LEAX Interim Financial Report Q1 2025
The first quarter in summary
• Net Sales decreased to SEK 480.8 million (560.8)
• Operating profit decreased to SEK -2.6 million (6.4)
• Earnings before tax (EBT) decreased to SEK -18.2 million (-0.2)
• Net income for the period decreased to SEK -19.8 million (-1.1)
• Cash flow from operating activities amounted to SEK 22.7 million (26.1)
Comments from the Group President and CEO, Roger Berggren;
The first quarter of 2025 was characterized by weak demand, especially in heavy commercial vehicles. Net sales decreased by 14.3 percent to SEK 480.8 million and operating profit amounted to SEK -2.6 million, mainly driven by lower volumes but also a continued high-cost level.
To meet these challenges, we continued to implement our cost-saving program during the quarter, with an expected annual profit improvement of SEK 100 million. At the end of the quarter, approximately 42% of the measures had been implemented. The effects are already starting to show in an improved cost structure, which strengthens our conditions for recovery and profitable growth.
We are now seeing signs of a gradual recovery, with a stronger order board for the second quarter. Demand from several major customers, especially in heavy commercial vehicles, is developing positively and gives us reason for confidence.
At the same time, our strategic investments in electrification and the defence industry are proceeding according to plan. With implemented structural measures, a clearer operational focus and a strengthened financial base, LEAX is well positioned to deliver a gradually improved result during the year.
I would like to thank our employees for their commitment, and our customers, suppliers, and shareholders for their continued trust.
About LEAX
LEAX Group AB (publ) is the parent company of a group (“LEAX Group”) with about 1,000 employees. LEAX has operations in Köping, Falun and Falköping in Sweden, Riga and Rezekne in Latvia, Curitiba in Brazil, Detmold in Germany and Mezökövesd in Hungary. The Group designs, develops and industrializes advanced manufacturing solutions and superior products for global mobility and industrial markets. The Group had sales of SEK 2.0 billion in 2024.