Talenom (TNOM) Q1 2025 earnings summary

Executive summary

• Net sales increased by 4.9% year-over-year to EUR 35.7 million, with EBITDA up 12.5% to EUR 10.7 million, driven by strong performance in Finland and the completed separation of the Software business.

• The Software business was separated and reported as a distinct segment for the first time, with reported revenue of EUR 6.9 million (EUR 5.4 million comparable) in Q1.

• Finland saw net sales up 11.3% and profitability gains, while Sweden experienced a 14% decline due to higher customer churn; Spain's revenue remained stable as focus shifted to recurring customers.

• Operating profit (EBIT) increased 21.2% to EUR 4.7 million, and net profit grew 23.2% to EUR 2.5 million.

• EPS rose to EUR 0.06 from EUR 0.04.

Financial highlights

• Net sales: EUR 35.7 million (up 4.9% year-over-year); comparable net sales up 0.5%.

• EBITDA: EUR 10.7 million (29.9% of net sales); operating profit: EUR 4.7 million (13.1% of net sales).

• One-time EUR 1.5 million revenue boost in Software business due to revenue recognition change.

• Return on investment (ROI): 8.1% (up from 6.0%).

• Net investments: EUR 4.4 million (down 45.1% year-over-year); liquid assets: EUR 9.0 million.

Outlook and guidance

• 2025 guidance unchanged: net sales expected at EUR 130–140 million, EBITDA at EUR 36–42 million.

• Positive trends in customer acquisition and organic growth are expected to continue, especially in Finland and Spain.

• Strategy update progressing with focus on core businesses to accelerate results.

• Guidance includes potential acquisitions and continued industry consolidation.

• Demand in accounting services expected stable; market conditions in Finland and Sweden to improve in H2 2025.