Finland's Etteplan Q3 revenue and profit slip on weak demand
Finland's Etteplan Q3 revenue and profit slip on weak demand
Overview
Finland technology services firm's Q3 revenue fell 4.6% yr/yr amid challenging market conditions
Q3 operating profit and EBITA declined on weaker demand and non-recurring items
Company lowered 2026 revenue and EBIT guidance in September due to slower market development
Outlook
Etteplan now sees 2026 revenue at EUR 355-365 mln
Company expects 2026 operating profit (EBIT) of EUR 16.5-20 mln
Etteplan expects market conditions to improve in Q4, but uncertainty remains high
Result Drivers
WEAK DEMAND - Co said demand remained subdued for most of Q3, with customers delaying decisions due to geopolitical tensions and increased temporary layoffs in Finland
INDUSTRY VARIATION - Defense and energy industries performed well, mining improved, but automotive demand stayed weak, affecting results in Sweden and Germany
EFFICIENCY MEASURES - Co implemented new efficiency improvement actions during Q3 in response to declining revenue and operating profit
Company press release: ID:nWkr9LvcSY
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue |
| EUR 78.43 mln |
|
Q3 EBIT |
| EUR 3.53 mln |
|
Q3 EBITA |
| EUR 4.78 mln |
|
Q3 EBIT Margin |
| 4.50% |
|
Q3 ROCE |
| 7.00% |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the business support services peer group is "buy"
Wall Street's median 12-month price target for Etteplan Oyj is €8.50, about 18.1% above its October 28 closing price of €7.20
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 13 three months ago
Reuters Recommended Reads
Oct 27 - Finland's TietoEVRY Q3 revenue falls on soft demand
Oct 28 - France's Dassault Systèmes Q3 revenue rises 5%, beats 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.)