Sweden's OEM International posts record Q2 net sales, helped by acquisitions
Sweden's OEM International posts record Q2 net sales, helped by acquisitions
Overview
Sweden technology trading firm's Q2 net sales rose 17% to a record high
Q2 EBITA increased 37% year-over-year, reaching an all-time high
Incoming orders for Q2 rose 23%, outpacing net sales growth
Outlook
Company did not provide specific guidance or outlook for future quarters or full year in the press release
Result Drivers
ORDER GROWTH - Incoming orders rose 23%, with Rest of Europe, Finland, The Baltic States, and China as the largest contributors
SALES DRIVERS - Net sales grew 17%, driven by 8% organic growth and 9% from acquisitions
MARGIN IMPROVEMENT - EBITA margin rose to 15.4% from 13.2%, helped by a higher gross margin
Company press release: ID:nMFN1FJV3s
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales | Beat | SEK 1.56 bln | SEK 1.52 bln (2 Analysts) |
Q2 EPS |
| SEK 1.26 |
|
Q2 EBITA |
| SEK 241 mln |
|
Q2 Orders |
| SEK 1.68 bln |
|
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 diversified industrial goods wholesale peer group is "buy."
Wall Street's median 12-month price target for OEM International AB is SEK177.00, about 7.5% above its July 10 closing price of SEK164.60
The stock recently traded at 32 times the next 12-month earnings vs. a P/E of 26 three months ago
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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.)