Zoomability (ZOOM) Q4 2024 earnings summary

Executive summary

• Q4 2024 saw an 18% increase in net sales to 2,333 tkr, with EBIT improving to -2 tkr from -2,951 tkr year-over-year.

• Full-year 2024 net sales declined 23% to 5,156 tkr, but EBIT loss improved by 22% to -6,440 tkr.

• Major strategic shift with a new JV in China, enabling growth with less capital tied up in production.

• Capital raises in 2024 fell short of targets, but new ownership and further unit option exercises expected to provide additional funding.

• Focus for 2025 is on product launches, distributor expansion, and leveraging the JV for new product development.

Financial highlights

• Q4 net sales: 2,333 tkr (up 18% YoY); EBIT: -2 tkr (improved from -2,951 tkr YoY); EPS: -0.01 kr (vs. -0.26 kr YoY).

• Full-year net sales: 5,156 tkr (down 23% YoY); EBIT: -6,440 tkr (improved from -8,205 tkr YoY); EPS: -0.42 kr (vs. -0.78 kr YoY).

• Cash flow from operations: -7,435 tkr (vs. -6,733 tkr YoY); cash flow from financing: 4,840 tkr (vs. 2,051 tkr YoY).

• Equity at year-end: 2,968 tkr (vs. 5,795 tkr YoY); total assets: 10,787 tkr (vs. 10,716 tkr YoY).

• Soliditet (equity ratio) dropped to 28% from 54% YoY.

Outlook and guidance

• Management expects continued sales growth in 2025, driven by the JV in China and new product launches.

• FDA registration in the US and launch of Zoom Uphill 2.0 in Sweden planned for late Q2 2025.

• Additional capital of 5-6 MSEK needed to fully execute expansion plans.