Finland's Harvia Q2 revenue rises 11.7%, beats estimates
Finland's Harvia Q2 revenue rises 11.7%, beats estimates
Overview
Finland sauna equipment maker's Q2 revenue rose 11.7%, beating analyst expectations
Adjusted EBITDA for Q2 beat analyst expectations
Growth and profitability temporarily impacted by major IT and process project, postponing EUR 4 mln in deliveries
Outlook
Harvia expects postponed deliveries from Q2 to be mostly realized in Q3
Company sees unpredictable conditions in Middle East likely to negatively impact H2 sales
Harvia targets average annual revenue growth of 10% and adjusted operating margin above 20%
Result Drivers
NORTH AMERICA GROWTH - Co said strong performance in North America drove double-digit organic revenue growth
POSTPONED DELIVERIES - Major IT and process project at Muurame factory postponed EUR 4 mln in deliveries, negatively impacting Q2 sales and profitability
STEAM SEGMENT WEAKNESS - Softer demand in steam sauna segment led to lower Group-level revenue from steam products
Company press release: ID:nGNE56CTcl
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | EUR 52.80 mln | EUR 51.54 mln (5 Analysts) |
Q2 Adjusted EBITDA | Beat | EUR 10.60 mln | EUR 10.40 mln (5 Analysts) |
Q2 Adjusted EBIT |
| EUR 8.60 mln |
|
Q2 Basic EPS |
| EUR 0.30 |
|
Q2 EBITDA |
| EUR 10.40 mln |
|
Q2 Free Cash Flow |
| EUR 3.10 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the electrical components & equipment peer group is "buy"
Wall Street's median 12-month price target for Harvia Oyj is €45.50, about 7.9% above its August 5 closing price of €42.15
The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 20 three months ago
Reuters Recommended Reads
Aug 6 - Finland's Qt Group beats Q2 sales estimates
Aug 6 - Finland's Luotea Q2 net sales rise 1.5% adjusted EBITA up 36%
Aug 5 - Tenaris Q2 net sales fall on postponed shipments to Middle East customers
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.)