Catella: Market activity has bottomed out - ABG

Market headwinds continued in Q2
We lower 2025e EBIT on slower recovery in activity
Easy comps in '24e-'26e with EV/EBIT of 3-5x and 4-8% div. yield


Market activity remained muted in Q2

Transaction activity has remained hesitant since the start of 2024, which negatively impacts Catella. Despite increasing transaction volumes q-o-q, it remains at historically low levels, leading to low earnings contributions from the different operational segments. The quarter was boosted by the divestment of CatWave to Söderberg and Partners, which had a positive profit effect of SEK 18m, leading to EBIT coming in 41% above ABGSC expectations, at SEK 34m. We expect to see transaction activity gradually improve in the coming quarters, with Catella's earnings generation following suit.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/catella/Equity-research/2024/8/catella---market-activity-has-bottomed-out/