Ilkka (ILKKA2) Q1 2025 earnings summary

Executive summary

• Revenue grew 21.1% year-over-year to €9.4 million in Q1 2025, driven by the Profinder acquisition and strong growth in technology services.

• Adjusted operating profit from continuing operations was -€226k, nearly flat year-over-year; reported operating loss widened to -€1.4 million due to restructuring and acquisition costs.

• Major strategic shift: Ilkka and Kaleva merged their media businesses, with Ilkka now holding 35% of the new Kaleva365 Oy.

• Ilkka's focus is now on digital marketing, technology, and data services, with international growth targeted in Sweden and the Middle East.

Financial highlights

• Revenue from continuing operations: €9.4m (Q1 2024: €7.8m); adjusted operating profit: -€226k (Q1 2024: -€204k); reported operating loss: -€1.4m (Q1 2024: -€680k).

• Net result from continuing operations: -€1.3m (Q1 2024: €489k); EPS: -€0.05 (Q1 2024: €0.02).

• Net financial items dropped to €43k (Q1 2024: €1.45m) due to lower investment returns and higher interest expenses.

• Cash flow from operations: €5.6m (Q1 2024: €4.3m); investments: -€251k (Q1 2024: -€4.2m).

• Equity ratio: 84.6% (Q1 2024: 87.7%); net gearing: -7.9% (Q1 2024: -27.5%).

Outlook and guidance

• Revenue and adjusted operating profit from continuing operations expected to rise year-over-year in 2025.

• Results will be impacted by the new Kaleva365 Oy associate and Alma Media dividend income.