BALCO GROUP (BALCO) Q4 2024 earnings summary

Executive summary

• Net sales rose 17% year-over-year to SEK 1,418 million, with Q4 growth of 33% to SEK 386 million.

• Order intake increased by 41% for the year to SEK 1,377 million, with Q4 up 22%; backlog up 22% to SEK 1,309 million.

• Operating cash flow improved to SEK 139 million for the year and SEK 58 million in Q4.

• Integration of Riikku subsidiaries completed; major project secured in Norway valued at NOK 50 million.

• No dividend proposed for the year; plan to resume dividends next year.

Financial highlights

• Adjusted EBITA for the year was SEK 70 million (margin 4.9%); Q4 adjusted EBITA was SEK 18 million (margin 4.7%).

• Adjusted EPS for the year was SEK 0.89; full-year EPS SEK 0.05.

• Items affecting comparability totaled -25 MSEK, mainly from restructuring and acquisitions.

• Order backlog at year-end up 22% to SEK 1,309 million.

• Interest-bearing net debt including leases increased to SEK 323 million; equity/assets ratio at 49%.

Outlook and guidance

• Gradual market improvement expected, with profitability focus continuing into 2025.

• Financial performance improvements anticipated in the second half of 2025.

• Increased customer activity in renovation, especially in Sweden and Norway; new build and Danish markets remain weak.

• Long-term demand for renovation and home environment investments expected to support growth.

• Dividend distribution targeted for next year.