Financial results Q4 2024: Growth in operating revenues and profitability

2024*:

• The order intake was BNOK 87.8 corresponding to a book/bill of 1.8
• Operating revenue was BNOK 48.9 compared to BNOK 40.6, an increase of 20 %
• EBIT was BNOK 6.5, up from BNOK 4.6
• EBIT-margin was 13.3 % compared to 11.3 %
• EBITDA was BNOK 8.0, up from BNOK 6.0
• EBITDA-margin was 16.4 % compared to 14.9 %

*Compared to 2023

Q4*:

• The order intake was BNOK 44.8 compared to BNOK 31.5
• Operating revenue was BNOK 13.9 compared to BNOK 11.9, an increase of 17 %
• EBIT was BNOK 1.7, up from BNOK 1.3
• EBIT-margin was 12.4 %, up from 10.7 %
• EBITDA was BNOK 2.1, up from BNOK 1.7
• EBITDA-margin was 15.4 % compared to 14.0 %

*Compared to Q4 2023

Based on this year's solid results and the Group's strong balance sheet, the Board of Directors proposes a dividend of NOK 22 per share, of which 10 NOK is an ordinary dividend and NOK 12 is proposed in addition to this. A total dividend payment of NOK 3,87 billion is proposed to the Annual General Meeting on 8 May 2025. The payment will be made in two tranches, one in May and one in October.

“Our dividend policy dictates that we should have stable or increasing dividends. The Board of Directors therefore proposes an ordinary dividend of NOK 10 per share, representing an increase of NOK 3 from last year's level. In light of the strong financial performance, we propose an additional dividend of NOK 12. The total dividend of NOK 22 per share also reflects the positive outlook for the company," says Chair of the Board, Eivind Reiten.

Operating revenues in 4th quarter was MNOK 13 909 compared to MNOK 11 936 in the same quarter last year, an increase of 17 per cent. There was solid growth in all business areas compared to the fourth quarter of 2023. Order intake in Q4 was MNOK 44 834, compared to MNOK 31 461 in the same quarter last year. This gave a book-to-bill for the quarter of 3,22. EBIT in Q4 was MNOK 1 730, corresponding to an EBIT margin of 12,4 per cent compared to MNOK 1 273 (10,7 per cent) in the same quarter last year. Advantageous project mix, volume effects and efficient project execution contributed to the increased margin. Accumulated EBIT in 2024 was MNOK 6 507, corresponding to an EBIT margin of 13,3 per cent, an increase from MNOK 4 600 (11,3 per cent) in the same period in 2023.

Driving growth across all business areas this quarter

Kongsberg Maritime increased operating revenues from both newbuilds and the aftermarket. Operating revenues were MNOK 6 896 in Q4, an increase of 23 per cent compared to the same quarter last year. All divisions increased their operating revenues, and there was high activity in deliveries to both the existing fleet and new vessels. The increase in deliveries to new vessels in the quarter was mainly driven by deliveries to LNG transport vessels. Order intake from this vessel segment has been solid for a long time, and the business area’s technology deliveries have a strong market position in this segment.

Kongsberg Defence & Aerospace increased its operating revenues to MNOK 5 527 in Q4, up 10 per cent from the same quarter last year. A large part of the growth in the quarter was driven by increased activity in missile projects. Deliveries of weapon stations to the U.S. CROWS program continued at a high pace, and there was also strong activity related to missile deliveries.  

Kongsberg Discovery’s operating revenues were MNOK 1 241 in Q4, an increase of 8 per cent compared to the same quarter last year. The main drivers were deliveries of mapping and positioning systems to commercial customers, research institutions, and defence customers. The first deliveries of the new drone detection radar were also completed during the quarter.  

Kongsberg Digital’s operating revenues were MNOK 514 in Q4, up 17 per cent from the same period in 2023. Recurring operating revenues were MNOK 240 in the quarter, up from MNOK 206 in Q4 2023. The growth compared to the 4th quarter last year was mainly driven by strong development in the sale of simulators, both to energy and maritime customers, as well as an increased number of Kognitwin dynamic twin solutions in operation.  

Market-driven strategic initiatives

In January, we announced the acquisition of Naxys Technologies.

"Naxys Technologies delivers technology based on passive hydroacoustics, enabling oil and gas companies to receive rapid alerts in the event of potential leaks. Additionally, the company's technology is relevant for marine research, monitoring of marine life, and defence applications to detect various threats. This represents an important expansion of Kongsberg Discovery’s already broad portfolio of advanced underwater technology," says Håøy.

The Group also announced that Kongsberg Digital’s maritime business will be integrated into Kongsberg Maritime.

"By consolidating our digital maritime initiatives within Kongsberg Maritime’s integrated portfolio of solutions, we are further adapting to meet our customers’ needs. This reinforces our goal of being a leading player in the decarbonization and digitalization of the maritime industry," says Håøy.

Strong market position

KONGSBERG is well-positioned within market trends with significant growth potential. To meet future demand and deliver on the existing order backlog, capacity is being expanded both in Norway and internationally.

“KONGSBERG is well-positioned, has a high order backlog and market activity is all-time high. Today’s global landscape is turbulent and unpredictable. It is crucial that we can handle rapid changes and balance well between short-term and long-term strategic choices. We have the right people with the right motivation, and I am confident we will continue to deliver. I am continually impressed by what we achieve together with our partners. The trust we have from our customers is a result of the dedication and hard work of our 14,600 employees," concludes Håøy.