Formpipe: In-line Q4 numbers and CEO to leave - ABG

Preliminary Q4 sales in line with ABGSCe, EBIT slightly above
CEO Christian Sundin leaves after 16 years at helm
Expect modest revisions for consensus


Q4 sales 0% vs. ABGSCe, EBIT SEK 6m (vs. ABGSCe SEK 5m)

This morning, Formpipe sent out two press releases, relating to the change of CEO and preliminary Q4 numbers. On the latter, Q4 sales of SEK 128m was in-line with ABGSCe SEK 128m, with sales growing 5% y-o-y (also against tough comps). Preliminary Q4 EBIT of SEK 6m was slightly above ABGSCe SEK 5m, for a margin of 4% (vs. 13% in Q4'21). The margin-contraction y-o-y does not deviate from recent quarterly results, and stems from elevated opex levels amid high personnel turnover and growth investments. In terms of revenue streams, on premise license sales were slightly above, while SaaS and delivery sales came in slightly below. We also note that ACV looks strong for Public SE and Public DK, while ACV in Private was slightly more lukewarm (probably partly due to the recent sluggish development for Temenos). On the CEO change, it was announced that Christian Sundin leaves the position after 16 years at helm. Mr Sundin will stay as interim CEO until a replacement has been found.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/formpipe/Equity-research/2023/1/formpipe---in-line-q4-numbers-and-ceo-to-leave/