Summary of the period 1 October to 31 December 2024
- Net turnover was TSEK 58 417 (55 405)
- Cash flow from operating activities was TSEK -3 302 (459)
- Result after financial items was TSEK 20 853 (24 916)
- Result after tax was TSEK 11 129 (21 674)
- Earnings per share were TSEK 0.39 (0.82)
Summary of the period 1 January to 31 December 2024
- Net turnover was TSEK 265 281 (186 493)
- Cash flow from operating activities was TSEK 35 707 (-20 144)
- Result after financial items was TSEK 94 843 (68 830)
- Result after tax was TSEK 72 311 (59 604)
- Earnings per share were TSEK 2.64 (2.36)
The entire quarterly report is available at: https://intellego-technologies.com/sv/rapporter/
A Message from the CEO
Intellego's journey of growth continued during Q4 and despite missing the annual revenue target we achieved a year over year growth of over 40% in 2024, in revenue. The EBIT levels also increased, with approximately 26% and the operating cashflow improved from -20 million SEK to + 35 million SEK. The EBIT level came in slightly lower than expected due to a bad debt provision in Q4 of 5 million SEK. All in all, it shows that the company is moving in the right direction which is further shown from the 44 million SEK that Intellego now has in available liquidity. The company do have several challenges looking ahead and one of those are shortening payment terms to larger customers which will be an ongoing work the coming quarters. We are making good progress on this front and two of the major collaborations we have, they now have 30 respective 60 days payment terms. The company is constantly looking at how activities and process can be improved and thanks to this continues work, the company can also show a good start of 2025 with revenue so far to reach approximately 130 million SEK and a correlating EBIT level in line with previous years.
As we are now preparing the Annual Report we look back on 2024 and the significant journey that the company is on. One part of that journey and a key component for the company to grow into its long term goals, is the comprehensive financial, governance and compliance work that Intellego's management and board has done together with strategic partners during the year. One part of this work has been the verification of customer reciveables, which has now been done through e.g. counterparty confirmations which has confirmed that the reciveables are valid. We, the company, believe this whole process will make the company stronger, more structured and suitable for the next steps in Intellego's long term plan.
During the last part of 2024 and beginning of 2025, there are been significant process on the major partnership front for Intellego and we will elaborate on these collaborations more in detail. These two major collaborations are each a good reference case from each market in terms of size, structure and business model for Intellego.
Henkel
With its brands, innovations and technologies, Henkel holds leading market positions worldwide in the industrial and consumer businesses. The business unit Adhesive Technologies is the global leader in the market for adhesives, sealants and functional coatings. With Consumer Brands, the company holds leading positions especially in laundry home care and hair in many markets and categories around the world. The company's three strongest brands are Loctite, Persil and Schwarzkopf. In fiscal 2023, Henkel reported sales of more than 21.5 billion euros and adjusted operating profit of around 2.6 billion euros. Henkel's preferred shares are listed in the German stock index DAX. Sustainability has a long tradition at Henkel, and the company has a clear sustainability strategy with specific targets. Henkel was founded in 1876 and today employs a diverse team of about 48,000 people worldwide.
The global PSA market is expected to generate approximately 16 billion Euros per year in the next coming years and Henkel is the world largest supplier of PSA. PSA is used in many day to day products such as cell phones, computers, medical devices, labels and many more products which gives an indication of how large the PSA market it. PSA adhesives are usually UV cured during the production process of previous mentioned products.
Intellego and Henkel have had a global collaboration for the last years in the UV curing industry. During this time the parties have been working closely together to enable for multiple new innovations in the UV curing market which shall provide value for the industry in the next coming decades. Intellego have previously been delivering products to Henkel and the collaboration now takes the next step which opens up the full global market. The Henkel collaboration will open up a vast amount of new opportunities for Intellego which we look forward to explore these together with Henkel for the coming years.
More information about the collaboration will be presented as we go and the next step is to move from the contractual commitments we have today into a full global commercial agreement which both parties wish to have done as quickly as possible.
