Norrhydro Group Plc's Financial Statement Bulletin 1.1.-31.12.2024: Adaptation and development - ready to seize new opportunities
Norrhydro Group Plc’s Financial Statement Bulletin 1.1.–31.12.2024: Adaptation and development – ready to seize new opportunities
Norrhydro Group Plc - Company Announcement 20 February 2025 at 8:00 AM
This announcement is a summary of Norrhydro’s Financial Statement Bulletin, period January-December 2024. Financial Statement Bulletin is attached and available on company´s website:
https://www.norrhydro.com/en/investors-reports-and-presentations
Norrhydro is a Finnish pioneer in motion control and one of the leading providers of energy-efficient hydraulic cylinders in the Nordic countries.
Topics in Financial Statements Bulletin
July-December 2024 in brief
- Turnover decreased 7.7 % to EUR 11,118 (12,044) thousand
- EBITDA was EUR 486 (-312) thousand
- EBITDA margin was 4.4 % (-2.6 %)
- Operating profit was EUR -191 (-973) thousand
- Loss for the period was EUR -878 (-1,579) thousand
- Earnings per share were EUR –0.08 (-0.145)
- Diluted earnings per share were EUR –0.07 (-0.137)
January-December 2024 in brief
- Turnover decreased 20.2 % to EUR 24,228 (30,365) thousand
- EBITDA was EUR 1,258 (1,055) thousand
- EBITDA margin was 5.2 % (3.5 %)
- Operating loss was EUR -85 (-258) thousand
- Loss for the period was EUR -1,321 thousand, -5.5 % of the turnover
- Earnings per share were EUR -0.120 (-0.133)
- Diluted earnings per share were EUR -0.112 (-0.125)
- Return on equity was -15.7 % (-14.7 %)
- Equity ratio was 33.2 % (35.0 %)
- Cash flow from business operations was EUR 878 (306) thousand
- The Board's profit distribution proposal is that no dividend will be paid
| Thousand euros | 1 July –31 Dec. 2024 | 1 July –31 Dec.2023 | Change | 1 Jan. –31 Dec. 2024 | 1 Jan. –31 Dec. 2023 | Change |
| Turnover | 11,118 | 12,044 | -7.69 % | 24,228 | 30,365 | -20.2 % |
| EBITDA | 486 | -312 | 256 % | 1,258 | 1,055 | 19.3 % |
| EBITDA, % | 4.4 % | -2.6 % | 5.2 % | 3.5 % | ||
| Adjusted EBITDA | 2,327 | |||||
| Adjusted EBITDA, % | 7.7 % | |||||
| Operating profit | -191 | -973 | 409.4 % | -85 | -258 | 203.5 % |
| Operating profit, % | -1.7 % | -8.1 % | -0.3 % | -0.8 % | ||
| Result for the financial period | -878 | 1,579 | -1,321 | 1,443 | ||
| Result for the financial period, % | -7.9 % | -13.1 % | -5.5 % | -4.8 % | ||
| Adjusted result for the financial period | -171 | |||||
| Adjusted result for the financial period, % | -0.6 % | |||||
| Cash flow for business operations | 878 | 306 | ||||
| Return on investment, % | -0.5 % | -1.3 % | ||||
| Return on equity, % | -15.7 % | -14.7 % | ||||
| Equity ratio, % | 33.2 % | 35.0 % | ||||
| Current ratio | 1.09 | 1.14 | ||||
| Quick ratio | 0.21 | 0.29 | ||||
| Earnings per share, undiluted € | -0.08 | -0.145 | -0.120 | -0.133 | ||
| Earnings per share, diluted, € | -0.07 | -0.137 | -0.112 | -0.125 | ||
| Adjusted EPS, € | -0.016 | |||||
| Personnel at the end of the period | 151 | 168 |
Estimate of probable future development and guidance for 2025
Estimating the development of the Group's net sales in the current, still uncertain global economic situation is challengig. The market and demand situation of Norrhydro’s customers and consequently of the company, remains highly uncertain, making predictability challenging. The general economic uncertainty continues to cause caution in end customers' investment decisions, which affects the development of the company’s order backlog.
The Group aims to continue its growth-oriented strategy and to expand its business by increasing the market share in the hydraulic cylinder market and by launching new digital, energy-efficient and intelligent products and services into the market.
The Group's target for 2028 is net sales of over EUR 70 million, digital products and services accounting for more than 30 per cent of net sales, and EBITDA for at least 16 per cent of net sales.
Investments in product development and commercialization of digital solutions will continue during the current financial year. The focus for digital products will shift from product development to marketing and sales.
The company expects net sales in 2025 to be higher than in 2024 (EUR 24,518 thousand) and reported EBITDA to be better than in 2024 (EUR 1,258 thousand).
Chief Executive Officer’s report
After the annual general meeting the Board of Directors held its organizational meeting and elected Juhani Kangas as Chairman of the Board. Kauppaneuvos (Finnish honorary title) Juhani Kangas has previously been the Chairman of the Board of Norrhydro Group Oyj for a long time and is the company’s second-largest shareholder. The company's majority owner and Member of the Board Yrjö Trög continued as CEO during the 2024 financial year.
”Despite the company’s exceptionally challenging year, we have remained committed to investing in the product development of our digital business and have successfully acquired new customers in both our traditional and digital cylinder business.
We have reached the maturity phase for our NorrDigi MCC and EMA products and will transition to their commercialization in 2025, as interest in these products has been strong, and we have great confidence in their growth potential. This transition enables us to shift from intensive product development toward more accelerated marketing and sales.
At the same time, we remain a trusted partner for our customers, supporting their success in an evolving business environment. Our outlook for the future is positive, and we are ready to seize the opportunities ahead." says CEO Yrjö Trög.
Yrjö Trög
CEO
Norrhydro Group Plc
Release Event
Norrhydro Group Plc´s Financial Statement 2024 will be released on webcast on Thursday 20rd February 2025 at 10 AM.
Norrhydro Group Plc's CEO Yrjö Trög and CFO & Head of HR Johanna Kaikkonen represent and comment on Financial Statement 2024. Carl Mattson, Director of Digital Business will tell about Norrhydro´s digital products. Webcast is in Finnish and can be viewed in: Tulosjulkistus 2024
Presentation and webcast recording are available afterwards in Norrhydro´s website:
https://www.norrhydro.com/en/investors.
Further information:
Yrjö Trög
CEO
Norrhydro Group Plc
Puh. +358 400 291 229
Email: yrjo.trog@norrhydro.com
Certified advisor:
Translink Corporate Finance Oy
Jari Lauriala, Managing Partner
Tel. +358 40 091 8855
Email: jari.lauriala@translinkcf.fi
Sami Miettinen, Partner
Tel. +358 400 735 835
Email: sami.miettinen@translinkcf.fi
Distribution:
Nasdaq Helsinki Oy
Key media
https://www.norrhydro.com/en
Norrhydro Group Plc in brief
Norrhydro, founded in 1985, is a Finnish forerunner in motion control and a provider of energy-efficient hydraulic cylinders and system suppliers specialising in high-quality, customised and energy-efficient hydraulic cylinders and demanding linear motion control systems and mobile equipment. The company has 40 years of experience in developing and manufacturing customised hydraulic cylinders and liners motion control systems for the most demanding conditions and environments. In 2024, the company generated revenues of EUR 24.2 million, EBITDA of EUR 1.3 million and operating profit of EUR -0.09 million.