SP Group (SPG) Q1 2025 earnings summary

Executive summary

• Achieved record Q1 2025 revenue and profit, with revenue up 8.8% to DKK 786 million and strong growth in Healthcare and own brand products.

• Healthcare segment expanded significantly, now representing 43% of revenue, driven by new contracts and investments.

• Opened a new injection molding plant in Atlanta, USA, with ISO 13485 certification and Class 8 cleanroom, supporting medical device production and future growth.

• Launched a DKK 40 million share buyback program to reduce share capital.

• International sales rose 8.1%, with Danish sales up 10.6%; organic growth in local currencies was 7.9%.

Financial highlights

• EBITDA rose 12% to DKK 166 million; EBIT up nearly 19% to DKK 117 million; EBT up 19.2% to DKK 101 million.

• Earnings per share increased 19% to DKK 6.51.

• Cash flow from operations was DKK 131 million; DKK 58 million invested, mainly in the U.S. plant.

• Net interest-bearing debt reduced to DKK 764 million (1.3x EBITDA); equity ratio improved to 54.9%.

• Dividend of DKK 4.00 per share paid in April 2025.

Outlook and guidance

• Maintains full-year 2025 guidance: revenue growth of 3–10%, EBITDA margin 19–21%, EBIT/EBT margin 11–13%.

• Expects continued strong growth in Healthcare, with ongoing investments in medical production capacity in the US and Poland.

• Management expects slower growth for the remainder of 2025 due to geopolitical and trade uncertainties.

• NIBD/EBITDA expected to remain below 2.0 by year-end.