Elmera Group (ELMRA) Q4 2024 earnings summary

Executive summary

• Delivered strong Q4 2024 results with adjusted net revenue of NOK 486 million, up 3% year-over-year, and stable adjusted EBIT despite a 9% volume drop from mild weather, offset by product management and margin improvements.

• Achieved all 2024 financial targets, with robust cash generation and a NOK 139 million gain from the sale of a 40% stake in Metzum AS.

• Proposed NOK 3.00 per share dividend for 2024, reflecting strong cash flow and asset sales.

Financial highlights

• Q4 2024 adjusted net revenue: NOK 486 million (up from NOK 474 million in Q4 2023); adjusted EBIT: NOK 154 million (down from NOK 157 million in Q4 2023).

• Full-year 2024 adjusted net revenue: NOK 1,793 million (up from NOK 1,733 million in 2023); adjusted EBIT: NOK 569 million (up from NOK 513 million in 2023).

• Gross revenue for Q4 2024 was NOK 3,351 million, down 35% year-over-year due to lower electricity prices.

• Basic EPS for Q4 2024: NOK 1.89 (NOK 0.81 in Q4 2023); full-year 2024: NOK 3.25 (NOK 1.77 in 2023).

• Operating expenses in Q4: NOK 332 million (NOK 317 million in Q4 2023); book equity ratio at year-end: 24%.

Outlook and guidance

• Net revenue growth targeted in all segments for 2025, with stable nominal adjusted opex and adjusted EBIT guidance of NOK 550–600 million.

• Dividend payout ratio remains at 80% of net income, adjusted for certain items.

• Optimistic about growth in Sweden and Finland, with minimal current market share.

• Main uncertainties include electricity demand, prices, customer churn, and competition.