Year-end Report 2024: Organic growth and solid margins

• Net sales increased 11.5 percent to SEK 854.1 million (766.1), with 5.5 percent organic growth for equivalent units.
• EBITA decreased by -0.1 percent to SEK 85.4 million (85.5), and the EBITA margin was 10.0 percent (11.2).
• EBIT decreased by -1.6 percent, amounting to SEK 70.6 million (71.8).
• Cash flow from operating activities amounted to SEK 29.5 million (38.9).
• Acquisition of ST Entreprenør AS, a Norwegian infrastructure company with sales for 2024 of approx. SEK 120 million.

Period (January–December 2024)

• Net sales increased 11.8 percent to SEK 3,026.9 million (2,708.2), with 3.7 percent organic growth for equivalent units.
• EBITA increased by 12.0 percent to SEK 304.8 million (272.3), and the EBITA margin was 10.1 percent (10.1).
• EBIT increased by 12.9 percent and amounted to SEK 246.9 million (218.6).
• Cash flow from operating activities amounted to SEK 122.0 million (108.3).
• Company acquisitions with total sales for 2024 of approx. SEK 136 million.
• Issuance of three-year senior secured bonds 2024/2027 of SEK 1,250 million within a framework of SEK 2,000 million and redemption of bond loan 2021/2024. Convertible bond issues for a total amount of SEK 466 million.
• Mikael Ericson was elected chairman of the board at the 2024 AGM, and Jonas Söderkvist became CFO at the end of August 2024.
• Financing terms state that no dividend may be paid if the company's shares are unlisted.

Significant events after the balance sheet date

• At the EGM on January 15, 2025, Martin Almgren, Fredrik Holmström, and Lars Kvarnsund were elected as new board members. Mouna and Saeid Esmaeilzadeh, Christer Hellström, and Erik Rune resigned from the board in connection with the EGM.

Per-Johan Dahlgren, President & CEO of Novedo, comments on the full year 2024:
Novedo's value-creating business model features three focused business segments and a good geographical spread. Its foundation, composed of entrepreneurial and regionally leading companies, has demonstrated strength and stability in a tough market environment in 2024. The year concludes with sales exceeding SEK 3 billion, reflecting a 3.7 percent organic growth and an EBITA margin of 10.1 percent.

I assess that the market climate will remain uncertain and challenging even in 2025, where demand will vary per segment and, to some extent, per geography. The established market positions and business acumen of the Novedo companies, combined with an expected more expansionary fiscal and monetary policy, should lay the foundation for a gradual increase in the willingness of our customers to invest. However, we expect a weak market at the beginning of the year.

With this year's completed financing activities, we have achieved favourable financing, and we now look forward to continuing to develop Novedo into a solid European industrial group.