Utenos Trikotažas Posts Profit in Q2, Group Results Near Break-Even

Core Insights - Utenos Trikotažas achieved profitability for the first time in a long time, marking a significant strategic shift ahead of schedule [1][2] - The company's revenue surged by 30.9% year-over-year, reaching €9.7 million in the first half of 2025, with exports making up 80.8% of total sales [3][4] - The restructuring plan initiated at the end of 2024 is yielding tangible results, with improved EBITDA and reduced losses at the group level [5][7] Financial Performance - The company reported an EBITDA of €418,000 in the first half of 2025, a significant improvement from a negative €1.3 million a year earlier [4] - The group's EBITDA for the same period was €114,000, compared to a negative €1.6 million in 2024, with consolidated losses decreasing by 78% from €2.3 million to €0.5 million [5] - Contract manufacturing sales rose by 45.2% to €7.6 million, while sales of own brands remained stable at €1.1 million [3] Strategic Focus - The company is focusing on high-margin products, particularly those made from wool, eco-friendly, and functional materials, aligning its strategy with market demand [4] - Current order volumes for the second half of 2025 indicate confidence in maintaining revenue growth and further strengthening operational profitability [8] Operational Changes - The closure of the sewing services subsidiary, Šatrija, was based on sustained financial losses and is not expected to impact the main company's restructuring plan [6] - The company successfully sold unused real estate in Utena, using the proceeds to settle obligations with the primary creditor [7] Company Overview - Utenos Trikotažas is one of the largest sustainable knitwear manufacturers in Central and Eastern Europe, specializing in on-demand ready-to-wear production [9][10]