* Adj. EBITA SEK 262m (-2% vs. ABG, -3% vs. MFN cons)
* Soft org. growth at 3% (ABG 6%), but Medical delivered 9% (ABG 7%)
* We expect no material revisions to cons adj. EBITA
Q3 outcome
Sales came in at SEK 2,500m (-2% vs. ABG 2,543m, -1% vs. Modular Finance cons 2,521m), with organic growth at +3% (ABG +6%). The lower organic growth was driven by a decline in Medical (-3% vs. ABG +4%), however we note that crucially Medical delivered +9% (ABG +7%), indicating the start of sales ramp-up in the new Hungary site. Adj. EBITA was SEK 262m (-2% vs ABG 268m, -3% vs. cons 270m), for an adj. EBITA margin of 10.5% (ABG 10.5%, cons 10.7%), and this excludes one-off costs of SEK -8m. Both segments were fairly in line (-1% vs. cons on EBITA), while the slight miss was driven by higher than expected group costs. FCF was SEK 141m (ABG 185m), or 82% of net income.
Outlook and estimate changes
The company does not issue formal guidance, and gave little in the way of qualitative outlook commentary. All in all, we expect no material revisions to consensus adj. EBITA.
Valuation and conference call details
The report was decent, with organic growth at the group level being a slight dissapointment, but as mentioned Medical delivered, and adj. EBITA was somewhat lower than expected. On our pre-Q3 estimates, the share trades at 15.5-12.3x '26e-'27e EV/EBITA, compared to its historical average fwd. multiple of 15x. Finally, the company will host a conference call at 08:45 CET, register here.