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Footway Q2: Sales in line, LBITA somewhat better on higher gross margin - SEB

Footway Group, the online retailer of sports and footwear goods, reported Q2 sales in line with our forecasts, implying a 27% y/y decline as supply chain disruptions continue to weigh on company performance. LBITA of SEK 26m is SEK 3m (10%) better-than-expected by us, reflecting higher gross margins (1pp better). Guides for positive EBITDA in Q2 this year, supported by proposed efficiency gains in marketing. For now, our mid-point DCF value equals SEK 12.

Footway Group, the online retailer of sports and footwear goods, reported Q2 sales in line with our forecasts, implying a 27% y/y decline as supply chain disruptions continue to weigh on company performance. LBITA of SEK 26m is SEK 3m (10%) better-than-expected by us, reflecting higher gross margins (1pp better). Guides for positive EBITDA in Q2 this year, supported by proposed efficiency gains in marketing. For now, our mid-point DCF value equals SEK 12.
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