The first quarter financial performance was expected to be moderate, but the increased macroeconomic and geopolitical uncertainty has impacted NNIT to a larger extent than expected. Based on the realized results and the continued uncertainty, NNIT adjusts the 2025 financial outlook.
Given the current uncertainty, organic revenue growth is expected to be 0% to 5% (previously 7% to 10%), which is due to postponement of projects and the sales pipeline materializing at a slower pace than planned as customers are hesitating to engage in new contracts, especially within Life Science. Expectations for the Group operating profit margin excluding special items are maintained at 7% to 9% as NNIT is significantly reducing its cost base by adjusting capacity and lowering general spending across regions and on corporate level. Special items are expected to be up to last year’s level of DKK 69m (previously expected to be below the 2024 level) mainly driven by further restructuring costs.
NNIT generated Q1 2025 Group revenue of DKK 464m (Q1 2024: DKK 463m). The organic growth was negative by 0.8% (Q1 2024: 8.0%) due to Region Europe and Region US. Group operating profit excl. special items was DKK 18m (Q1 2024: 24m), equal to a margin of 3.9% (Q1 2024: 5.2%). Profit and margin were mainly impacted by Region Europe and a decrease in Region Denmark driven by overcapacity following the postponement of a large contract, which has been signed in Q2, and the loss of a large public tender. Special items for the Group amounted to DKK 25m (Q1 2024: income DKK 11.3m) primarily driven by restructuring costs.
Financial figures, DKK million | Q1 2025 | Q1 2024 | FY 2024 |
GROUP | |||
Revenue | 464 | 463 | 1,851 |
Group operating profit excl. special items | 18 | 24 | 117 |
Group operating profit margin excl. special items | 3.9% | 5.2% | 6.3% |
Special items | 25 | -11 | 69 |
REGION EUROPE | |||
Revenue | 119 | 126 | 512 |
Regional operating profit | 12 | 14 | 67 |
Regional operating profit margin | 10.0% | 11.2% | 13.0% |
REGION US | |||
Revenue | 87 | 93 | 346 |
Regional operating profit | 26 | 18 | 73 |
Regional operating profit margin | 30.4% | 19.0% | 21.2% |
REGION ASIA | |||
Revenue | 37 | 32 | 149 |
Regional operating profit | 3 | -2 | 8 |
Regional operating profit margin | 7.6% | -5.3% | 5.2% |
REGION DENMARK | |||
Revenue | 221 | 212 | 844 |
Regional operating profit | 33 | 48 | 151 |
Regional operating profit margin | 15.1% | 22.6% | 17.9% |
Despite the adjustment of expectations for organic growth, NNIT maintains expectations for the Group operating profit margin excl. special items to reach 7% to 9%. NNIT has executed several cost reducing initiatives, which include capacity adjustments across the group, to minimize the impact on profitability.
NNIT will publish the Q1 2025 trading statement on May 5, 2025, one day earlier than planned.
For more information, please contact:
Investor Relations
Carsten Ringius
EVP & CFO
Tel: +45 3077 8888
carr@nnit.com
Media Relations
Thomas Stensbøl
Press & Communications Manager
Tel: +45 3077 8800
tmts@nnit.com
ABOUT NNIT
NNIT is a leading provider of IT solutions to life sciences internationally, and to the public and private sectors in Denmark.
We focus on high complexity industries and thrive in environments where regulatory demands and complexity are high.
We advise on and build sustainable digital solutions that work for the patients, citizens, employees, end users or customers.
We strive to build unmatched excellence in the industries we serve, and we use our domain expertise to represent a business first approach – strongly supported by a selection of partner technologies, but always driven by business needs rather than technology.
NNIT consists of group company NNIT A/S and the subsidiary SCALES. Together, these companies employ more than 1,700 people in Europe, Asia and USA.
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