Tobii Dynavox: Stellar organic growth - Redeye

Redeye comments on the Q4 report released earlier this morning. Sales surprised us on the upside again, showing a total growth of 31%, where we had expected 27% growth. The gross margin was slightly better than expected at 68.5% vs. our estimate of 68.2%. The organic growth was 24% compared to our expectation of 20%, with a positive % FX effect of 1%. The structure effect was 6% compared to the expected 4%. The costs were generally higher than expected, whereas selling expenses stood out negatively. The EBITDA margin came in at 22% vs. our expectation of 22.8%. The strong sales and gross margin make for a positive view of the quarter. The higher costs, which grew organically by 18% in the quarter, can be seen as an investment in further growth and growing less than sales. The performance in the quarter is again impressive, even with the higher costs. The operating cash flow was strong at SEK 88m vs. previous years’ SEK 52m. It is apparent that Tobii Dynavox has a powerful business momentum right now. The current economic headwinds do not affect the company to any significant degree. We expect to make minor positive revisions to our short-term estimates, adjusting organic growth upwards and increasing costs somewhat likely making for a small positive effect on our fair value range and the current Base case of SEK 44 per share.

Länk till analysen i sin helhet: https://www.redeye.se/research/975805/tobii-dynavox-q423-stellar-organic-growth?utm_source=finwire&utm_medium=RSS