Freemelt: We shift some volume from '24e to '25e - ABG

Q4e: Two deliveries, sales only SEK 3.6m due to payment model
'24e the year of e-MELT ID, '25e the year of e-MELT IM
Expect a more careful roll-out of e-MELT; we change ests accordingly


Q4e: New pricing model limits quarter sales

During the quarter, the company announced one Freemelt ONE order, and we expect two machines to have been delivered. As one of these machines will be recognised over the two-year payment contract, we expect this to translate into sales of only SEK 3.6m (12m) in Q4e. We estimate EBIT of SEK -25m (-8m), and ABGSCe adj. EBIT of SEK -17m (-9m). Net income will, in our view, equal EBIT, and we expect FCF and NCF of SEK -16m (-3m), bringing the cash balance to SEK 31m. On our estimates, the company will need to raise additional capital towards the end of '24e.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/Freemelt/Equity-research/2024/1/freemelt---we-shift-some-volume-from-24e-to-25e/