Festi (FESTI) Q4 2024 earnings summary

Executive summary

• Sale of goods and services grew 13.2–19.0% YoY in 2024, driven by the Lyfja acquisition and strong operational performance.

• EBITDA increased 13.6% for the year, reaching ISK 12,511 million, despite a one-off ISK 750M regulatory fine.

• Net profit for 2024 was ISK 4,018 million, with total comprehensive income up 182.9% YoY in Q4.

• Lyfja acquisition finalized in June 2024, contributing ISK 9,224 million in revenue and ISK 842 million in EBITDA from July onward; integration progressing well.

• ISK 750M regulatory fine paid following settlement with the Competition Authority for past disclosure violations.

Financial highlights

• 2024 revenue: ISK 154.5–156.7B (+13.2–13.4% YoY); Q4 revenue: ISK 41.9B (+19.0% YoY).

• 2024 EBITDA: ISK 12.5B (+13.6% YoY); Q4 EBITDA: ISK 3.0B (-6.1% YoY, impacted by fine).

• Basic EPS (2024): ISK 13.13 (+16.1% YoY); return on equity: 10.5%.

• Equity at year-end: ISK 43.5B; equity ratio: 37.9%.

• Dividend of ISK 3 per share paid in 2024; ISK 4.5 per share proposed for 2025.

Outlook and guidance

• Positive outlook for 2025 with expectations of lower inflation, interest rates, and a stable labor market.

• EBITDA guidance for 2025: ISK 14.4–14.8B; CAPEX forecast: ISK 4.8–5.2B.

• Focus on leveraging Lyfja synergies, digital sales growth, and ongoing development projects.