Qflow (QFLOW) Q3 2024 earnings summary

Executive summary

• Net sales rose 68% year-over-year in Q3 2024 to SEK 205 million, driven by acquisitions and organic growth of 8%.

• EBITA increased 107% to SEK 29 million in Q3 2024, with pro forma adjusted EBITA up 11% to SEK 31 million.

• The group expanded to 18 companies through acquisitions in Sweden and Norway, notably Fire and Risk Engineering and Prodecon AS.

• A SEK 575 million bond offering was completed to fund future acquisitions and strengthen the financial position.

Financial highlights

• Q3 2024 net sales: SEK 205 million (up 68% year-over-year); EBITA: SEK 29 million (up 107%).

• January–September 2024 net sales: SEK 594 million (up 125% year-over-year); EBITA: SEK 88 million (up 175%).

• Pro forma net sales for Q3: SEK 213 million (up 5%); pro forma adjusted EBITDA: SEK 32 million (up 10%).

• Cash and cash equivalents at period end: SEK 631 million, up from SEK 77 million a year earlier.

• Cash flow from operating activities improved to SEK 10 million in Q3 2024 from SEK -13 million in Q3 2023.

Outlook and guidance

• Demand for engineering consulting remains stable, especially in infrastructure; building sector demand is weaker but offset by diversification.

• The group is positioned to capitalize on infrastructure investment trends in Sweden.