Image Systems (IS) Q1 2025 earnings summary

Executive summary

• Net sales increased slightly to SEK 39.0m compared to SEK 38.2m in Q1 2024, with a stable order backlog of SEK 107.5m despite a sharp drop in order intake to SEK 30.9m from SEK 56.1m.

• EBITDA declined to SEK 2.8m from SEK 4.4m, mainly due to Motion Analysis' transition to a subscription model, negative currency effects, and investments in new and existing markets.

• RemaSawco delivered strong results, driven by efficiency improvements and a favorable product mix, while Motion Analysis saw lower earnings due to the new business model and market caution.

• Net income was negative at SEK -2.5m, down from SEK -0.1m in Q1 2024.

Financial highlights

• Order intake: SEK 30.9m (Q1 2024: SEK 56.1m); Order backlog: SEK 107.5m (Q1 2024: SEK 91.8m).

• Net sales: SEK 39.0m (Q1 2024: SEK 38.2m); Gross margin: 72% (Q1 2024: 70%).

• EBITDA: SEK 2.8m (Q1 2024: SEK 4.4m); EBITDA margin: 6.6% (Q1 2024: 10.6%).

• EBIT: SEK -2.5m (Q1 2024: SEK 0.1m); EPS: SEK -0.03 (Q1 2024: SEK 0.00).

• Operating cash flow: SEK 10.6m (Q1 2024: SEK 3.2m); liquidity at period end: SEK 22.0m.

Outlook and guidance

• Management expects the transition to a subscription model in Motion Analysis to provide more stable revenue and improved profitability over time.

• RemaSawco is well positioned for future challenges and opportunities, focusing on service contracts and product development.

• The company maintains its long-term financial targets: EBITDA margin above 15% and equity ratio above 50%.