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Introduction & Market Context
Swedish battery charging and EV solutions provider Ctek AB (STO:CTEK) presented its Q2 2025 results on July 17, highlighting a strong recovery toward the end of the quarter and improved profitability across divisions. The company, founded over 25 years ago in Vikmanshyttan, Sweden, continues to leverage its Swedish heritage and premium positioning to drive growth in both its Low Voltage and Electric Vehicle Supply Equipment (EVSE) segments.
Ctek’s stock closed at 16.00 SEK on July 16, showing a modest year-to-date performance with the share price currently well below its 52-week high of 23.40 SEK. The company’s Q2 presentation emphasized its strategic roadmap toward ambitious 2028 financial targets while showcasing its partnerships with luxury automotive brands.
Quarterly Performance Highlights
Ctek reported Q2 2025 net sales of 197 MSEK with a gross margin of 56.3%. Adjusted EBITA reached 14 MSEK, while EBIT came in at 9 MSEK. The company generated strong cash flow from operating activities of 31 MSEK, representing significant improvement from previous quarters.
As shown in the following financial overview:
Key highlights from the quarter included a strong recovery toward the end of the period, continuous growth within the Low Voltage segment, and a second consecutive profitable quarter for the Professional division. The company also secured a new contract in its EVSE business while improving gross margins in that segment.
The following slide summarizes these key takeaways alongside performance charts:
Detailed Financial Analysis
Ctek’s business is divided into two main segments: Consumer and Professional divisions. The Consumer division, which focuses on battery chargers and related products for individual users, saw modest organic growth of 0.3% to 128 MSEK (compared to 135 MSEK in the previous year). Adjusted EBITDA for this division amounted to 42 MSEK, corresponding to a margin of 33.0%, down from 38.4% in the comparable period.
The division’s performance is illustrated in the following slide:
Meanwhile, the Professional division, which targets vehicle manufacturers, charge point operators, and parking operators, showed improving profitability despite a 6% organic decrease in net sales to 70 MSEK. Adjusted EBITDA for this division reached 2 MSEK, compared to -5 MSEK in the previous year, resulting in a positive margin of 3.0% versus -6.5% previously.
The Professional division’s turnaround is visualized here:
Cash flow performance was particularly strong, with operating activities generating 31 MSEK (up from 22 MSEK). CAPEX during the period amounted to -16 MSEK, an improvement from -19 MSEK previously. The company’s net debt to adjusted LTM EBITDA ratio decreased to 1.8x from 2.0x, indicating strengthened financial health.
Strategic Initiatives
Ctek’s presentation emphasized its premium market positioning, showcasing partnerships with over 50 luxury vehicle manufacturers including Rolls-Royce (OTC:RYCEY), Porsche, Lamborghini, Bentley, Bugatti, Ferrari (BIT:RACE), and McLaren. These relationships reinforce the company’s credibility in the high-end automotive market.
The company’s prestigious OEM partnerships are highlighted in this slide:
Ctek’s go-to-market strategy targets specific customer segments across both consumer and professional markets. For consumers, the company focuses on enthusiasts and conscious consumers through channels like Amazon (NASDAQ:AMZN) and specialty retailers. In the professional space, Ctek targets vehicle manufacturers, charge point operators, and parking operators through direct partnerships.
This strategic market approach is illustrated below:
The company is also expanding into adjacent product categories to drive future growth. These include Premium Boosters and Power Solutions, which complement Ctek’s existing product portfolio while leveraging its established brand and distribution channels.
As shown in the following product expansion slide:
Forward-Looking Statements
Ctek outlined ambitious financial targets for 2028, including achieving SEK 2 billion in sales with an adjusted EBITA margin of 20%. The company aims to maintain net debt below 3.0x LTM adjusted EBITDA while paying dividends corresponding to 30% of net earnings.
The company’s 2028 financial targets are presented here:
To reach these targets, Ctek plans to launch several new products in both existing and new categories. These include the CS ONE Gen 2, NXT series, Premium Boosters, a new integrated AC/DC charger, and Chargestorm Connected 3 with display & Eichrecht compliance.
The company’s projected revenue growth path to 2028 is detailed in this chart:
According to this roadmap, Ctek expects its core business to reach SEK 1 billion by 2028, with Power Solutions contributing an additional SEK 400 million and EVSE adding SEK 200 million to achieve the overall SEK 2 billion target.
Ctek’s management, led by CEO Henrik Fagrenius and CFO Thom Mathisen, emphasized the company’s Swedish heritage and commitment to quality, sustainability, and innovation as key differentiators in the competitive charging solutions market. With approximately one-third of employees working in R&D, the company continues to focus on technical competence as a competitive advantage.
As global EV adoption accelerates and battery maintenance remains critical for conventional vehicles, Ctek appears positioned to capitalize on its premium brand positioning and technological expertise, though execution of its ambitious growth strategy will be crucial to meeting the outlined 2028 targets.
Full presentation:
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