Concejo (CNCJO) Q4 2024 earnings summary

Executive summary

• Net sales for 2024 increased to 576.3 MSEK (535.2), but EBIT fell to -52.0 MSEK (7.5) and net income to -52.8 MSEK (13.2), mainly due to negative value changes in Concejo Ventures.

• Q4 net sales reached a record 160.6 MSEK (157.3), driven by acquired growth, but EBIT was -29.7 MSEK (14.8) due to weak performance in Concejo Ventures.

• No dividend proposed for 2024; Concejo Ventures to be dissolved as a standalone segment, and SAL Navigation to be reported as an associate from 2025.

Financial highlights

• Q4 EBIT: -29.7 MSEK (14.8); EBT: -35.8 MSEK (21.8); Net income: -37.4 MSEK (24.6); EPS: -2.67 SEK (2.63).

• Full-year EBIT: -52.0 MSEK (7.5); EBT: -50.1 MSEK (13.9); Net income: -52.8 MSEK (13.2); EPS: -3.97 SEK (1.39).

• Cash flow from operations remained negative; cash and short-term investments at year-end: 101.3 MSEK (176.8).

Outlook and guidance

• Firenor International expects long-term positive impact from investments and a record order book, but project lead times are long.

• Optronics Technology anticipates continued growth but at a slower pace; investments in new technology may weigh on short-term results.

• SBF Fonder is well positioned to attract new investors, especially internationally, despite a 10% decline in net sales.

• ACAF Systems expects improved order intake in 2025 after a weak 2024.

• Management remains cautious due to macroeconomic and geopolitical uncertainties.