eEducation Albert (ALBERT) Q4 2023 earnings summary

Executive summary

• 2023 net sales rose 59% to SEK 195.1m, driven by acquisitions; organic growth was -3%. Focus shifted from growth to profitability, with EBITA loss narrowing to SEK 25.1m.

• Q4 EBITA was -SEK 1.1m, including SEK 9.2m of positive non-recurring items; excluding these, normalized EBITA was -SEK 10.3m.

• A profitability programme announced after year-end targets positive EBITDA for FY2025, alongside accelerated integration and organisational efficiencies.

Financial highlights

• Q4 net sales increased 41% YoY to SEK 48.3m; FY net sales increased 59% to SEK 195.1m.

• FY EBITA improved to -SEK 25.1m from -SEK 78.9m; Q4 EBITA improved to -SEK 1.1m from -SEK 22.8m.

• FY net loss narrowed to SEK 79.9m from SEK 97.7m; EPS was -SEK 3.18 vs. -SEK 5.51. Q4 net loss was SEK 23.6m; EPS was -SEK 0.94.

• FY operating cash flow was -SEK 18.1m vs. -SEK 65.5m; cash and cash equivalents were SEK 80.5m at year-end.

• ARR reached SEK 188.2m, up 22% from SEK 154.7m.

Outlook and guidance

• Profitability programme targets positive EBITDA for FY2025; execution is planned for H1 2024.

• Restructuring takes effect 1 April 2024 and includes a 25–30 employee reduction, primarily in B2C, to improve efficiency and speed integration.

• Management expects continued improvement in 2024 and beyond, supported by a scalable organisation, integration and increased B2B focus.