Tobii AB: Interim report third quarter 2024: Net sales growth and cost reductions improve EBIT
Net sales increased by 40% to SEK 211 million (150), with an organic growth of -6%.
Gross margin was 80% (75%).
Operating result (EBIT) was strengthened to SEK -17 million (-69).
Profit/loss for the quarter amounted to SEK -17 million (-74).
Earnings per share amounted to SEK -0.07 (-0.70).
Free cash flow amounted to SEK -96 million (-71).
Cash-related operational expenses totaled SEK 223 million, down from SEK 276 million in the second quarter of 2024.
Net sales increased by 14% to SEK 573 million (503), with an organic growth of -11%.
Gross margin was 78% (75%).
Operating result (EBIT) was SEK -157 million (-170).
Profit/loss for the period amounted to SEK -182 million (-170).
Earnings per share amounted to SEK -0.97 (-1.61).
Free cash flow amounted to SEK -331 million (-93).
CEO Anand Srivatsa comments:
"The initial steps of our cost reduction program and 40 percent net sales growth significantly improved EBIT in the third quarter. The integration of FotoNation/AutoSense is advancing, creating synergies that enhance our automotive offerings and lower future platform investments. Taken together, these actions are expected to support sustained positive profitability development in the coming quarters.
More than 550,000 vehicles are now on the road with Tobii's interior sensing technologies. We also see steady progress in our ongoing OEM programs as they advance towards start of production. The first OEM to integrate our single-camera solution (SCDO) into passenger cars, a premium German automaker, is currently undergoing homologation testing to certify compliance with regulatory performance and safety standards. This is a critical step towards start of production and a key validation of our SCDO technology for future customers, supporting new design wins.
In the quarter, we saw strong net sales performance, supported by the business related to the acquisition. Products & Solutions segment's net sales were flat which is an encouraging improvement compared to the previous quarters. The business in Asia returned to growth after several quarters of weak performance. The Integration segment's net sales grew by 104 percent, including acquisition-related net sales, and the segment delivered another EBIT-positive quarter. The underlying Integrations business showed a weaker performance due to the timing of customer projects in the quarter. Our automotive business has more than tripled year-on-year with the Autosense segment's net sales reported in line with expectations.
Overall, we are encouraged by the progress in cost efficiency and integration synergies and we are implementing measures to ensure that we operate within our available cash reserves. Additionally, we are continuously taking steps to focus our product portfolio, streamline our organization and explore the optimal way to secure value creation from our investments. We anticipate that this progress and these initiatives will support a continued upward trend over the next few quarters, giving us confidence in achieving a year-over-year EBIT improvement for the full-year of 2024."
Q3 presentation today at 9.00 a.m. CEST
Tobii's CEO Anand Srivatsa and CFO Magdalena Rodell Andersson will present and comment on the report. After the presentation, there will be time for questions. The presentation will be held in English.
Link to the webcast (https://ir.financialhearings.com/tobii-q3-report-2024)
Please make sure you are connected to the webcast by logging in and registering a few minutes before the presentation begins. It will be possible to ask questions via the chat function or verbally, by selecting participation options.
The presentation material will be available at Tobii's website (https://corporate.tobii.com/investors/calendar/interim-report-q3-2024). The interim report and a recording of the webcast will be available on the same page.
For more information, please contact:
Carolina Strömlid, Head of Investor Relations, Tobii AB, +46 (0)70 880 71 73, email: carolina.stromlid@tobii.com
This interim report comprises such information that Tobii AB is obligated to publish pursuant to the EU Market Abuse Regulation. This information was published through the agency of the person set out above on October 25, 2024, at 7.30 a.m. (CEST).
About Tobii
Tobii is the global leader in eye tracking and pioneer of attention computing. We are on a mission to improve the world with technology that understands human attention and intent. Creating tech for a better future, our technologies and solutions apply to areas such as behavioural studies and research, healthcare, education and training, gaming, extended reality, automotive, and many more. Tobii's eye tracking is used by thousands of enterprises, universities, and research institutes around the globe. Headquartered in Sweden, Tobii is listed on Nasdaq Stockholm (TOBII). For more information: www.tobii.com.