Harvia’s Interim Report 1 January – 31 March 2025

Core Viewpoint - Harvia Plc reported strong profitability and growth across all regions in Q1 2025, with significant contributions from North America and the successful integration of the ThermaSol acquisition [1][8][9]. Financial Performance - Revenue increased by 22.7% to EUR 52.0 million compared to EUR 42.4 million in Q1 2024, with organic revenue growth at 14.1% [3][5]. - EBITDA rose by 20.5% to EUR 13.8 million, representing 26.5% of revenue [3][5]. - Operating profit reached EUR 11.9 million, accounting for 22.9% of revenue, an increase of 20.8% year-on-year [3][5]. - Basic EPS improved to EUR 0.45 from EUR 0.40, marking an 11.9% increase [3][5]. - Operating free cash flow was EUR 10.2 million, with a cash conversion rate of 73.7% [3][5]. Regional Performance - North America contributed over 80% of total revenue growth, with strong market demand during the high-demand winter season [9][10]. - The APAC & MEA region experienced growth but had lower revenue due to fluctuations from large individual deliveries [11]. - European market conditions remained challenging, particularly in Northern Europe, with slow recovery in Finland [12]. Strategic Initiatives - The company is focused on long-term growth targets, aiming for an average annual revenue growth of 10% and an adjusted operating profit margin exceeding 20% [6]. - Harvia continues to invest in innovation, brand building, and digital sales channels to support future growth [14]. - The integration of ThermaSol is progressing well, contributing positively to sales and cost synergies [10][14]. Market Outlook - Global interest in saunas is rising, presenting both organic and inorganic growth opportunities for Harvia [15]. - The company is well-positioned to navigate challenges posed by global economic conditions and tariffs, with a significant portion of products manufactured locally in the U.S. [16]. Company Overview - Harvia is a leading player in the global sauna market, employing approximately 700 professionals across multiple countries [19][20]. - The company is headquartered in Muurame, Finland, adjacent to its largest manufacturing facility [20].