Tellusgruppen (TELLUS) Q3 2024 earnings summary

Executive summary

• Revenue grew 10.8% to 107.1 MSEK in Q3 2024, with 8.6% organic growth and 2.2% from acquisitions.

• Adjusted EBITDA rose to 12.5 MSEK (11.7% margin), while net income improved to 4.3 MSEK.

• For the first nine months, revenue increased 14.3% to 358.7 MSEK, with 11.2% organic growth.

• Net income for the nine months was -13.7 MSEK, impacted by cost increases and seasonal effects.

• Strategic focus remains on improving profitability, strengthening the balance sheet, and selective acquisitions.

Financial highlights

• Q3 adjusted EBITDA: 12.5 MSEK (8.8), margin 11.7% (9.1%).

• Q3 net income: 4.3 MSEK (0.6); EPS: 0.3 SEK (0.0).

• Nine-month adjusted EBITDA: 13.5 MSEK (13.2), margin 3.8% (4.2%).

• Nine-month net income: -13.7 MSEK (-7.7); EPS: -1.0 SEK (-0.5).

• Q3 cash flow: -7.3 MSEK; liquidity at period end: 0.5 MSEK.

Segment performance

• Preschool: Q3 revenue up 8.7% to 66.9 MSEK; adjusted EBITDA 7.4 MSEK (11.1% margin).

• School: Q3 revenue up 1.5% to 30.2 MSEK; EBITDA 5.7 MSEK (18.7% margin).

• Educational resources: Q3 revenue up 54.5% to 6.7 MSEK; EBITDA -0.2 MSEK due to seasonality.

• Nanny: Q3 revenue down 27.4% to 0.6 MSEK; EBITDA -0.1 MSEK.

• Meal services: Q3 revenue up 174.6% to 7.4 MSEK; EBITDA -1.1 MSEK due to start-up costs.