Studsvik AB (publ) Q2 2025 Earnings | 07/23/2025

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Studsvik AB (publ) delivered a strong second quarter for 2025, as the company increased profitability despite a slight decrease in sales. Net sales reached SEK227.6 million, marking the second strongest second quarter in a decade, although just below last year’s SEK235.5 million. Operating profit rose to SEK17.6 million, up from SEK13.7 million in Q2 2024, lifting the operating margin to 7.7% from 5.8% a year earlier. This notable margin expansion reflected both improved cost discipline and successful delivery in the Fuel, Materials and Waste Management Technology (FMWT) segment, where operating margins climbed to 18%—aided by higher utilization rates and improved pricing power amid strong demand. By segment, FMWT sales increased to SEK107.4 million, up 9.2% in local currency. Conversely, Decommissioning and Radiation Protection Services (DRPS) saw sales decline by 8.3%, affected by heightened competition and customer cost-saving measures—especially in the German market. The Studsvik Scandpower segment experienced a mild drop in license sales due to seasonal variations. The recently acquired BlackStarTech business posted modest sales, representative of the early stage of organizational and market development. Net income for the quarter stood at SEK9.8 million, marginally higher than SEK9.6 million in the same period last year, with basic earnings per share from continuing operations at SEK1.20, echoing the prior year’s SEK1.17. Cash flow from operating activities was positive at SEK3.5 million, but free cash flow registered a minor outflow of SEK1.3 million. The company benefited from the US Nuclear Regulatory Commission’s approval of its fuel optimization software for use in new modular reactors—an endorsement that is expected to enhance Studsvik’s relevance in the global small modular reactor (SMR) market. Management highlighted a positive outlook, underpinned by increased interest and supportive government policy for SMRs in key markets such as Sweden, the UK, and the US. However, DRPS margins are expected to remain under pressure due to ongoing competition. For the first half of 2025, Studsvik posted net sales of SEK454.6 million (up 3.7% in local currency) and an operating profit of SEK37.0 million, reflecting solid progress on margins. Management remains focused on sustaining improvements, driving technological advantage in core segments, and capitalizing on growth opportunities in clean energy and nuclear decommissioning. #Studsvik #SVIK #Q22025 #Earnings #FinancialResults #NuclearTechnology #FuelManagement #WasteManagement #Decommissioning #SMR #Nuclear #OperatingProfit #NetIncome #Scandpower #Innovation #Sustainability #SwedishStockMarket #MarketUpdate #InsideTicker