Impressing volumes and profitability
Lagercrantz continues to impress, both on sales and margins, with sales growing 33% y-o-y (organically +18% vs. ABGSCe at +11%) and an EBITA margin of 16.3% (ABGSCe at 15.4%) in Q1. EBITA was SEK 212m, up 71% y-o-y and 17% better than ABGSCe (20% better than FactSet cons). TecSec, the new segment, was particularly impressive, up 60% q-o-q and beating ABGSCe by 60% on sales and by 93% on EBITA. The segments Electrify and International also contributed to beating estimates, with Elpress in Electrify performing very well, and International experiencing a stronger market combined with the implemented restructuring that bolstered margins for the segment. Lagercrantz has reported some negative effects of shortages and rising costs in the quarter, but it has managed to pass higher prices on to its customers.
