Scandinavian Medical Solutions yesterday lowered its guidance for the 2025/26 financial year for the second time this fiscal year.
Scandinavian Medical Solutions now expects revenue of DKK 155–175 million with a negative EBITDA of DKK 9–13 million, compared with previous guidance of revenue of DKK 190–220 million and a positive EBITDA of DKK 0–5 million. The company also lowered its guidance in April due to increased global uncertainty in its core markets. Since then, market conditions have proven more challenging than expected, and the second half of the financial year has brought continued high volatility and rising margin pressure.
Several factors are currently challenging the company: price competition has intensified further, freight costs remain elevated, and U.S. tariff rates have been maintained, keeping cost levels high. At the same time, the repayment of unlawfully collected tariffs is progressing more slowly than expected. In the Middle East in particular, several customers are awaiting clarity before making new investment decisions, while challenged global purchasing power is dampening demand across markets.
Scandinavian Medical Solutions is now launching a number of initiatives to counter these developments. The current inventory is to be gradually sold off, with the proceeds reinvested in products that better match current market conditions, offering higher turnover velocity and better margins. The company has also initiated optimizations of its capacity costs, which will only have their full effect by the half-year report for 2026/27.
CEO of Scandinavian Medical Solutions, Jens Hvid Paulsen, states:
The market has not recovered at the pace we assumed in connection with our original guidance, nor after the downward revision in April, and it is of course unsatisfactory that we must adjust our guidance again. We are therefore using the situation to change what we ourselves are in control of. By further accelerating the shift of our inventory toward products with faster turnover, we free up capital and become less dependent on exactly when the market turns.