NGS Group (NGS) Q2 2025 earnings summary

Executive summary

• EBITA turned positive at 0.1 MSEK in Q2 2025, a significant improvement from -14.0 MSEK year-over-year, despite a 16% revenue decline due to a weakened healthcare staffing market.

• Net sales for H1 2025 decreased by 18% to 148 MSEK compared to the same period last year, with EBITA at 0.0 MSEK versus -20.6 MSEK.

• Cost control and focus on sales and marketing contributed to improved margins, while non-healthcare segments like executive search and interim consulting showed resilience.

Financial highlights

• Q2 2025 net sales: 72 MSEK (down 16% year-over-year); EBITA: 0.1 MSEK (from -14.0 MSEK); EBIT: 0.1 MSEK (from -64.0 MSEK); net result: -0.5 MSEK (from -61.4 MSEK); EPS: -0.02 SEK (from -3.14 SEK).

• H1 2025 net sales: 148 MSEK (down 18% year-over-year); EBITA: 0.0 MSEK (from -20.6 MSEK); EBIT: 0.0 MSEK (from -70.6 MSEK); net result: -1.4 MSEK (from -67.5 MSEK); EPS: -0.05 SEK (from -4.73 SEK).

• Q2 operating cash flow: 2.4 MSEK (from -11.0 MSEK); H1 operating cash flow: -7.8 MSEK (from -17.4 MSEK).

• End of Q2 2025: cash and equivalents at 4.9 MSEK (from 21.8 MSEK); unused credit facility at 11.6 MSEK.

Outlook and guidance

• Management remains optimistic for H2 2025, expecting improved profitability as market understanding of margin needs increases.

• Strategic focus on digitalization, offering development, and marketing to support long-term growth and financial targets.

• Financial targets: 10% organic and acquired sales growth over time, 4% EBITA margin, 40–50% dividend payout ratio, net debt/equity max 50%.