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Tempest Security Q4: Going strong into 2024 - SEB

Tempest reported a solid growth in Q4 with sales of sales SEK 118.6m (2.2% vs SEB 116.0m) corresponding to a y/y growth of 10.4%. Adj. EBITDA of SEK 3.7m was SEK 1.8m weaker-than-expected which according to the company is due to tougher competition in the market. Tempest reported SEK 80m in new contracts going live in 2024, adding c. 15% on topline all else equal. Tempest sees good demand continue in 2024. We reiterate our mid-point of SEK 27.

Tempest reported a solid growth in Q4 with sales of sales SEK 118.6m (2.2% vs SEB 116.0m) corresponding to a y/y growth of 10.4%. Adj. EBITDA of SEK 3.7m was SEK 1.8m weaker-than-expected which according to the company is due to tougher competition in the market. Tempest reported SEK 80m in new contracts going live in 2024, adding c. 15% on topline all else equal. Tempest sees good demand continue in 2024. We reiterate our mid-point of SEK 27.
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