Cheffelo (CHEF) Q4 2024 earnings summary

Executive summary

• Q4 2024 capped a year of growth, with net sales up 9.7% to MSEK 296.6 and EBIT up 82.5% to MSEK 29.4, driven by strong performance in Sweden and Norway and a return to growth in the active customer base.

• Full-year net sales rose 5.8% to MSEK 1,058.2, EBIT increased 36% to MSEK 41.7 (3.9% margin), and net profit climbed 68% to MSEK 32.4.

• Order frequency grew 7.3% and active customers increased 0.7% in Q4, with improvements in customer experience and retention.

• Board proposes a dividend of SEK 3.32 per share (MSEK 42.1), representing 100% of free cash flow (excluding working capital changes) and more than double the prior year.

Financial highlights

• Q4 net sales reached MSEK 296.6 (+9.7% YoY); full-year net sales at MSEK 1,058.2 (+5.8%).

• Q4 EBIT was MSEK 29.4 (margin 9.9%, +82.5% YoY); full-year EBIT at MSEK 41.7 (margin 3.9%).

• Q4 contribution margin: 32.3% (+0.5 pp YoY); full-year: 30.9%, exceeding the 30% target.

• Free cash flow for 2024 was MSEK 46.7, with a strong cash position of MSEK 114.2 and no interest-bearing debt except IFRS 16 leases.

• Q4 net profit: MSEK 24.5; full-year net profit: MSEK 32.4; Q4 EPS after dilution: SEK 1.90; full-year EPS after dilution: SEK 2.51 (+65%).

Outlook and guidance

• Net sales growth in 2025 expected to align with financial targets, aiming to exceed BSEK 1.2 in 2026.

• High single-digit to low double-digit growth anticipated in Sweden and Norway for Q1 2025; Denmark expected to remain stable.

• Contribution margin target raised to above 31% for 2025; sales and marketing expenses targeted at 12% of net sales.

• EBIT margin expected to exceed the low end of the 4%-6% long-term target in 2025.

• Price increases of 2–3% across brands in December 2024 to support growth.