Bildkälla: Stockfoto

I-tech: Cash keeps on flowing - ABG

Delivers on expectations, strong 51% y-o-y growth and profitability
Outlook unchanged, tougher comps from Q4, discusses cash balance
Trading at 13-6x '23e-'25e EV/EBIT, ~70-50% below peers


Q3: A good quarter that delivered on expectations

In Q3, sales were SEK 32m, up +51% y-o-y (48% org., 3% FX), as the company continued to deliver at the levels seen in H1. EBIT was SEK 8.1m (4.8m) for a margin of 25.3% (22.6%), and net income was SEK 6.8m (4.2m) for a margin of 21.1% (19.8%), implying EPS of SEK 0.57 (0.35). Profitability remained roughly in line with the levels seen in H1, despite some heightened expenses connected to the EU process. FCF was a strong SEK 17m (9m), largely due to a SEK 7m WC release, which we believe was likely mostly temporary. All in all, Q3 was a good quarter that delivered on expectations.
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