Litium (LITI) Q1 2025 earnings summary

Executive summary

• Achieved record new customer acquisition in Q1 2025, with strong growth in both revenue and customer base, setting a positive tone for the year.

• Focused on expansion and strategic recruitment, including a new CEO and CFO, to strengthen future growth and operational capacity.

• Migrated customers to Litium Commerce Cloud, impacting short-term results but expected to enhance long-term predictability and scalability.

Financial highlights

• Net sales increased by 6.7% to SEK 18.9 million compared to Q1 2024, with a gross margin of 68.3%.

• Annual Recurring Revenue (ARR) grew 3.1% year-over-year to SEK 73.3 million.

• EBITDA was SEK 3.8 million (down from SEK 4.0 million), with an EBITDA margin of 20.3%.

• EBIT was SEK -0.8 million (compared to SEK -0.3 million), and net result per share was SEK -0.05 (vs. SEK -0.02).

• Investments increased 3.5% to SEK 5.6 million; cash and cash equivalents at period end were SEK 7.7 million.

Outlook and guidance

• Strong new customer acquisition in Q1 is expected to significantly impact results for the remainder of the year.

• The company is well-positioned for continued growth, with a focus on becoming the leading B2B platform in Europe.

• Ongoing market expansion and product development are prioritized.