It’s as if things are turning a bit for the better again 
Not entirely convincing yet, but progress nonetheless.
- The financial situation is significantly better after the anti-round
- Losses cut and positive signals from sales
- Backlog still weaker than intended
- In Germany, the Greens might be getting a government seat
Fourth quarter 2024
- Net sales amounted to SEK 78.6 (67.3) million.
- Operating profit before depreciation (EBITDA) amounted to SEK -1.8 (-13.0) million.
- Operating profit (EBIT) for the period amounted to SEK -2.5 (-13.9) million.
- Profit after tax amounted to SEK -4.0 (-14.9) million.
- Earnings per share amounted to SEK 0.00 (-0.02) before and after dilution.
Full year 2024
- Net sales amounted to SEK 307.3 (308.1) million.
- Operating profit before depreciation (EBITDA) amounted to SEK -2.5 (-16.0) million.
- Operating profit (EBIT) for the period amounted to SEK -6.4 (-20.2) million.
- Profit after tax amounted to SEK -15.1 (-26.7) million.
- Earnings per share amounted to SEK -0.02 (-0.04) before and after dilution.
Significant events in the fourth quarter
- The board of directors decides on a reverse split of the company’s shares, which was approved at the extraordinary general meeting on November 6, 2024.
- Subsidiary in Germany signs contract worth approximately SEK 12 million
- Subsidiary in Sweden signs contract worth approximately SEK 10 million
Significant events after the end of the reporting period
- Subsidiary in Sweden receives an order for an option worth approximately SEK 14 million
Comment from CEO Fredrik Nordling
For the fourth quarter, Saxlund reported sales of SEK 78.6 million, an increase of 17 percent compared to the same period last year. There has been strong sales in all markets, particularly in project operations.
The EBITDA result for the quarter amounted to -1.8 MSEK, which is an improvement compared to the previous year of approximately 11.2 MSEK. The last quarter is normally a weak quarter for our business and it is pleasing that we are making such a strong improvement. The quarter is also affected by a one-off effect of 2.0 MSEK in the UK which relates to a period before 2024. Without this effect, we show a positive EBITDA result for the quarter. It is of course unfortunate that we need to make this adjustment in the UK, but we have control over the situation and are implementing measures to avoid similar adjustments in the future.
When we sum up the year, I see that despite the changes we have implemented in recent years, we have a tough start. Then there is a clear turnaround during the summer, and we deliver a strong third quarter – in fact, the strongest in five years.
Some of the highlights during the year include Germany delivering a strong year despite a challenging market climate in the domestic market. We signed a major agreement with the world’s largest furniture manufacturer. We have delivered well in hydropower in the Swedish market, where we have worked with both new and old customers over the past two years. This, combined with the high quality of what we have delivered to our customers, has meant that hydropower is a strong contributor to our margin improvement.
In previous quarters, I have announced that we have a weaker order book than we have had historically. The order book has improved somewhat during the quarter but remains at a lower level than desirable. Our pipeline is strong and I expect that we will strengthen the order book from current levels going forward.
Our focus is to grow our aftermarket, which has happened by four percent. The margin has increased by a full five percent within the segment when we compare between years. This is a contributing factor to the improved result.
Personnel costs have increased more this year compared to previous years, which is due to the contractual wage increases that have been high during the year. Despite inflation and rent increases, we have reduced OPEX during the year by approximately five percent. We continue to work purposefully to streamline and maintain tight cost control.
The necessary share issue that Saxlund carried out during the third quarter has meant that the group is free of long-term liabilities other than leasing. This results in reduced financing costs and a better environment for doing sound business.
During the quarter, we have carried out a reverse split, which means that we have merged shares and significantly changed the number of shares and the share price. The decision was made to facilitate trading of the share.
Our previous focus on profitability and efficiency will continue in 2025. We have two good quarters behind us and I look forward to seeing the impact of that focus in the coming quarters. After that, the plan is to gradually intensify our focus on growth again.
Fredrik Nordling, CEO