Inission (INISS) Q4 2024 earnings summary

Executive summary

• Q4 sales declined 4% to SEK 531.2 million, with organic sales down 11.9% after adjusting for the AxxE acquisition; order intake for Q4 rose to SEK 761.3 million, reflecting strong recovery despite weak demand.

• Q4 EBITDA was SEK 17.8 million, SEK 13.4 million lower year-over-year, and EBITA was SEK 17.8 million, impacted by SEK 4.8 million in one-time costs for the Nasdaq Stockholm main list transfer.

• Full-year revenue reached SEK 2.15 billion, with EBITDA at SEK 125 million and EBITA at SEK 124.9 million; organic sales dropped SEK 191 million year-over-year.

• Cost reductions are ongoing, especially in fixed costs and overhead, with full effects expected by Q2 2025.

• The AXXE AS acquisition contributed SEK 43.3 million to Q4 sales and SEK 146.2 million to full-year sales.

Financial highlights

• Q4 net sales were SEK 531.2 million; full-year net sales SEK 2,149.7 million.

• Q4 EBITA margin was 3.4%, and full-year EBITA margin was 5.8%, down from 7.4% last year.

• Q4 EPS dropped from SEK 0.6 to SEK 0.4; full-year EPS was SEK 3.3.

• Book-to-bill ratio reached 1.4 in Q4, indicating strong order intake.

• Strong Q4 cash flow from operations at SEK 69.9 million; full-year adjusted cash flow SEK 166 million after COVID loan repayment and factoring changes.

Outlook and guidance

• 2025 revenue target set at SEK 2.2 billion, with EBITDA margin above 6%.

• Market recovery is expected in H2 2025, with improved order intake and more optimistic customer signals.

• Full cost savings from efficiency measures are anticipated to materialize in Q2 2025.

• Net debt/EBITDA target below 2.5; equity ratio around 30%.

• Margin guidance is conservative due to volume uncertainty; improvement expected if demand recovers in H2.