Green Landscaping Q2 sales rise but EBITA hit by Sweden, Norway business
Green Landscaping Q2 sales rise but EBITA hit by Sweden, Norway business
Overview
Sweden ground maintenance firm's Q2 net sales rose 15% yr/yr, organic growth at 6%
Q2 EBITA fell 10% yr/yr, with EBITA margin narrowing to 7% from 9%
Company appointed interim CEO after period end as part of leadership transition in May
Outlook
Company says new country-based organization aims to strengthen governance and operational oversight
Company sees early signs of gradual recovery in profitability in Sweden and Norway
Result Drivers
ORGANIC GROWTH - Co cited positive organic growth for second straight qtr after previous period of negative growth
CASH FLOW IMPROVEMENT - Co said cash flow from operating activities improved compared to prior year
LOWER PROFITABILITY IN SWEDEN AND NORWAY - Co said profitability in Sweden and Norway was lower than in the previous year, but noted early signs of gradual recovery
Company press release: ID:nMFN9NZdCV
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue |
| SEK 1.85 bln |
|
Q2 Basic EPS |
| SEK 1.29 |
|
Q2 EBITA |
| SEK 130 mln |
|
Q2 Organic Growth |
| 6.00% |
|
Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the construction & engineering peer group is "buy."
Wall Street's median 12-month price target for Green Landscaping Group AB (publ) is SEK36.00, about 35.3% above its July 16 closing price of SEK26.60
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 10 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.)