Lamor secures $15M in new financing as Q2 results beat forecasts
What's the deal? Finnish environmental solutions provider LamorDealroom has a profile for this one. Try Dealroom → has secured $15 million in new financing agreements and extended the maturity of its bond. The arrangements, announced after its second-quarter review period, strengthen the company's financial position.
What's the money for? The financing secures funding for the start-up of the Kilpilahti plastic recycling plant and the completion of the company's Kuwait project.
The numbers: Lamor's April-June operating profit was €0.4 million, down from €1.0 million a year earlier, on revenue of €20.0 million versus €21.1 million. Both figures beat InderesDealroom has a profile for this one. Try Dealroom →' forecasts, which had projected an operating loss of €0.1 million and revenue of €16.5 million.
The context: The order book shrank sharply, falling to €54.4 million at the end of the period from €86.1 million a year earlier. Orders received also dropped to €19.0 million from €20.3 million.
What's the endgame? Lamor kept its full-year guidance unchanged, estimating revenue of €80-92 million and adjusted operating profit at the previous year's level or higher. Chief executive officer Fred Larsen said demand for the company's expertise "has increased despite geopolitical uncertainties."
The signal: The financing gives Lamor breathing room to execute on two large projects at a time when its order book is contracting. Delivering on Kilpilahti and Kuwait will be key to justifying the guidance it has held onto.
Read more: Kauppalehti
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