Overview
Sweden green chemical firm's Q1 revenue fell 23% yr/yr
Company posted positive Q1 operating profit after prior losses, driven by cost savings
Improved gross margin and cash flow attributed to efficiency program and product mix shift
Outlook
OrganoClick expects the loss of a major industrial customer to impact sales from Q3
Result Drivers
COST SAVINGS - Co said implementation of savings programs reduced fixed costs by SEK 20 mln/yr, supporting improved operating profit and cash flow
PRODUCT MIX SHIFT - Higher share of consumer products, now over 50% of sales, boosted gross margin to 30.5% despite lower revenue
NEW CUSTOMER SALES - Growth in new customer sales for consumer brands in Sweden and Switzerland contributed to positive development in consumer business
Company press release: ID:nMFN4RFzkB
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Miss
SEK 27.40 mln
SEK 34 mln (1 Analyst)
Q1 Gross Margin
30.50%
Q1 EBIT
SEK 300,000
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)