Saga Furs (SAGCV) H1 2025 earnings summary

Executive summary

• Demand for mink pelts remained strong with rising prices, but overall auctioned volumes declined, leading to a 9% drop in brokerage sales value year-over-year to €101 million for the half-year period.

• Revenue decreased by 5% to €13.6 million compared to the same period last year, mainly due to lower brokerage commissions from fewer pelts sold.

• Operating result weakened to a loss of €-3.4 million (previous year: €-1.3 million), and pre-tax result was €-1.9 million (previous year: €0.4 million).

• The company maintained a strong financial position, with nearly doubled cash reserves and a new €30 million long-term financing agreement signed after the period.

• Sustainability initiatives and traceability in the value chain remain a strategic focus, with ongoing preparations for future EU sustainability reporting requirements.

Financial highlights

• Brokerage sales value: €101 million, down 9% year-over-year (previous: €110 million).

• Revenue: €13.6 million, down 5% year-over-year (previous: €14.3 million).

• Operating result: €-3.4 million (previous: €-1.3 million).

• Pre-tax result: €-1.9 million (previous: €0.4 million).

• Earnings per share: €-0.72 (previous: €0.05).

• Cash and cash equivalents: €35.3 million, nearly doubled from €18.6 million a year earlier.

Outlook and guidance

• Results from auctions held so far in 2024–2025 support a stable financial position, but full-year sales, revenue, and profit are expected to be below the previous year.

• The September 2025 auction will be decisive for full-year results, with expectations of lower volumes and results than 2023–2024.

• Market optimism persists in China, but regulatory changes in the EU and global trade tensions pose uncertainties.