Athanase Innovation (ATIN) Q3 2024 earnings summary

Executive summary

• Net sales for Q3 2024 reached SEK 49.7m, up sharply from SEK 3.5m in Q3 2023, driven by Ivisys product deliveries.

• Operating result (EBIT) for Q3 was SEK -28.1m, down from SEK -15.4m year-over-year, impacted by negative value changes in securities and one-off costs.

• Board initiated a strategic review, cost savings of SEK 5m annually identified, and decided to discontinue the Industrial Tech fund.

• Proposal for a voluntary redemption program at SEK 24 per share, a premium to recent trading prices, to be decided at an EGM on November 5, 2024.

• Board intends to propose delisting from Nasdaq First North Growth Market in Q4 2024.

Financial highlights

• Q3 2024 net sales: SEK 49.7m (Q3 2023: SEK 3.5m); 9M 2024: SEK 85.9m (9M 2023: SEK 3.5m).

• Value change from securities in Q3: SEK -16.3m (Q3 2023: SEK 6.0m); 9M 2024: SEK 32.4m (9M 2023: SEK 18.7m).

• Q3 operating result: SEK -28.1m (Q3 2023: SEK -15.4m); 9M 2024: SEK -23.7m (9M 2023: SEK -51.9m).

• Q3 EPS: SEK -1.07 (Q3 2023: SEK -0.35); 9M 2024: SEK -0.79 (9M 2023: SEK -1.41).

• Cash and cash equivalents at period end: SEK 426.2m (Q3 2023: SEK 537.6m).

Outlook and guidance

• Ivisys order book at Q3 end was SEK 53.3m, with a strong pipeline and new orders post-quarter.

• Board sees current market conditions for raising external capital for funds as very challenging; no new fund launches planned in near term.

• Focus remains on Ivisys, especially in the US market, with potential for external ownership if conditions improve.