Panostaja (PNA1V) Q3 2024 earnings summary

Executive summary

• Group EBIT improved to €0.8M in Q3 from -€0.5M year-over-year, with all four segments showing EBIT improvement.

• Net sales for Q3 were stable at €31.6M, with increases in two of four segments.

• For the nine months, net sales declined 3% to €98.5M, but EBIT improved to €0.8M from -€0.3M year-over-year.

• Earnings per share (undiluted) were -0.5 cents in Q3 and -8.8 cents for nine months, impacted by a €3.1M loan receivable write-down.

Financial highlights

• Q3 net sales: €31.6M (vs. €31.5M Q3 2023); nine months: €98.5M (vs. €102.0M prior year).

• Q3 EBIT: €0.8M (vs. -€0.5M); nine months: €0.8M (vs. -€0.3M).

• Q3 profit before taxes: €0.2M (vs. -€1.1M); nine months: -€4.4M (vs. -€2.0M).

• Interest-bearing net liabilities: €39.9M at July 31, 2024 (vs. €42.7M prior year).

Outlook and guidance

• Demand for Grano, Oscar Software, CoreHW, and Hygga expected to remain satisfactory in the short term.

• Corporate acquisition market activity has increased slightly but remains below long-term average; valuation environment remains challenging.

• Geopolitical and macroeconomic uncertainties, including conflicts and sanctions, may negatively impact demand and material availability.