Invisio: Strong sales to come, but with a delay - ABG

Q2 report due on 22 July We move sales slightly further into the future Our positive LT perspective remains, already better in H2 Long lead times delay sales, but H2 better than H1 We expect market activity in Q2’22 to be strong, although order announcements during the quarter have been poor with only one initial order of SEK 16m announced in combination with the renewal of a long-term contract with the UK Ministry of Defence. However, we expect the underlying order intake to be strong at SEK 180m, corresponding to a book-to-bill of 1.1x in Q2’22e. The biggest risk we see is long lead times for components delaying sales. The long delivery times are not only for Invisio’s products; Invisio is also indirectly affected by delays of communication radios, which are often used in combination with Invisio’s products. As such, our view remains that H2 will be significantly better than H1 in 2022e in terms of sales, supported by the large amount of announced orders at the end of Q1’22.