Overview
Norway cloud-based payroll provider's Q4 revenue rose 8.7% yr/yr to NOK 396 mln
Adjusted EBIT for Q4 increased 7% to NOK 50.6 mln, with a 12.8% margin
Managed Services revenue grew over 15%, now 80% of total revenue
Outlook
Company did not provide specific guidance for future quarters or years
Result Drivers
MANAGED SERVICES GROWTH - Managed Services division saw over 15% growth, now making up 80% of total revenue, per CEO Hans-Petter Mellerud
ORGANIC REVENUE GROWTH - Full-year revenue grew organically by 11.7% to NOK 1.5 bln
HIGH EBIT MARGIN - Adjusted EBIT margin for Q4 was 12.8%, reflecting operational efficiency
Company press release: ID:nWkr1SnbD4
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Slight Miss*
NOK 396 mln
NOK 398 mln (1 Analyst)
Q4 Adjusted EBIT
NOK 51 mln
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "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 employment services peer group is "buy"
Wall Street's median 12-month price target for Zalaris ASA is NOK107.50, about 34.4% above its February 25 closing price of NOK80.00
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 14 three months ago
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.)
