LapWall - Guidance falls short of our expectations
The weak market environment affected Q1 results more than we expected and especially profitability fell short of our forecast. Weaker-than-expected guidance, coupled with Q1 results, puts downward pressure on our estimates for FY.
- Net sales in Q1 were EUR 9.1 (EUR 10.1m Q1/24, EUR 10.0m Evli est.), falling 9.8% y/y.
- Both residential and non-residential markets remained affected by the weak market environment.
- EBITA was EUR 0.6m (EUR 1.0m Q1/24, EUR 1.0m Evli est.), at a margin of 6.4 % (10.1%)
- The main driver behind the weaker profitability was lower volumes in addition to tighter competitive environment which led to lower gross margin.
- Backlog fell 19.9% y/y to EUR 14.5m, down from EUR 18.1m at the end of Q1/24. On the other hand, backlog grew q/q as it was at EUR 12.3m at the end of Q4/24.
- Guidance for 2025: Net sales EUR 40-45m, EBITA EUR 3-4m.
- Our current estimate for net sales is at the upper end of the range at EUR 45m and EBITA above the range at EUR 5.6m. A disappointing Q1, combined with the guidance, signals downward pressure on our FY estimates.