Overview
Norway grocery retail tech firm's Q4 revenue rose slightly yr/yr
Company's EBITDA decreased significantly, driven by investments in UK & Ireland
Net profit after tax was negative in Q4
Outlook
StrongPoint plans for international growth and rejuvenation in Nordic and Baltic markets
Company sees opportunities in technology investments by retailers in the medium and long term
StrongPoint prioritizes growing recurring revenue from proprietary software for stability
Result Drivers
INTERNATIONAL GROWTH - Revenue growth driven by international markets like UK, Spain, and Baltics
HARDWARE INSTALLATION DECLINE - Revenue in Norway and Sweden fell due to fewer Electronic Shelf Labels installations
UK & IRELAND INVESTMENTS - Profitability impacted by investments in personnel and solutions in UK & Ireland
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
NOK 342 mln
Q4 Net Income
-NOK 11 mln
Q4 Adjusted Free Cash Flow
NOK 2 mln
Q4 EBIT
-NOK 16 mln
Q4 EBITDA
-NOK 5 mln
Analyst Coverage
Wall Street's median 12-month price target for Strongpoint ASA is NOK19.00, about 76.7% above its February 11 closing price of NOK10.75
The stock recently traded at 88 times the next 12-month earnings vs. a P/E of 105 three months ago
Press Release: ID:nObiCy8dda
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.)