C-RAD (CRAD) Q4 2024 earnings summary

Executive summary

• Q4 2024 order intake increased 13% to SEK 168 million, with strong service growth and APAC expansion, though full-year order intake declined 7% to SEK 486 million due to macroeconomic headwinds.

• Q4 revenue declined 12% year-over-year to SEK 121 million, but full-year revenue rose 10% to SEK 469 million, driven by APAC growth.

• EBIT for Q4 was SEK 20.4 million (margin 17%), up 77% year-over-year, and full-year EBIT margin was 15%.

• Supplied 1,900 systems worldwide in Q4, with SGRT established as standard of care.

• The Board proposes no dividend for 2024, prioritizing reinvestment.

Financial highlights

• Q4 gross profit was SEK 79.9 million, with a gross margin of 66%, up from 65% last year.

• Operating expenses decreased year-over-year to SEK 57.1 million, with Q4 2023 impacted by a SEK 13 million one-off expense.

• Q4 EBIT was SEK 20.4 million, up from SEK 11.5 million last year; Q4 net earnings were SEK 14.5 million, EPS SEK 0.43.

• Cash balance increased by SEK 32 million during the quarter, ending at SEK 151 million.

• Gross margin for 2024 was 68%, up from 65% in 2023.

Outlook and guidance

• Focus on growing the US market, strengthening EMEA performance, and capturing demand in APAC and LATAM.

• Continued investment in product innovation and sales organization to drive sustainable growth.

• EMEA outlook remains challenged due to macroeconomic conditions, especially in Germany.

• Monitoring geopolitical instability and inflation for potential business impact.