Sweden's Volati Q2 revenue rises on acquisitions, Ettiketto Group growth
Sweden's Volati Q2 revenue rises on acquisitions, Ettiketto Group growth
Overview
Sweden industrial group reported Q2 net sales up 11% yr/yr, driven by Ettiketto and Communication
Q2 EBITA fell 31% due to weak earnings in S:t Eriks Group and Tornum Group
Company completed two add-on acquisitions and distributed Salix Group shares to shareholders
Outlook
Volati did not provide specific guidance or outlook for future quarters or the full year
Result Drivers
ACQUISITIONS AND ETTIKETTO GROWTH - Net sales growth driven by acquisitions and strong performance in Ettiketto Group and Communication
WEAKNESS IN S:T ERIKS AND TORNUM - EBITA decline mainly due to weak earnings in S:t Eriks Group and Tornum Group
STRONG CASH FLOW - Strong operating cash flow enabled two further add-on acquisitions during the quarter
Company press release: ID:nMFN5LRbrX
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | SEK 1.34 bln | SEK 1.28 bln (2 Analysts) |
Q2 EPS |
| SEK 0.29 |
|
Q2 Net Income |
| SEK 37 mln |
|
Q2 EBITA |
| SEK 91 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the consumer goods conglomerates peer group is "buy"
Wall Street's median 12-month price target for Volati AB is SEK38.00, about 57% above its July 16 closing price of SEK24.20
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 5 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.)