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Third party research

Elanders: All eyes on the future - Nordea

Elanders

This is a third party research report and does not necessarily reflect our views or values

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We lower adjusted EBITA by 5% for 2025E-27E following the Q4 report. During the quarter, the weaker automotive market and headwinds related to the NA fashion business caused adjusted EBITA to drop by 15% y/y. However, with bright spots appearing in most of Elanders' remaining markets, coupled with generally lower interest rates, we remain optimistic about an eventual demand recovery in 2025. Following the recent years' structural changes, we look for a more asset-light business model to emerge, while we continue to expect a favourable longer-term margin trajectory. With 2025E lease-adjusted net debt/EBITDA of 3.6x, leverage remains elevated, and thus we expect the balance sheet to remain a key focus for the company. Marketing material commissioned by Elanders.
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