Interim Report Q1 2023
First Quarter (Jan–March 2023)
Net sales amounted to TSEK 121,296 (99,305), which is an increase of 22.1 % compared to the same period last year.
The gross margin amounted to 56.4 % (59.0).
Operating profit before depreciation and amortization (EBITDA) amounted to TSEK 28,459 (28,551), which corresponds to an operating margin before depreciation and amortization of 23.5 % (28.8).
Operating profit (EBIT) amounted to TSEK 16,100 (19,856), which corresponds to an operating margin of 13.3 % (20.0).
Earnings per share before dilution amounted to SEK 1.16 (1.48).
(Comparative figures in parentheses refer to the corresponding period in the previous year.)
Comments from the CEO
The year begins with an organic revenue growth of 22 % for the first quarter. The slightly lower growth results from the Swedish market having reached a maturity phase with the current product portfolio. Other markets are developing as expected, with Norway continuing its growth path, reminding us of our journey in Sweden.
We intend to launch a new product category at the Elfack electrical fair in Gothenburg on May 9 and expect it to start a new wave of growth.
Combined with solid growth primarily led by our new product categories, we expect leverage in profitability with a markedly improved operating margin. We have reached a level where the cost mass will level out in the future.
We see an improvement in the global component situation, meaning we do not need to stock as much as before. We are midway through this changeover and have significantly increased our inventory levels. This has led to continued fluctuations in inventory and liquidity. The effect is expected and part of our strategy to prioritize delivery security to our customers over the past two years. We are planning for reduced inventory levels in the second half of 2023.
In conclusion, I would like to thank the team for a great job in the first quarter and now look forward to launching a new product category on our defined path of multidimensional growth.
Babak Esfahani
CEO
