Scandic’s Interim report for the primary quarter 2025 – A strong quarter and good reserving state of affairs

First quarter in abstract, January 1 – March 31, 2025

• Web gross sales rose by 2.9 % to SEK 4,546 million (4,419). Natural development elevated by 3.8 %, positively impacted by calendar results.
• Common occupancy price elevated to 55.1 % (51.9).
• Common income per out there room (RevPAR) rose to SEK 655 (619).
• Working revenue totaled SEK 194 million (126).
• Adjusted EBITDA was SEK 101 million (33). Adjusted EBITDA, excluding non-recurring gadgets, was SEK 59 million (27).
• Excluding IFRS 16, earnings per share have been SEK -0.58 (-1.10).
• Free money circulation was SEK -680 million (-733).
• Curiosity-bearing web debt/adjusted EBITDA amounted to 0.4x on a rolling 12-month foundation.
  

Occasions through the interval

• Scandic’s share buyback program of roughly SEK 300 million was concluded, and as on the reporting date, the holding of treasury shares was 4,030,622. The entire variety of shares in Scandic, together with treasury shares, was 219,157,922, and the variety of excellent shares, excluding treasury shares, was 215,127,300.
• Scandic entered into an settlement concerning a brand new resort in Berlin with 214 rooms.

Occasions after the reporting date

• There have been no vital occasions after the reporting date.

CEO STATEMENT

Scandic delivers a strong begin to the 12 months, and primarily based on the reserving state of affairs, we count on an excellent second quarter. Regardless of geopolitical uncertainty, the evaluation right here and now’s that spring and summer season shall be characterised by good demand, pushed by steady ranges of journey, tourism and an excellent occasion calendar.

Scandic delivers 1 / 4 characterised by a strong efficiency and an excellent reserving state of affairs. As the primary quarter is the smallest from a seasonal standpoint, it’s notably pleasing that April has began off steady and that bookings for the second quarter are good, even higher than on the identical time final 12 months.

Web gross sales elevated by 3 % to SEK 4.5 billion, and adjusted EBITDA improved to SEK 101 million (33), equivalent to a margin of two.2 % (0.7). Adjusted EBITDA included SEK 43 million in reversed provisions associated to state support for the pandemic in Denmark. Excluding one-off gadgets, the working margin improved to 1.3 % (0.6). The optimistic improvement was pushed by an total steady market and operational effectivity, mixed with calendar results, as Easter this 12 months falls in April, in contrast to final 12 months when it occurred in March. Development was negatively impacted by the comparability interval together with an additional day (leap day). Natural development amounted to 4 %, and three.5 % for comparable items.

In Sweden, the event was steady however affected by a weaker occasion calendar in Stockholm in February in contrast with final 12 months. Norway delivered its greatest first quarter ever, pushed by a continued good market improvement and excessive operational effectivity. In Finland, the market stays cautious however has proven a optimistic pattern in comparison with the identical time final 12 months, albeit from low ranges.

Money circulation improved in comparison with final 12 months, we’re investing in step with our plan, and I’m happy with how we’re steadily growing and strengthening the resort portfolio. Throughout the quarter, we signed an settlement for a brand new resort in Berlin with 214 rooms, scheduled to open within the second half of 2026. On the finish of the quarter, we had 12 lodges and a couple of,700 rooms in our pipeline, equivalent to roughly 5 % of the whole variety of rooms in operation. We’ve three resort openings deliberate in 2025, which is able to add greater than 600 rooms in complete.

We are going to shortly launch our new web site and app, two essential milestones in our efforts to enhance and strengthen the shopper and visitor expertise. On the identical time, our strategic partnership with SAS continues to develop in accordance with plan. Within the second quarter, we are going to introduce a long-awaited function that permits standing matching between the 2 loyalty packages. This function is a big step in tying collectively the joint choices for the businesses’ clients. We see main potential in our cooperation and plan to launch further value-creating initiatives with the ambition to create a extra customized and seamless journey and resort expertise.

In preparation for the approaching peak interval, our operational planning is intensified and focuses on making certain that the elevated demand might be met with excessive buyer satisfaction and effectivity. In the long run, we’re striving to appreciate the plan offered on the capital markets day in February.

Regardless of geopolitical uncertainty, we consider spring and summer season shall be characterised by good demand, pushed by steady ranges of journey, tourism and an excellent occasion calendar. Primarily based on our present bookings, we’ve a optimistic outlook and count on an excellent second quarter with barely increased occupancy and common room charges than in the identical interval final 12 months. On the identical time, we stay conscious of the challenges and uncertainties on the planet round us and the way they might influence the financial improvement in our markets. With low debt ranges, Scandic is nicely positioned for the long run, and I look ahead to an eventful 12 months as we proceed to strengthen Scandic’s market-leading place within the Nordics.

JENS MATHIESEN
President & CEO