Midsona: Beats on all items - ABG

Sales +3% and adj. EBIT +17% vs. ABGSCe
Operating cash flow SEK 21m, vs ABGSCe SEK -113m
Turn-around success continues


Q1'24 report

The Q1 report came in above our sales and earnings expectations. Sales declined by -5% y-o-y (of which -4% org. decline y-o-y, vs. ABGSCe -7%) to SEK 929m (+3% vs. ABGSCe). Adj. EBIT came in at SEK 38m (+17% vs. ABGSCe). The adj. gross margin of 29.0% was slightly better than our estimated 28.6%, likely due to a better product mix. Cash flow from operations of SEK 21m (vs. ABGSCe -113m) was much better than we had anticipated, as the company appears to have a more nimble approach to working capital management than we had previously assessed.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/midsona/Equity-research/2024/4/midsona---beats-on-all-items/