Norway's Kitron Q3 revenue beats estimates on defence demand
Norway's Kitron Q3 revenue beats estimates on defence demand
Overview
Scandinavian electronics manufacturer Q3 revenue grew 59% yr/yr, beating analyst expectations
Q3 operating profit (EBIT) rose 73% yr/yr, beating analyst estimates
Order backlog hit record EUR 843.3 mln, up 41% yr/yr on broad-based demand
Outlook
Kitron expects 2026 revenue of EUR 1050-1150 mln
Company sees 2026 EBIT between EUR 97 mln and EUR 112 mln
Kitron says 2026 outlook is unchanged from the lifted forecast on 24 August
Result Drivers
DEFENCE/AEROSPACE DEMAND - Co said Defence/Aerospace sector continued to show exceptional yr/yr growth
BROAD-BASED GROWTH - CEO said Q3 growth was broader, with progress across multiple market sectors
ELECTRIFICATION SECTOR - CEO said electrification market showed clearest change in growth pattern
Company press release: ID:nGNEbH02rM
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | EUR 266.80 mln | EUR 255.84 mln (5 Analysts) |
Q3 Net Income |
| EUR 17.40 mln |
|
Q3 EBIT | Beat | EUR 25.20 mln | EUR 23.80 mln (5 Analysts) |
Q3 EBIT Margin |
| 9.50% |
|
Q3 Order Backlog |
| EUR 843.30 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the electronic equipment & parts peer group is "buy."
Wall Street's median 12-month price target for Kitron ASA is NOK109.50, about 15.2% above its October 21 closing price of NOK95.05
The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 24 three months ago
Reuters Recommended Reads
Oct 21 - Norway's Var Energi operating cash flow hits $1.5 bln in Q3
Oct 21 - Norway's DNB Q3 profit falls 7.9%
Oct 21 - Norway's Protector Forsikring Q3 premiums rise 29%
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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.)