Profoto shows improved results, impacts of component shortages
Swedish lighting company Profoto Holding AB reports net sales for the second quarter ending June 2022i, totaled SEK 187 million, compared to SEK 172 million last year, an increase of 8.6 percent. But organic growth, adjusted for currency effects, was -12.7 percent.
For the first six months of the year, Profoto registered net sales totaled SEK 383 million, compared to SEK 325 million), an increase of 17.9 percent. Organic growth adjusted for currency effects was 2.7 percent.
| Key ratios Group |
April –June 2022 | April–June 2021 | Jan–Jun 2022 | Jan–Jun 2021 | Jul 2021 –Jun 2022 |
Full-year 2021 |
| Net sales, SEKm | 187 | 172 | 383 | 325 | 791 | 732 |
| Net sales pro forma*, SEKm | – | 192 | 407 | 365 | 863 | 820 |
| EBIT, SEKm | 48 | 36 | 103 | 76 | 239 | 212 |
| EBIT pro forma*, SEKm | – | 36 | 103 | 76 | 242 | 215 |
| EBIT margin, % | 25.6 | 20.9 | 26.8 | 23.3 | 30.2 | 28.9 |
| EBIT margin pro forma*, % | – | 19.0 | 25.3 | 20.9 | 28.1 | 26.2 |
| Adjusted EBIT, SEKm | 46 | 53 | 111 | 100 | 247 | 237 |
| Adjusted EBIT margin, % | 24.5 | 30.7 | 28.9 | 30.9 | 31.3 | 32.3 |
| Profit/loss for the period, SEKm | 36 | 22 | 76 | 54 | 180 | 158 |
| Cash flow from operating activities, SEKm | 39 | 54 | 93 | 96 | 237 | 240 |
| Net debt, SEKm | 120 | -14 | 120 | -14 | 120 | -134 |
| Net debt/EBITDA LTM | 0.40 | -0.09 | 0.40 | -0.09 | 0.40 | -0.50 |
| Earnings per share | 0.90 | 0.56 | 1.89 | 1.34 | 4.50 | 3.95 |
* Pro forma includes StyleShoots Holding B.V. as if the acquisition had taken place on January 1, 2021.
The company said profitability during the quarter has remained high, with an EBIT margin of just over 25 percent, but that is slightly down from previous levels, partly influenced by delays in component deliveries and a lower level of sales.
“Generally speaking, our markets in Europe have been stable, as in Japan,” says Anders Hedebark
President and CEO, Profoto. “China strengthened slightly in June, as some cities gradually reopened after being on lockdown at the beginning of the quarter. In the US, however, we saw some hesitation in May, before returning to a normal level in June. Looking at our different customer segments, demand remains strong from studios working with individual brands, which account for a significant part of Profoto’s volumes. We see some hesitation from individual photographers due to inflation and interest rate fears and lower growth in demand from broad e-commerce companies.”
Hedebark added Profoto is confident it can achieve a constant currency annual organic growth in net sales of above 10 percent and to have profitability in terms of EBIT margin between 25 and 30 percent