Polygiene (POLYG) Q2 2025 earnings summary

Executive summary

• Second quarter saw a 12% year-over-year sales decline to SEK 31.9 million, mainly due to tariffs, currency effects, and production disruptions.

• Gross margin dropped to 63% from 65% year-over-year, primarily due to currency impacts and customer mix.

• EBITDA was negative SEK 1.2 million, with currency effects accounting for SEK -1 million; adjusted EBITDA was nearly breakeven.

• Strategic partnership in the U.S. healthcare sector announced, expected to generate annual volume of SEK 30 million.

• Ongoing innovation projects and new product launches, such as StayCool and ShedGuard, are showing promising early results.

Financial highlights

• Net sales: SEK 31.9 million (Q2 2025), down 12% year-over-year, with 7% of the drop due to foreign exchange.

• Gross margin: 63% (Q2 2025) vs. 65% (Q2 2024).

• EBITDA: SEK -1.2 million (Q2 2025) vs. SEK 2.6 million last year; EBIT: SEK -2.6 million vs. SEK 1.2 million.

• Cash flow was negative SEK 12.6 million, mainly due to dividend payout, tax payments, and inventory build-up; cash at period end was SEK 47.4 million, down from SEK 54.3 million last year.

• Earnings per share: SEK -0.11 (Q2 2025) vs. SEK -0.02 (Q2 2024).

Outlook and guidance

• Management views the setback as temporary, caused by external factors, with recovery expected but timing uncertain.

• Positive signals from some regions for Q3, with expectations of volume recovery.

• New products like StayCool and ShedGuard are expected to contribute meaningfully from next year onward.

• Long-term strategy and objectives remain unchanged, with ongoing innovation and customer engagement.