Kreate Group

Kreate reported very strong second-quarter results across the board, with both revenue and earnings significantly exceeding our expectations.

We forecast revenue to more than double in Q2 to 155 MEUR, supported by the consolidation of KFS, the acquisition of SRV Infra, and a strong order backlog.

The Swedish unit's largest project in history, valued at 30 MEUR, will raise the order book to a new record level in our estimates.

We find the pricing still seems reasonable, considering our significantly raised earnings estimates and the expectation of substantial earnings growth.

The strong order flow is expected to elevate the company's order book to a new record level at the end of Q2.

We believe the record-high order book will continue to strengthen during the spring, improving visibility for the end of this year and next year.