Scandinavian Medical Solutions (SMSMED) H2 24/25 earnings summary

Executive summary

• Delivered 8% revenue growth year-over-year to DKK 245m, driven by Parts and Rental Solutions, despite challenging market conditions and currency headwinds.

• EBITDA decreased by 50% to DKK 10.5m, reflecting higher capacity costs and adverse effects from tariffs and exchange rates.

• Net profit dropped to DKK 0.2m from DKK 7.8m last year, mainly due to increased inventory and capacity costs.

• Focus for 2025/26 is on optimizing working capital, inventory turnover, and maintaining market position in a volatile environment.

Financial highlights

• Revenue: DKK 245m in 2024/25 (up 8% year-over-year).

• Gross profit before other external costs: DKK 56.7m, flat year-over-year.

• EBITDA: DKK 10.5m (down from DKK 21.0m), EBITDA margin 4.3% (down from 9.3%).

• Net profit: DKK 0.2m (down from DKK 7.8m).

• Free cash flow before financing: DKK -33.3m (down from DKK -7.7m).

• Cash balance at year-end: DKK 2.1m; short-term bank debt increased to DKK 26.5m.

Outlook and guidance

• 2025/26 revenue guidance: DKK 220–250m; EBITDA guidance: DKK 11–15m.

• Expect continued growth in Parts and Rental Solutions, with Equipment Solutions as main revenue driver.

• Focus on profitable growth, accelerated cash flow generation, and market share retention in the U.S.