Skagerak Energi lifted revenue and net profit sharply in 2025, yet cash fell

Skagerak Energi, a Norwegian energy company based in Porsgrunn, reported revenue of NOK 6.7bn for FY2025, up 18.9% from NOK 5.6bn. Net profit rose to NOK 1.9bn from NOK 1.2bn, and the operating margin widened to 64.3% from 57.8%. Cash moved the other way. It fell by 36.6% to NOK 155m, from NOK 244m a year earlier. Equity ratio eased to 54.0% from 55.2%, so the balance sheet grew a little faster than equity did.

Profit is booked when a sale is made, while cash arrives later and leaves earlier. In an energy business, new capacity is paid for up front and customers settle after delivery, so a good year can still thin the cash balance. The accounts do not show how the cash was used, so I would not read the fall as a warning. I would watch the cash line next to the profit line. Profit of NOK 1.9bn is a fine result, but it does not pay invoices.