Latest news with #EUR240
Yahoo
15-05-2025
- Business
- Yahoo
Mowi ASA (MHGVY) Q1 2025 Earnings Call Highlights: Record Profits Amidst Industry Challenges
Operational Revenue: EUR1.36 billion for Q1 2025. Operational Profit: EUR240 million for Q1 2025. Harvest Volumes: 108,000 tons, up 12% year-over-year. Farming Costs: EUR5.89 per kg for Q1 2025. Dividend: NOK1.70 per share for Q1 2025. Cash Position: EUR1.88 billion at the end of Q1 2025. Earnings Per Share: EUR0.29 for Q1 2025. Return on Capital Employed: 16% for Q1 2025. Norway Operational Profit: EUR155 million with a margin of EUR3.51 per kg. Scotland Operational Profit: EUR32 million with a margin of EUR1.78 per kg. Chile Operational Profit: EUR12 million with a margin of EUR0.88 per kg. Canada Profit: EUR4 million, improved from a EUR2 million loss in Q1 2024. Consumer Products Operational Profit: EUR33 million, up from EUR24 million in Q1 2024. Feed Volumes: 112,000 tons, up 14% year-over-year. Feed Operational EBITDA: EUR7 million for Q1 2025. Warning! GuruFocus has detected 4 Warning Signs with BOM:543573. Release Date: May 14, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Mowi ASA (MHGVY) reported a record high operational profit of EUR 240 million for Q1 2025. The company achieved an operational revenue of EUR 1.36 billion, with harvest volumes up by 12% year-over-year. Mowi ASA (MHGVY) maintained a strong cash position with EUR 1.88 billion at the end of the quarter. The company announced a quarterly dividend of NOK 1.70 per share. Mowi ASA (MHGVY) expects a further decrease in production costs due to economies of scale and improved biological conditions. Prices in the quarter were lower than expected due to record high industry supply. The company faces potential indirect effects from tariff turmoil in the US, which could impact demand. Mowi ASA (MHGVY) experienced higher costs in some regions, such as Chile, due to high-cost sites. The Norwegian government's White Paper on agriculture suggests more taxes and fees, which could impact the industry. There is uncertainty regarding the long-term impact of tariffs and potential economic slowdowns on demand. Q: You had guided 2% to 3% industry supply growth in February, but now you expect 6%. What has changed? Is there a chance that 2026 supply growth could also be revised up? A: Kristian Ellingsen, CFO: The biological performance and recovery in Norway have been better than expected. The industry is operating at high capacity utilization, and given current regulations, there's limited growth potential beyond this. 2025 is a recovery year from previous modest growth, limiting future potential. Q: Fish meal and fish oil prices have dropped over the last 12 months, but your revenue per kilo in the feed segment has been flat. Why hasn't it decreased with raw materials? A: Kristian Ellingsen, CFO: There was a positive development in 2024, but a pause in momentum in Q1 2025. We expect continued positive effects due to good fundamentals in the fishery season in Peru. Ivan Vindheim, CEO: The feed formula and energy costs also play a role, so it's not purely linear. Q: How significant is the strong biology in the first half of 2025 for costs in the second half for Norway? A: Ivan Vindheim, CEO: Costs are dropping, especially in Norway, which is our largest segment. If this trend continues, it will be beneficial, but it's dependent on biology, which has been exceptionally favorable so far. Q: When do you expect the quarter-on-quarter growth to ease off, and have retail prices started to come down? A: Kristian Ellingsen, CFO: We expect more moderate growth figures in upcoming quarters, but the high biomass will impact 2025. Retail prices haven't seen major declines yet, but we expect this over time. Ivan Vindheim, CEO: Quarter-over-quarter growth should ease by the fourth quarter, with next year looking different due to normalized biology. Q: Global supply growth is up by 8%, but consumption is up by 5%. Will this impact price dynamics going forward? A: Kristian Ellingsen, CFO: This is normal, with consumption slightly higher than supply. The market has absorbed the supply, and there's no significant inventory buildup. Q: Have you planned more retail promotions and campaigns for the second half of the year? A: Ivan Vindheim, CEO: Yes, preparations are ongoing. We expect average consumer prices to come down due to promotions and eventual shelf price reductions. Q: Can you comment on the strong performance in Norway this quarter? Is it due to better vaccines, sea temperatures, or other factors? A: Ivan Vindheim, CEO: The environmental conditions and new winter sore vaccine have been favorable. This year has seen tailwinds from all directions, which is rare, but it has led to strong performance. Q: How have US customers reacted to the tariffs, and what is the short-term demand impact? A: Ivan Vindheim, CEO: We haven't seen an effect yet as shelf prices haven't changed. If tariffs remain at 10%, it's manageable, but higher tariffs could have a more prolonged impact. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
