Novem Group S.A.: Q1 2024/25 Figures Show a Soft Start to the Year

Novem Group S.A. reported revenue of €140.1 million for Q1 2024/25, a decrease of 20.0% compared to Q1 2023/24. The company's Adj. EBIT stood at €14.2 million, marking a 29.2% drop from the previous year. Current market conditions are challenging.

Revenue from Series fell to €119.8 million, a 20.6% decline, while Revenue from Tooling decreased by 16.1% to €20.3 million. Europe saw a sharp decline of €-39.4 million y/y, whereas the Americas gained €10.2 million y/y, driven by strong demand for SUVs. Revenues in Asia decreased by €-5.8 million.

Free cash flow dropped to €-3.0 million, influenced by reduced profit and increased stock levels. Capital expenditure rose to €5.0 million due to growth investments.

As of June 30, 2024, working capital was €142.2 million, marginally higher than last year. Net financial debt increased significantly to €171.2 million, resulting in a net leverage ratio of 1.8x Adj. EBITDA.