Mildef Group (MILDEF) Q4 2024 earnings summary

Executive summary

• Achieved the strongest quarter in company history with record highs in order intake, net sales, and order backlog for Q4 2024, driven by a strategic focus on defense and the acquisition of roda, expanding presence in Central Europe.

• Net sales for 2024 increased by 4.3% to SEK 1,201 million, with Q4 net sales up 18.3% year-over-year.

• Order intake surged 49.1% for the year to SEK 1,810 million, with Q4 order intake up 89.5% year-over-year.

• Free cash flow for 2024 was SEK 127.7 million, positive for the fifth consecutive quarter.

• The Board proposes a dividend of SEK 0.50 per share for 2024.

Financial highlights

• Q4 net sales reached SEK 418 million, up 18% year-over-year; full-year net sales at SEK 1,201 million, up 4%.

• Q4 order intake at SEK 773 million, up 89% year-over-year; full-year order intake at SEK 1,810 million, up 49%.

• Adjusted EBITA for the year was SEK 149.7 million (12.5% margin), up from SEK 140.2 million (12.2%).

• Gross margin for 2024 was 49%, with Q4 margin lighter due to product mix and framework contract deliveries.

• Free cash flow for the year was SEK 127.7 million, up from SEK 8.7 million in 2023.

Outlook and guidance

• Strong order backlog at SEK 2,055 million, up 55% year-over-year, supporting future sales and extending beyond 2027.

• SEK 1.1 billion in sales already secured for 2025, 37% higher than the same position last year.

• Management expects continued strong demand and multi-year defense sector ramp-up in core markets, driven by increased European defense budgets and modernization needs.

• No major CapEx planned for 2025 beyond a new Stockholm facility; CapEx to sales ratio expected to decrease.