LANDI RENZO (LNDR) Q3 2024 earnings summary

Executive summary

• Revenues for the first nine months of 2024 declined 10.6% year-over-year to €197.7M, impacted by weakness in the automotive sector and geopolitical instability affecting key markets.

• Net loss was €27.3M, slightly improved from a €28.6M loss in 9M 2023.

• Financial optimisation measures include a completed first phase capital increase of €15M, with a total planned recapitalization of €40–45M and loan agreement amendments.

• The Group expects 2024 to close with lower results than 2023 but anticipates a strong order portfolio for 2025, especially in Clean Tech Solutions.

• Macroeconomic and geopolitical challenges, including Russia-Ukraine and Israel-Hamas conflicts, continue to pressure sales, operations, and market conditions.

Financial highlights

• Revenues: €197.7M (–10.6% vs. 9M 2023); Q3 2024 revenue was €58.6M, down 15.5% year-over-year.

• Adjusted EBITDA: –€1.7M (down from €4.6M in 9M 2023); reported EBITDA: –€5.9M (vs. –€1.1M in 2023).

• EBIT: –€17.7M (vs. –€13.9M in 9M 2023).

• Net result: –€27.3M (vs. –€28.6M in 9M 2023).

• Net financial position worsened to €127.8M (from €112.4M at 2023 year-end); shareholders' equity decreased to €57.8M (from €70.2M).

Outlook and guidance

• Order intake acceleration in Clean Tech Solutions signals recovery in CNG and growth in RNG/hydrogen markets, with a strong order backlog expected for 2025.

• 2024 is expected to close with lower revenue and profitability than 2023 due to ongoing market and geopolitical challenges.

• Financial strengthening measures, including a second phase capital increase of €25–30M and loan amendments, are expected to be completed by year-end 2024.