Zinzino (ZZ) Q2 2024 earnings summary

Executive summary

• Achieved 24% revenue growth in Q2 2024 to SEK 507.0 million compared to Q2 2023, with strong profitability and continued global expansion.

• Strategic acquisitions and partnerships, including Xelliss, Cleanthi Alpha-Olenic, and a letter of intent to acquire Zurvita, are driving growth and market presence.

• Focus remains on organic growth, efficiency, and expanding into new markets, with a clear strategy for further investments and M&A.

Financial highlights

• Q2 2024 revenue: SEK 507.0 million (+24% YoY); H1 2024 revenue: SEK 961.6 million (+20% YoY).

• Q2 gross profit: SEK 174.5 million (margin 34.4%); H1 gross profit: SEK 335.4 million (margin 34.9%).

• Q2 EBITDA: SEK 63.0 million (margin 12.4%); H1 EBITDA: SEK 114.7 million (margin 11.9%).

• Q2 net profit: SEK 48.1 million (margin 9.5%); H1 net profit: SEK 83.6 million (margin 8.7%).

• Cash flow from operating activities in Q2: SEK 91.1 million; cash and cash equivalents at period end: SEK 296.0 million.

Outlook and guidance

• Targeting at least 20% average annual sales growth and operating margin before depreciation/amortization above 10% for 2024-2026.

• Dividend policy set at a minimum of 50% of net profit, subject to liquidity and equity/assets ratio.

• Management expects continued growth, aiming for SEK 2 billion in annual revenue for 2024.