
Interim report 2024, January - June 12 Jul 2024 at 07:30
Regulatory press release
Second quarter
Order intake for the second quarter was SEK 769 m (703), corresponding to an increase of 9% whereof acquired growth was 36% and organic growth was -22%. Currency translations had an effect of on net sales of -5%
Net sales reached SEK 845 m (703), corresponding to an increase of 20% whereof acquired growth was 40% and organic growth was -20%. Currency translations had no material effect of on net sales
Adjusted EBIT reached SEK 172 m (154), equal to a 20.4 % (21.9) adjusted operating margin
EBIT reached SEK 104 m (150), equal to a 12.3% (21.4) operating margin
Adjusted profit after tax totaled SEK 103 m (119) and adjusted basic earnings per share was SEK 2.12 (2.56)
Profit after tax totaled SEK 34 m (116) and basic earnings per share was SEK 0.70 (2.48)
Cash flow from operating activities amounted to SEK 152 m (78)
First six months
Order intake for the first six months was SEK 1,242 m (1,384), corresponding to a decrease of 10% whereof acquired growth was 18% and organic growth was -29%
Net sales reached SEK 1,461 m (1,476), corresponding to a 1% decrease whereof acquired growth was 19% and organic growth was -20%. Currency translations had a negative effect of SEK 3 m on net sales
Adjusted EBIT reached SEK 309 m (370), equal to a 21.1% (25.0) adjusted operating margin
EBIT reached SEK 233 m (362), equal to a 16.0% (24.5) operating margin
Adjusted profit after tax totaled SEK 216 m (296) and adjusted basic earnings per share was SEK 4.55 (6.35)
Profit after tax totaled SEK 140 m (288) and basic earnings per share was SEK 2.94 (6.18)
Cash flow from operating activities amounted to SEK 210 m (233)
CEO comments
FIRST QUARTER WITH RED LION
The second quarter of the year saw an improvement in organic order intake compared with the first quarter. We are in a relatively weak market situation where our customers continue to work on adjusting their inventory levels and are in a wait-and-see mode to understand how demand will develop going forward.
The quarter's order intake, including Red Lion, amounts to SEK 769 million (703), corresponding to a growth of 9%. Excluding Red Lion, we see an organic sequential improvement of 9%, but a decrease by 22% compared to last year. We estimate that the quarter's order intake was negatively affected by our customers' inventory adjustments by approximately SEK 100 million. Looking ahead, we believe that customers' inventories are beginning to balance with the current demand, and we expect to see significantly less of these inventory adjustments going forward.
The quarter's turnover, including Red Lion, amounts to SEK 845 million (703), which corresponds to an increase of 20%, but a decrease of 20% compared to the corresponding period last year.
THE RESTRUCTURING PROGRAM NOW IMPLEMENTED
The restructuring program launched at the beginning of the quarter has been completed. The program, which has realized early cost synergies from the acquisition of Red Lion and optimized the European organization, has resulted in savings of SEK 23 million in 2024 and SEK 41 million in full-year effect. The cost of the program amounts to SEK 27 million and will be charged to the second quarter.
Our gross margin lands at 61.9% (64.7), which we think is a good level considering low sales volumes and the addition of Red Lion's slightly lower gross margin.
Operating expenses for the quarter amount to SEK 423 million, which includes items affecting comparability related to the acquisition of Red Lion Controls and the restructuring program - totaling SEK 69 million. All items affecting comparability are explained later in the report. Good cost control is important to us in these slightly more uncertain times, and we can see that the adjusted operating expenses are decreasing organically by 21%.
The adjusted operating profit in the quarter amounts to SEK 172 million (154), which corresponds to an operating margin of 20.4% (21.9). The quarter's cash flow from current operations amounts to SEK 152 million (78).
NORTH AMERICAN ORDERS BACK UP AFTER TEMPORARY DECLINE
The biggest positive impact on the improved sequential order intake comes from the North American market, which after a temporary decline in the first quarter, is now once again developing well.
The European market is moving sideways from the first quarter of 2024 and we have received several indications that the recovery will be somewhat slower than previously estimated.
In Asia, China is showing good development and good outlook. The, for HMS, important Japanese market is slowly moving in the right direction, with a large number of pre-purchase orders placed.
THE INTEGRATION OF RED LION IS IN FULL PROGRESS
The acquisition of Red Lion was completed at the beginning of the quarter and the response from the customers is very positive.
The integration work has been in full swing for three months and the main focus is commercial synergies. In Red Lion's largest market, the USA, our sales organizations have already held several joint customer and distributor meetings. In Asia, the sales organizations are already merged, and although fine-tuning of internal processes remains, the work has gone very well. Several collaborations have also started in Europe and our existing sales infrastructure is being used to improve Red Lion's presence in Europe.
At the same time, several integration initiatives are underway within the supply chain and support functions to further support sales synergies and increased operational efficiency, including changing business systems.
This is the first interim report that includes Red Lion as part of the HMS Group. We have updated the report to make it easier for the reader to follow the development of HMS organica
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
07/10/2026
Dalet, a leading technology and service provider for media-rich organizations, today announced the latest Long-Term Supported (LTS) release of Dalet Flex. Build...
06/09/2026
June 9 2026, 23:00 (PDT) Dolby and MagentaTV Bring Fans Closer to the FIFA Worl...
04/08/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
27/07/2026
The Audio Engineering Society Educational Foundation has named its scholarship and grant recipients for the 2026/2027 academic year. The awards support students...
