Mycronic Posts Interim Report January-March 2025

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Mycronic announced its interim report for the period of January to March 2025, revealing a strong performance in the first quarter. The company reported significant increases in order intake and net sales, alongside a healthy EBIT margin.

First quarter

• Order intake amounted to SEK 2,058 (1,645) million, an increase of 25 percent
• Net sales increased 27 percent to SEK 2,142 (1,692) million. Based on constant exchange rates, net sales increased 26 percent
• EBIT amounted to SEK 775 (599) million and the EBIT margin was 36 (35) percent
• Earnings per share were SEK 6.36 (5.01) before dilution and SEK 6.35 (5.00) after dilution

Outlook 2025

Due to increased uncertainty related to the direct and, in particular, indirect impact of tariffs on macroeconomic environment, exchange rates and investment climate, it is the Board of Directors’ revised opinion that net sales for 2025 will be at a level of SEK 7.0 to 7.5 billion.

Anders Lindqvist, President and CEO, comments:

We started 2025 strongly, despite a turbulent macroeconomic environment. Order intake increased 25 percent during the first quarter, driven by Pattern Generators and High Volume. Net sales increased 27 percent to the new record level of SEK 2,142 million, driven mainly by Pattern Generators, but with High Volume and Global Technologies also supporting the growth. EBIT amounted to SEK 775 million, our strongest quarterly result ever, corresponding to an EBIT margin of 36 percent.

In Pattern Generators, the photomask markets for both displays and semiconductors were stable during the first quarter of the year. In January, 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. The order confirms that the launch was well in line with industry needs for more advanced photomasks.

Demand in Europe, High Flex’s largest geographical market, was very weak in the first quarter of the year. During the quarter, the division took part in North America’s largest electronics manufacturing fair, APEX, where there was great interest in High Flex’s products, primarily the MYPro A40 pick-and-place platform and the MY700 jet printer. The new tariffs in the US have led to delays in deliveries and had a negative impact on net sales of around SEK 15 million during the quarter.

Demand in High Volume was strong in the Chinese domestic market. The division is establishing a facility in Thailand, where some production will take place for markets outside China. Operations in Thailand are expected to start in the third quarter.

During the quarter, Global Technologies acquired Hprobe, a company headquartered in Grenoble, France, which has developed a unique technology for high-speed magnetic testing of Magnetoresistive Random Access Memories (MRAMs) and magnetic sensors. Hprobe forms a new business line within the Global Technologies division, called Magnetic Test.

The Die Bonding business line noted a slowdown in order intake during the quarter. The market for the PCB Test business line continued to be strong and driven by investments related to the testing of PCBs used in advanced servers for AI applications, and investments in Southeast Asia. PCB Test moved its headquarters and production facility in Germany to newly built premises, which will enable increased production capacity and efficiency. Early in the year, the business line also successfully launched a new generation of back-drill tests, which are used to test advanced PCBs.

After the end of the period, Global Technologies acquired RoBAT, a company headquartered in the UK, which has developed a technology for rapid and reliable testing of signal quality on PCBs. RoBAT’s net sales in 2024 amounted to GBP 3 million and the company will become part of the PCB Test business line.

In conclusion, I can note that we are living in turbulent times. Mycronic is a global company, with customers and production sites in multiple geographies worldwide. Around 5 percent of Mycronic’s net sales are impacted by the high tariffs between the US and China and around 5 to 10 percent of net sales are impacted by US base tariffs. Mycronic does not intend to bear the cost of the tariffs. We are furthermore indirectly affected by tariffs, though it is currently difficult to gain an overview of the cumulative future effects.