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Third party research

B3 Consulting Group: Positively surprised by the margin - ABG

B3 Consulting Group

This is a third party research report and does not necessarily reflect our views or values

Download report (PDF)
Sales -3% vs. cons, adj. EBITA +21% vs. cons
Announces growth initiatives & cost savings efforts
Consensus EBITA estimates likely up by low single-digits


Q1'25 report

Q1 was slightly softer than expected with respect to sales but better with respect to profitability. B3 generated net sales of SEK 324m (-3% vs. FactSet cons, -3% vs. ABGSCe) and adj. EBITA SEK ~21m (+21% vs. cons, +21% vs. ABGSCe). We note that the organic decline was approx. 11% y-o-y, and that figure is a bit softer than the expected -5%. While the organic sales decline was a bit tougher than we had anticipated, we are positively surprised by the margin, which held up quite well in the aftermath of the previous cost reduction initiatives. One reason behind the stronger margin, primarily in B3 Poland, is a higher share of Managed Services projects that contribute with a higher incremental margin.