Gabriel Holding A/S delivers an increase in profit in the second quarter and maintains its expectations for the 2024/25 financial year.

Core Viewpoint - Gabriel Holding A/S reports an increase in profit for the second quarter and maintains its expectations for the 2024/25 financial year despite challenging market conditions in the furniture industry [1][2]. Financial Performance - Total revenue for the first half of 2024/25 increased by DKK 7.8 million to DKK 476.8 million compared to DKK 469.0 million in the previous year [3]. - EBITDA for the first half was DKK 44.7 million, up from DKK 35.0 million, while EBIT rose to DKK 16.0 million from DKK 10.5 million [3]. - Profit before tax for the first half increased to DKK 9.2 million from DKK 1.2 million [3]. - In the second quarter, revenue increased by 3% to DKK 248.7 million, with EBITDA at DKK 30.8 million and EBIT at DKK 15.6 million [3]. Continuing Operations - Continuing operations showed a revenue growth of 9%, with operating profit (EBIT) increasing to DKK 20.9 million compared to DKK 4.2 million in the first half of 2024/25 [3]. - Revenue from continuing operations was DKK 261.5 million, up from DKK 240.9 million [3]. - In the second quarter, revenue from continuing operations increased by 10% to DKK 138.1 million [3]. Market Conditions and Expectations - Management anticipates that challenging market conditions will persist in the second half of 2024/25 due to geopolitical risks and uncertainties regarding tariffs, inflation, currencies, and interest rates [2][4]. - Expectations for full-year revenue are maintained at DKK 485 – 530 million, representing 0 – 10% growth, and operating profit (EBIT) is expected to be between DKK 20 – 30 million [4]. Investigations and Restructuring - An external investigation regarding irregularities in Mexico continues, with preliminary findings indicating no evidence of fraudulent activity [3]. - The Group has initiated adaptations in the Mexican FurnMaster unit, discontinuing loss-making contracts, which has led to non-recurring restructuring costs affecting the half-year results [3].