Napatech: Market conditions continue to be challenging - ABG

Challening market continues to affect sales
Reiterates FY'23 guidance
Product development in focus


Q2: Sales 10% below ABGSC, EBITDAC above

Napatech delivered Q2 sales of DKK 38m, up 7% y-o-y (however, note that sales were down 24% y-o-y in Q2 last year). This was 10% below our estimate of DKK 42m. The gross margin came in at 76%, well above ABGSC at 65% and consequently gross profit came in 5% above ABGSC. Operating costs were DKK -34m, i.e. significantly lower than our estimate of DKK -43m. This resulted in an EBITDAC of DKK -5.6m vs ABGSC at DKK -16m. Furthermore, capex in the quarter was DKK -2.6m, below our estimate of DKK -6m. Consequently, EBITDA-capex came in at DKK -6.2m vs. our estimate of DKK -16m. FCFF was somewhat lower at DKK -26m vs ABGSC at DKK -15m, explained by WC.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/Napatech/Equity-research/2023/8/napatech---market-conditions-continue-to-be-challenging/