Waystream Group (WAYS) Q2 2024 earnings summary

Executive summary

• Net sales increased by 35.2% to SEK 33.2m in Q2 2024, with a return to profitability and positive operating cash flow.

• Strong sales momentum in Sweden and the Nordics, despite a challenging fiber market and low investment activity in Central Europe.

• Cost-saving program implemented, expected to reduce annual operating costs by over 10% from Q4 2024.

• AI research project completed, with results to be integrated into product offerings.

Financial highlights

• Q2 2024 net sales: SEK 33.2m (up 35% YoY); H1 2024: SEK 68.7m (up 25% YoY).

• Q2 gross profit: SEK 18.9m (up 30% YoY); H1: SEK 35.4m (up 6.6% YoY).

• Q2 EBITDA: SEK 3.5m (vs. -0.6m YoY); Q2 EBIT: SEK 1.7m (vs. -2.2m YoY).

• Q2 net income: SEK 1.0m (vs. -1.8m YoY); H1 net income: SEK -0.7m (vs. -1.5m YoY).

• Q2 operating cash flow: SEK 8.4m (vs. -26.0m YoY); H1: SEK 9.2m (vs. -24.3m YoY).

Outlook and guidance

• Full effect of cost-saving program expected in Q4 2024, aiming for improved profitability.

• Continued focus on sales growth and cost optimization to achieve and exceed financial targets over time.