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Studsvik: Solid growth expected in Q3 - ABG

Profitability hampered by IAC in Scandpower
Adj. EBIT margins to strengthen
Negative revisions stem from fraudulent payments


Q3e: Organic sales +15% y-o-y, adj. EBIT margin 12.4% (9.2%)

Studsvik will report its Q3 numbers on 23 October, and we expect a solid report in terms of sales growth with total sales up 19% y-o-y, of which 15% is organic. The main driver we think will be Scandpower, where we expect solid underlying growth and licence sales of SEK 7m. In addition, we also see continued momentum within F&MT with 14% organic sales growth. For EBIT, we expect it to be SEK 14.8m (22.9m), as the fraudulent payments in Scandpower will affect Q3 by roughly SEK 14m and be reported as IAC. We see adj. EBIT of SEK 28.8m (17.9m), driven by improvements in all business segments except Waste Management.
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