Kitron Asa · OSL:KIT
Kitron Asa — Q1 2025 Earnings Presentation
13 slides from Kitron Asa's earnings presentation, Apr 24, 2025
Slide 1: 2025 Q1 Presentation
2025 Q1 Presentation Kitron Group | 2025-04-24
Slide 2: Quarter highlights
Quarter highlights Strong start to 2025 • Solid performance in Q1 driven by momentum in key sectors. • Order backlog grew 11% sequentially to 525 €M . • Defence & Aerospace revenue up 30% year-over-year. Q1-2025 Performance • Q1: REVENUE 165 €M; EBIT 12.5 €M; EBIT margin 7.6% • Strong Cash Flow in t
Slide 3: Market and Operations
Market and Operations Defence & Aerospace: Strategic Pillar • Five Kitron sites focused on Defence & Aerospace. • Additional EU site undergoing accreditation for defence production. • Flexible and rapid scalability in production. • Capability to triple output across EU and U.S. operations. Norway Ra
Slide 4: Tariffs, M&A and Growth
Tariffs, M&A and Growth Tariffs and U.S. Market Position • U.S. accounts for ~15% of Kitron's direct revenue. U.S. domestic production amounts to 30% of U.S. sales. • Tariffs passed through to customers. M&A Progress • M&A project advancing as planned. • Aligned with long-term growth and capability
Slide 5: Sector trends Q1
Sector trends Q1 Connectivity: • Growth driven by sensor and asset tracking solutions, new customer wins, Smart integration of emerging technologies. • De-stocking activities appears to be complete. Electrification: • Continued strength for Energy transmission and weakness in Consumer-focused tech (
Slide 6: Order Backlog Review
Order Backlog Review Order backlog €M Performance, Trends, and Strategic Outlook 235.8 Overview of 2025 Q1 Order Backlog • Total backlog approached 525 €M, reflecting a 11% sequential growth and 18% YoY. • Defence & Aerospace (+79% YoY) strongest sector 149.6 • The non-defence sectors down 9% YoY bu
Slide 7: 2025 Q1 Highlights
2025 Q1 Highlights ▪ Revenue: 164.6 -5.3 % (173.9) ▪ EBIT: 12.5, 18.0% (10.6) ▪ EBIT margin: 7.6% (6.1%) ▪ ROOC: 18.7% (15.4%) ▪ Cash Cycle Conversion days: 111 (113) ▪ Operating Cash flow: 12.1 (8.5) ▪ NIBD: 108.2 (123.1) ▪ NIBD/EBITDA: 1.6 (1.5) ▪ Net Gearing: 0.52 (0.65) ▪ Equity %: 36.3% (33.4%)
Slide 8: Business sectors
Business sectors 3 1 Revenue Business Sectors Q1 2025 Q1 2024 Change 31.12.2024 . Change ▪ The regional revenue stabilized Nordics & North America 93.7 92.0 1.7 355.6 30.6 CEE 51.6 61.9 -10.3 205.7 -99.1 sequentially and vs last year apart from Asia 21.1 22.6 -1.5 95.7 -61.7 CEE, where Q1 last year
Slide 9: Cash flow and working capital
Cash flow and working capital €M ▪ Cash flow from operating activities Cash Flow Profit before tax Q1 2025 10.0 Q1 2024 8.6 Change 1.4 31.12.2024 39.9 at 12.1 €M (8.5 €M). Depreciations 4.6 4.7 -0.1 18.7 Change in inventory, accounts receivable, contract assets ▪ Net working capital at 189.8 €M and
Slide 10: Ratios
Ratios ▪ Net gearing and NIBD/EBITDA 0.5 and 1.6 ▪ Finance cost -2.5 (-1.9) ▪ Proposed dividend of 0.35 NOK pr share ~ 0.03 € Ratios 31.03.2025 31.03.2024 Change 31.12.2024 R3 NWC % sales 28.6 % 28.0 % 2.1 % 28.8 % R3 ROOC % sales 18.7 % 15.4 % 21.4 % 18.0 % R3 Cash Cycle Conversion 111 113 -2 106 N
Slide 11: 2025 Q1 Key take-ways
2025 Q1 Key take-ways • Revenue of 164.6 €M, up 2% sequentially. • Order backlog comes in strong at close to 525 €M (+18% YoY) • Defence & Aerospace was the strongest sector, revenue growing 29% YoY and 14% QoQ, driven by increased NATO investments. • Non-defence sectors revenue flat sequentially an
Slide 12: 2025 Q1 Q&A
2025 Q1 Q&A
Slide 13: Appendix: Definition of alternative performance measures
Appendix: Definition of alternative performance measures Order backlog Return on capital employed (ROCE) Cash conversion cycle (CCC) All firm orders and 4 months of committed customers forecast at EBIT/(Total assets - short term debt) Days of inventory outstanding + Days of receivables outstanding –