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Inission: Delivers on reduced expectations - ABG

INISS BThird party research08.11.2024, 10.33

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

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Sales -3%, EBITA +1% vs. ABGSCe, book-to-bill 0.99x
Expects decline to decelerate from here, return to growth in H2'25
Cash flow weak partly due to transition away from invoice factoring


Q3 results

Sales came in at SEK 468m (-2.7% vs. ABGSCe 481m), -9.0% y-o-y. EBITA was SEK 26m (+0.7% vs. ABGSCe 26m), for a margin of +5.6% (ABGSCe +5.4%). FCF lease adj. came in at SEK -59m (-257% vs. ABGSCe 37m), partly weak due to the transition from invoice factoring to credit facilities, which affected cash flow by -46m. Order intake continued to improve, with book-to-bill reaching 0.99x. The company started reporting order intake and order book this quarter, which amounted to SEK 464m (458m) and SEK 1,030m (1,436m), respectively.