Awardit: Solid Q1 and positive outlook, slight miss on high D&A - ABG

Q1 adj. EBITA 11.5m vs. ABGSCe 13.5
Strong operational development and outlook
No material changes to consensus estimates


Organic growth strong in both Q1 and April

Sales SEK 222m (8% vs ABGSCe 206m), EBITA 7.1m (-17% vs ABGSCe 8.5m). EBIT -3.3m (vs. ABGSCe -2.4m). Organic growth including FX was 15% vs. ABGSCe 10% and 12% FX adjusted. Adj. EBITA was 11.5m vs. ABGSC 13.5m, adjusted for M&A cost related to Connex. The main reason behind a bit lower EBITA was higher D&A. Sales and EBITDA were both 8% better than expected. Q1 is seasonally the weakest quarter, and the miss to reported EBITA is just 1% of FY2023e, so no major deviation. SEK -8m net financials was negatively impacted by -5m related to the MBXP earnout. Strong sales and EBITDA driven by strong development in the Loyalty business in the Nordics. Management said organic growth was in line with Q1 in April as well, which is positive and ahead of expectations (ABGSCe 7% org. growth Q2). It also said the pipeline of new customers is strong, with growth outlooks strong as a result.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/awardit/Equity-research/2023/5/awardit---solid-q1-and-positive-outlook-slight-miss-on-high-da/