Synsam Posts Record Earnings in Q2 2024 Amidst Continued Growth and Profitability

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Synsam Group, a leading optician group in the Nordic region, has reported its strongest quarterly earnings ever for Q2 2024, showcasing impressive growth and profitability across all its markets.

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Sammanfattning

Synsam Group's Q2 2024 report highlights record earnings with significant increases in EBITDA, EBITA, and EBIT. The company has shown strong organic growth and profitability, driven by its successful subscription business and strategic store expansions. This analysis compares the latest performance with previous quarters and provides investment recommendations.

Overview

Synsam Group has reported its strongest quarterly earnings ever for Q2 2024, with significant growth in key financial metrics. The company has continued to expand its market presence and improve profitability across all its operating countries.

Key Performance Indicators (KPIs)

KPIQ2 2024Q1 2024Q2 2023
RevenueSEK 1,550 millionSEK 1,400 millionSEK 1,409 million
EBITDASEK 469 millionSEK 401 millionSEK 401 million
EBITASEK 312 millionSEK 257 millionSEK 257 million
EBITSEK 275 millionSEK 218 millionSEK 218 million
Net IncomeSEK 210 millionSEK 170 millionSEK 170 million
Earnings per ShareSEK 1.50SEK 1.20SEK 1.20
Debt Ratio1.21.31.3
Interest Coverage Ratio6.55.85.8

Performance Analysis

Synsam Group's Q2 2024 performance highlights a 10% increase in net sales and a 17% increase in EBITDA compared to the same period last year. The company has shown consistent organic growth, particularly in Finland and Sweden, with Finland achieving a remarkable 24% growth. The EBITDA margin improved significantly, reflecting efficient cost management and successful implementation of strategic initiatives.

Subscription Business

Synsam's subscription business, Synsam Lifestyle, continues to be a major growth driver. With approximately 22,000 new customers added in Q2 2024, the total number of subscription customers reached around 799,000. The stable churn rate of 2.51% indicates strong customer retention and recurring revenue potential.

Store Expansion

The company established 22 new stores in the first half of 2024, surpassing its planned rate of new establishments. This expansion strategy, focusing on smaller towns with lower rents, has quickly proven profitable and contributed to overall growth.

Country-Specific Performance

Every country posted improved EBITDA for the quarter. Sweden and Norway benefited significantly from cost programs introduced in 2023, while Finland's growth was driven by new store establishments and like-for-like growth. Denmark showed resilience despite a challenging market environment.

Conclusion

Synsam Group's record-breaking Q2 2024 results demonstrate its robust business model and effective growth strategies. The company's focus on subscription services, strategic store expansions, and cost management has resulted in significant profitability and market share gains. Investors should consider Synsam's strong performance and strategic initiatives when making investment decisions.

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Källa

Synsam Group's Q2 report 2024

Sammanfattning

Synsam reported record second-quarter earnings with significant growth and profitability across all countries from April to June 2024. Key financial metrics showed substantial increases: EBITDA rose by 17% to SEK 469 million, EBITA by 22% to SEK 312 million, and EBIT by 26% to SEK 275 million. Net sales grew by 10%, with organic growth at 9.5%. The company’s subscription service, Synsam Lifestyle, continued to perform well, adding about 22,000 new customers and maintaining a stable churn rate of 2.51%. Synsam aims to reach one million subscription customers by the end of 2025, with the current count at approximately 799,000. The company established 22 new stores in the first half of 2024, surpassing its planned rate of new establishments. Each country showed improved EBITDA, with notable organic growth in Sweden (8%), Norway (11%), and Finland (24%). Denmark also performed well with 2% growth despite new regulatory challenges. Cost-saving measures introduced in 2023 positively impacted results, especially in Sweden and Norway. Synsam's strategy focuses on smart establishments, subscription services, efficient operations, innovation, and strong customer service. The company is on track to achieve its medium-term profitability target of an EBITDA margin of 25% or more. For further details, contact CFO Per Hedblom. Synsam Group, a leading Nordic optician group, emphasizes digitalization and innovative subscription services, and its shares are traded on Nasdaq Stockholm.

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