Nilörngruppen (NIL) Q4 2023 earnings summary

Executive summary

• Q4 order intake rose 12% YoY to MSEK 256; revenue grew 3% to MSEK 204, including 3% organic growth adjusted for currency effects.

• FY order intake fell 16% to MSEK 828 and revenue fell 8% to MSEK 870; currency-adjusted revenue declined 10% organically.

• FY operating profit was MSEK 63.0 vs 136.4, with net profit of MSEK 39.4 vs 101.0; Q4 operating profit was MSEK 9.2 vs 14.3.

Financial highlights

• Q4 gross profit was MSEK 91.3 vs 87.6; gross margin improved to 44.9% from 44.0%.

• Q4 net profit was MSEK 5.7 vs 9.1; EPS was SEK 0.50 vs 0.80.

• FY gross margin was 43.6% vs 44.2%; operating margin was 7.2% vs 14.5%.

• FY EPS was SEK 3.45 vs 8.86; revenue was MSEK 869.8 vs 942.8.

• Q4 other operating income included a MSEK 2.9 adjusted purchase price for Bally Labels AG; personnel costs included ~MSEK 2.0 in one-time items.

Outlook and guidance

• Management expects normalization in Sport/Outdoor during the year as customer finished-goods inventories ease; activity is showing signs of recovery, though conditions remain mixed.

• Planned capacity investments in Bangladesh, Portugal and Vietnam, alongside intensified Nilörn: CONNECT investment, are intended to support continued expansion and digital growth.

• Investments will be pursued while maintaining a strong balance sheet; the dividend proposal reflects these investment plans.