Energy Save (ESGR) Q2 24/25 earnings summary

Executive summary

• Revenue for Q2 (Aug–Oct 2024) increased 46% year-over-year to 48.8 MSEK, driven by OEM business, especially the Aira partnership.

• EBIT for Q2 was -7.9 MSEK, with a margin of -15.1%, impacted by higher costs including product launches and trade fair participation.

• For May–Oct 2024, revenue rose 110% to 127.5 MSEK, with EBIT at -7.6 MSEK, showing improved results versus prior year.

• Expansion continued in Germany, Belgium, Luxembourg, and post-period in Italy, with new distributors and sales agents.

• R290 product series launched, supporting future growth and positioning in prioritized European markets.

Financial highlights

• Q2 net sales: 48.8 MSEK (up 46% YoY); EBIT: -7.9 MSEK; EPS: -1.2 SEK.

• May–Oct net sales: 127.5 MSEK (up 110% YoY); EBIT: -7.6 MSEK; EPS: -1.1 SEK.

• Gross margin on net sales in Q2: 25% (down from 31% YoY); May–Oct: 23% (down from 27%).

• Operating cash flow for May–Oct: -8.5 MSEK; cash position at period end: 48.3 MSEK.

• Equity ratio at period end: 73.4%.

Outlook and guidance

• Sales expected to remain at current levels in coming quarters, with gradual market recovery and stepwise growth in 2025.

• Focus for 2025 will shift from product development to sales and cost control in key growth markets.