Promimic (PRO) Q3 2024 earnings summary

Executive summary

• Net sales for Q3 2024 increased by 6% year-over-year to 10.7 MSEK, with a positive EBITDA of 119,000 SEK and ten new products approved for clinical use, marking a record for a single quarter.

• Royalty and license revenues grew 13% in Q3 and 37% on a rolling four-quarter basis, reflecting strong momentum in the core business.

• The company signed its first license agreement in the Extremities segment and expanded its team, supporting future growth.

Financial highlights

• Q3 2024 net sales: 10.7 MSEK (10.0 MSEK in Q3 2023); total operating income: 11.9 MSEK (10.7 MSEK).

• Operating result (EBIT): -1.2 MSEK (-0.9 MSEK); net result after tax: -1.6 MSEK (-0.9 MSEK); EPS: -0.08 SEK (-0.05 SEK).

• Cash flow for Q3: -2.4 MSEK (-1.3 MSEK); cash at period end: 35.6 MSEK (53.8 MSEK).

• For Jan–Sep 2024, net sales rose 17% to 31.3 MSEK; operating result: -7.2 MSEK (-5.7 MSEK); net result: -7.6 MSEK (-5.7 MSEK).

• Royalty and license revenues for the rolling four quarters: 17.8 MSEK (12.96 MSEK), up 37%.

Outlook and guidance

• Focus remains on commercial expansion in the US orthopedic implant market and strengthening production capacity to meet rising demand.

• The company targets 100 MSEK in sales and an EBITDA margin above 40% by 2026.

• Most newly approved products are expected to launch in the coming year, fueling future royalty and license income.