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Tempest Security Q2: sales in line but still struggling with profitability - SEB

Tempest Security's Q2 was OK in our view. Risk Solutions fell short of our sales estimate by 9% and the CEO highlighted the segment as a slight disappointment. The company said that the staffing problems continued in the quarter and were the main reason for the weaker earnings (EBITDA fell 23% y/y). Th CEO mentioned fierce competition in the Swedish market as another reason for the weak Risk Solutions performance. Reiterate our mid-point equity value of SEK 36/share.

Tempest Security's Q2 was OK in our view. Risk Solutions fell short of our sales estimate by 9% and the CEO highlighted the segment as a slight disappointment. The company said that the staffing problems continued in the quarter and were the main reason for the weaker earnings (EBITDA fell 23% y/y). Th CEO mentioned fierce competition in the Swedish market as another reason for the weak Risk Solutions performance. Reiterate our mid-point equity value of SEK 36/share.
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