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Tempest Security: Q4, off to a good start in Denmark

Tempest reported Q4 sales of SEK 77.6m (vs SEB 74.1m) and sales growth of -7% y/y. Adj. EBITDA was SEK 2.1m (vs SEB 1.8m) for an adj. EBITDA margin of 2.7%. Net sales continues to be burdened by the pandemic, but the company is ramping-up investments and seems off to a good start in Denmark (established in January). M&A has also been resumed with intention to acquire two UK companies. The result implies limited changes to our earnings estimates and investment case.

Tempest reported Q4 sales of SEK 77.6m (vs SEB 74.1m) and sales growth of -7% y/y. Adj. EBITDA was SEK 2.1m (vs SEB 1.8m) for an adj. EBITDA margin of 2.7%. Net sales continues to be burdened by the pandemic, but the company is ramping-up investments and seems off to a good start in Denmark (established in January). M&A has also been resumed with intention to acquire two UK companies. The result implies limited changes to our earnings estimates and investment case.
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