Latest news with #Mantsala
Yahoo
14-05-2025
- Automotive
- Yahoo
Kamux Corp (FRA:4K8) Q1 2025 Earnings Call Highlights: Navigating Challenges with Strategic ...
Revenue: Experienced a small dent in the top line. Gross Profit: Took a significant hit due to margin issues with cars. Adjusted Operating Profit: Also saw a substantial decline. Cash Flow: Strong cash pool achieved by selling less fitting cars. Store Network: Closed Mantsala showroom in Finland; new showroom in Jyvaskyla to open later in the fall; closed 6 showrooms in Sweden, now at 17. Same-Store Sales: Sweden's volume drop larger than store count reduction, down roughly 26%. Net Working Capital: Improved with a reduction in inventory. Dividend: Unchanged, subject to Board approval. Long-term Targets: Aiming for 100,000 cars and EUR1.5 billion revenue. Warning! GuruFocus has detected 8 Warning Signs with FRA:4K8. Release Date: May 13, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Kamux Corp (FRA:4K8) maintained a strong cash flow by selling less fitting cars, preparing for the upcoming season. The company achieved a Net Promoter Score (NPS) of 60, aligning with their long-term target. Kamux Corp's integrated services performed well despite a drop in volume, indicating resilience in this segment. The company is actively managing its inventory, aiming for a better fit with market demand, particularly focusing on lower average price points. Kamux Corp is expanding its showroom network, with a new mega-sized showroom planned in Jyvaskyla, Finland, and a new location in Schwerin, Germany. Kamux Corp experienced a significant dent in both gross profit and adjusted operating profit due to lower margins on car sales. The Swedish market saw a 26% drop in volume, with Kamux Corp now ranking in the Top 8, indicating a loss of market position. The company faced challenges in sourcing entry-level combustion engine cars, impacting sales and profitability. Kamux Corp's performance in Sweden is under review, with several stores not meeting benchmarks, leading to potential closures. The company has struggled with the valuation of electric vehicles (EVs) and hybrids, affecting inventory management and profitability. Q: Can you elaborate on the sourcing challenges, particularly in Finland, and why importing cheaper gasoline cars from abroad is difficult? A: The main issue in Finland is that new car prices have increased significantly, making it challenging to import used cars at competitive prices. Our primary source remains trade-ins, which account for over 50% of our sales. We are focusing on sourcing the right cars to maintain margins, having learned from past mistakes with EVs and hybrids. Q: Are there plans to further adjust incentives within the purchasing team to improve performance? A: We are continuously fine-tuning incentives to enhance performance, but no major changes are planned at the moment. Q: What gives you confidence in maintaining your 2025 guidance despite a weak start to the year? A: We are entering the peak season, and lessons learned from Q4 will not be repeated. Metal margins and adjacent services are improving, and while the bar is higher due to a soft start, our analysis shows that achieving the guidance is doable. Q: How is the Swedish network assessment progressing, and is there a deadline for improvement? A: The assessment is ongoing, and while we have set an internal deadline, it is not public. We will make decisions during the peak season based on performance. Q: What changes have been made to your sourcing strategy, and how do you handle rebates? A: We have tightened our grip on rebates and are more granular in our sourcing strategy, focusing on what to buy and what not to buy. The compensation model for the sourcing team has shifted from volume-based to a more comprehensive approach, including GM ROI metrics. 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
14-05-2025
- Automotive
- Yahoo
Kamux Corp (FRA:4K8) Q1 2025 Earnings Call Highlights: Navigating Challenges with Strategic ...
Revenue: Experienced a small dent in the top line. Gross Profit: Took a significant hit due to margin issues with cars. Adjusted Operating Profit: Also saw a substantial decline. Cash Flow: Strong cash pool achieved by selling less fitting cars. Store Network: Closed Mantsala showroom in Finland; new showroom in Jyvaskyla to open later in the fall; closed 6 showrooms in Sweden, now at 17. Same-Store Sales: Sweden's volume drop larger than store count reduction, down roughly 26%. Net Working Capital: Improved with a reduction in inventory. Dividend: Unchanged, subject to Board approval. Long-term Targets: Aiming for 100,000 cars and EUR1.5 billion revenue. Warning! GuruFocus has detected 8 Warning Signs with FRA:4K8. Release Date: May 13, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Kamux Corp (FRA:4K8) maintained a strong cash flow by selling less fitting cars, preparing for the upcoming season. The company achieved a Net Promoter Score (NPS) of 60, aligning with their long-term target. Kamux Corp's integrated services performed well despite a drop in volume, indicating resilience in this segment. The company is actively managing its inventory, aiming for a better fit with market demand, particularly focusing on lower average price points. Kamux Corp is expanding its showroom network, with a new mega-sized showroom planned in Jyvaskyla, Finland, and a new location in Schwerin, Germany. Kamux Corp experienced a significant dent in both gross profit and adjusted operating profit due to lower margins on car sales. The Swedish market saw a 26% drop in volume, with Kamux Corp now ranking in the Top 8, indicating a loss of market position. The company faced challenges in sourcing entry-level combustion engine cars, impacting sales and profitability. Kamux Corp's performance in Sweden is under review, with several stores not meeting benchmarks, leading to potential closures. The company has struggled with the valuation of electric vehicles (EVs) and hybrids, affecting inventory management and profitability. Q: Can you elaborate on the sourcing challenges, particularly in Finland, and why importing cheaper gasoline cars from abroad is difficult? A: The main issue in Finland is that new car prices have increased significantly, making it challenging to import used cars at competitive prices. Our primary source remains trade-ins, which account for over 50% of our sales. We are focusing on sourcing the right cars to maintain margins, having learned from past mistakes with EVs and hybrids. Q: Are there plans to further adjust incentives within the purchasing team to improve performance? A: We are continuously fine-tuning incentives to enhance performance, but no major changes are planned at the moment. Q: What gives you confidence in maintaining your 2025 guidance despite a weak start to the year? A: We are entering the peak season, and lessons learned from Q4 will not be repeated. Metal margins and adjacent services are improving, and while the bar is higher due to a soft start, our analysis shows that achieving the guidance is doable. Q: How is the Swedish network assessment progressing, and is there a deadline for improvement? A: The assessment is ongoing, and while we have set an internal deadline, it is not public. We will make decisions during the peak season based on performance. Q: What changes have been made to your sourcing strategy, and how do you handle rebates? A: We have tightened our grip on rebates and are more granular in our sourcing strategy, focusing on what to buy and what not to buy. The compensation model for the sourcing team has shifted from volume-based to a more comprehensive approach, including GM ROI metrics. 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
Bloomberg
14-05-2025
- Business
- Bloomberg
How Finland Is Harvesting Waste Heat From Data Centers
When Finnish engineer Ari Kurvi takes a hot shower or turns up the thermostat in his apartment, he's tapping into waste heat generated by a 75-megawatt data center 5 kilometers away. As its computer servers churn through terabytes of digital information to support video calls, car navigation systems and web searches, an elaborate system of pipes and pumps harvests the cast-off energy and feeds it to homes in the town of Mantsala in southern Finland. Since it began operation about a decade ago, the data center has provided heat for the town. Last year, it heated the equivalent of 2,500 homes, about two-thirds of Mantsala's needs, cutting energy costs for residents and helping to blunt the environmental downsides associated with power-hungry computing infrastructure. Some of the world's biggest tech companies are now embracing heat recovery from data centers in an effort to become more sustainable.
