Korado realized 8.2% YoY revenue decrease in Q2 2024 to BGN 8.8m. According to the management report, the total number of items sold in the second quarter amounted to 81.9k, which represents a 6.2% drop YoY. The main market for radiators (the EU) recorded a 4.9% YoY decrease in shipments to 78.7k units. Units sold on the Bulgarian market were also down, -2.4% YoY (0.9k), while shipments to other countries fell 37.2% YoY to 2.3k. The average sale price was BGN 106.3 (-1.8% YoY). Operating expenses contracted as well, down to BGN 7.7m (-8.6% YoY), which led to EBITDA of BGN 1.1m (-5.3% YoY). As a result, net profit fell by 21.2% YoY to BGN 0.6m with net margin deteriorating to 7.3%. H1 2024 total revenue amounted to BGN 16.7m (-7.5% YoY), in line with our expectations. Operating expenses decreased by 12.3% YoY to BGN 14.3m and fixed the EBITDA margin at 14.1% (+4.7 p.p. YoY). Ultimately, net profit for the period amounted to BGN 1.6m, up 55.7% YoY, which translated into TTM EPS of BGN 0.31. On the balance sheet, non-cash working capital decreased 33% since the beginning of the year to BGN 8.5m, while CFO improved to BGN 1.7m, compared to BGN 0.4m a year ago.