Hexatronic Group AB

HTRO

Equity

ISIN SE0018040677 / Valor 119399884

NASDAQ Nordic Exchange Stockholm, Equities (2024-12-23)

SEK 36.24+2.40%

Hexatronic Group AB
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About company

Hexatronic Group AB is a global company headquartered in Gothenburg, Sweden, with 37 operational entities and over 1900 employees. The company specializes in providing cutting-edge fiber technology and solutions to telecom operators and network owners worldwide. Hexatronic Group focuses on enabling non-stop connectivity for communities across four continents, offering a range of products and services that cater to various conditions. The company's growth strategy includes both organic growth through market development and value-added services, as well as strategic acquisitions to strengthen its market presence and expertise.

Summarized from source with an LLMView SourceSector: Telecommunications

Net Sales Decrease

Hexatronic Group AB's net sales for the second quarter of 2024 decreased by 10 percent to MSEK 2,024, compared to MSEK 2,258 in the same period last year. This decline is primarily due to a weaker market for Fiber Solutions in key regions such as Germany, the UK, and the US.

EBITA and Operating Profit

For the second quarter of 2024, Hexatronic Group AB reported a significant decrease in EBITA, which fell by 45 percent to MSEK 222 from MSEK 405 in the previous year. The operating profit (EBIT) also saw a decline of 49 percent, amounting to MSEK 192 compared to MSEK 377 in the same quarter last year.

Net Result and Earnings Per Share

Hexatronic Group AB's net result for the second quarter of 2024 decreased by 66 percent to MSEK 89, down from MSEK 259 in the same period last year. Consequently, earnings per share after dilution also dropped significantly to SEK 0.44 from SEK 1.27.

Cash Flow and Financial Flexibility

Despite the declines in sales and profit, Hexatronic Group AB maintained strong cash flow from operating activities, which amounted to MSEK 221 in the second quarter of 2024, compared to MSEK 348 in the same period last year. The company continues to have good financial flexibility for long-term value creation.

Outlook and Market Expectations

Hexatronic Group AB expects the Harsh Environment and Data Center markets to remain strong for the rest of 2024, driven by investments in defense, energy, and AI. However, the market for Fiber Solutions is anticipated to remain weak in the third quarter, with a gradual increase in demand expected from the latter part of 2024.

Summarized from source with an LLMView Source

Key figures

34.7%1Y

-63.9%3Y

199%5Y

Performance

69.7%1Y

71.9%3Y

63.7%5Y

Volatility