Stratec (SBS) Q1 2025 earnings summary

Executive summary

• Consolidated sales increased by 12.0% year-over-year to €60.4 million, driven by strong demand for software solutions and product lifecycle management.

• Adjusted EBIT margin rose by 350 basis points to 8.9% compared to Q1/2024, reflecting improved profitability.

• Spare Parts and Consumables division posted double-digit growth, while Systems business saw a moderate sales decline.

• New cooperations and advanced negotiations for extending product lifecycles and cybersecurity solutions supported growth.

Financial highlights

• Adjusted EBITDA increased to €9.3 million (Q1/2024: €6.6 million); margin improved to 15.4%.

• Adjusted EBIT rose to €5.4 million (Q1/2024: €2.9 million), up 83.6% year-over-year.

• Adjusted consolidated net income reached €3.2 million, nearly tripling from €1.1 million in Q1/2024.

• Adjusted EPS was €0.26, up from €0.09; reported EPS was €0.12, up from €0.02.

• Figures adjusted to exclude PPA amortization and non-recurring items such as advisory and restructuring expenses.

Outlook and guidance

• 2025 guidance confirmed: constant-currency sales growth expected in low to mid single-digit percentage range.

• Adjusted EBIT margin forecasted at 10.0% to 12.0% for 2025 (2024: 13.0%).

• Significant earnings growth from Development and Services expected in Q4/2025.

• Investments in property, plant, equipment, and intangibles budgeted at 8.0% to 10.0% of sales.