Balco Group AB (BALCO) Q1 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Hello and welcome to today's presentation with Balco Group. We have the CEO Camille Rector and CFO Mikael Grinborn presenting the Q1 report for 2025. We'll do a Q&A after the presentation and if you're calling in or would like to ask a question, please press star 9 to raise your hand and star 6 to mute yourself. You can also type in your questions using the form to the right. And with that said, please go ahead with your presentation. Thank you. Welcome to the Q1 presentation for Barco Group. First of all, I would like to make a very quick snapshot for the new listeners regarding Barco Group. Barco Group was founded in 1987 and consists of several balcony and facade companies. The head office is in Växjö and the group has today about 600 employees. We operate in two main segments, the renovation and new build, and the core expertise is to supply glazed balcony and balcony solutions. But we also have a broad portfolio of different kinds of balcony solutions. We are the market leader in the Nordic countries with the key markets, Sweden, Denmark, Norway and Finland, and a challenger position in Northern European markets. By saying so, we go over to quarter one. And we had a weak result in the first quarter this year. The adjusted EBITDA margin amounted to minus 0.9%. And there are several reasons for this weak result. The main one is that we have had delays in our processes. And by saying so, I mean both the permission processes we have in Sweden, but also delays on ongoing new build projects in UK and Finland. And this has then affected negatively both the revenue and our cash flow. This has also led to that we have had an overcapacity in our production, which we have not been able to compensate for in short term during the first quarter. On top of this, we have also h...