Sensys Gatso Group (SGG) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue increased 22% year-over-year to SEK 152 million, with 61% from recurring TRaaS revenue and strong system sales in the Netherlands and Australia.

• Order intake reached SEK 192 million, with 94% recurring and 62% from the U.S.; backlog exceeds SEK 1 billion.

• First recurring revenue order from Saudi Arabia under a three-year framework, SEK 27 million for the first year.

• Managed services business model in the U.S. continues to grow, with negligible impact from new U.S. tariffs and ongoing expansion into new states.

• Ghana project is on track, with operations expected to start issuing citations in the second half of 2025.

Financial highlights

• System sales revenue rose 44% to SEK 59 million, mainly from Dutch and Australian projects.

• Recurring trust revenue rose 11% to SEK 93 million; recurring business accounted for 61% of total revenue.

• Gross margin was 37% (Q1 2025), slightly down from 38% in Q1 2024 due to higher system sales mix.

• EBITDA reached SEK 9 million, up from SEK 4 million in Q1 2024; EBITDA margin improved to 5.6%.

• Operating profit improved to SEK -4 million from SEK -7 million in Q1 2024.

Outlook and guidance

• 2025 revenue expected between SEK 700–800 million, with EBITDA margin guidance of 12–14%.

• Focus on executing a SEK 1 billion backlog and expanding U.S. TRaaS business for sustainable, profitable growth.