Q3 2025 Profoto Holding AB (publ) Earnings Call Transcript
Key Points
- Profoto Holding AB (FRA:94H) is seeing positive sales development in the Asia Pacific region, particularly in China, driven by major customer deliveries.
- The company is transitioning towards LED-based solutions, aligning with changing customer demands and technological shifts.
- Profoto Holding AB (FRA:94H) is recognized as a premium brand for continuous light and flash, positioning it well for future market demands.
- The company is actively reducing its cost base, with a planned annual reduction of over 20%, equating to SEK80 million.
- Profoto Holding AB (FRA:94H) maintains a strong balance sheet, supporting its strategic initiatives and market adaptations.
- Sales decreased by 28% in the quarter, with a significant decline in the Americas by 40%, attributed to macroeconomic uncertainties and dealer inventory build-up.
- The company reported a negative EBIT of SEK10 million, with an 8% negative EBIT margin, impacted by higher costs of goods sold due to tariffs in the United States.
- There is a noticeable shift in demand from flash to constant light LED, affecting sales and increasing competition.
- Currency effects, particularly the appreciation of the Swedish crown, have negatively impacted the group's financial performance.
- Profoto Holding AB (FRA:94H) faces increased competition, including from Chinese competitors, which is affecting its market share.
()-
Good morning and welcome to Profoto's Q3 [telco] this morning. My name is Amanda Astrom, and I'm Head of Investor Relations. Today with me our CEO Anders Hedebark and our CFO Linus Marmstedt. I now hand over to Anders who will start off by giving you a summary of the quarter.
()- -
Good morning, everyone. Thank you for joining in and listening in to our third quarter report. So, sales was not good in the quarter. It decreased by 28% to SEK119 million. The organic growth was negative with the 23%, and this is driven on the reason for this is the uncertainty in the macroeconomic situation, especially in the United States, but also, we had a dealer inventor build up in previous quarter.
And consequently, EBIT is not good either. We are losing SEK10 million, which is 8% minus EBIT margin. And as we said, its negative sales, but also,
| 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
