23.7.2025 08:00:01 EEST | Componenta Oyj | Half Year financial report
Componenta Corporation, Stock Exchange Release, 23 July 2025 at 8.00 a.m. EEST
January-June 2025
- Net sales totalled EUR 59.7 million (EUR 50.0 million)
- EBITDA was EUR 5.0 million (EUR 1.9 million)
- Adjusted EBITDA was EUR 5.0 million (EUR 1.9 million)
- The operating result was EUR 2.3 million (EUR -0.8 million)
- Cash flow from operating activities was EUR 3.1 million (EUR 1.8 million).
April-June 2025
- Net sales totalled EUR 30.9 million (EUR 26.4 million)
- EBITDA was EUR 2.6 million (EUR 2.1 million)
- Adjusted EBITDA was EUR 2.6 million (EUR 2.1 million)
- The operating result was EUR 1.3 million (EUR 0.7 million)
- Cash flow from operating activities was EUR 4.2 million (EUR 2.6 million).
The information presented in this half-year financial report relates to the development of Componenta Group in January-June 2025 and in the corresponding period in 2024, unless otherwise stated. The figures in this release are unaudited.
Sami Sivuranta, President and CEO:
"Considering the market conditions, the first half of the year went well for Componenta. Our net sales grew and our profitability improved clearly in the second quarter of the year, making it the fourth consecutive quarter in which we improved our performance compared to the comparison period. The development of our order book is beginning to show signs of a recovery in the market, although the growth of the order book and, consequently, our production volumes were lower than expected. The most significant factors affecting this are the continued exceptionally low demand for agricultural machinery and equipment in Europe, as well as the general market uncertainty maintained by trade policy tensions. When comparing the order books of the review period and the comparison period, it should be noted that at the end of the comparison period, our order book did not include the new business operations we acquired in the fourth quarter of last year.
Our net sales and order book development reflect the strong momentum in the energy and defence equipment industries. Demand for mining machinery has also turned to solid growth. Order volumes in the agricultural machinery industry remain low, with recovery now anticipated in 2026. This is highlighted by the continued low capacity utilisation rate in our foundry business operations. We continued to carry out adjustment measures within our units during the second quarter in response to production utilisation rates.
In the second half of the year, the accumulation of profit is expected to be concentrated in the last quarter, because in accordance with normal seasonal variations, both Componenta's and customers' summer holidays and factory maintenance shutdowns take place in the third quarter.
Market uncertainty arising from the geopolitical situation and potential increases in tariffs has extended our customers' average decision-making time from receiving an offer to accepting the offer, and has further delayed end customers' investment decisions. At the same time, however, capital expenditure backlog in machinery and equipment is emerging across various industries, which means that our expectations for the development of our order book are positive going forward.
The delivery of equipment for the capital expenditure agreed for the review period was somewhat delayed, and the equipment is expected to be fully operational in the second half of the year. Capital expenditure in production capacity and efficiency development will further improve our capabilities and profitability going forward.
On 17 June 2025, we announced the company's long-term financial targets for 2025-2027 in a stock exchange release. In line with our targets, we aim to accelerate Componenta's growth and improve our profitability both organically and through acquisitions, and to achieve more than EUR 150 million in net sales organically by 2027, with an EBIT margin of more than 5%, as a result of our systematic work and successful new sales. Starting from the 2025 financial year, we aim to distribute one-third of our annual net profit as dividends to our shareholders. We also believe that the market situation will recover clearly in the target period.
The Group's service capability remained at a high level during the second quarter, and our liquidity remained stable throughout the review period. Inflation has stabilised at a moderate level, and the availability of raw materials, electrical energy, other materials and components is currently normal. We are actively monitoring market developments, preparing for the positive development of our order book, and working to ensure the continued reliability of our supply chains.
As a contract manufacturer, we will continue to pursue measures to strengthen our market position, and we are working to be the preferred sustainable total supplier to our customers, with a wide offering."
Guidance for 2025 unchanged
Componenta expects the Group's net sales and adjusted EBITDA to improve year-on-year. The Group's net sales in 2024 were EUR 97.1 million, and its adjusted EBITDA was EUR 4.9 million.
