CTEK (CTEK) Q4 2025 earnings summary

Executive summary

• Achieved strong profitability and cash flow in Q4 2025, with gross margin rising to 63.2% from 49.8% year-over-year, despite lower turnover due to the end of a major contract and currency headwinds.

• Net sales for Q4 2025 reached SEK 209 million, with underlying sales stable year-over-year when excluding the discontinued General Motors EV business.

• Launched several new products, including premium boosters, expanded EV charger offerings, and CS ONE Wi-Fi, targeting both consumer and professional segments, with positive market feedback.

• Maintained strategic focus on organic growth, product innovation, and premium segments, with updated financial targets of SEK 2 billion net sales and 20% adjusted EBITA margin by 2028.

• Strong cash flow from operating activities supported a reduction in net debt/adjusted EBITDA to 1.2x from 1.8x, strengthening the financial position.

Financial highlights

• Q4 2025 net sales: SEK 209 million (down from SEK 279 million in Q4 2024), impacted by the end of the General Motors contract (SEK -46 million), currency headwinds (SEK -10 million), and weaker North American market (SEK -10 million).

• Q4 gross margin: 63.2% (up from 49.8%); Q4 adjusted EBITA: SEK 30 million (SEK 25 million); Q4 operating profit (EBIT): SEK 27 million (loss of SEK 69 million).

• Q4 cash flow from operating activities: SEK 131 million (up from SEK 59 million); net cash at SEK 118 million at quarter-end.

• EBITDA margin in Consumer Division at 40.4% for Q4, up from 38.1% last year, despite lower volumes.

• Professional Division net sales declined 45% in Q4, mainly due to ceased GM EVSE business; adjusted EBITDA margin improved to 1.8% (from -10.5%).

Outlook and guidance

• Gradual increase in sales expected in 2026, driven by new product launches and continued margin improvements.

• Positive outlook for 2026, with new product launches and foundation for growth; financial targets reaffirmed: SEK 2 billion net sales and 20% adjusted EBITA margin by 2028.

• No significant short-term impact expected from EU policy changes on EV adoption; plug-in hybrids seen as a growth area.

• No dividend proposed for 2025 to prioritize growth and business development.

• Strategic targets include >1,000 MSEK in premium charger sales and >50 MSEK from German and UK EVSE sales in coming years.