Novedo (NOVEDO) Q4 2024 earnings summary

Executive summary

• Net sales grew 11.8% year-over-year to SEK 3,026.9 million, with 3.7% organic growth, driven by acquisitions and strong infrastructure segment performance.

• EBITA increased 12.0% to SEK 304.8 million, maintaining a 10.1% margin despite a challenging market.

• Cash flow from operating activities improved to SEK 122.0 million, and the group expanded internationally, with 27.9% of sales outside Sweden.

• Three acquisitions completed, including the first in Norway, and significant refinancing activities undertaken.

Financial highlights

• Q4 net sales rose 11.5% to SEK 854.1 million, with 5.5% organic growth.

• Full-year EBITA margin held at 10.1%; EBITDA margin at 13.3%.

• Profit after tax for the year was SEK -187.6 million, with EPS at SEK -11.48.

• Equity/assets ratio declined to 6.6% from 12.6% year-over-year.

Outlook and guidance

• Market conditions expected to remain challenging in 2025, with demand varying by segment and geography.

• Management anticipates gradual improvement as fiscal and monetary policy becomes more expansionary.

• Growth opportunities identified in both existing and new markets, with several acquisitions under evaluation.