LifeClean International (LCLEAN) Q2 2025 earnings summary

Executive summary

• Core business revenue grew 85% year-over-year, driven by PFAS decontamination and Healthcare segments, despite overall group revenue decline due to lower sales in subsidiary Kempartner Ocean.

• Cost reduction initiatives led to significant improvement in adjusted EBITDA and operating results compared to the same quarter last year.

• Commercial activity increased, with new orders and pilot projects in multiple geographies and sectors.

Financial highlights

• Q2 net sales: 20,285 TSEK (20,931 TSEK Q2 2024); H1 net sales: 35,073 TSEK (36,788 TSEK H1 2024).

• Adjusted EBITDA Q2: -3,359 TSEK (-6,586 TSEK Q2 2024); H1: -7,823 TSEK (-13,883 TSEK H1 2024).

• EBITDA Q2: -4,181 TSEK (-9,316 TSEK Q2 2024); H1: -10,232 TSEK (-20,925 TSEK H1 2024).

• Operating income (EBIT) Q2: -6,396 TSEK (-11,603 TSEK Q2 2024); H1: -14,688 TSEK (-25,500 TSEK H1 2024).

• Net result per share Q2: -0.03 SEK (-0.26 SEK Q2 2024); H1: -0.06 SEK (-0.56 SEK H1 2024).

• Cash flow from operations Q2: -7,022 TSEK (-8,182 TSEK Q2 2024); H1: -15,938 TSEK (-22,611 TSEK H1 2024).

• Cash and equivalents at period end: 23,229 TSEK (3,405 TSEK Q2 2024).

Outlook and guidance

• Available liquidity is expected to fund operations into 2026 at current revenue levels.

• Healthcare segment anticipates first orders from Arxada partnership soon; positive sales trend in veterinary care.

• Agri segment progressing with pilots in Sweden, Qatar, and regulatory approvals in China and Hong Kong.

• PFAS decontamination segment sees stable order intake and ongoing pilot projects in Europe and the Middle East.