FRIWO's Strategic Shift: Promising Revenue and Earnings Trends

FRIWO AG, a key player in power supplies and e-drive solutions, is reaping early benefits from its strategic overhaul initiated in early 2025. The company anticipates modest revenue and earnings improvements this year, bolstered by cost efficiency measures. FRIWO projects medium-term revenue increases in the high single-digit percentage range, aiming for a sustainable EBIT margin above 5%.

The company's financial year 2024 saw consolidated sales of 93 million euros, within its forecast range, despite waning demand in Europe. The EBIT improved to -3.6 million euros due to site optimizations and easing material costs, showing some recovery from -7.4 million euros in 2023.

Key divestments, such as those in e-drives, are expected to generate a cash influx of 30 million euros, aiding debt reduction and paving the way for future growth. The equity ratio, currently low, is anticipated to rise significantly by the year-end, supported by these cash inflows.