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Analyst Comment

SP Group lowers revenue guidance in connection with preliminary trading update for H1 2025

By Philip CoombesEquity Research Analyst
SP Group

SP Group has issued a preliminary trading update for the first half of 2025, reflecting a softer second quarter due to postponed orders and delayed projects amid ongoing geopolitical uncertainty and global supply chain disruptions. Several key customers deferred product launches during the period, which negatively impacted revenue and earnings. 

In Q2 2025, SP Group generated revenue of DKK 680.6 million, representing a year-on-year decline of 10.7% compared to DKK 762.2 million in Q2 2024. EBITDA came in at DKK 124.8 million, from DKK 153.7 million in the same quarter last year, corresponding to an EBITDA margin of 18.3%, down 1.9 percentage points (p.p.) from 20.2% the year before. Earnings before tax (EBT) fell to DKK 63.6 million from DKK 91.6 million, with the EBT margin contracting to 9.4% from 12.0%, a fall of 2.6 p.p.

For the full first half of 2025, revenue totalled DKK 1,466.9 million, a decrease of 1.2% compared to DKK 1,485.1 million in the first half of 2024. EBITDA declined by 3.7% to DKK 291.1 million from DKK 302.1 million, translating into an EBITDA margin of 19.8%, slightly below last year’s 20.3%. EBT decreased by 6.7% to DKK 164.7 million from DKK 176.4 million, with the EBT margin at 11.2% versus 11.9% in the prior-year period.

As a result of the weaker-than-expected Q2 performance, SP Group has revised its full-year revenue guidance and now expects growth in the range of -3% to +3%, compared to the previous 3–10% range. However, the company maintains its EBITDA margin guidance of 19–21% and its EBT margin guidance of 11–13%. SP Group will publish its full interim report for the first half of 2025 as scheduled on 19 August 2025.

Disclaimer: HC Andersen Capital receives payment from SP Group for a digitalIR / Corporate visibility subscription agreement./ Philip Coombes 17:38 10/07/2025

SP Group is a Danish plastic manufacturer that produces moulded items in plastics and plastic composites and performs surface coatings on metal items. The company is listed on the Nasdaq OMX Copenhagen Stock Exchange. It dates back to 1972 and is headquartered in Denmark. SP Group is a leading supplier of plastic-manufactured products to Danish industries. It services its clients through its factories in Denmark, Sweden, China, the USA, and Eastern Europe and its products are sold and marketed in around 90 countries. The Company offers a number of collective competencies through its different plastics processing plants which create synergy both internally among the plants and externally in partnerships with customers. The largest customer groups in terms of revenue are Healthcare, Cleantech, Food-related and Automotive, which adds up to around 75% of sales. SP Group is part of the OMX Copenhagen Mid Cap Index.

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