27/07/2026
ESPN and the Mid-Eastern Athletic Conference (MEAC) have signed a multi-year media rights agreement covering basketball championships and select football and ba...
27/07/2026
Yahoo Sports and Cameo have partnered to allow fantasy football users to book personalized celebrity videos directly within the Yahoo Fantasy app and website. T...
27/07/2026
Eutelsat has welcomed the FCC's order establishing the regulatory framework for the transition of Upper C-band spectrum in the United States. Under the orde...
27/07/2026
ESPN and the International Dance League (IDL) have signed a global rights agreement for the 2026 season. Events will air bi-weekly on ESPN2 at 7 p.m. ET beginni...
27/07/2026
NBCUniversal and YouTube have signed a multi-year global partnership that includes bundling Peacock with YouTube Premium, extending NBCUniversal's distribut...
27/07/2026
Agenda includes presentations from the Miami Heat, Inter Miami, Florida Panthers...
27/07/2026
Behind The Mic provides a roundup of recent news regarding on-air talent, including new deals, departures, and assignments compiled from press releases and repo...
27/07/2026
Ten one-minute shorts will roll out across CBS, The CW, Paramount+ during the 2026 PBR Teams season
PBR is officially moving into scripted animation. The Profe...
27/07/2026
Today the nonprofit Sundance Institute shared the names of this year's cohor...
27/07/2026
New app turns vocal percussion into polished loops
Vochlea, the company behind the voice-to-MIDI instrument Dubler 2, have just announced the launch of a ne...
27/07/2026
Latest MPE-capable instrument completes Pure Trilogy line-up
Sonora Cinematic have just released the third and final instalment in their series of acoustic ...
27/07/2026
Emulates four varieties of optical compression
The latest addition to the fedDSP line-up has just been announced, and packs four distinct optical compressor...
27/07/2026
Optical & FET compressors join 500-series line-up
At our recent GearExpo UK show, we heard from Drawmer that they would soon be launching a pair of new 500-...
27/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
27/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
27/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
27/07/2026
Lightware announces SNMPv3-based monitoring support for selected Taurus devices, available from firmware v1.20.0. The update enables IT administrators and AV in...
27/07/2026
Mediagenix, a global leader in smart content solutions to profitably connect the right content to the right audience, will showcase its vision for the Real-Time...
27/07/2026
All episodes available Thursday 6 August on Sky and streaming service NOWMonday ...
27/07/2026
Why Confidence MattersIn this series, we explore the technologies, architectures and operational realities shaping modern media operations. Along the way, we ex...
27/07/2026
Apple today announced AppleCare One - a new way for customers to protect multipl...
27/07/2026
Yesterday witnessed truly memorable scenes in Croke Park, bringing the curtain d...
27/07/2026
Luxembourg, July 27, 2026 - SES, a leading space solutions company, issued the following statement following the U.S. Federal Communications Commission approval...
27/07/2026
Open source software is a critical pillar of the global economy. It underpins cloud computing, financial services, manufacturing, telecommunications, government...
26/07/2026
What is Audio Vivid? A New Destination for Immersive Audio Over the past several years, immersive audio has evolved from a niche production consideration into a...
26/07/2026
The complexity of modern chip design continues to grow as engineering teams work to develop increasingly sophisticated CPUs, GPUs and AI systems. To help meet t...
25/07/2026
New app turns vocal percussion into polished loops
Vochlea, the company behind the voice-to-MIDI instrument Dubler 2, have just announced the launch of a ne...
25/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
25/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
25/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
25/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
25/07/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
25/07/2026
Export FCP7 to XML Without Needing FCP7 Installed
Dave Rice July 24, 2026
0 Comments
I've created an open source tool that allows you to export FC...
25/07/2026
Documentary Sell Your House Edited with DaVinci Resolve Studio
Brie Clayton July 24, 2026
0 Comments
Filmmakers post feature documentary from opposite...
25/07/2026
Time to Act: Bringing a New Opera to Life Boston Conservatory at Berklee vocal arts students played a vital role in shaping the opera's creative developme...
25/07/2026
Beyond the Score For Dean of Music Kevin Haden, the boundless possibilities of classical music begin with process.
July 24, 2026
By
Kevin Haden
Michelle ...
25/07/2026
Reading the Room As music director of two major orchestras, conductor Jonathon Heyward aims to make the concert hall a space for everyone.
July 24, 2026
By
...
25/07/2026
Saturday 25 July 2026
First look revealed for YAGA, a seductive mystery thrille...
24/07/2026
Referee hat cameras, player/coach mics, and virtual graphics will be deployed at the three-day event for the first time
The NFL FLAG Championships return to ES...
24/07/2026
Qvest, Ateme, and Scaleway have partnered to offer broadcasters, media organizat...
24/07/2026
LTN has completed satellite-to-IP migrations for more than 3,000 broadcaster, MVPD (Multi-Channel Video Programming Distributor), head-end, and content owner si...
24/07/2026
Chyron has released Virtual Placement 8.1, an update to its live sports virtual graphics platform. The release adds workflow and graphics changes across chroma ...
24/07/2026
Riedel's RefCam Live was used for the first time at an international soccer match during a friendly between the German men's national team and Ghana in ...
24/07/2026
USSI Global said it is prepared to help broadcasters, satellite network operators, and media organizations manage the next phase of C-band spectrum clearing, fo...
24/07/2026
FuboTV and The Athletic have launched The Athletic Video Hub on Fubo, bringing The Athletic's sports video content to connected TV (CTV) for the first time....