Paxman (PAX) Q1 2026 earnings summary

Executive summary

• Q1 2026 net sales reached 89.6 MSEK, up 33.5% year-over-year, with 18.9 MSEK from Dignitana sales post-acquisition and organic growth over 30% from Q1 2025.

• EBITDA was 10.5 MSEK, positively impacted by acquisition synergies and well-managed costs, with Dignitana contributing 5.8 MSEK.

• Integration of Dignitana is largely complete, with further cost savings expected in operating expenses.

• U.S. insurance-based billing model maintained strong sales, with momentum building as more sites sign up and state legislation supports coverage.

• Net result improved to -0.1 MSEK from -5.5 MSEK year-over-year; EPS at -0.01 SEK.

Financial highlights

• Net sales: 89.6 MSEK (Q1 2025: 67.1 MSEK), 33.5% increase.

• EBITDA: 10.5 MSEK (Q1 2025: 10.4 MSEK); EBITDA margin 11.8%, rising to 17% when excluding SEK 4.5 million in CIPN-related investments.

• Operating profit: 0.2 MSEK, affected by 5.3 MSEK goodwill amortisation.

• Cash and cash equivalents: 106.1 MSEK at period end.

• Cash flow from operating activities: -2.2 MSEK, mainly due to timing effects in receivables and invoicing.

Outlook and guidance

• Focus on expanding insurance-based billing in the US, leveraging new CPT® Category I codes.

• Commercialisation of the new neuropathy (CIPN) product expected in Q4 2026, with initial production and pilots in Q2.

• Continued investment in CIPN expected to total another SEK 20 million by year-end, considered manageable and expected to yield strong ROI.

• Rest of world markets show scattered but positive growth, with strategic investments planned as U.S. ROI is realized.

• No formal guidance provided, but gradual cost reductions from Dignitana and increased CIPN commercialization spending anticipated.