The marking to market of “several projects” that were fraudulently accounted for in its Norwegian subsidiary resulted in SEK 14m lower gross profit for Balco in Q2. Adjusting for this, EBIT would have been 15% ahead of our Q2 forecasts. Expectations of rising rates also put orders on hold in the period, explaining the negative order intake development. We lower our full-year EBIT estimate by 8% and revise our mid-point value to SEK 140 (from SEK 145).
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