Energy Save: Sales growth but weak FCF on NWC - ABG
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Sales SEK 54m (ABGSCe 55m), EBIT -4m (ABGSCe -7m)
Market conditions remain soft, anticipates weaker Q2
Cost savings programme initiated
Q1 results
Energy Save reported Q1 sales of 54m (-2% vs. ABGSCe SEK 55m), +39% y-o-y and +2% q-o-q, driven by the company's OEM business and Aira collaboration (85% of sales). The gross margin was 34% (ABGSCe 27%), vs. 38% LY. The company writes that it initiated a savings programme in the quarter, leading to cost savings and EBIT came in higher than expected at SEK -4m (ABGSCe SEK -7m). The company writes that it has carried out a review of its facilities, which is expected to reduce costs by SEK 2m on an annual basis. However, the positive FCF trend was halted and weakened to SEK -20m (4.7m in Q4'24) due to increased inventory and receivables. The cash balance came in at SEK 29m, vs. 54m in the prior quarter.
Market conditions remain soft, anticipates weaker Q2
Cost savings programme initiated
Q1 results
Energy Save reported Q1 sales of 54m (-2% vs. ABGSCe SEK 55m), +39% y-o-y and +2% q-o-q, driven by the company's OEM business and Aira collaboration (85% of sales). The gross margin was 34% (ABGSCe 27%), vs. 38% LY. The company writes that it initiated a savings programme in the quarter, leading to cost savings and EBIT came in higher than expected at SEK -4m (ABGSCe SEK -7m). The company writes that it has carried out a review of its facilities, which is expected to reduce costs by SEK 2m on an annual basis. However, the positive FCF trend was halted and weakened to SEK -20m (4.7m in Q4'24) due to increased inventory and receivables. The cash balance came in at SEK 29m, vs. 54m in the prior quarter.