ABG downgrades Netcompany to 'hold' on operational delays in Denmark, UK

Netcompany A/S

14/01/2025 11:06

** ABG Sundal Collier downgrades Netcompany to "hold" from
"buy" pointing to fewer-than-expected Danish public tender wins
recently and continued delays in the DALAS project in Britain
    ** These operational delays are likely to trigger a broader
guidance for 2025, despite an impressive performance last year,
it says
    ** He says the company's favourable exposure and better
quality have already been rewarded, and investors may not
appreciate the likely broad guidance
    ** For Q4 due on Jan. 28, the broker estimates revenues of
DKK 1.76 billion ($242 million) and an adj. EBITDA of DKK 335
mln, both up y/y
    ** This growth is driven by "a mix of higher growth, better
utilisation and a larger chunk of high-margin licence sales",
writes ABG analyst Mikkel Kousgaard Rasmussen
    ** ABG Sundal Collier also cuts its PT to DKK 360 from DKK
370, vs Monday's closing price of DKK 338

($1 = 7.2729 Danish crowns)

 (Reporting by Agnieszka Olenska)
 ((Agnieszka.Olenska@thomsonreuters.com;))