Q2 2025 Eltel AB Earnings Call Transcript
Key Points
- Eltel AB (FRA:E5E) reported its 8th consecutive quarter of improved profitability, showcasing consistent financial performance.
- Sweden experienced significant growth, with a 15% increase in net sales, driven by robust demand in both power and communication sectors.
- The company successfully refinanced its debt portfolio, improving liquidity and providing a stable long-term financing solution.
- New business ventures, including solar PV and data centers, now account for 10% of total net sales, indicating successful diversification.
- All segments showed improvement in adjusted EBITA, with Finland and Norway leading in profitability gains.
- Net sales decreased by close to 7% in the second quarter, with declines in several markets including Finland, Norway, Denmark, and Germany.
- Norway's net sales dropped by 18% due to the ending of a significant contract earlier in the year.
- The Finnish market experienced a decline in net sales due to a slowdown in fiber rollout activities.
- Denmark and Germany reported a slow quarter, with declines in both communication and power sectors.
- The total contract value (TCV) for the quarter was comparatively low at €104 million, down from over €300 million in the same quarter last year.
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Good morning and a warm welcome to this presentation of Eltel results for the 2nd quarter of 2025.
My name is Alexander Kärnlund. I'm the communications director for ELTELL, and by my side are Joelstrom, President and Chief Executive Officer of ELTEL, and Tarja Leikas, Chief Financial Officer of ELTEL. Welcome.
These guys will be running the show and presenting the results to you, while I will be monitoring questions towards the end of the conference, and you can already now start asking your questions via the webcast or via the phone. I'll be back with some more instructions.
But with that, Let's move to the next slide and handing over to you.
Good morning and welcome on my behalf.
I'm delighted to see that we are able to report the 8 consecutive quarters of improved profitability.
Also important is that all segments are contributing to that improved profitability. So that's
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