Boule Diagnostics: Headaches turned into migrane in Q3 - ABG

EBIT missed ABGSCe by 80%, mainly on softer sales
Expect cons to cut ‘22e EBIT by >27%
There is a conference call at 10:00 CET


Q3 results

Net sales came at SEK 125.6m (-13% vs ABGSCe 144.2m). Organic growth was -8%, compared to ABGSCe at +14%. Boule says that the higher dollar price drove up its product prices in local currencies, which muted customer demand. The gross margin was 40.7%, relatively in line with ABGSCe at 41%. Higher component costs and retroactive customs duties weighed down gross margins by 4.4%, and the impact on EBIT margins were likely higher. This resulted in an EBIT margin of 2.9% (-9.4pp vs. ABGSCe 12.3%). Net profit was 2.4m (-80% vs. ABGSCe 11.7m). Only 803 instruments were delivered; we expected 1,225. APAC stands out as a weak spot in this quarter, having missed ABGSCe sales by 36%.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/boule-diagnostics/Equity-research/2022/11/boule-diagnostics---headaches-turned-into-migrane-in-q3/