Momentum Group (MMGR) Q1 2025 earnings summary

Executive summary

• Revenue increased by 11% year-over-year to SEK 735 million in Q1 2025, mainly driven by acquisitions, with stable performance despite subdued demand and global uncertainties.

• Earnings and cash flow improved, supported by strong contributions from newly acquired companies and a decentralized structure.

• Maintained a high acquisition pace, supporting growth and financial flexibility.

• The Nordic business climate remained stable, with no direct impact from tariffs, though indirect effects may arise from customer caution.

• The group maintained a stable performance despite subdued demand and geopolitical uncertainty.

Financial highlights

• Revenue increased by 11% to SEK 735 million, with acquisitions contributing SEK 79 million (12% growth).

• EBITDA/EBITA for the quarter rose to SEK 76 million, with an EBITDA/EBITA margin of 10.3% (down from 11.3% last year).

• Operating profit was SEK 61 million (8.3% margin), down from 9.8% last year, partly due to SEK 3 million in relocation costs.

• Net profit for the quarter was SEK 44 million (SEK 0.85 per share), unchanged year-over-year.

• Cash flow from operating activities increased to SEK 92 million, up from SEK 61 million in Q1 2024.

Outlook and guidance

• The organization is well-prepared for economic slowdowns, with action plans in place for each company.

• The aim is to achieve at least 15% annual EBITDA/EBITA growth, targeting SEK 340 million by fiscal year 2026.

• Continued high acquisition pace is planned, supported by strong cash flow and financial flexibility.

• The market remains uncertain due to tariffs, inflation, currencies, and interest rates, but management remains optimistic and sees opportunities for further expansion.