Lammhults Design Group (LAMM) Q1 2025 earnings summary

Executive summary

• Q1 2025 showed stable performance with 0.5% revenue growth to 210.1 MSEK compared to Q1 2024, and a significant improvement in adjusted EBIT to 0.9 MSEK from -9.6 MSEK.

• Order intake rose 11.9% year-over-year, with order backlog up 27.0% versus Q1 2024, reflecting strong momentum in both business segments.

• Cost control and efficiency measures, including an ongoing restructuring program, contributed to improved profitability and are expected to yield full benefits by late 2025.

Financial highlights

• Net sales: 210.1 MSEK (up 0.5% year-over-year); adjusted EBIT: 0.9 MSEK (from -9.6 MSEK); adjusted EBIT margin: 0.4% (from -4.6%).

• Gross margin improved to 35.7% (from 33.7%); adjusted gross margin: 35.9% (from 33.7%).

• Net income: 0.0 MSEK (from -9.9 MSEK); EPS: 0.00 SEK (from -1.17 SEK).

• Free cash flow including leasing: 1.4 MSEK (from -9.0 MSEK); available liquidity: 67.0 MSEK.

• Investments totaled 5.7 MSEK, mainly in production tools, property expansion, and digitalization.

Outlook and guidance

• The restructuring program is expected to deliver 30–40 MSEK in annual EBIT improvement after full implementation by Q4 2025.

• Management maintains a target EBIT margin of 8–10% and expects continued efficiency gains and cost savings.

• Market conditions remain subdued, but the group is positioned to benefit when demand recovers.