Scanfil (SCANFL) Q4 2024 earnings summary

Executive summary

• Q4 2024 was the strongest quarter, with adjusted operating profit of EUR 14.0 million and margin improvement to 6.6%.

• Organizational restructuring created four regions and added new management, including a Chief People Officer and three regional presidents.

• Acquisition of SRXGlobal expanded presence to Malaysia and Australia, with investments in manufacturing capacity and new SMT/THT lines.

• Sustainability initiatives continued, including a 52% reduction in CO2 emissions and a target of 100% fossil-free energy by 2030.

• Record new project wins in 2024, with annualized value of EUR 187.5 million and many projects ramping up in early 2025.

Financial highlights

• 2024 turnover was EUR 779.9 million, down 13.5% year-over-year; Q4 turnover EUR 212.3 million, down 3.9%.

• Adjusted operating profit for 2024 was EUR 53.1 million, down 13.4% year-over-year; Q4 adjusted operating profit EUR 14.0 million.

• Adjusted operating margin for 2024 was 6.8%; Q4 margin improved to 6.6%.

• Net cash flow from operations in 2024 was EUR 92.1 million, mainly from inventory reduction.

• Earnings per share was EUR 0.60, with a proposed dividend of EUR 0.24 per share, marking 12 consecutive years of increases.

Outlook and guidance

• 2025 turnover guidance is EUR 780–920 million; operating profit expected at EUR 53–66 million.

• Q1 2025 expected to be a ramp-up quarter for new projects, with growth momentum building through the year.

• Focus on expanding the sales pipeline, especially in Medtech, Life Science, Energy & Cleantech, and maintaining cost and inventory discipline.

• Long-term targets: 10% annual turnover growth, 7–8% operating profit margin, net debt/EBITDA ≤1.5, and increasing dividend payout.

• Geopolitical risks, project business opportunities, and M&A integration could impact results.