SAF Tehnika (SAF1R) Q3 24/25 earnings summary

Executive summary

• Q3 2024/25 net turnover was EUR 5.35 million, down 21% year-over-year; nine-month turnover was EUR 20.93 million, a 1% decline year-over-year.

• Q3 net loss was EUR 949 thousand, similar to the prior year; nine-month net profit was EUR 93 thousand, reversing a EUR 1.89 million loss in the prior year.

• Americas contributed 54% of Q3 turnover (down 28% YoY), Europe 43% (down 9% YoY), and Asia/Africa/Middle East 3% (down 33% YoY).

• Group sold products in 67 countries during the quarter.

• Signed R&D contracts with Latvian Ministry of Defense for counter-UAV capabilities.

Financial highlights

• Q3 EBITDA was EUR -418 thousand; EBIT was EUR -824 thousand; net loss was EUR 949 thousand.

• Nine-month net profit was EUR 93 thousand; EPS for nine months was EUR 0.03 (vs. -0.64 prior year).

• Cash flow for nine months was EUR 3.4 million; period-end cash balance was EUR 5.6 million.

• Total assets at period end: EUR 25.0 million; equity: EUR 16.5 million.

Outlook and guidance

• No major changes expected in the microwave radio market in the near term.

• Ongoing uncertainty in the business environment due to global events; company refrains from providing specific forecasts.

• Focus remains on product development, diversification, and maintaining material reserves to ensure timely deliveries.