15-05-2025
- Business
- Yahoo
ENAV SpA (FRA:ENV) Q1 2025 Earnings Call Highlights: Navigating Growth Amidst Seasonal Challenges
Revenue: EUR181 million in Q1 2025, down EUR13 million year-on-year. Free Cash Flow: Increased by 25% year-on-year, expected to be around EUR240 million for 2025. Service Units for Route: EUR2.2 million, up 7.4% year-on-year. Terminal Growth: 5.6% increase versus 2024. Non-Regulated Business Revenue: EUR7.1 million, up 4.2% year-on-year. Operating Costs: Increased by 2.8% to EUR182 million. EBITDA: EUR0.8 million for the quarter. Net Loss: EUR29.3 million, reflecting typical business seasonality. Net Debt: EUR223 million, down 13% from December 31, 2024. Warning! GuruFocus has detected 6 Warning Signs with LIM:INRETC1. Release Date: May 14, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. ENAV SpA (FRA:ENV) reported a strong start to 2025 with traffic trends exceeding planned expectations by 1.2 percentage points. Revenues for both regulated and non-regulated businesses recorded growth compared to the previous year. Free cash flow increased by 25% year-over-year, with expectations to reach EUR240 million by the end of 2025. The company has strong visibility on operational and financial delivery, ensuring targets for 2025 are comfortably within reach. The non-regulated business continued its growth trajectory with a 4.2% increase in the quarter. Revenues for the quarter were down EUR13 million year-on-year due to negative balance dynamics. Total operating costs increased by 2.8% compared to Q1 2024, driven by higher personnel and energy costs. The company reported a consolidated net loss of EUR29.3 million, attributed to typical business seasonality. Negative contributions from balances amounted to around EUR36 million, impacting financial results. The absence of balance generation in Q1 2025 was expected due to the start of a new regulatory period, affecting cash flow. Q: Could you share your views on traffic for the rest of 2025, considering the strong growth in Q1? A: Luca Colman, Chief Financial Officer: Traffic has grown 7.4% year-on-year and is 1.2% ahead of Euro Control estimates. April also showed a strong increase of 7.1%. We expect a significant increase in traffic during the summer, as Eurocontrol has requested our assistance due to capacity issues in neighboring countries. We anticipate this trend to continue, but a clearer picture will emerge once the summer season begins. Q: Can you provide an update on wage negotiations and the outlook for operating expenses? A: Luca Colman, Chief Financial Officer: Wage negotiations have not yet started, but discussions are expected to begin in June or July. The current feeling is positive. Operating expenses grew by 3% year-over-year in Q1, and we expect this trajectory to continue throughout the year. We are working on remodulating parts of the staff contract to manage costs effectively. Q: Are there any developments in selling ENAV's software to the US, given their need for new ATC systems? A: Luca Colman, Chief Financial Officer: There is potential for selling our technology to the US as they update their systems. This represents an opportunity for our non-regulated business, although discussions are still in the early stages. Q: Could you split the EUR240 million free cash flow guidance between normalized cash flow and balance reversal? A: Luca Colman, Chief Financial Officer: The balance reversal, including the 2021 COVID recovery and inflation balance, will contribute around EUR200 million to cash flow. The remaining EUR40 million is based on our EUR225 million EBITDA target. If EBITDA increases, this portion may also rise. Q: With traffic growth at 7.1% in April, why isn't it higher given the easier comps? A: Luca Colman, Chief Financial Officer: The 7.1% growth in April is still a strong result, especially considering the higher volume compared to earlier months. We are seeing significant tourism and international flights, and while the growth rate might seem modest, the overall volume is substantial. We will continue to monitor traffic trends closely. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
15-05-2025
- Business
- Yahoo
Mowi ASA (MHGVY) Q1 2025 Earnings Call Highlights: Record Profits Amidst Industry Challenges
