Sweden's AVTECH preliminary Q2 sales rise on new customer contracts
Sweden's AVTECH preliminary Q2 sales rise on new customer contracts
Overview
Sweden air traffic optimization firm's preliminary Q2 net sales rose 6.7% yr/yr on new contracts
Preliminary Q2 net profit declined 1.9% yr/yr due to higher investment in resources
Negative cash flow in Q2 mainly from dividend payment and delayed customer payments
Outlook
Company says timing of customer decisions remains difficult to influence
Avtech expects new customers to deploy services for proof-of-value periods this year
Company sees ongoing demand for solutions enhancing airline efficiency and fuel savings
Result Drivers
NEW CONTRACTS - Co said Q2 net sales growth was driven by new customer contracts
INVESTMENTS IN RESOURCES - Co attributed lower net profit to increased investment in sales, onboarding and product development
Company press release: ID:nMFN5DjMwg
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales |
| SEK 12.6 mln |
|
Analyst Coverage
Wall Street's median 12-month price target for Avtech Sweden AB (publ) is SEK9.00, about 90.5% above its July 9 closing price of SEK4.73
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 10 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)