SyntheticMR (SYNT) Q2 2024 earnings summary

Executive summary

• Net sales for Q2 2024 fell 44% year-over-year to 11.9 MSEK, mainly due to disruptions in the North America organization.

• Operating profit for Q2 was -8.2 MSEK (margin -69%), with net loss of -7.4 MSEK and EPS of -0.18 SEK.

• First half 2024 net sales declined 21% to 29.7 MSEK, with operating profit at -5.5 MSEK and net loss of -3.9 MSEK.

• Other regions outside North America showed growth and met expectations; cost control kept expenses stable year-over-year.

Financial highlights

• Q2 2024 net sales: 11.9 MSEK (21.2 MSEK Q2 2023); H1 2024: 29.7 MSEK (37.4 MSEK H1 2023).

• Q2 operating profit: -8.2 MSEK (2.8 MSEK Q2 2023); H1: -5.5 MSEK (0.8 MSEK H1 2023).

• Q2 net profit: -7.4 MSEK (3.6 MSEK Q2 2023); H1: -3.9 MSEK (1.3 MSEK H1 2023).

• Cash flow from operating activities in Q2: 4.8 MSEK (-4.5 MSEK Q2 2023); H1: 2.3 MSEK (-6.3 MSEK H1 2023).

• Cash and cash equivalents at June 30, 2024: 20.1 MSEK (28.3 MSEK June 2023).

Outlook and guidance

• North America sales disruption addressed with new management and hires; gradual recovery in efficiency expected.

• Other regions continue to perform well and are expected to support growth.

• Launch of SyMRI 3D and regulatory approvals expected to drive future growth.