Enento Group (ENENTO) Q2 2025 earnings summary

Executive summary

• Q2 2025 net sales were EUR 38.6 million, down 1.7% at comparable FX but up 0.5% at reported rates, with stable Business Insight and continued growth in Norway and Denmark, while Consumer Insight declined.

• Adjusted EBITDA was EUR 13.0 million (margin 33.7%), down year-over-year but improved sequentially; free cash flow increased to EUR 6.6 million.

• New service launches in compliance, real estate, and ESG supported growth, especially in Sweden, Norway, Denmark, and Finland.

• IT infrastructure consolidation/server transitions completed in Finland and Sweden, supporting efficiency and security.

• CEO transition occurred in Q2 2025, with an interim CEO appointed and a search for a new CEO underway.

Financial highlights

• Adjusted EPS improved to EUR 0.30 (+3.8% year-over-year); net debt to adjusted EBITDA at 2.9x, within target range.

• Free cash flow improved by EUR 0.5 million year-over-year to EUR 6.6 million in Q2; cash conversion at 66.4%.

• Gross investments were EUR 1.5 million in Q2, lower than last year due to CapEx optimization.

• Q2 2025 operating profit (EBIT) was EUR 5.0 million, down from EUR 7.8 million in Q2 2024.

• Adjusted earnings per share for H1 2025 was EUR 0.54.

Outlook and guidance

• 2025 net sales expected between EUR 150–156 million; adjusted EBITDA between EUR 50–55 million, assuming current FX rates.

• Long-term targets: 5–10% annual sales growth, ~40% adjusted EBITDA margin, net debt/EBITDA below 3x, and new services at ~10% of net sales; timeline extended due to challenging environment.

• Focus remains on core services, commercialization of new offerings, profitability, free cash flow, and efficiency improvements.

• Dividend policy aims to distribute at least 70% of net profit, subject to business needs.