Likang
Likang is one of the largest disinfection companies in China with sales in approximately 3 000 hospitals. Likang is part of the Yuwell group which has sales in to 300 000 healthcare facilities, globally. Shortly before the publication of this Q3 report Intellego announced that the collaboration between Likang and Intellego will be expanded to also cover additional products in the disinfection market. This extended collaboration will generate a significant revenue increase for Intellego in China, assuming relevant market approvals can be achieved. As Intellego and Likang both have experience from the regulatory process and has been in contact with regulatory authorities already, the parties are positive that a market approval will be achieved. This collaboration can potentially also be scaled to other markets outside of China which further would increase the revenue of Intellegos products. Intellego will look to credit secure the minimum volumes of 360 million USD from this collaboration and Intellego has already credit secured several millions of USD in the past from Likang. Likang is already selling some of Intellegos other products today with positive market feedback.
Intellegos collaboration with Likang is progressing well with weekly meetings and Likang has even offered Intellego to open a satellite office in Likangs office building to facilitate the work ahead. Intellegos and Likangs staff has already been presenting Intellegos products to the market and made several official apparencies e.g. during meeting with the Chinese version of the CDC and meetings with Key Opinion Leaders.
The regulations for UV disinfection in China are in the progress of being changed and so far the changes have occurred on local level but we now also see that it is happening on a national level. These changes, if they come in place, will drastically and quickly alter the UV disinfection market for the company as the changes will make it mandatory to use quality assurance tools, such as colour indicators, when performing UV disinfection for surfaces. So far, these regulations have not been present in the market and China is the first country to implement these kinds of regulations. Several other countries are also looking at implementing similar regulations in the coming years which the company know as it is in contact with several regulatory agencies globally.
The global UV disinfection market is running an estimated 1,6 billion runs of UV disinfection cycles, in healthcare, every year. Only a fraction of these uses Intellegos dosimeters and a majority of these runs are not using any kind of quality tool at all. This shows the size of the market and that there is still much work to be done in the UV disinfection verification space. Our view is that UV disinfection will develop in the same way as for sterilization where a colour indicator is in many countries mandatory to include in every sterilization cycle.
In addition to the project mentioned above Intellego is also involved in several additional projects which we will keep the market informed about as soon as there is concrete and relevant info to share. One of these projects is the collaboration we have with HAI Solutions which is making good progress, now lastly filing their FDA submission which hopefully will be granted sometime around this summer. This will further open up the revenue streams for Intellego and fuel further growth.
Looking ahead we see that the business is moving in a positive direction where sales in the main business areas, disinfection and curing, continue to increase and are expected to continue to do so. Intellegos cashflow is now improving and the company has a solid reserve of available liquidity of 44 million SEK.
Intellego's improving results comes from the continuous work to improve every aspect of its business. Furthermore, the disinfection business in particular is expected to benefit from new market standards and new regulations where UV disinfection devices are facing more stringent demands for quality control. Based on this and the progress that the company has done in the last months, Intellego's goal for 2025 is that the company will reach above 500 million SEK in net revenue with a connected EBIT of over 160 million SEK.
Claes Lindahl
CEO of Intellego Technologies
Contacts
For further information, please contact:
Claes Lindahl, CEO Intellego Technologies AB
E-mail: claes.lindahl@intellego-technologies.com
Phone: +46 735 344 634
About Us
Intellego Technologies develops and manufactures color indicators that show the effect of irradiation with, among other things, invisible ultraviolet light, UV light. Color indicators are used globally in, for example, the disinfection industry, the sunscreen industry, and the manufacturing industry. Intellego's indicators have been developed from the company's patented photochromic ink, which can be adapted to different wavelengths of light and various application areas across a range of different industries. Intellego Technologies was founded in 2011, is headquartered in Stockholm, and is listed on the Nasdaq First North Growth Market.
The company's Certified Adviser on the Nasdaq First North Growth Market Stockholm is Mangold Fondkommission AB.
Intellego's website: https://intellego-technologies.com/en/
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Contact the communications team: communications@intellego-technologies.com
This information is information that Intellego Technologies is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2025-02-28 18:00 CET.
