Avtech Sweden (AVT) Q2 2025 earnings summary

Executive summary

• Net sales for Q2 2025 rose 38.3% year-over-year, reaching a record high, driven by new customer agreements despite a weaker USD/SEK exchange rate.

• Net income increased by 50.4% compared to Q2 2024, reflecting strong operational performance.

• Expansion of key agreements with TUI and Wizz Air significantly increased the addressable fleet, supporting future growth.

• Product development focused on operational efficiency, punctuality, and sustainability, with new features and apps launched in collaboration with major airline partners.

• Management team strengthened with new CCO and CTO appointments to support scaling and innovation.

Financial highlights

• Q2 2025 net sales: SEK 11.8M (Q2 2024: SEK 8.6M); H1 2025 net sales: SEK 22.3M (H1 2024: SEK 16.4M).

• Q2 2025 net earnings: SEK 4.1M (Q2 2024: SEK 2.7M); H1 2025 net earnings: SEK 7.8M (H1 2024: SEK 5.7M).

• ARR at Q2 2025: SEK 47.6M (Q2 2024: SEK 34.1M).

• Cash flow for Q2 2025 was negative SEK 2.8M, mainly due to a SEK 5.6M dividend payout.

• Equity at Q2 2025: SEK 49.3M; equity ratio: 91.9%.

Outlook and guidance

• Targeting significant revenue growth in 2025 and 2026, with a portion of earnings reinvested in product and organizational development.

• Strong pipeline of new customer agreements and product trials expected to drive further expansion.

• Management expects continued strong profitability and positive operating cash flow.