Ambea’s interim report January- March 2024
Strong start to the year.
CEO comment:
During the first months of the year, occupancy was favourable and we had good control over operations, which led to improved earnings and stronger cash flow. Stendi’s earnings increased clearly year-on-year, supported by increased occupancy, price increases and operational improvements. It is gratifying to see how the positive trend in Norway has continued. During the quarter, Stendi signed a rental contract for a new care home with 11 places for children and young people in Oslo that will open by as early as 2025. The home is in line with the new recommendations issued by authorities regarding increased size and design of residential care facilities for children and young people in Norway. This is one example of how we, as a private provider, can act fast and help our clients solve the shortage of places.
The positive trend has also continued for Vardaga. The earnings growth is due to several factors, including increased occupancy and lower start-up costs for new facilities year-on-year. We also expanded the number of places under construction when Vardaga signed an agreement to open an additional nursing home in Gävle, Villa Hagaström, with 80 beds. The home will open in autumn 2026. Nytida also expanded its pipeline with five new units with a total of 65 places, and demand remained stable during the period
Organic growth and strong cash flow
Net sales rose 8 per cent to SEK 3,484 million (3,235). Organic growth was 8 per cent and free cash flow rose 70 per cent to SEK 414 million.
First quarter January–March
- Net sales rose 8 per cent to SEK 3,484 million (3,235). Organic growth was 8 per cent.
- EBITA was SEK 279 million (216), representing a margin of 8.0 per cent (6.7).
- Operating profit (EBIT) totalled SEK 256 million (191), representing a margin of 7.3 per cent (5.9).
- Profit for the period totalled SEK 111 million (70).
- Earnings per share were SEK 1.25 (0.77) before and after dilution.
- Cash conversion was 97.8 per cent (72.9).
- Free cash flow totalled SEK 414 million (244).
Webcast/telephone conference
In connection to the announcement, Ambea will host a telephone conference today at 10:00 (CET). The presentation will be held in English and available as webcast on www.ambea.com or direct link: https://edge.media-server.com/mmc/p/p3esy8db
Telephone conference
To participate the conference call, register before the call using the link below. Upon registration you will receive a dial-in number and a unique personal PIN code. To ensure that the connection to the conference call is working, please call ten minutes before the conference call is due to start.
Telephone conference registration:
https://register.vevent.com/register/BI7347adef3041421ca6c3e95f36936eda
The quarterly earnings report and associated presentation will be available on www.ambea.com
This disclosure contains information that Ambea is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014) and the Swedish Securities Markets Act (2007:528). The information was submitted for publication, through the agency of the contact person, on 03-05-2024 07:00 CET.