Operational Revenue: EUR1.36 billion for Q1 2025. Operational Profit: EUR240 million for Q1 2025. Harvest Volumes: 108,000 tons, up 12% year-over-year. Farming Costs: EUR5.89 per kg for Q1 2025. Dividend: NOK1.70 per share for Q1 2025. Cash Position: EUR1.88 billion at the end of Q1 2025. Earnings Per Share: EUR0.29 for Q1 2025. Return on Capital Employed: 16% for Q1 2025. Norway Operational Profit: EUR155 million with a margin of EUR3.51 per kg. Scotland Operational Profit: EUR32 million with a margin of EUR1.78 per kg. Chile Operational Profit: EUR12 million with a margin of EUR0.88 per kg. Canada Profit: EUR4 million, improved from a EUR2 million loss in Q1 2024. Consumer Products Operational Profit: EUR33 million, up from EUR24 million in Q1 2024. Feed Volumes: 112,000 tons, up 14% year-over-year. Feed Operational EBITDA: EUR7 million for Q1 2025. Warning! GuruFocus has detected 4 Warning Signs with BOM:543573. Release Date: May 14, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Mowi ASA (MHGVY) reported a record high operational profit of EUR 240 million for Q1 2025. The company achieved an operational revenue of EUR 1.36 billion, with harvest volumes up by 12% year-over-year. Mowi ASA (MHGVY) maintained a strong cash position with EUR 1.88 billion at the end of the quarter. The company announced a quarterly dividend of NOK 1.70 per share. Mowi ASA (MHGVY) expects a further decrease in production costs due to economies of scale and improved biological conditions. Prices in the quarter were lower than expected due to record high industry supply. The company faces potential indirect effects from tariff turmoil in the US, which could impact demand. Mowi ASA (MHGVY) experienced higher costs in some regions, such as Chile, due to high-cost sites. The Norwegian government's White Paper on agriculture suggests more taxes and fees, which could impact the industry. There is uncertainty regarding the long-term impact of tariffs and potential economic slowdowns on demand. Q: You had guided 2% to 3% industry supply growth in February, but now you expect 6%. What has changed? Is there a chance that 2026 supply growth could also be revised up? A: Kristian Ellingsen, CFO: The biological performance and recovery in Norway have been better than expected. The industry is operating at high capacity utilization, and given current regulations, there's limited growth potential beyond this. 2025 is a recovery year from previous modest growth, limiting future potential. Q: Fish meal and fish oil prices have dropped over the last 12 months, but your revenue per kilo in the feed segment has been flat. Why hasn't it decreased with raw materials? A: Kristian Ellingsen, CFO: There was a positive development in 2024, but a pause in momentum in Q1 2025. We expect continued positive effects due to good fundamentals in the fishery season in Peru. Ivan Vindheim, CEO: The feed formula and energy costs also play a role, so it's not purely linear. Q: How significant is the strong biology in the first half of 2025 for costs in the second half for Norway? A: Ivan Vindheim, CEO: Costs are dropping, especially in Norway, which is our largest segment. If this trend continues, it will be beneficial, but it's dependent on biology, which has been exceptionally favorable so far. Q: When do you expect the quarter-on-quarter growth to ease off, and have retail prices started to come down? A: Kristian Ellingsen, CFO: We expect more moderate growth figures in upcoming quarters, but the high biomass will impact 2025. Retail prices haven't seen major declines yet, but we expect this over time. Ivan Vindheim, CEO: Quarter-over-quarter growth should ease by the fourth quarter, with next year looking different due to normalized biology. Q: Global supply growth is up by 8%, but consumption is up by 5%. Will this impact price dynamics going forward? A: Kristian Ellingsen, CFO: This is normal, with consumption slightly higher than supply. The market has absorbed the supply, and there's no significant inventory buildup. Q: Have you planned more retail promotions and campaigns for the second half of the year? A: Ivan Vindheim, CEO: Yes, preparations are ongoing. We expect average consumer prices to come down due to promotions and eventual shelf price reductions. Q: Can you comment on the strong performance in Norway this quarter? Is it due to better vaccines, sea temperatures, or other factors? A: Ivan Vindheim, CEO: The environmental conditions and new winter sore vaccine have been favorable. This year has seen tailwinds from all directions, which is rare, but it has led to strong performance. Q: How have US customers reacted to the tariffs, and what is the short-term demand impact? A: Ivan Vindheim, CEO: We haven't seen an effect yet as shelf prices haven't changed. If tariffs remain at 10%, it's manageable, but higher tariffs could have a more prolonged impact. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
26-04-2025
- Business
- Yahoo
Stora Enso Oyj (SEOAY) Q1 2025 Earnings Call Highlights: Strong Sales Growth Amid Operational ...
