Sweden's Rejlers Q3 sales miss as war in Iran, delayed Norway projects weigh

Rejlers AB (publ)

Tue 07:39

Overview
Sweden engineering consultancy's Q3 net sales rose 3.5% yr/yr
Adjusted EPS for Q3 was SEK 1.19, down from SEK 1.23 last year
Company cites war in Iran and delayed Norway projects as weighing on earnings

Outlook
Company expects merger with Multiconsult to support improved profitability and long-term growth
Rejlers says war in Iran is impacting operations in the United Arab Emirates
Company notes postponed project starts in Norway affecting current performance

Result Drivers
SWEDEN GROWTH - Co said Sweden delivered strong growth in Q3
NORWAY PROJECT DELAYS - Earnings affected by postponed project starts in Norway, per CEO Viktor Svensson
UAE OPERATIONS IMPACTED - Co said war in Iran impacted its operations in the United Arab Emirates

Company press release: ID:nWkr3RZzjD

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
SEK 1.07 bln
SEK 1.11 bln (2 Analysts)
Q3 Adjusted EPS
 
SEK 1.19
 
Q3 Net Income
 
SEK 28.60 mln
 
Q3 EBIT
 
SEK 38.70 mln
 
Q3 EBITA
 
SEK 60.10 mln
 
Q3 EBITA Margin
 
5.60%
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the business support services peer group is "buy"
Wall Street's median 12-month price target for Rejlers AB (publ) is SEK195.00, about 29.1% above its November 2 closing price of SEK151.00
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 12 three months ago

Reuters Recommended Reads
Nov 3 - Norway's Norconsult Q3 profit falls
Nov 2 - Finland's Aspo Q3 net sales rise 12%
Nov 3 - Sweden's ITAB Group Q3 profit falls on one-off costs

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.)