Revenue & Profitability
🟢 Revenue: SEK 677M (Prior: 585M) +16% YoY
🟢 Currency-adjusted growth: +31% YoY
🔴 Gross Margin: 69% (Prior: 70%) -1.1 pts YoY
🟢 EBIT: SEK 103M (Prior: 83M)
🟢 EBIT Margin: 15.2% (Prior: 14.2%)
🟢 EPS (basic): SEK 0.72 (Prior: 0.51)
Operating Performance
🟢 Growth across all regions, led by North America and Europe
🟢 Strong demand in touch-based solutions for autism segment
🟢 Encouraging traction in eye-gaze solutions (complex needs)
🔴 Operating expenses: +17% organically (investment-heavy year)
🟢 R&D leverage improving, net R&D costs down YoY
Full Year 2025 Highlights
🟢 Revenue: SEK 2,467M (Prior: 1,972M) +25% YoY
🟢 Currency-adjusted growth: +34% YoY
🟢 EBIT: SEK 254M (Prior: 229M)
🔴 EBIT Margin: 10.3% (Prior: 11.6%)
🟢 EPS (basic): SEK 1.57 (Prior: 1.39) +13% YoY
Cash Flow & Balance Sheet
🟢 Operating Cash Flow (Q4): SEK +46M
🟢 Cash Position: SEK 195M (Prior: 133M)
🔴 Net Debt (incl. IFRS 16): SEK 909M
🔴 Net Debt / LTM EBITDA: 1.9x (Prior: 1.5x)
Strategic Actions
🟢 ERP implementation completed in North America
🟢 Relocation to new Pittsburgh facility completed
🟢 Acquisition signed: SR Labs Healthcare (Italy)
🟡 Acquisition closing pending (expected H1 2026)
🟢 Expanded direct European presence strengthens moat
Outlook & Capital Return
🟢 Revenue growth target: ~20% CAGR (currency-adjusted, incl. M&A)
🟢 Mid-term EBIT margin target: ≥15%
🟢 Dividend proposed: SEK 0.50 per share
🟢 Limited tariff exposure (medical device exemption)
Professional Assessment
Dynavox delivered a high-quality quarter, with exceptional organic growth (+31%), improving EBIT margins at the quarterly level and strong EPS expansion. The few red flags (margin compression FY, higher leverage) are intentional and temporary, driven by scaling investments rather than structural weakness.
The +12.6% share price reaction is justified: the market is re-rating certainty, not speculation. Dynavox is transitioning from a niche growth story into a scaled, mission-critical med-tech compounder with strong pricing power and recurring demand.
Key takeaway:
Fundamentals are clearly stronger than the headline margins suggest. Growth visibility is high, the market remains underpenetrated, and strategic investments are setting the base for margin expansion from 2026 onward.
Note: This datas are directly taken from the Q4 Earnings Call and all the valuations are made by my own criteria. Not an investment advice.