• Minor estimate revisions
• Delivery of IC2000 within one quarter of order
• 3.1x-2.4x '25e-'27e EV/Sales

Q4 results

Impact Coatings delivered sales of SEK 42m (ABGSCe 36m) and EBIT of SEK -3.9m (ABGSCe -2.6m). The slightly lower than expected EBIT was partly due to elevated costs, mainly due to the relocation of its offices but also higher personnel expenses. In its Q4 report, the company writes that a major focus for the company going forward will be cost control to improve operational efficiency and that several targeted measures have been taken to improve operational efficiency. Moreover, the company's forecasting strategy, with shorter lead times, helped Impact achieve a healthy gross margin of 64% in the quarter. We believe that this new production strategy should help gross margins going forward.

Delivery of IC2000 within one quarter of order

We make minor estimate revisions on the back of the report. During the quarter, Impact Coatings received an order for an INLINECOATER IC2000 from Feintool (China) for the coating of fuel cells. The system was delivered during the quarter. We find it promising that Impact Coatings has delivered on its new strategy, driven by customer demand, and expect this to continue to help Impact maintain momentum in securing orders. The company saw an addition of 29 new customers in 2024, including eight during Q4'24, distributed across North America, Europe and Asia with the strongest development in China.

Long-term view unchanged

In its Q4 report, Impact Coatings writes that the momentum in the Chinese market has been strong despite the global hydrogen market facing challenges. We continue to believe that the substantial investments in the Chinese hydrogen market present a significant growth opportunity for Impact Coatings. The company is currently trading at 3.1x-2.4x '25e-'27e EV/Sales, with current multiple levels reflecting a company in early-stage development with high growth potential.