Glunz & Jensen Holding (GJ) H2 2024 earnings summary

Executive summary

• Revenue declined to DKK 131.0 million in 2024 from DKK 143.3 million in 2023, with gross profit margin improving to 26.3% from 22.2% year-over-year.

• EBITDA was DKK 9.5 million, down from DKK 10.8 million, impacted by a negative fair value adjustment of DKK 1.8 million on investment properties.

• Profit for the year was DKK 2.8 million, nearly flat compared to DKK 2.9 million in 2023; EPS remained at DKK 1.6.

• Free cash flow decreased to DKK 5.0 million from DKK 13.3 million year-over-year.

• No dividend distribution is proposed for 2024.

Financial highlights

• Gross profit increased to DKK 34.4 million (2023: DKK 31.9 million), with margin up to 26.3% (2023: 22.2%).

• Operating profit was DKK 7.9 million (2023: DKK 8.6 million); net financial expenses were DKK 4.6 million (2023: DKK 4.9 million).

• Cash flows from operating activities were DKK 6.6 million (2023: DKK 13.9 million); liquidity reserves at year-end were DKK 16.8 million (2023: DKK 11.7 million).

• Equity increased to DKK 104.4 million, solvency ratio improved to 49.2% (2023: 46.4%).

• Net interest-bearing debt reduced to DKK 70.5 million (2023: DKK 73.4 million).

Outlook and guidance

• 2025 revenue expected at approximately DKK 132 million; EBITDA at DKK 15 million; profit before tax at DKK 8 million, before fair value adjustments on investment property.

• Management targets an EBITDA margin of ~11% and profit before tax margin of ~6% for 2025.

• Free cash flow will be prioritized for business development, technology investment, and debt reduction.

• Outlook is subject to uncertainties from wars, inflation, and supply chain challenges.