Windon Energy Group (WEG) Q2 2024 earnings summary

Executive summary

• Net sales for Q2 2024 were 7,818 TSEK, down from 12,433 TSEK in Q2 2023, reflecting a challenging market and strategic shift toward larger projects.

• EBITA for Q2 2024 was -1,460 TSEK versus 3,589 TSEK in Q2 2023, impacted by one-off acquisition costs and board fees.

• Strategic focus shifted from private market to larger solar park projects, with new partnerships and product launches targeting commercial segments.

• Order signed post-quarter for a 2.2 MW solar park in Katrineholm, valued at 2.4 MSEK, to be delivered in Q3.

Financial highlights

• Q2 2024 net sales: 7,818 TSEK (Q2 2023: 12,433 TSEK); H1 2024: 15,231 TSEK.

• Q2 2024 EBITA: -1,460 TSEK (Q2 2023: 3,589 TSEK); EBITA margin: -18% (Q2 2023: 23%).

• Q2 2024 net result per share: -0.21 SEK (Q2 2023: 0.23 SEK); equity per share: 3.96 SEK.

• Cash flow from operations in Q2 2024: 547 TSEK; cash at period end: 4,651 TSEK.

• Equity ratio at June 30, 2024: 92% (June 30, 2023: 82%).

Outlook and guidance

• Company expects strategic shift to larger projects and new product launches to drive future growth.

• Anticipates increased demand as interest rates fall and private market recovers.

• Several new products with exclusive distribution rights in Sweden and Norway to be introduced in the next 12 months.