Svedbergs Group: Thebalux hit the ground running - ABG

Net sales SEK 572m, 3% vs ABGSCe
EBITA SEK 84m, 7% vs ABGSCe
Thebalux performs well at 25% EBITA margin


Q1 in brief: strong uplift y-o-y

Svedbergs reports net sales of SEK 572m for Q1'24, for an organic growth of -4%. By segment, Svedbergs grew -22.5%, Roper Rhodes by 10% (6% org.), Macro Design by -4% and Cassoe by -0.5%, once again highlighting the softer trend in the Nordics compared to abroad. The Roper Rhodes-driven gross margin uplift seen in H2'23 lasts into Q1 as well: the reported 44.6% gross margin is 320bp higher y-o-y. Selling expenses are slightly higher as well to drive growth, meaning 160bp is lost as a share of sales here. On net, the EBITA margin is higher however, at 14.6% for an EBITA of SEK 84m Svedbergs Group grew its EBITA by 31% y-o-y. This was primarily driven by Roper Rhodes which contributed SEK 49m. The January share issue to finance the Thebalux acquisition netted Svedbergs Group SEK 391m, for a ND/EBITDA ratio of 2x following Q1.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/svedbergs/Equity-research/2024/4/svedbergs-group---thebalux-hit-the-ground-running/