Nordisk Bergteknik (NORB) Q4 2024 earnings summary

Executive summary

• Net sales for 2024 decreased by 6% to SEK 3,305.2m, with Q4 sales up 1% to SEK 897m and organic growth of 2%.

• Adjusted EBIT margin for Q4 2024 was 3.7%, with full-year adjusted EBIT at SEK 122.1m (3.7% margin).

• Rock Sweden performed strongly, while Foundation Sweden improved despite weak housing; Rock Norway faced low activity and negative margins.

• The business is diversified across infrastructure, energy, real estate, and mining, focusing on short-term projects and low fixed-price exposure.

• No dividend is proposed for 2024.

Financial highlights

• Q4 adjusted EBITDA was SEK 115.1m (12.8% margin), and full-year adjusted EBITDA margin was 13.6%.

• Adjusted cash flow from operating activities was SEK 178m in Q4 and SEK 322m for the year.

• Net debt at year-end was SEK 1,447m, with a net debt/EBITDA ratio of 3.2x.

• Cash and cash equivalents at year-end were SEK 119m, with available liquidity of SEK 375m.

• Earnings per share for 2024 was SEK 0.17.

Outlook and guidance

• Management expects 2025 to be significantly better, driven by increased infrastructure demand and delayed projects starting.

• Q1 2025 is expected to be seasonally weak, but activity should rise as projects commence.

• Financial targets include annual net sales growth above 15% over a business cycle and an adjusted EBIT margin above 7% in the medium term.