Zinzino (ZZ) Q1 2025 earnings summary

Executive summary

• Achieved 59% year-over-year revenue growth in Q1 2025, reaching SEK 723.7 million, with strong profitability maintained despite margin pressure.

• Growth driven by organic expansion, successful integration of acquired businesses, and favorable wellness trends.

• Completed the acquisition of Zurvita in the US and Valentus Global in Europe, expanding distribution and product portfolio.

• Launched New Zealand as a new market and continued global expansion, with China and the Philippines upcoming.

• Board proposes a dividend of SEK 4.00 per share for FY 2024, up from SEK 3.00, totaling SEK 143.1 million.

Financial highlights

• Total revenue: SEK 723.7 million (Q1 2025), up 59% from SEK 454.5 million (Q1 2024).

• Gross profit: SEK 223.6 million, gross margin 30.9% (down from 35.4%).

• EBITDA: SEK 78.8 million, EBITDA margin 10.9% (down from 11.4%).

• Net earnings: SEK 56.0 million, net margin 7.7%.

• Cash flow from operating activities: SEK 21.1 million (improved from -1.7 million).

Outlook and guidance

• Targets average sales growth of at least 20% and operating margin before depreciation above 10% for 2025–2027.

• Dividend policy: at least 50% of net earnings, subject to liquidity and equity ratio.

• Continued focus on global expansion, product development, and M&A to drive growth.

• Ongoing investments in new markets, technology, and products expected to support future growth.

• Patience and long-term perspective emphasized for new market entries, especially in Asia.