Candles Scandinavia (CANDLE) Q3 24/25 earnings summary

Executive summary

• Revenue for Q3 (Nov 2024–Jan 2025) increased 33% year-over-year to SEK 54.8m, with organic growth of 40.4% excluding phased-out reseller operations.

• EBITDA for Q3 was SEK -3.1m, down from SEK -0.9m last year, mainly due to higher personnel costs to address delayed orders and production ramp-up.

• Net income for Q3 was SEK -4.4m, compared to SEK -2.8m last year; EPS was SEK -0.51 vs. SEK -0.32.

• For the nine months (May 2024–Jan 2025), revenue was SEK 145.5m (+0.9% YoY), with EBITDA at SEK -0.3m (vs. SEK 9.3m), and net income at SEK -4.9m (vs. SEK 0.7m).

• The company expects improved profitability as automation issues are resolved and personnel costs per unit decrease in the next fiscal year.

Financial highlights

• Q3 revenue: SEK 54.8m (SEK 41.1m last year); nine months: SEK 145.5m (SEK 144.1m).

• Q3 EBITDA: SEK -3.1m (SEK -0.9m); Q3 EBIT: SEK -3.7m (SEK -1.5m).

• Q3 net income: SEK -4.4m (SEK -2.8m); nine months net income: SEK -4.9m (SEK 0.7m).

• Cash and cash equivalents at period end: SEK 0.4m (SEK 22.8m last year).

• Equity ratio: 68% (79% last year); cash liquidity: 213% (683%).

Outlook and guidance

• Management anticipates significant reduction in personnel cost per unit and improved profitability starting Q1 next fiscal year as automation stabilizes.

• Continued organic growth and new international customer wins expected, driven by sustainability and product quality.