Waystream Group (WAYS) DNB Carnegie Micro Cap Day Conference summary

Company overview and strategy

• Specializes in fiber network access switches and related products, with a strong presence in the Nordics and growing sales in Central Europe.

• Recent acquisition of Tellus Fiber expands product portfolio and enables cross-selling to new segments like data centers and enterprise.

• Differentiates through future-proof, user-friendly products, in-house hardware and software development, and EU-based production.

• Operates with an outsourced production and reseller model, supporting scalability and operating leverage.

• Focuses on city networks and operators, with recent frame agreements signed with major Nordic operators.

Financial performance and targets

• Achieved SEK 137 million in revenue last year, with profitability returning in 2025 after post-COVID challenges.

• Targets 20% CAGR sales growth and above 20% EBITDA margin over the next five years.

• Operator segment accounted for 35% of sales in 2025, expected to become the largest segment.

• Growth strategy is primarily organic, with acquisitions as a secondary option.

• Margin expansion expected through operating leverage and production cost reductions.

Market dynamics and outlook

• Fiber market in Europe is expanding, with household connections expected to double in coming years.

• Nordic region has high penetration but still significant growth potential, especially in operator segment.

• Replacement cycle for access switches is approaching, with much of the installed base over 10 years old.

• EU regulations and geopolitical tensions favor EU-based suppliers over Chinese competitors.

• Market share in city networks is strong, with increasing share in operator segment as replacements begin.