Sweden's Enea Q3 net sales fall 4.8%
Sweden's Enea Q3 net sales fall 4.8%
Overview
Sweden telecom and cybersecurity software firm's Q3 net sales fell 4.8% yr/yr
Adjusted EBITDA declined about 33% yr/yr
Company plans SEK 20 mln share buyback after strong operating cash flow
Outlook
Enea reiterates 2026 outlook for single-digit growth and adjusted EBITDA margin above 30%
Company says market uncertainty persists but focus remains on accelerating profitable growth
Enea is investing in AI to accelerate new product development and revenue generation
Result Drivers
GEOPOLITICAL UNCERTAINTY - Co said geopolitical uncertainty and rising memory prices led to longer customer decision-making and delayed new contracts
PORTFOLIO MIX - Growth portfolio showed growth, while classic portfolio declined faster than expected but saw signs of recovery in Q3
SALES ORGANIZATION - Co cited progress in strengthening sales organization and expanding government sector presence
Company press release: ID:nMFN7sSdP9
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 EPS |
| SEK 0.34 |
|
Q3 Net Income |
| SEK 6.50 mln |
|
Q3 Adjusted EBITDA | Miss | SEK 47.30 mln | SEK 68 mln (1 Analyst) |
Analyst Coverage
The one available analyst rating on the shares is "buy"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Enea AB is SEK87.20, about 37.3% above its October 21 closing price of SEK63.50
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 12 three months ago
Reuters Recommended Reads
Oct 20 - Sweden's Upsales Technology Q3 net sales rise, EBITDA margin hits record
Oct 20 - Sweden's Exsitec Q3 net sales rise on recurring software revenue
Oct 21 - Software provider SAP Q3 revenue rises on cloud business growth
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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.)