Sweden's Duni Q3 sales rise 3.1% on Australia and Europe growth

Duni AB

Today 06:55

Overview
Sweden tableware and packaging supplier's Q3 net sales rose 3.1% yr/yr, with 1.7% organic growth
Q3 operating income and EPS declined, impacted by higher logistics costs and product mix
Company expects logistics transition effects on costs to decrease in coming quarters

Outlook
Company expects logistics volume transfer to be completed in the fourth quarter
Company expects logistics and freight cost effects to decrease in coming quarters
Company prioritizes completing logistics transition and improving transportation cost efficiency

Result Drivers
AUSTRALIA AND EUROPE - Co said sales growth was driven by strong development in Australia and increased napkin volumes in Europe
LOGISTICS COSTS - Higher logistics and freight costs weighed on income, with effects expected to decrease in coming quarters
RESTRUCTURING COSTS - EBIT impacted by restructuring costs related to warehouse and efficiency program

Company press release: ID:nWkr6l5YML

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
 
SEK 2.03 bln
 
Q3 EPS
 
SEK 0.70
 
Q3 Net Income
 
SEK 32 mln
 
Q3 Operating income
 
SEK 133 mln
 
Q3 Organic Growth
 
1.7%
 

Analyst Coverage
The one available analyst rating on the shares is "strong buy"
The average consensus recommendation for the appliances, tools & housewares peer group is "buy."
Wall Street's median 12-month price target for Duni AB is SEK95.00, about 28.4% above its October 22 closing price of SEK74.00
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 12 three months ago

Reuters Recommended Reads
Oct 22 - Sweden's Coor Q3 sales flat, margin improves
Oct 22 - Sweden's Holmen Q3 sales miss estimates
Oct 22 - Sweden's Essity slightly misses Q3 net sales estimates

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.)