Tobii (TOBII) Q4 2024 earnings summary

Executive summary

• Achieved record EBIT of SEK 50 million in Q4 2024, with underlying EBIT of SEK 74 million excluding SEK 24 million in one-off costs.

• Net sales grew 11% in Q4, driven by acquisitions, while organic growth declined 22%.

• Cost reduction program reduced headcount by one-third, achieved SEK 73 million in savings by year-end, and targets over SEK 200 million in operational savings within 12 months.

• Integration of Autosense (FotoNation) business completed, strengthening automotive interior sensing and realizing synergies.

• Both Products & Solutions and Integrations segments achieved profitability in Q4; Autosense segment showed strong growth with new design wins.

Financial highlights

• Q4 net sales up 11% year-over-year to SEK 284 million; full-year net sales up 13% to SEK 857 million.

• Gross margin reached 84% in Q4 (up from 74%); full-year gross margin at 80% (up from 75%).

• Underlying EBIT improved to SEK 74 million in Q4 from SEK 17 million last year.

• Free cash flow in Q4 was SEK -14 million, a significant improvement from previous quarters; full-year free cash flow was SEK -345 million.

• Cash and cash equivalents at year-end were SEK 116 million, with an unused SEK 50 million credit facility.

Outlook and guidance

• Cost reduction program effects to continue into 2025, with further actions and divestments planned.

• Financial targets: positive free cash flow and ~10% EBIT margin in 2026, ~20% EBIT margin in 2028.

• Autosense segment expected to transition to license revenue in 2025–2026, driving future growth.

• No dividend proposed for 2024; focus remains on reinvesting in growth.

• Net sales contribution from certain imaging-related sales expected to decline in 2025.