Apetit Q2'25 flash comment: Soft earnings performance explained by temporary challenges
Af Pauli Lohi
| Estimates | Q2'24 | Q2'25 | Q2'25e | Difference (%) | 2025e | |
| MEUR / EUR | Comparison | Actualized | Inderes | Act. vs. inderes | Inderes | |
| Revenue | 37.0 | 39.2 | 39.4 | -1% | 171 | |
| EBITDA | 1.5 | 1.0 | 1.7 | -43% | 15.5 | |
| EBIT | -0.1 | -0.8 | -0.1 | -837% | 8.1 | |
| EPS (reported) | 0.01 | -0.23 | 0.01 | -2405% | 0.91 | |
| Revenue growth-% | -17.8 % | 5.9 % | 6.6 % | -0.6 pp | 4.9 % | |
| EBIT-% (adj.) | -0.3 % | -2.0 % | -0.2 % | -1.8 pp | 4.7 % | |
Source: Inderes
Translation: Original published in Finnish on 8/22/2025 at 9:13 am EEST.
Apetit's Q2 report, published today, showed earnings that were slightly weaker than our forecasts. However, we believe this was mainly due to temporary factors, such as industrial action and changes in raw material prices. The declining earnings guidance for 2025 remains unchanged, but we believe the company has the opportunity to stabilize its earnings development in the second half of the year after a challenging start.
Revenue grew in both segments
Apetit reported 6% revenue growth in Q2, which was fairly evenly distributed between the two segments. Food Solutions grew by 5% supported by increased sales volumes, and the company estimates it will benefit from the impact of national dietary recommendations on consumer behavior. The delivery reliability of Food Solutions suffered from industrial action in the early part of the quarter, but delivery reliability normalized towards the end of the quarter. In Oilseed Products, revenue grew by 7% driven by sales prices, but delivery volumes remained at the comparison period's level. Revenue development was about 2 percentage points better than our estimate in Food Solutions and the same amount weaker in Oilseed Products.
Profitability was slightly below expectations
Q2 EBIT was -0.8 MEUR, which was slightly weaker than our estimate (-0.1 MEUR). The net result of -1.4 MEUR was even more clearly below our estimate (0.1 MEUR), which was impacted by the negative result of the volatile associate company Sucros. For both of the Group’s two segments, results fell 0.3-0.4 MEUR below our estimates and also declined year-on-year. Both suffered from the adverse effects on production of industrial action, such as overtime and shift bans (in both) and strike days (in Food Solutions). Oilseed products also suffered from increased raw material prices and a weakened sales mix.
No significant changes in outlook, H2 could be more favorable than the beginning of the year
Apetit reiterated its guidance for 2025, according to which the Group's operating profit is expected to decrease slightly from the comparison year (2024: 9.3 MEUR). The company described the 2025 crop prospects as moderate. In our view, the weakness in Q2 earnings was mainly due to temporary challenges that should ease in the second half of the year. Also, the market price of the raw material for Oilseed Products in Europe has recently been on a downward trend, which could turn the segment's earnings development in a more favorable direction.
Apetit operates in the food industry. The company is a retailer of food products. The product range consists mainly of plant-based food solutions, vegetable products, frozen meals and fish and seafood. The largest operations are in the Nordic market. The company was originally founded in 1950 and has its headquarters in Helsinki.
Læs mere på virksomhedssideKey Estimate Figures27.04
| 2024 | 25e | 26e | |
|---|---|---|---|
| Omsætning | 162,7 | 170,6 | 176,7 |
| vækst-% | -7,3 % | 4,9 % | 3,5 % |
| EBIT (adj.) | 9,4 | 8,1 | 8,5 |
| EBIT-% (adj.) | 5,8 % | 4,7 % | 4,8 % |
| EPS (adj.) | 1,36 | 1,09 | 1,26 |
| Udbytte | 0,75 | 0,70 | 0,75 |
| Udbytte % | 5,4 % | 5,0 % | 5,3 % |
| P/E (adj.) | 10,2 | 12,9 | 11,2 |
| EV/EBITDA | 4,8 | 4,9 | 4,7 |
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