Scanfil's Q1 net sales and clean EBIT were below LSEG Data & Analytics consensus. End demand has been weak for several of the company's customer segments. Revenue growth was -12% y/y in Q1 and the company has reduced its capacity to keep relative profitability at a healthy level. Full-year guidance is intact, but we forecast market consensus EBIT will decline by EUR 2-3m for 2024. Scanfil expects new projects and market share gains to bring an improvement for H2 2024. Due to a weak start to the year, we lower our net sales and EBIT estimates by 2-5% for 2024. Our medium-term estimates are largely unchanged, however, and our fair value range remains at EUR 8.0-9.8, based on three equally weighted valuation approaches (DCF, EV/EBITDA and P/E). Marketing material commissioned by Scanfil Oyj.
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