Softronic (SOF) investor relations material

Executive summary

• Revenue grew 8.7% year-over-year to 915.8 Mkr, with 4.6% from acquisition and 4.1% organic growth.

• Operating margin declined to 9.1% from 11.9% year-over-year, with operating profit at 83.3 Mkr.

• Profit before tax fell to 84.3 Mkr from 102.9 Mkr, and net income was 66.7 Mkr versus 82.3 Mkr last year.

• Fourth quarter revenue rose 15.7% year-over-year to 245.5 Mkr, but profit before tax dropped to 19.2 Mkr.

• Growth driven by consulting business and acquisition, but results impacted by loss of major IT operations contracts and restructuring costs.

Financial highlights

• Full-year EBITDA was 104.4 Mkr, down from 114.6 Mkr; EBITDA margin at 11.4% versus 13.6%.

• Earnings per share for the year were 1.27 kr, down from 1.56 kr.

• Cash flow from operations was 85.2 Mkr, compared to 114.4 Mkr last year.

• Total liquidity at year-end was 134.3 Mkr; equity ratio at 61%.

• Board proposes a dividend of 1.35 kr per share, unchanged from last year.

Outlook and guidance

• Positioned for gradual improvement in results, with focus on quality, efficiency, and customer value.

• Ongoing efforts to win new IT operations customers, with sales cycles of 9–12 months.

• Strong financial position supports continued organic growth and acquisitions.