Wetteri (WETTERI) Q4 2024 earnings summary

Executive summary

• Revenue grew 16% year-over-year to EUR 514.5 million, mainly from strategic acquisitions, but profitability declined due to a weak automotive market and low consumer confidence.

• Adjusted EBITDA for 2024 was EUR 20.7 million, down 17% year-over-year; adjusted operating profit fell 58% to EUR 5.1 million.

• Major acquisitions included Suur-Savo Cooperative's car dealership, Suvanto Trucks Oy, and Lahden Rekkapaja Oy; Wetteri Power Oy was sold after year-end.

• Efficiency program launched to improve profitability and reduce costs; focus remains on growth through acquisitions and organic expansion.

• The sale of Wetteri Power Oy and divestment of training businesses classified as discontinued operations, impacting reported results.

Financial highlights

• Q4 2024 revenue was EUR 116.8 million, down 11% year-over-year; full-year revenue reached EUR 514.5 million, up 16%.

• Adjusted EBITDA for Q4 was EUR 3.6 million (down 46%); full-year adjusted EBITDA was EUR 20.7 million (down 17%).

• Adjusted operating profit for 2024 was EUR 5.1 million (down 58%); reported operating profit was EUR -0.2 million (down from EUR 5.4 million).

• Net loss for the year was EUR -7.1 million, with EPS at EUR -0.05 (basic and diluted).

• Cash flow from operating activities was EUR 20.7 million; total cash flow EUR 0.7 million.

Outlook and guidance

• 2025 guidance: revenue EUR 510–540 million, adjusted operating profit EUR 9–11 million.

• Automotive sector expected to recover with a 10% increase in new car registrations; used car and maintenance business to remain strong.

• Medium-term target: EUR 1 billion in revenue and EUR 30 million in operating profit.