Investeringsselskabet af 3. November 2025 (3NOV25) Q2 2025 earnings summary

Executive summary

• Revenue grew 13% year-over-year to DKK 139 million in H1 2025, driven by strong Minerals segment performance and large OCP projects in Morocco, despite subdued market conditions, especially in Fasteners in Northern Europe.

• EBIT declined 34% to DKK 6.7 million, mainly due to lower-margin plant sales, increased capacity costs for OCP project delivery, and delayed project starts.

• Net profit dropped to DKK 0.8 million from DKK 6.0 million, impacted by lower operating profit and discontinued activities.

• Order backlog surged 215% to DKK 189.7 million, mainly from OCP contracts and growth in other business areas.

• Company now focuses on Vibration after divesting Concrete in December 2023, serving Recycling, Minerals, and Fasteners segments internationally.

Financial highlights

• Gross profit increased 3.8% to DKK 36.3 million, but gross margin declined by 2.2 percentage points to 26.1% due to a higher share of lower-margin plant sales.

• EBIT margin before special items decreased to 4.8% from 8.2% year-over-year.

• Plant sales rose 20.3% to DKK 104.3 million, while aftersales decreased 5.4% to DKK 34.7 million.

• Cash flow from operating activities was positive at DKK 26.9 million, compared to negative DKK 23.3 million in the prior year, driven by OCP project prepayments.

• Earnings per share dropped to DKK 0.25 from DKK 1.94.

Outlook and guidance

• Full-year 2025 guidance maintained: revenue growth of 30–40% and EBIT before special items of DKK 27–31 million.

• Achieving guidance requires significant H2 growth, supported by a strong order backlog and OCP project ramp-up.

• Guidance subject to higher uncertainty from geopolitical turmoil, European market conditions, and timing of OCP deliveries.