Infranord (I) Q4 2024 earnings summary

Executive summary

• Record net sales of 5,292 MSEK for 2024, up 2% year-over-year, but operating profit fell to -36 MSEK from 175 MSEK due to loss-making projects in Norway and a negative legal ruling in Sweden.

• Order intake reached 5,365 MSEK, the third highest in company history, with year-end order backlog at 7,551 MSEK, providing a strong base for 2025.

• Swedish operations improved results, while Norwegian operations faced profitability challenges; transformation efforts are ongoing.

• Board proposes no dividend for 2024, compared to 65 MSEK last year.

Financial highlights

• Q4 2024 net sales were 1,437 MSEK, down 7% year-over-year; operating result -82 MSEK vs. 44 MSEK.

• Full-year net income was -54 MSEK, down from 130 MSEK in 2023.

• Cash flow from operations improved to 91 MSEK from -237 MSEK year-over-year.

• Return on equity dropped to -6.1% from 14.0%; equity ratio declined to 27.8% from 36.0%.

• Net debt increased to 844 MSEK (368 MSEK in 2023); Net debt/EBITDA rose to 4.80 from 0.99.

Outlook and guidance

• Positive market outlook in Sweden due to increased government funding for rail maintenance; several major project starts expected in 2025.

• Norwegian market stable, with focus shifting to reinvestment and maintenance rather than new builds.

• New contracts in 2025, including Kust till kustbanan Väst (498 MSEK) and Oslo track renewal (400 MNOK), will boost order intake.