Touchtech (TOUCH) Q1 2025 earnings summary

Executive summary

• Net sales for Q1 2025 were SEK 4,534k, down 22% year-over-year due to lower demand for customer-financed product development; recurring license revenues remained stable at 39% of sales.

• EBITDA was SEK 2,443k, a decrease from SEK 4,403k in Q1 2024; result before tax was SEK -612k compared to SEK 2,291k last year.

• No significant events occurred during or after the reporting period.

• Cash position at quarter-end was SEK 11.7m, with no interest-bearing debt.

Financial highlights

• Net sales declined by SEK 1,276k year-over-year, attributed to reduced customer-financed development, while license revenues were unchanged.

• Operating expenses decreased by SEK 429k, mainly from lower personnel costs.

• Depreciation increased by SEK 907k to SEK 3,079k, primarily related to capitalized development costs.

• Earnings per share were SEK -0.06, down from SEK 0.21 in Q1 2024.

Outlook and guidance

• Management expects potential recovery of postponed customer projects later in the year.

• Continued focus on cost control and efficiency to support business development.

• Ongoing digitalization needs in retail present opportunities despite market uncertainty.