Recyctec (RECY) Q1 2025 earnings summary

Executive summary

• Net sales for Q1 2025 were SEK 3.32 million, down 20% year-over-year due to a tough market, warmer weather, and fewer large orders.

• Operating loss improved to SEK -1.85 million from SEK -2.35 million, driven by higher gross margin and strict cost control.

• EPS improved to SEK -0.03 from SEK -0.20 year-over-year.

• Gross margin increased by 8 percentage points to 50% due to price adjustments, updated costing, and product mix changes.

• Finnish market agent partnership launched, generating new business inquiries.

Financial highlights

• Net sales: SEK 3,319,705 (Q1 2024: SEK 4,152,305).

• Operating income: SEK -1,850,008 (Q1 2024: SEK -2,345,640).

• Net income: SEK -3,441,382 (Q1 2024: SEK -2,605,173).

• Cash flow from operations: SEK -388,406 (Q1 2024: SEK -2,285,817).

• Cash and cash equivalents at period end: SEK 84,356.

Outlook and guidance

• Management maintains the goal of achieving positive cash flow within the next year, supported by cost savings and anticipated larger deals.

• Margins expected to remain strong due to product mix and price increases.