Nolato: Soft report with EBITA 9% below cons. - ABG

EBITA SEK 177m (-11% vs. ABGSCe, -9% vs. cons)
We expect cons. EBITA to come down by 2-3%
15x '24e EV/EBITA on pre-Q4 estimates (and y-day close)


Q4 outcome

Sales were SEK 2,252m (-4% vs. ABGSCe 2,348m, -5% vs. FactSet cons 2,372m), with organic growth of -6% (ABGSCe -3%). EBITA was SEK 177m (-11% vs ABGSCe 198m, -9% vs. cons 194m), for a margin margin of 7.9% (ABGSCe 8.4%, cons 8.2%), and this included no NRIs (ABGSCe/cons 0m). The most important segment, Medical, was 5% below our expectations on EBITA (no cons figure), with continued weakness in surgery sales, yet Medical did improve q-o-q (margin +40bps). The biggest miss was in Integrated, where further large volume drops in VHP (EMC was down 4% y-o-y) which led to SEK -1m in EBITA (ABGSCe +14m), while Industrial was roughly in line with our expectations. Cash flow was okay, but not great at an FCF/EBIT of 45%.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/nolato/Equity-research/2024/2/nolato---soft-report-with-ebita-9-below-cons/