Litium: Seasonally weak Q3 likely to hold up well - ABG

'23e-'25e sales cut by 1-5%
B2C volume recovery likely to take longer than expected
EV/ARR 1.8x, '23e EV/EBITDA ~17x


What to look for in Q3'23e

For Q3, we expect a reported ARR of SEK 73.8m and sales of SEK 16.4m. These figures imply y-o-y growth of 10% and 5%, respectively. We also anticipate an EBITDA of SEK 1.9m, which corresponds to a margin of ~12% and operating cash flow of SEK 3.2m. These estimates imply a cut to Q3 sales and EBITDA of 6% and 3%, respectively. B2C volumes are likely to take longer to recover to historical levels, likely sometime in 2024e.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/Litium/Equity-research/2023/10/litium---seasonally-weak-q3-likely-to-hold-up-well/