Martela Corporation’s Interim Report 1 January – 31 March 2025
Martela Corporation, Interim report, 7.5.2025, at 08:00 a.m.
The revenue and operating result for January-March 2025 improved compared to the same period of the previous year, but the operating result remained on loss.
January–March 2025
- Revenue was EUR 25.6 million (20.2), representing a change of 26.6%
- Operating result was EUR -1.6 million (-2.2)
- Operating profit per revenue was -6.1% (-11.0%)
- The result for the period was EUR -2.1 million (-2.7)
- Earnings per share amounted to EUR -0.45 (-0.60)
Outlook
Outlook for 2025
Martela anticipates its revenue to increase in full-year 2025 compared to previous year and comparable operating profit close to zero result.
Key figures, EUR million
| 2025 | 2024 | Change | 2024 | |
| 1-3 | 1-3 | % | 1-12 | |
| Revenue | 25.6 | 20.2 | 26.6% | 86.7 |
| Operating result | -1.6 | -2.2 | -29.6% | -6.5 |
| Operating result % | -6.1% | -11.0% | -7.5% | |
| Result before taxes | -2.1 | -2.5 | -17.9% | -8.2 |
| Result for the period | -2.1 | -2.7 | -23.3% | -8.7 |
| Earnings/share, EUR | -0.45 | -0.60 | -24.43% | -1.87 |
| Return on investment % | -6.8 | -31.9 | -25.4 | |
| Return on equity % | -784.1 | -32.8 | -362.6 | |
| Equity ratio % | -1.5 | 17.0 | -108.8% | 2.5 |
| Gearing % *) | neg. | 203.4 | 1,455.2 |
*) Gearing was negative because equity was negative.
Ville Taipale, CEO:
“During the first quarter, customer demand strengthened compared to the same period last year. The cautious positive trend that began in late 2024 continued. The group's total new orders increased by approximately 12% in the first quarter compared to the same period last year. Orders increased in all market regions during the first quarter of the year. The order backlog at the end of the review period was approximately 30% higher than at the same time last year.
Our revenue increased to EUR 25.6 (20.2) million in the first quarter, representing an 26.6% increase compared to the same period last year. Revenue grew in Finland, Sweden, and Norway, but decreased in the group “Others”.
Our operating result improved in the first quarter compared to the same period last year, but unfortunately remained at a loss of EUR 1.6 (-2.2) million. The interim period operating result was improved by higher revenue and a decrease in administrative and other fixed costs compared to the same period last year, as a result of implemented efficiency measures. The operating result for the review period, however, was in loss due to a higher relative share of delivered projects and products with lower margins. Additionally, the tight competition generally pressured the profit margins of projects. The results were also burdened by the costs related to restructuring negotiations conducted in different units of the group during the first quarter. For the upcoming quarters, we expect an improvement in the average profit margins of the coming to be delivered projects and products.
In 2025, we will focus strongly on improving profitability and cash flow. We have announced progress on new measures aimed at enhancing efficiency and profitability on January 3, 2025, February 17, 2025, and April 30, 2025. Some concrete results have already been achieved in the first quarter, and full benefits are expected to be realized in the upcoming quarters. The main focus is on immediate measures to improve efficiency and profitability.
We will continue to invest in active customer work and work closely with our value chain partners. We will continue to develop our service channels and maintain our circular economy service model and the offering of the sustainably designed products.
The years 2023 and 2024 have been significantly more challenging than expected, but our investments in business development, the positive feedback received from customers, and the nascent recovery of the markets give us confidence in the upcoming quarters of 2025 and the longer-term future. The work for the best working environments continues.”
Market situation
During the latter part of 2024 and the beginning of 2025, demand in Martela’s main markets has gradually strengthened. The competitive situation remains intense to some extent, which continues to put pressure on profit margins, but on average less so compared to the second half of 2024. For the upcoming quarters of 2025, we still expect demand to increase slightly due to accumulated needs and overall positive economic development. The need for changes in office spaces arises as work methods evolve. The materialization of this need will increase demand for Martela's services and furniture in the future.
However, there are still significant uncertainties related to the strengthening of the overall economic situation, including the potential escalation of a trade war. Uncertainty also exists regarding the prospects for interest rates and inflation developments.
BRIEFING
A briefing will not be held, but additional information can be asked by telephone from CEO Ville Taipale and CFO Henri Berg on Wednesday May 7, 2025 from 12 a.m. to 2 p.m. EET.
Martela Corporation
Board of Directors
Ville Taipale
CEO
Further information
Ville Taipale, CEO, +358 50 557 2611
Henri Berg, CFO, +358 40 836 5464
Distribution
Nasdaq OMX Helsinki
Key news media
Martela is a Nordic leader specialising in user-centric working and learning environments. We create the best places to work and offer our customers the Martela Lifecycle solutions which combine furniture and related services into a seamless whole.
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