Synsam Group (SYNSAM) Q1 2025 earnings summary

Executive summary

• Organic growth reached 12.8% year-over-year, with net sales rising 12.3% to 1,708 MSEK and like-for-like growth of 8.9%.

• Synsam Lifestyle subscriptions rose 12.5% to 928 MSEK, with the customer base growing to 858,000 and churn rate at 2.84%.

• Cash business net sales increased 12.0% to 780 MSEK, representing 53% of total net sales.

• Profit after tax increased 54.8% to 87 MSEK, and EPS rose to 0.60 SEK from 0.38 SEK.

• Market share gains in Norway and Finland, while Denmark and Sweden saw lower or negative organic growth.

Financial highlights

• EBITDA increased 4.6% to 375 MSEK, with an EBITDA margin of 21.6% (down from 23.3%).

• EBITA was 206 MSEK (margin 11.9%), EBIT 174 MSEK (margin 10.0%).

• Gross margin was 74.1%, down from 75.7%, mainly due to a 28 MSEK negative effect from lens stock valuation.

• Cash flow from operating activities rose to 310 MSEK from 218 MSEK year-over-year.

• Net debt/Adjusted EBITDA improved to 1.83 from 1.86.

Outlook and guidance

• Ongoing investments in Sweden and regulatory headwinds in Denmark are expected to impact results.

• The company targets annual organic growth of 8–12% and an adjusted EBITDA margin of 25% or more in the medium term.

• Fewer new store openings planned in 2025–2026 to calibrate growth and profitability.

• Full implementation of Synsam EyeView in Sweden expected by summer 2025, with anticipated cost and capacity benefits.

• Strong development anticipated in Norway and continued robust performance in Finland.