Magle Chemoswed (MAGLE) Q3 2024 earnings summary

Executive summary

• Achieved significant milestones in Q3 2024, including the completed merger with PK Chemical and near-finalization of the Amniotics merger, strengthening manufacturing and technology capabilities.

• Focus is now on integration, cost synergies, and long-term growth, with rebranding efforts underway for acquired entities.

• CDMO activities remain robust, and the DSM product line is progressing with new registrations and partnerships.

Financial highlights

• Q3 2024 net sales reached 64.6 MSEK, up from 36.3 MSEK year-over-year; EBITDA was 26.5 MSEK (4.8), and EBIT was 13.7 MSEK (1.5).

• Profit after tax for Q3 was 11.7 MSEK, compared to 0.5 MSEK in Q3 2023.

• Year-to-date (Jan–Sep 2024) net sales totaled 148.8 MSEK (113.1), EBITDA 38.8 MSEK (21.8), and EBIT 19.2 MSEK (12.1).

• Q3 results include a one-off extraordinary income from purchase price allocation (PPA) under IFRS; underlying performance remains strong excluding this effect.

• Excluding PPA, Q3 revenue was 69.9 MSEK (40.6), EBITDA margin rose to 23% (13%), and operating profit was 2.09 MSEK (1.5).

Outlook and guidance

• Integration of new businesses, cost synergies, and long-term growth are strategic priorities.

• DSM product line expected to benefit from new registrations and expanded partnerships.

• Confident in sustained growth as the group enters the final quarter of the year.