Overview
Sweden industrial solutions group's Q4 revenue fell and missed analyst expectations
Adjusted EBITA for Q4 rose 11% yr/yr, margin improved to 11.0%
Company completed one acquisition and divested Logistikpartner i Ulricehamn AB in Q4
Outlook
Company says it will continue to prioritize profit growth over volume growth
Bergman & Beving expects to continue improving margins, cash flow and earnings per share
Result Drivers
OPERATIONAL IMPROVEMENTS - Co said higher profits and improved profitability were driven by structural changes and a focus on operational improvements
PRODUCT MIX SHIFT - Co attributed improved gross margin to phasing out low-margin businesses and increasing share of proprietary products
DIVESTMENTS AND ACQUISITIONS - Co said divestments and acquisitions during the quarter and year helped streamline operations and strengthen long-term prospects
Company press release: ID:nMFN8ytFfn
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Miss
SEK 1.27 bln
SEK 1.29 bln (3 Analysts)
Q4 EPS
SEK 3.30
Q4 Net Income
SEK 91 mln
Q4 Operating Cash Flow
SEK 74 mln
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the industrial machinery & equipment peer group is "buy"
Wall Street's median 12-month price target for Bergman & Beving AB is SEK340.00, about 18.7% above its May 12 closing price of SEK286.50
The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 25 three months ago
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(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.)