Brief: Attendo Q3 EBITA margin down year/year

Attendo AB (publ)

09/11/2018 07:04

Nov 9 (Reuters) - Attendo AB (publ)  ATTE.ST :
    * Q3 NET SALES INCREASED BY 26 PERCENT TO SEK 2,802M (2,220)
    * Q3 ADJUSTED FOR CURRENCY EFFECTS, NET SALES INCREASED BY
21
PERCENT
    * Q3 OPERATING PROFIT (EBITA) AMOUNTED TO SEK 297M (277),
CORRESPONDING TO AN OPERATING MARGIN OF 10.6 PERCENT (12.5)
    * SAYS OPERATION PROFIT WAS SLIGHTLY HIGHER COMPARED TO Q3
2017,
BUT HIGH RATE OF NEW OPENINGS CONTINUES TO HAVE A NEGATIVE
EFFECT ON MARGINS
    * SAYS NURSING HOMES WE ARE DEVELOPING WILL STRENGTHEN OUR
MARKET
POSITION AND LAY FOUNDATION FOR LONG-TERM ORGANIC GROWTH,
ALTHOUGH HIGH RATE OF OPENINGS WILL INITIALLY LEAD TO LOWER
MARGINS
    * SAYS HIGH RATE OF OPENINGS WILL CONTINUE IN UPCOMING
QUARTERS,
WHICH SHORT TERM MAKES IT CHALLENGING TO INCREASE MARGIN TO
COMPANY'S LONG-TERM TARGET (EBITA MARGIN) OF 9 PERCENT
    * SAYS THERE IS A LARGE UNDERLYING NEED FOR NEW CAPACITY AND
ATTENDO WILL CONSOLIDATE ITS LEADING MARKET POSITION OVER NEXT
FEW YEARS

Source text for Eikon:  ID:nWkrbP4zGp 
Further company coverage:  ATTE.ST 

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