TCM Group Management’s review Interim report Q2 2025 (April 1 – June 30) (All figures in brackets refer to the corresponding period in 2024.) Improved earnings and steady sales growth, delivered in a challenging market. CEO Torben Paulin: “Sales in the second quarter developed broadly in line with our expectations, with growth in both the B2B and B2C segments, following the solid order intake in the first quarter of 2025. Total sales for the quarter increased by 5% year-on-year to DKK 349 million, with organic growth of 3%. Order intake slowed in the second quarter, despite a continued overall positive development in the B2C segment. Especially in the second half of the quarter, activity in the B2C segment began to show signs of fatigue, in line with macroeconomic reports indicating weakening consumer confidence and a slowdown in retail spending. In the B2B segment, project orders in Q2 declined as expected, while orders from housebuilders showed a positive trend. The gross margin increased to 23.7% in Q2, up from 21.5% in Q2 2024, primarily due to higher average selling prices and stable input costs during the quarter. Adjusted EBIT increased by 20%, from DKK 28.0 million in Q2 2024 to DKK 33.6 million, corresponding to an adjusted EBIT margin of 9.6%, compared to 8.4% in the same period last year. Free cash flow in Q2 was DKK 32 million, compared to DKK 26 million in Q2 2024. This improvement was driven by higher earnings and an improvement in the net working capital. CAPEX amounted to DKK 18.3 million (Q2 2024: DKK 12.0 million), mainly related to the ERP project and the new lacquering facility. The lacquering facility was completed during the quarter and is expected to ramp up fully during the present quarter. After acquiring 45% of the online retailer Celebert ApS in 2021, we have now agreed to acquire the remaining 55% following the decision of the majority shareholder to exercise its put option. During the four years of co- ownership, Celebert has grown rapidly, and we are confident that, once the relevant regulatory approvals are in place, Celebert will continue this growth journey. Considering the results from the first six months of the year and the development in order intake during Q2, we are narrowing our guidance for 2025. TCM Group now expects full-year revenue in the range of DKK 1,250– 1,300 million (previously DKK 1,250 – 1,325 million) and adjusted EBIT of DKK 90–110 million (previously DKK 90-115 million). As previously communicated, this guidance assumes full ownership of Celebert toward the end of the year.” TCM Group A/S, Skautrupvej 16, 7500 Holstebro, Company reg. (CVR) no.: 37291269 Page 1 of 19
Download PDF fil