Proact: Good sales development in Q1 - ABG

But lower gross margin caused -8% adj. EBITA vs ABGe
Demand is good but supply chain is challenging
Limited estimate revisions for cons

Q1 details
Sales SEK 1,065m (3% vs ABG 1,034m), Adj. EBITA SEK 53m (-8% vs ABG 57m), Adj. EBITA margin 4.9% (ABG 5.5%). Organic sales growth 5% (vs ABG 5%), of which system and service grew 5% and cloud revenues 4%.

Lower gross margin and higher opex behind the EBITA miss
Market activity is good across the business, while a challenging supply chain has increased orderbook to higher than normal levels with expected deliveries in Q2 and onwards. Demand for the service business remains good and cloud orders and revenues grew organically. A solid report sales wise and order situation is good, while lower gross margin (20.9% vs ABG 22.0%) and slightly higher opex (SEK 182m vs ABG 179m) drove the adj. EBITA miss of SEK -4m (or -8%) vs us.

Limited estimate changes post the report
We expect cons to do limited estimate revisions post the report, and find it fairly neutral. No conf call, but we host a Q&A session with the CEO today CET 15.00 open for signed up investors.
Läs mer på ABG Sundal Collier

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/proact/Equity-research/2022/4/proact---good-sales-development-in-q1/