H&D Wireless Sweden (HDW) Q2 2025 earnings summary

Executive summary

• Net sales in Q2 2025 dropped 84% year-over-year to 1.9 MSEK, with EBITDA at -2.8 MSEK and EBIT at -5.3 MSEK, reflecting a sharp decline in order intake and high financing costs.

• The company completed a major restructuring, now operating with a single subsidiary focused on RF/IoT modules and devices, and exited non-core product lines.

• Strategic partnerships with Avnet and Arrow Electronics are expected to drive future growth, despite current market headwinds.

Financial highlights

• Q2 2025 net sales: 1.9 MSEK (down from 11.6 MSEK in Q2 2024); net sales excluding non-recurring items: 1.2 MSEK.

• EBITDA for Q2: -2.8 MSEK (Q2 2024: -1.2 MSEK); EBIT: -5.3 MSEK (Q2 2024: -6.7 MSEK).

• Net result after financial items: -4.4 MSEK (Q2 2024: -7.5 MSEK).

• Cash and cash equivalents at period end: 0.5 MSEK; equity: 5.1 MSEK; equity ratio: 38%.

• Year-to-date (H1 2025) net sales: 7.6 MSEK (down 13% year-over-year); EBITDA: -3.3 MSEK (improved from -9.2 MSEK in H1 2024).

Outlook and guidance

• Focus remains on RF/IoT modules and ODM business, with expectations of increased sales from new and existing customers.

• Order backlog increased by 650 KSEK; 15 customers ramping up production could generate 135 MSEK over the next four years.

• The company is seeking new long-term financing partners after ending a previous investor collaboration.