Improved revenue and EBITDA compared to Q1 2024

First quarter 1 January–31 March 2025, Group

• Net sales for the period amounted to SEK 326,549 thousand (SEK 298,921 thousand), which corresponds to an increase of 5%.
• Gross profit (agency income) increased to SEK 19,741 thousand (SEK 19,172 thousand). The gross profit margin decreased to 24,6% (25,0%).
• Operating profit before depreciation, EBITDA, increased to SEK 6,590 thousand (SEK 3,366 thousand).
• The EBITDA margin for the period increased to 3,0% (2,7%).
• Profit after net financial items for the period amounted to SEK 563 thousand (SEK 560 thousand).
• Net earnings per share after tax amounted to SEK 0,04 (SEK 0,03).
• Cash flow from operating activities amounted to SEK 738 thousand (SEK -4,680 thousand).
• Equity as of March 31, 2025 amounted to SEK 49,180 thousand (SEK 54,451 thousand).
• Cash and cash equivalents as of March 31 amounted to SEK 10,344 thousand (SEK 11,147 thousand).
   

Important events January 1–March 31, 2025

• Thinc Collective wins assignment for Södertörn University with an estimated sales value of SEK 5 million during the contract period.
• The Thinc Collective agency KKM wins an assignment for the Swedish Public Employment Service with a total value of SEK 4,4 million.

Important events after the end of the period

• Thinc Collective agency Nowa Kommunikation wins assignment for the Swedish Election Authority with an estimated total sales value of SEK 22 million.

CEO has the floor

• EBITDA increased 15% to SEK 2,4 million (2,1).
• Strong recovery for several group companies – BANG Agency, KKM, Tundran and Safir.
• New procurement tactics are proving to work well. 

During the quarter, sales increased by 5% to SEK 79,9 million (76,4), agency income (gross profit) amounted to SEK 19,7 million (19,1) and EBITDA increased to SEK 2,4 million (2,1). The margin thus increased to 3% from 2,7% the previous year.

The first quarter's results came in strong and roughly as expected. In the communications industry, the season is clear that Q1 is average, Q2 a little stronger, Q3 weak and Q4 strong. So this year too. We have an increasingly turbulent world that affects us, which is why I am glad that we are able to handle this external impact well.

The fact that we are slightly stronger in Q1 than in 2024 is the result of the ongoing margin-improving measures we are taking and is therefore a nice confirmation that the work is paying off. Many others in the industry are having a much harder time, which gives us good opportunities to increase our market share.

The Market and the Thinc Collective

We have been in a recession for two years now. Maybe even longer than that. Thinc has also been affected to the extent that we may not be growing by 20% every year, but rather around 10%. But we think that is a good thing! In a world where we are gaining increased trust despite high competition, also outside the immediate communications area, it is proof of how well our model with both breadth and depth built by entrepreneurs works. 
While 10% growth is seen as very good, profitability is the most important thing and we will increase EBITDA by 15% compared to 2024.

We have fully developed our own solutions in senior strategic consulting as well as digital and AI-based technology that have been test-launched with good results. This includes everything from handling borderline issues around law or sales to AI-SEO, ABM (account based marketing) and data prospecting. We are learning to handle our new tools internally and on a small scale but will soon do so in a broader perspective. Our driven, business-like edge in technology and digital work means that we are at the forefront when it comes to customer solutions.

The fact that we are an entrepreneurial group is evident when we launch new ventures such as Thinc Experience, Context Media Stockholm, as well as Empower Stockholm. In just six months, several of the ventures have gone from start to good profitability. The same can be said for the companies that had a challenge in 2024; Safir, KKM, Tundran and BANG Agency. With action plans, dedicated sales and new routines, they have quickly returned to nice profits. The group can be its own labor market, financial market and incubator where we support companies that temporarily have a challenge, such as during covid or a recession. I am pleased that all companies are now standing strong on their own two feet and that they are also becoming profitable so clearly and quickly.

We are also pleased with our recently launched management program, where we are taking succession seriously by appointing three new, young, female employees as Vice Presidents in the companies they work for in step one. The fact that they are all women is a coincidence, as we selected them based on competence and drive. But it is especially fun that they are women, as the companies they work for currently all have older men as CEOs. Diversity, equality, different ways of looking at a challenge and a modern and forward-looking succession are what we want in the group. Yes, and in the world.

Our immediate future

We have honed our procurement team and won three new public procurement contracts in the group's name during the quarter. The group's companies are now ready to assist as per their stated capacity. This development gives us an opportunity to win more procurement contracts in a different way than before, but also to exploit the ones we win.

We are completing the preparation of our new premises in Gothenburg, moving in and ready for new challenges on the west coast. At the same time, we are also completing the final details of our premises on the east coast, not least in connection with our upcoming 20th anniversary celebration!

We have had success in our global collaborations, connecting with both customers and partners, and look forward to more exciting new packaging from Thinc.

Anders Wallqvist, CEO
Gothenburg in May 2025