NOVOTEK (NTEK) Q2 2025 earnings summary

Executive summary

• Revenue for Q2 2025 increased to SEK 123.6m from SEK 110.1m year-over-year, but operating profit declined to SEK 7.8m from SEK 13.0m due to lower margins and internal investment costs.

• Net income for Q2 2025 was SEK 5.3m, down from SEK 10.0m year-over-year; EPS was SEK 0.4 (0.9) per share.

• Order intake for Q2 was SEK 114.0m, slightly below last year, while cash flow from operations was SEK 10.1m (12.2m).

• H1 2025 revenue reached SEK 243.7m (227.4m), with operating profit at SEK 22.1m (29.8m) and net income at SEK 15.4m (23.1m).

• Market uncertainty and delayed customer investment decisions impacted results; internal initiatives and a minor acquisition in France were completed.

Financial highlights

• Q2 2025 operating margin was 6.3% (11.8%), and H1 2025 margin was 9.0% (13.1%).

• Cash flow from operations for H1 2025 was SEK 29.8m (39.8m); liquidity at period end was SEK 128.0m (109.1m).

• No interest-bearing debt to credit institutions at period end.

• Equity ratio improved to 39.8% (38.8%).

• Order intake for H1 2025 was SEK 260.4m (239.5m).

Outlook and guidance

• Continued strong market interest in digitalization and cybersecurity solutions, especially related to EU NIS2 directive.

• Macroeconomic uncertainty is prolonging customer decision processes.