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Third party research

USWE: Reaffirming the growth story - VH Corp

USWE Sports

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

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* Adjusted revenue beats our forecast

* Acquisition of VOID Cycling completed

* We maintain our valuation interval of SEK 73.00 – 92.00 per share

USWE’s quarterly report for Q2 2021/22 was roughly in line with our forecast
and reaffirms the company’s future growth story. A stop in production in
Vietnam meant revenues of more than SEK 4 million was shifted into the next
quarter. If not for this, revenue would have come in at about SEK 2 million
higher than expected, whereas profits were in line with our forecast for the
quarter. USWE also completed the acquisition of VOID Cycling and made some
changes with regards to their distribution partners in Germany. We consider
this a strong report and only make minor fine tunings to the valuation model.
We therefore maintain our valuation interval of SEK 73.00 – 92.00 per share.
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