 57% compared to Q2 2023.

• Interim CEO Mats Karlsson appointed in April; new CFO and CTO named in June.

Financial highlights

• Q2 net sales: 6 MSEK (9 MSEK Q2 2023); H1 net sales: 19 MSEK (22 MSEK H1 2023).

• Q2 gross margin: 38% (51% Q2 2023); H1 gross margin: 58% (74% H1 2023).

• Q2 operating result: -16 MSEK (-16 MSEK Q2 2023); H1: -30 MSEK (-31 MSEK H1 2023).

• Q2 EBITDA: -14 MSEK (-12 MSEK Q2 2023); H1 EBITDA: -27 MSEK (-23 MSEK H1 2023).

• Q2 EPS: -0.04 SEK (-0.05 SEK Q2 2023); H1 EPS: -0.04 SEK (-0.10 SEK H1 2023).

Outlook and guidance

• Focus on software updates for core products and improved B2B sales channels.

• Recruitment of key personnel and organizational changes to enhance efficiency.

• Reviewing pricing model for Enterprise Forms and preparing for updated product launches.