ECOMB (ECOMB) Q3 2024 earnings summary

Executive summary

• Net sales for Q3 2024 surged to 11,686 TSEK from 747 TSEK year-over-year, driven by the Enköping project, but higher costs led to a net loss after financial items of -4,364 TSEK compared to -1,669 TSEK last year.

• The Enköping project reached the commissioning phase but faced delays and cost overruns due to a key subcontractor's withdrawal.

• ECOMB switched its stock listing from Spotlight to NGM Nordic SME in November 2024 to reduce costs.

• A short-term financing solution of 5 MSEK was secured with major shareholders and SEB to strengthen liquidity.

• An extraordinary general meeting is scheduled for December 30, 2024, to approve a reverse stock split and reduce share capital to cover losses.

Financial highlights

• Q3 2024 net sales: 11,686 TSEK (Q3 2023: 747 TSEK); 9-month sales: 17,334 TSEK (2023: 4,727 TSEK).

• Q3 2024 net loss after financial items: -4,364 TSEK (Q3 2023: -1,669 TSEK); 9-month loss: -5,641 TSEK (2023: -1,090 TSEK).

• Cash and cash equivalents at Q3-end: 687 TSEK (2023: 331 TSEK).

• Equity at Q3-end: 265 TSEK (2023: 1,317 TSEK); short-term liabilities increased to 11,741 TSEK (2023: 1,359 TSEK).

• Result per share: -0.046 SEK (Q3 2023: -0.043 SEK); number of shares: 90,002,469 (2023: 38,422,802).

Outlook and guidance

• Uncertainty remains regarding final project costs and potential additional income from change orders in Enköping, which may affect full-year results.

• Ecotube Zero and Ocean Recycle's PFAS-reduction technology are positioned for future growth, but market adoption is slow.

• The company sees strong long-term prospects for both combustion and water treatment technologies, with a focus on building reference installations.