SIT (SIT) Q1 2025 earnings summary

Executive summary

• Q1 2025 consolidated revenues reached €70.1M, up 1.5% year-over-year, led by Heating & Ventilation sales and supported by strong order portfolios.

• Adjusted EBITDA rose 94.7% to €7.4M (10.6% margin), reflecting improved volumes and cost efficiencies.

• Adjusted EBIT turned positive at €1.0M, and adjusted net loss improved to -€1.5M from -€3.6M.

• Net financial debt reduced to €147.2M from €161.1M, driven by improved working capital management.

• Operating cash flow after investments was positive at €2.0M, reversing a negative €7.6M in Q1 2024.

Financial highlights

• Q1 adjusted EBITDA: €7.4M (10.6% margin), up from €3.8M (5.5%) in Q1 2024.

• Adjusted EBIT: €1.0M vs. -€3.0M prior year; adjusted net result: -€1.5M vs. -€3.6M.

• Cash flow from operations positive at €2.0M, a significant improvement from -€7.6M in Q1 2024.

• Net trade working capital at €67.0M (23.6% of revenues), down from €86.5M (31.2%).

• Net debt/EBITDA Adj LTM improved to 4.7x from 6.6x year-over-year.

Outlook and guidance

• FY outlook confirmed: high single-digit revenue growth expected, mainly from market share expansion and increased share of wallet.

• Revenue growth to materialize in H2, supported by existing customer agreements.

• Product diversification in Heating & Ventilation and ongoing cost optimization initiatives to support top-line and margin improvement.

• Adjusted EBITDA margin expected to remain in double digits, aiding further net debt reduction.

• Guidance excludes impact from recent or future tariff and duty changes.