Ferronordic AB (publ) (FNM) Q4 2024 Earnings Call

Investor webinar replay

Replay transcript excerpt

Welcome everybody to this presentation on our fourth quarter for 2024. And we saw in the quarter continued strength in the United States, strong performance, and we created a much stronger position to go forward in Germany and Kazakhstan. We had a 43% revenue increase, obviously driven by the additional growth in the US operations, mainly. We had an operating result which increased to 2 million or 19 million, excluding effects of impairment of inventory in Germany and Kazakhstan. Net profit ended up at 9 million kroner, partly because of exchange rate effects. And we have, of course, after the acquisitions of the US operation, partly driven by expansion of the rental fleet in the US, we have a net debt of 1.978 billion SEK. And given the negative result we had for the year, no dividend is recommended. So if we look a bit more into the US, we're starting there. We saw, as I said, continued strong performance, good margin development and cash generation. Total revenue was 720 million SEC with a strong operating margin then of 9%. Overall, Our sales of machines grew by 15% while service and part sales were stable quarter on quarter. We do have a higher inventory and rental fleet in the US, which is in line with our strategy to take market shares further. In the articulated hoarder and excavator segments, we have been successful in gaining market shares in the US throughout the year. And we see opportunities to grow that further. If we go to Germany, the market declined by 14%. However, our own deliveries of new trucks in units actually almost doubled, which is partly on strong order intake we had of new trucks in the previous quarter, but also continued efforts to clear out old stock, which has been standing for too long. We'll come back to that. And given then the curr...