Redeye saw a Q1 report showing sales slightly below our estimates, with a total growth of 18% for the quarter. Costs were on the high end, mainly driven by the marketing efforts and R&D. The gross margin was roughly in line at 69.9% vs. our estimate of 70%. The EBIT result was SEK -14.3m vs. our estimate of -9.8m; the higher marketing costs and R&D mostly drove the deviation. Growth continues well in Germany, and the US is rebounding, although from low absolute levels.
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