Spotlight Group (SPGR) Q2 2024 earnings summary

Executive summary

• Achieved a positive quarterly result after a period of losses, with Q2 2024 net profit of 1.0 MSEK compared to -2.6 MSEK in Q2 2023, driven by cost savings and divestment of Shark Communication.

• Ongoing cost-saving programs have significantly reduced operating expenses, and the company expects full effect by Q4 2024.

• Strategic focus on core businesses and selective investments to broaden product offerings, including the launch of ETP trading and planned CCP clearing.

Financial highlights

• Q2 2024 net revenue: 39.4 MSEK (down 5.3% year-over-year, excluding divested units); H1 2024 net revenue: 71.3 MSEK (down 11.3%).

• Q2 2024 operating result: -0.5 MSEK (improved from -3.1 MSEK in Q2 2023); H1 2024 operating result: -4.1 MSEK.

• Q2 2024 result after tax (continuing operations): -0.9 MSEK (Q2 2023: -2.6 MSEK); H1 2024: -3.4 MSEK.

• Earnings per share (continuing operations, Q2 2024): -0.15 SEK (Q2 2023: -0.43 SEK); H1 2024: -0.56 SEK.

• Cash flow from operating activities in H1 2024: 1.5 MSEK (H1 2023: -0.6 MSEK).

• Equity at period end: 61.2 MSEK; liquidity: 26.4 MSEK.

Outlook and guidance

• Management expects the second half of 2024 to be better than the first, with continued impact from cost-saving measures and new business initiatives.