Mycronic Reports Strong Fourth Quarter and Record Full-Year Results

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Mycronic announced strong fourth-quarter and full-year 2024 results.

Year-end Report January–December 2024

Fourth quarter

• Order intake amounted to SEK 2,381 (1,448) million, an increase of 64 percent
• Net sales increased 5 percent to SEK 2,059 (1,968) million. Based on constant exchange rates, net sales increased 4 percent
• EBIT amounted to SEK 527 (620) million and the EBIT margin was 26 (32) percent
• Earnings per share were SEK 4.71 (5.23) before dilution and SEK 4.71 (5.23) after dilution

January–December

• Order intake amounted to SEK 7,611 (6,280) million, an increase of 21 percent
• Net sales increased 24 percent to SEK 7,057 (5,706) million. Based on constant exchange rates, net sales increased 25 percent
• EBIT amounted to SEK 2,021 (1,235) million and the EBIT margin was 29 (22) percent
• Earnings per share were SEK 17.25 (10.22) before dilution and SEK 17.24 (10.22) after dilution
• The Board of Directors proposes an ordinary dividend of SEK 5.50 (4.50) per share to the 2025 Annual General Meeting. The Board of Directors further proposes an extra dividend of SEK 2.00 (-) per share

Outlook 2025

It is the Board of Directors’ opinion that net sales for 2025 will be at a level of SEK 7.5 billion.

CEO comments

We ended the record year of 2024 with order intake increasing 64 percent in the fourth quarter, driven by Pattern Generators and a strong performance in High Volume and Global Technologies. Net sales increased 5 percent to the new record level of SEK 2,059 million, where a decrease in Pattern Generators was offset by increases mainly in High Volume and Global Technologies. EBIT amounted to SEK 527 million, corresponding to an EBIT margin of 26 percent . EBIT for the full year thereby exceeded SEK 2 billion, which  is a milestone. I also note with satisfaction that all divisions delivered an EBIT margin of at least 10 percent for the full year.

In Pattern Generators, the photomask markets for both displays and semiconductors were stable during the final quarter of the year. During the quarter, Mycronic received an award for the SLX, our semiconductor mask writer, at an important industry conference in Monterey, USA, offering further confirmation of its success. After the end of the period Pattern Generators received the first order for a Prexision 8000 Evo, which was launched in April 2024 and is Mycronic’s most advanced mask writer for displays.

During the quarter, the market in Europe remained weak for High Flex, while the US showed signs of a recovery following the presidential election. The division has gained market share in a weak market, partly as the segments it operates in have reported stronger demand than the market as a whole. During the year, High Flex also increased its sales of complete production lines by more than 50 percent compared with the preceding year.

In High Volume, demand improved during the fourth quarter both in the Chinese domestic market and the markets outside of China. This was the case for both the consumer electronics industry and the automotive industry. In the middle of October 2024, Modus High-Tech Electronics GmbH was acquired, a Dusseldorf-based provider of automated optical inspection systems for electronics volume production.

In Global Technologies, investments related to the testing of PCBs used in advanced servers for AI applications continued to drive demand in the PCB Test business line. Investments in Southeast Asia by companies reducing their exposure to China also contributed to the healthy demand. In Die Bonding, AI applications continued to support demand for high-speed optical transceivers, leading to good demand for our machines. The third business line, Photonic Interconnects, reported a good order intake in the last quarter of the year.

We can now look back on another strong year, with records in order intake, order backlog, net sales and EBIT. We have strong positions in the segments where we operate, which has manifested itself in a positive trend for a number of years. To secure and develop these positions in the future, we will accelerate our investments in research and development and further build the sales organizations globally, which will include establishing subsidiaries in new markets. As previously announced, the High Flex division will relocate to premises in Kista, Stockholm in the second half of 2025. This will enable continued growth and improved production flows for both Pattern Generators and High Flex. In addition, our strong financial position provides a solid foundation to pursue M&A opportunities.