Q2 2025 Elekta AB (publ) Earnings Call Transcript
Key Points
- Elekta AB (EKTAF) launched its latest AI-powered adaptive CT-Linac, Elekta Evo, and Elekta ONE Planning, receiving positive customer feedback and ongoing installations in Europe.
- The company achieved its target of providing radiation therapy access to 300 million people in underserved markets six months ahead of schedule.
- Elekta AB (EKTAF) reported strong double-digit order growth in China, indicating a recovery in public procurement activities.
- The company's service business grew by 4% year-over-year, with growth in most business lines and regions.
- Elekta AB (EKTAF) is implementing a cost reduction initiative expected to generate annual savings of SEK250 million by the end of fiscal year '24-'25.
- Net sales decreased by 4% in constant currencies, primarily due to declines in Europe and Latin America.
- Gross margins declined to 35.7%, impacted by reduced net sales, market mix changes, and foreign exchange rates.
- The adjusted EBIT margin fell to 9.8%, affected by lower sales and higher amortization costs from recent product launches.
- The book-to-bill ratio was 0.99 for the second quarter, indicating no major tenders in the market.
- Cash flow after continuous investments was negative SEK31 million, compared to SEK211 million positive last year, due to lower earnings and higher investments.
{)-
Hi, and good morning, everyone. My name is Peter Nyquist, Head of Investor Relations here at Elekta. With me here in Stockholm, I have our President and CEO, Gustaf Salford; and our CFO, Tobias Hagglov, who will then present the result later on.
Today's agenda starts off with Gustaf presenting some highlights of the development during the second quarter as well as the strategic achievements in this quarter. Then Tobias will give you details on the financials, and the presentation ends with Gustaf's view on Elekta's outlook. And as usual, after the presentation, there will be time for questions and answers.
But before we start, I want to remind you that some of the information discussed in this call contains forward-looking statements. This can include projections regarding revenues, operating result, cash flow as well as products and product development. These statements involve risks and uncertainties that may cause actual results to differ materially from those set forth in the statements.
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