The development of customers' sales volumes, poor availability of raw materials, increases in the prices of raw materials and electricity, and the general economic situation, labour market situation and competitive climate may affect business outlooks. The development of sales and profitability involves uncertainties because of increased geopolitical tensions. Increasing customs duties may have a negative impact on Componenta's operations indirectly through customers. An unfavourable development of the geopolitical situation may also have a negative impact on the financial market, sales volumes, the availability and price development of raw materials and electricity, and the availability of foreign labour, all of which increase forecasting uncertainty.
Key figures | Jan 1-Jun 30, 2025 | Jan 1-Jun 30, 2024 | Change, % | Jan 1-Dec 31, 2024 |
Net sales, EUR thousand | 59 724 | 50 007 | 19,4 | 97 145 |
EBITDA, EUR thousand | 4 993 | 1 915 | 160,8 | 7 854* |
Adjusted EBITDA, EUR thousand | 4 993 | 1 915 | 160,8 | 4 930 |
Operating result, EUR thousand | 2 320 | -794 | 392,4 | 2 562* |
Operating result, % | 3,9 | -1,6 | 344,8 | 2,6* |
Result after financial items, EUR thousand | 1 283 | -1 989 | 164,5 | 204 |
Net result, EUR thousand | 1 283 | -1 989 | 164,5 | 204 |
Basic earnings per share, EUR | 0,13 | -0,20 | 164,5 | 0,02 |
Diluted earnings per share, EUR | 0,13 | -0,20 | 162,3 | 0,02 |
Cash flow from operating activities, EUR thousand | 3 124 | 1 832 | 70,5 | 8 232 |
Interest-bearing net debt, EUR thousand | 4 069 | 8 876 | -54,2 | 5 472 |
Net gearing, % | 15,0 | 37,6 | -60,2 | 21,2 |
Return on equity, % | 9,7 | -16,2 | 159,8 | 0,8 |
Return on investment, % | 11,6 | -4,0 | 388,8 | 6,6 |
Equity ratio, % | 40,5 | 40,3 | 0,4 | 41,3 |
Capex incl. lease liabilities, EUR thousand | 1 766 | 1 356 | 30,2 | 6 732 |
Number of personnel at the end of the period** | 676 | 627 | 7,9 | 689 |
Average number of personnel*** | 676 | 622 | 8,8 | 639 |
Order book, EUR thousand**** | 14 196 | 10 807 | 31,4 | 16 682 |
* The EBITDA and operating result for the financial year 2024 includes a non-recurring income of EUR 2.9 million from non-operating activities from the acquisition of the Kalajoki factory and Sepänkylä machining and service center businesses.
** Number of personnel at the end of the period includes leased workers.
*** Average number of personnel during the period includes leased workers.
**** Order book at the end of the period.
Alternative performance measure
Componenta reports adjusted EBITDA as an alternative performance measure. Adjusted EBITDA reflects genuine operational profitability, excluding non-recurring items, as a basis for performance management and improves the comparability of reporting periods. Adjusted EBITDA does not include income or expenses generated as a result of corporate or structural arrangements. Componenta has reported adjusted EBITDA since the fourth quarter of 2024 as a result of a one-off transaction implemented during that period. In January-June 2025 and the comparison period (January-June 2024), the adjusted EBITDA equalled the EBITDA for the respective periods.
Webcast
President and CEO Sami Sivuranta will present the Results Review for investors, analysts and the media in a webcast on 23 July 2025 at 10 a.m. EEST. The webcast will be in Finnish. Please follow the webcast via the company pages at www.componenta.com or via this link: https://live.esf.fi/componenta-h1-2025.
Helsinki 23 July 2025
COMPONENTA CORPORATION
Board of Directors
For further information, please contact:
Sami Sivuranta, President and CEO, tel. +358 10 403 2200
Marko Karppinen, CFO, tel. +358 10 403 2101
Distribution:
NASDAQ Helsinki
Main media
www.componenta.com
Componenta Corporation is an international technology company and Finland's leading contract manufacturer in the machine building industry. Sustainability and customers' needs are at the core of the company's extensive technology portfolio. Componenta produces components for its global customers, which are manufacturers of machinery and equipment. The company's shares are listed on the Nasdaq Helsinki. www.componenta.com
