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Tempest Security: Headwinds are easing - SEB

Tempest Security is trending in the right direction with substantial margin improvement y/y for its risk solutions segment of 10pp. Results were in-line with our expectations, and we make only minor adjustments to our estimates, raising 2023E EBITD by 3% and keeping sales relatively unchanged. We believe we will see a continuation of the turnaround as we move further into 2023. We reiterate our DCF-based mid-point of SEK 38 per share.

Tempest Security is trending in the right direction with substantial margin improvement y/y for its risk solutions segment of 10pp. Results were in-line with our expectations, and we make only minor adjustments to our estimates, raising 2023E EBITD by 3% and keeping sales relatively unchanged. We believe we will see a continuation of the turnaround as we move further into 2023. We reiterate our DCF-based mid-point of SEK 38 per share.
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