Vow (VOW) H2 2025 earnings summary

Executive summary

• Achieved all-time high quarterly revenue of NOK 347.4 million in Q4 2025, driven by strong Maritime Solutions and Aftersales performance, with robust order intake and improved operations.

• Results were heavily impacted by a NOK 119.3 million non-cash impairment, mainly due to revised assumptions and a more cautious outlook for Industrial Solutions.

• Strategic review completed, resulting in a sharpened focus, three business units, and new leadership structure.

• Order backlog reached NOK 1.7 billion at year-end, with NOK 400 million in options, providing strong visibility through 2034.

• Liquidity position improved to NOK 136 million at year-end, with covenant waivers secured for Q4 2025 and Q1 2026.

Financial highlights

• Q4 2025 revenue was NOK 347.4 million, up from NOK 265.7 million year-over-year; FY 2025 revenue was NOK 1,034.2 million.

• Adjusted EBITDA for Q4 2025 was NOK 15.8 million (4.5% margin), negatively impacted by NOK 10 million in warehouse write-downs; FY 2025 adjusted EBITDA was negative NOK 48.6 million.

• Gross margin for Q4 2025 was 22.8% (down from 28.7% YoY); FY 2025 gross margin was 18%.

• Non-cash impairment of NOK 119.3 million recognized, mainly in Industrial Solutions and discontinued MAP technology, resulting in a pre-tax loss of NOK 126.8 million.

• Operating cash flow for Q4 2025 was NOK 129.4 million; FY 2025 was NOK 64.8 million.

Outlook and guidance

• Strong order backlog and options provide revenue visibility into the 2030s, especially in Maritime Solutions.

• Maritime Solutions expected to maintain robust performance, with new contracts improving margins and stability.

• Aftersales segment poised for continued growth, supported by expanding installed base and recurring revenues.

• Industrial Solutions projects at Follum and Rhode Island progressing, with ramp-up to full operation expected in 2026.

• Liquidity fluctuations expected due to project delivery and milestone timing; no specific financial guidance provided for growth or EBITDA margin.