Omnicar – Q1 2022

Michael Friis

Michael Friis reported its Q1 2022 results Friday, which showed an 80% turnover growth YoY, thereby accelerating growth from the 65% growth realized in 2021. The car service business (OCS) grew 170%.

For the quarter, the total revenue reached SEK 6.2 million but also showed a loss of SEK 7.8 million for the period.

This amid the heavy investments in preparation to the launch of the online used e-car sales platform and the continuing roll out of the car van service business, with four more vans. These investments have totaled more than SEK 4.5 million.

Besides for having year-end guidance, the company now also guides for figures for Q2 2022. Here, they expect the total revenue to grow 250%, but maybe more importantly 25% growth for the OCS business, as revenue of course will see heavy uplift from the Used E-car sales platform.

The most important number may be returning customers in the OCS business which is rising and now reaches 42%. This is a very high number in the car service business and should be seen in the context of many customers coming on board, and a normal long lead time between services of a car. This is the one parameter, which shows that traction is upwards and supports a long-term profitable business, as it will keep acquisitions cost low.

The company also gave the first very early insights into the parameters of the Used E-car sales platform. One important number is that customer acquisition cost is below SEK 500. The margins are better than the pure-play e-platform that is seen in comparable companies.

Also importantly, the backbone – both the financial and operational – has been finished.

HC Andersen Capital receives payment from Omnicar Holding AB trough a Digital IR/Corporate Visibility agreement./Michael Friis, 30-05-2022, kl. 07:55