Svensk Bilprovning (SBP) Q2 2024 earnings summary

Executive summary

• Net sales increased to 274 MSEK in Q2 2024 from 253 MSEK in Q2 2023, mainly due to the SMP acquisition.

• Operating profit remained stable at 63 MSEK in Q2 2024, matching the previous year.

• Cash flow from operating activities was strong at 81 MSEK in Q2 and 101 MSEK for H1 2024.

• Result per share was 1279 SEK in Q2 2024, slightly down from 1303 SEK in Q2 2023.

• SMP contributed significantly to revenue growth but had limited impact on profit.

Financial highlights

• H1 2024 net sales rose to 468 MSEK from 416 MSEK year-over-year; SMP accounted for 43 MSEK of the increase.

• H1 operating profit was 44 MSEK, up from 43 MSEK year-over-year.

• H1 net profit reached 30 MSEK, compared to 28 MSEK in H1 2023.

• Cash flow from operations improved to 101 MSEK in H1 2024 from 73 MSEK in H1 2023.

• Investments totaled 18 MSEK in H1, mainly for maintenance at inspection stations.

Outlook and guidance

• Management expects continued cost optimization amid persistent inflation, though input prices remain elevated.

• Ongoing integration and development of SMP to meet strong demand for its services.

• Market competition remains high, but the company has strengthened its position in heavy vehicles.