CellaVision (CEVI) Q1 2026 earnings summary

Executive summary

• Q1 revenue/net sales declined 14.6% year-over-year to SEK 166 million, mainly due to EMEA inventory adjustments and nearly 8% currency headwind.

• Organic sales decreased by 6.6% year-over-year, with EMEA experiencing a significant inventory adjustment at a key distributor.

• Americas showed strong double-digit organic growth (13%), while APAC grew 10% with increasing traction outside China.

• EBITDA margin dropped to 24% from 34% in Q1 2025, reflecting lower sales and gross profit.

• New product launches included the Bone Marrow Aspirate Application (CE marked) and a major software upgrade for the DI-60 platform.

Financial highlights

• Gross margin reached 68% (down from 70%), with increased amortization of capitalized development expenditures.

• Operating expenses rose to 51% of revenue (from 41%), mainly due to higher R&D spend and lower capitalization of development costs.

• Operating cash flow was SEK 62 million, with total cash flow at SEK 42 million and cash/equivalents of SEK 230 million.

• R&D expenses were nearly SEK 30 million, expected to decrease as more costs are capitalized in Q2/Q3.

• Profit before tax: SEK 28 million (down from SEK 53 million); earnings per share: SEK 0.94 (down from SEK 1.74).

Outlook and guidance

• EMEA instrument sales expected to improve in Q2, with no negative growth anticipated, though some inventory overhang may persist.

• Americas demand for large instruments remains robust; small instrument sales may still be affected by prior inventory build-up and tariff uncertainties.

• Bone marrow application expected to contribute 0–2% to company growth in H2 2026; FDA 510(k) clearance targeted for mid-to-late 2026.

• Demand for digital cell morphology solutions remains strong, supporting a confident but measured growth outlook.

• Revenue from the new Bone Marrow Aspirate Application expected to pick up in the second half of the year.