Lyckegård Group (LYGRD) Q4 2024 earnings summary

Executive summary

• Completed major restructuring in 2024, divesting the unprofitable Soil & Seed segment to focus on irrigation and outdoor environments, incurring SEK 42.2 million in one-time costs.

• Now consists of three historically profitable subsidiaries, laying the foundation for profitability in 2025.

• Maintained market leadership in Sweden for irrigation and outdoor solutions, with ambitions to lead in the Nordics.

Financial highlights

• Net sales for Jan–Dec 2024 increased by nearly 12% to SEK 184.5 million (165.2), and by 21% in Q4 to SEK 39.9 million (33.1) compared to the same periods last year.

• EBIT for Jan–Dec improved to SEK -15.3 million (-38.6), and Q4 EBIT to SEK -5.3 million (-34.0) year-over-year.

• Adjusted EBITDA for Jan–Dec was SEK 6.2 million (-9.4), excluding non-recurring restructuring costs.

• Cash flow for Jan–Dec was SEK -2.6 million (0.7), with cash and cash equivalents at SEK 0.3 million (2.9) at year-end.

• Equity at year-end was SEK 17.9 million (56.9), with an equity ratio of 17% (35%).

Outlook and guidance

• High demand and strong order intake expected to support profitable growth in 2025.

• No dividend proposed for 2024.

• Financial targets: annual sales growth of at least 10%, EBITA margin of at least 8%, and net debt/EBITA below 2.5x long-term.