Synsam Group (SYNSAM) Q2 2025 earnings summary

Executive summary

• Organic growth reached 9.1% year-over-year in Q2 2025, with strong results in Sweden, Norway, and Finland despite hesitant consumer sentiment.

• EBITDA margin was 25.0%, with EBITA margin at 15.9%; profit after tax declined to SEK 114 million from SEK 168 million year-over-year.

• Synsam EyeView rollout completed in Sweden and Norway, with 14% of eye exams in Sweden and 20% in Norway using the technology.

• Smart eyewear launched in 200 Swedish stores, and new premium concept NK Eyewear & Optics introduced.

• Denmark's performance was negatively impacted by regulatory changes, but the business remains profitable and recovery efforts are ongoing.

Financial highlights

• Net sales rose 6.9% year-over-year to SEK 1,841 million in Q2 2025; H1 net sales reached SEK 3,549 million, up 9.4%.

• Group organic growth was 9.1% in Q2; gross margin was 73.1% (down from 74.3%); EBITDA was SEK 470 million.

• Cash flow from operating activities before working capital changes increased to SEK 401 million; cash flow from investing activities improved to -95 MSEK.

• Earnings per share in Q2 was SEK 0.79 (down from 1.14 year-over-year).

• Gross margin in Finland increased due to improved product mix and reduced discounts.

Outlook and guidance

• Organic growth and EBITDA margin targets remain at 8-12% and 25% or more, respectively.

• EyeView rollout in Sweden expected to drive further growth from Q3 onwards, assuming stable market conditions.

• Board initiated a share buyback program post-period to optimize capital structure.

• Launch of smart glasses in 200 stores starting in July.

• Denmark's organic growth is expected to take a few quarters to return to positive territory due to regulatory impacts.