Fondia (FONDIA) Q2 2024 earnings summary

Executive summary

• Net sales for H1 2024 increased by 1.8% year-over-year to €13.8M, with growth in Finland (+5.5%) and the Baltics (+46.7%), but a decline in Sweden (-15.7%).

• Comparable EBITDA rose 10.6% to €1.3M and comparable EBIT increased 9.3% to €0.9M for H1 2024.

• Q2 2024 net sales declined by 3.0% year-over-year to €6.7M, mainly due to weaker performance in Finland and Sweden, partially offset by strong growth in the Baltics.

• Ongoing services accounted for 44% of net sales, and ongoing customers represented 76% of net sales in H1 2024.

• Non-recurring expenses of €84 thousand were recorded, related to management changes and restructuring in Sweden.

Financial highlights

• H1 2024 net sales: €13.8M (up 1.8% year-over-year); Q2 2024 net sales: €6.7M (down 3.0% year-over-year).

• H1 2024 comparable EBITDA: €1.3M (margin 9.7%); Q2 2024 comparable EBITDA: €0.6M (margin 9.5%).

• H1 2024 comparable EBIT: €0.9M (margin 6.6%); Q2 2024 comparable EBIT: €0.4M (margin 6.1%).

• Profit for the period: €0.6M (down 2.3% year-over-year); comparable profit: €0.7M (up 8.9%).

• Cash flow from operating activities: €1.5M; cash and cash equivalents at period end: €3.7M.

Outlook and guidance

• 2024 guidance unchanged: net sales expected at €27–29M, operating profit margin 7–10%.

• Market uncertainty continues to impact visibility and sales performance, especially in Finland and Sweden.