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Investing.com -- Lifco (ST:LIFCOb) on Friday reported a strong fourth quarter, with net sales rising 10.6% to SEK 7,125 million, compared to SEK 6,439 million in the same period last year.
Shares of the dental equipment and supplies manufacturing company were up 2.6% at 04:20 ET (09:20 GMT).
Organic growth contributed 3.8%, while acquisitions added 6.4%. The increase was driven by acquisitions across all business areas and organic growth in the Dental and Systems Solutions segments, although the Demolition & Tools division continued to face a weak market.
EBITA for the quarter grew 9.4% to SEK 1,633 million from SEK 1,492 million. However, the EBITA margin declined slightly to 22.9% from 23.2% due to lower volumes in Demolition & Tools and reduced profitability in Dental.
Net profit for the period rose 7.8% to SEK 978 million, compared to SEK 907 million a year earlier. Profit before tax climbed 12.5% to SEK 1,260 million.
For the full year 2024, net sales increased 6.9% to SEK 26,137 million, with EBITA rising 4.5% to SEK 5,917 million. The net profit for the year was SEK 3,349 million, a marginal increase of 0.8% from SEK 3,323 million in 2023.
While acquisitions contributed positively, organic growth was slightly negative at -0.5%, mainly due to weakness in the Demolition & Tools division.
Lifco completed 13 acquisitions during the year, with an estimated annual net sales contribution of SEK 2 billion.
The company maintained a solid financial position, with interest-bearing net debt at 1.2 times EBITDA as of December 31, 2024.
“Lifco’s primary goal is to increase its earnings every year through organic growth and acquisitions,” said Per Waldemarson, chief executive at Lifco in a statement. The board also proposed a dividend of SEK 2.40 per share, up from SEK 2.10 last year.