Apotea (APOTEA) Q1 2025 earnings summary

Executive summary

• Achieved 15.2% year-over-year revenue growth in Q1 2025, with net revenue reaching SEK 1,754 million and EBIT margin rising to 5.3%, supported by stable demand and efficiency gains.

• Profit for the period increased to SEK 71.8 million, with EPS at SEK 0.69.

• Market share rose to 10.2%, outpacing the Swedish pharmacy market's 6.6% growth.

• Preparations for the Varberg fulfillment centre are on track, expected to boost capacity by 50% in summer 2025.

• Continued focus on efficiency, cost control, and technology, including AI-driven improvements.

Financial highlights

• Net revenue reached SEK 1,754 million, up 15.2% year-over-year.

• EBIT increased to SEK 92.4 million, with margin up to 5.3%.

• Gross margin improved to 27.7% (or 38.6% in some reports), supported by better purchasing terms.

• Operating cash flow rose to SEK 123 million, financing SEK 117 million in investments.

• Net debt increased to SEK 370.5 million, mainly due to leasing liabilities; net debt/EBITDA (excl. IFRS 16) at 0.2x.

Outlook and guidance

• Guidance for EBIT margin remains at 3-5%, despite Q1 outperformance above 5%.

• Preparations for the Varberg fulfillment centre and new Rx hub in Årsta/Stockholm are on track to increase capacity.

• Costs expected to rise as Varberg ramps up; long-term EBIT margin target is 7-8%.