Sales Growth: Increased by 9% to EUR2.4 billion. Adjusted EBIT: EUR175 million, up 18% year-over-year with a 7.4% margin. Operating Working Capital: Decreased by 3 percentage points to 7%. Net Debt: Increased to EUR3.9 billion, with a net debt to EBITDA ratio of 3.2 times. Capital Expenditure: Approximately EUR240 million, expected to decrease after Q2. Cash Flow from Operations: EUR192 million, negatively impacted by a EUR100 million increase in working capital. Packaging Materials EBIT: Increased by EUR10 million to EUR62 million. Biomaterials EBIT: Decreased to EUR36 million due to lower sales prices and higher costs. Forest EBIT: Record high at EUR82 million, with assets fair value at EUR9.3 billion. Warning! GuruFocus has detected 8 Warning Signs with SEOAY. Release Date: April 25, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Sales grew by 9% in the first quarter, reaching EUR 2.4 billion. Achieved a robust adjusted EBIT of EUR 175 million, representing an 18% increase year-over-year. Successful production start of the new consumer board line at the Oulu Mill. Regulatory approval to proceed with the acquisition of Finnish sawmills, Junnikkala, enhancing operational synergies. Plans to implement a new leaner and flatter organizational structure to enhance efficiency and performance culture. Adjusted EBIT for the full year 2025 is expected to be adversely impacted by approximately EUR 100 million due to the ramp-up of the new packaging board line. Higher fiber costs negatively impacted results, with a total negative impact of EUR 131 million in the quarter. Cash flow after investing activities was negative at EUR 47 million, driven by the Oulu project. Wood costs remain at record high levels, impacting profitability. The Packaging Solutions division continues to face challenges due to market overcapacity and oversupply. Q: Can you explain the changes in the operational structure and what they imply for Stora Enso? A: Hans Sohlstrom, President and CEO, explained that the company is removing one management layer and creating a flatter organization with seven P&L responsible business areas. This change involves integrating Nordic sawmills with the closest pulp and board integrates to enhance efficiencies. The new structure will have 21 P&L responsible business units, decentralizing P&L responsibility closer to operations and sales. Q: Regarding the Oulu mill ramp-up, what are the expected sales and pricing assumptions for 2025? A: Hans Sohlstrom stated that while specific volume targets for 2025 are not disclosed, the EUR800 million sales target is based on average long-term prices for folded boxboard and coated unbleached kraft. The ramp-up is progressing well, with prime quality customer trials underway. Q: How are current US tariffs impacting Stora Enso's operations, and what are the opportunities? A: Hans Sohlstrom noted that US tariffs have a limited impact as sales to the US account for less than 3% of total sales. The company is renegotiating contracts and pricing in the US and sees opportunities in markets implementing countermeasures to US tariffs. Stora Enso remains committed to the US market while exploring new opportunities globally. Q: What is the outlook for wood costs and other input costs for the remainder of the year? A: Hans Sohlstrom mentioned that wood costs are at record high levels but are expected to stabilize. The mills will be dedicated to specific business areas, with some exceptions like the Oulu mill, which will report into the carton board business area despite producing some containerboard. Q: Can you provide an update on the forest sales process and its timeline? A: Hans Sohlstrom confirmed that the forest sales process is proceeding as planned, with expectations to finalize in the first half of 2025. Despite market volatility, the stable forest asset remains attractive, and its value has increased since the deal was announced. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
