RaySearch Laboratories AB (publ)

RaySearch Laboratories maintains a debt-to-equity ratio of 0.65 and a current ratio of 1.2, indicating moderate leverage and liquidity. The company holds SEK 435.2 million in cash and equivalents, but this is offset by SEK 498.96 million in long-term debt, resulting in a net cash position of negative SEK 63.76 million. Free cash flow for the period was SEK 49.89 million, while capital expenditures amounted to SEK -118.75 million, suggesting a focus on asset investment.

Profitability metrics show a return on equity of 8% and a return on assets of 2.98%, both below the industry median for Advanced Medical Equipment & Technology firms. Operating income of SEK 79.32 million and net income of SEK 61.43 million reflect a healthy margin, but gross profit of SEK 295.12 million on revenue of SEK 318.87 million suggests a narrow gross margin of approximately 92.5%.

The company operates as a single business segment, with all revenue derived from software licenses and service contracts. Geographic exposure is not disclosed in the input data, but the company is headquartered in Sweden and operates globally, with no indication of revenue concentration in any single region.

RaySearch Laboratories reported revenue of SEK 318.87 million for the period, with no prior-year data provided. Analysts project a mean price target of SEK 330.00, with a median of SEK 330.00 and a strong buy recommendation from one analyst. The company's growth trajectory is not quantified in the input data, but the positive free cash flow and strong operating income suggest a stable financial position.

Risk factors include a medium liquidity risk due to the net cash position and a low dilution risk, as shares outstanding remain unchanged between basic and diluted counts. No dilution sources are disclosed in the input data, and no recent events such as filings or transcripts are provided for further context.

Revenue grew at a 20.3% CAGR over four years, demonstrating strong top-line expansion momentum.

Operating and net margins exceed the 75th percentile of the Advanced Medical Equipment cohort.

Cash conversion is best-in-class at 5.24, significantly outperforming the cohort median of 0.79.

Free cash flow turned positive in 2023 and reached 216.8 million SEK in 2025.

The single analyst consensus rating is a strong buy with a mean price target of 330.

Free cash flow declined 13.2% year-over-year in the latest period, signaling potential cash flow weakness.

Debt-to-equity ratio of 0.65 places the company in the bottom quartile of its peer cohort.

Liquidity risk is assessed as medium, indicating potential challenges in meeting short-term obligations.

Capex to revenue ratio is in the bottom quartile, suggesting potentially insufficient investment in growth.

Return on equity of 8% remains modest despite significant improvements in profitability metrics.

Revenue kr 290.3M, −12,5% YoY; Operating income −9,7% YoY.

• ▍Revenue kr 290.3M, −12,5% YoY
• ▍Operating income −9,7% YoY
• ▍Net income −6,2% YoY
• ▍Free cash flow −15,6% YoY
• ▍Net margin 18.4%

Revenue kr 375.4M, +16,3% YoY; Operating income +24,9% YoY.

• ▍Revenue kr 375.4M, +16,3% YoY
• ▍Operating income +24,9% YoY
• ▍Net income +14,3% YoY
• ▍Free cash flow +67,4% YoY
• ▍Net margin 18.3%

Revenue kr 332.3M, +13,3% YoY; Operating income +44,3% YoY.

• ▍Revenue kr 332.3M, +13,3% YoY
• ▍Operating income +44,3% YoY
• ▍Net income +57,8% YoY
• ▍Free cash flow +74,2% YoY
• ▍Net margin 21.5%

Revenue kr 304.9M, −4,4% YoY; Operating income −54,2% YoY.

• ▍Revenue kr 304.9M, −4,4% YoY
• ▍Operating income −54,2% YoY
• ▍Net income −49,9% YoY
• ▍Free cash flow −204,9% YoY
• ▍Net margin 10.1%

Revenue kr 331.7M; Operating income kr 74.8M.

• ▍Revenue kr 331.7M
• ▍Operating income kr 74.8M
• ▍Net margin 17.1%

Revenue kr 322.7M; Operating income kr 73.6M.

• ▍Revenue kr 322.7M
• ▍Operating income kr 73.6M
• ▍Net margin 18.6%

Revenue kr 293.3M; Operating income kr 61.8M.

• ▍Revenue kr 293.3M
• ▍Operating income kr 61.8M
• ▍Net margin 15.5%

Revenue kr 318.9M; Operating income kr 79.3M.

• ▍Revenue kr 318.9M
• ▍Operating income kr 79.3M
• ▍Net margin 19.3%

Revenue kr 1.34B, +12,8% YoY; Operating income +12,2% YoY.

• ▍Revenue kr 1.34B, +12,8% YoY
• ▍Operating income +12,2% YoY
• ▍Net income +11,9% YoY
• ▍Free cash flow −13,2% YoY
• ▍Net margin 16.9%

Revenue kr 1.19B, +16,6% YoY; Operating income +126,8% YoY.

• ▍Revenue kr 1.19B, +16,6% YoY
• ▍Operating income +126,8% YoY
• ▍Net income +149,5% YoY
• ▍Free cash flow +37,7% YoY
• ▍Net margin 17.1%

Revenue kr 1.02B, +21,2% YoY; Operating income +168,8% YoY.

• ▍Revenue kr 1.02B, +21,2% YoY
• ▍Operating income +168,8% YoY
• ▍Net income +243,1% YoY
• ▍Free cash flow +31,9% YoY
• ▍Net margin 8.0%

Revenue kr 843.6M, +31,5% YoY; Operating income +180,1% YoY.

• ▍Revenue kr 843.6M, +31,5% YoY
• ▍Operating income +180,1% YoY
• ▍Net income +150,2% YoY
• ▍Free cash flow +328,1% YoY
• ▍Net margin 2.8%