High growth during the fourth quarter of the year with an increase in order intake of 43.0 percent and net sales of 42.7 percent.
Q4 2022
• Net sales amounted to SEK 696.1 M (487.9), an increase of 42.7 percent compared to the same period last year.
• Of net sales, SEK 11.9 M (8.0) refers to recurring revenue, an increase of 48.8 percent compared to the same period last year.
• Operating profit amounted to SEK 27.9 M (17.2), which corresponds to an operating margin of 4.0 percent (3.5).
• Order intake was SEK 648 M (453), an increase of 43.0 percent compared to the same period last year.
• Order backlog amounted to SEK 493 M (383), of which the majority is expected to be delivered in 2023.
• Profit for the period was SEK 13.3 M (14.2).
• Earnings per share (basic) were SEK 0.12 (0.13). Earnings per share (diluted) were SEK 0.12 (0.13).
• Cash flow from operating activities was SEK 230.3 M (0.6).
Full year 2022
• Net sales amounted to SEK 2,267.8 M (1,765.8), an increase of 28.4 percent compared to the same period last year.
• Of net sales, SEK 43.9 M (31.7) refers to recurring revenue, an increase of 38.5 percent compared to the same period last year.
• Operating profit amounted to SEK 21.1 M (97.2), which corresponds to an operating margin of 0.9 percent (5.5).
• Order intake was SEK 2,325 M (1,610), an increase of 45 percent compared to the same period last year.
• Profit for the period was SEK 4.8 M (79.1).
• Earnings per share (basic) were SEK 0.04 (0.72). Earnings per share (diluted) were SEK 0.04 (0.71).
• Cash flow from operating activities was SEK 282.7 M (–174.7).
• The Board of Directors proposes that no dividend be paid for the 2022 financial year.
• During the year, a new loan of SEK 240 million was raised.
Comments from President and CEO Magnus Larsson
The fourth quarter of the year showed a new high in net sales and continued strong order intake, and profitability in line with last year’s profit, which resulted in profit for full-year 2022. Our focus on a strong sales organization and operational development, combined with underlying market trends, are helping us to stay on track with our goals.
The strong order intake we saw in previous quarters resulted in the strongest net sales we have ever delivered during a single quarter in Pricer’s history. Net sales of SEK 696.1 M correspond to growth of 42.7 percent compared to the corresponding quarter last year. Order intake for the quarter of SEK 648 M increased 43.0 percent year on year and was the second-strongest in our history. Operating profit for the quarter amounted to SEK 27.9 M compared to SEK 9.7 M in Q3 2022 and SEK 17.2 M in the corresponding period in 2021. The outcome for the quarter means that, despite loss during the first two quarters of the year, we secured a profit of SEK 4.8 M for the full year.
Our increased focus on sales resulted in part in the framework agreement with a leading European retail cooperative, with an expected value of SEK 300 M, that we announced during the quarter. We are working actively to contribute to strengthening the attraction of the physical store, which generates a clear customer benefit and satisfied customers.
During the quarter, I spent a lot of time in Asia, in part with suppliers but primarily with customers, and together with our commercial team I started 2023 at NRF, one of the world’s leading trade shows, in New York. We saw a big customer interest and desire to invest in store digitization. It is clear that the market is growing rapidly and in line with our previous communications.
Through our customer dialogues, we are also seeing that our predictions about four-color are now materializing. Four-color labels are creating entirely new possibilities for us since many retailers have not wanted to invest in digital shelf labels until four-color was available. The meetings and dialogues I have held over the past few months have further strengthened my view that Pricer is the market’s best alternative for retailers who want to use the opportunities presented by four-color labels for customer communication and campaigns.
During the quarter, we have been working on an updated vision for the future: ”Retail’s first choice in shelf edge automation and communication. We will be the first choice of potential and existing customers in our interaction with them, whether it’s a first meeting, an installation or ongoing support. Quite simply the partner that retailers choose to turn to to increase their sales, lower their costs and create a better customer experience in the stores. This ambition will be an important part of our continued success.
I look forward to a strong year in line with our growth plans.
Magnus Larsson
President and CEO
For further information, please contact:
Magnus Larsson, President and CEO, +46 704 316851
Susanna Zethelius, CFO, +46 704 440 092
info@pricer.com
This information is information that Pricer AB 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 8:30 CET on February 10, 2023.
Every care has been taken in the translation of this document. In the event of discrepancies, the Swedish original will supersede the English translation.
About Pricer
Pricer is a leading global technology company serving the rapidly growing smart retail market with in-store digital solutions that enhance both store performance and the shopping experience. Through electronic shelf labels, advanced technology, such as optical wireless communication and AI, and continuous innovation, Pricer offers the foundation for in-store communication and efficiency. The industry-leading Pricer platform delivers benefits from 30 years of deployment experience and is fast, robust, interconnectable and scalable. Pricer was founded in Sweden in 1991 and is listed on Nasdaq Stockholm. For further information, please visit www.pricer.com
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