High Coast Distillery (HIGHCO) Q3 2024 earnings summary

Executive summary

• Q3 2024 net sales reached 15.4 MSEK, down from 16.5 MSEK year-over-year, mainly due to timing of the annual whisky festival.

• EBITDA for Q3 was 6.1 MSEK (6.3 MSEK last year); operating income was 4.3 MSEK (4.6 MSEK last year).

• Year-to-date net sales increased 3.6% to 45.0 MSEK, with pre-tax profit up 44% to 9.1 MSEK.

• Cash flow for Q3 was -2.2 MSEK, reflecting investments in warehouse and purification facilities.

• The company continues to strengthen its position with growing mature whisky inventory and successful international launches.

Financial highlights

• Q3 net sales: 15.4 MSEK (16.5 MSEK Q3 2023); YTD: 45.0 MSEK (43.4 MSEK YTD 2023).

• Q3 EBITDA: 6.1 MSEK (6.3 MSEK); Q3 operating income: 4.3 MSEK (4.6 MSEK).

• Q3 net income: 2.8 MSEK (3.1 MSEK); EPS before dilution: 0.49 SEK (0.54 SEK).

• YTD EBITDA: 16.6 MSEK (13.0 MSEK); YTD net income: 7.2 MSEK (5.0 MSEK).

• Q3 cash flow: -2.2 MSEK (2.4 MSEK); YTD cash flow: -2.1 MSEK (-6.0 MSEK).

Outlook and guidance

• Management expects a positive end to 2024 and continued growth in 2025, supported by increased mature whisky inventory and strong brand positioning.

• Some export market order delays persist due to global economic and geopolitical uncertainty, but domestic and international demand remains robust.