Sitowise Group

12:50

Sitowise's Q3 earnings beat expectations as strong growth in the Infrastructure and Buildings business segments drove both revenue and margin higher than expected. However, order intake remained soft due to weak demand for digital solutions, and the order backlog decreased slightly from the previous quarter. Acting CEO Jannis Mikkola is interviewed by analyst Atte Jortikka.

Profitability clearly exceeded our expectations, as growth in the Infra and Buildings business units and savings in Digital Solutions lifted earnings.

We expect revenue from continuing operations to have increased slightly, with adjusted EBITA remaining at the level of the comparison period.

Due to the slightly weaker-than-expected earnings outcome and updated outlook, we have lowered our estimates moderately.

Although Sitowise's Q2 revenue was fully in line with our estimate, operational profitability was slightly below our expectations.

The surge in profitability we forecast is largely due to the removal of the loss-making Swedish business from the figures for continuing operations.

Sitowise announced yesterday that it is selling its Swedish technical consulting operations to Sweco.

Sitowise announced on Tuesday that it will sell its loss-making Swedish technical consulting business to Sweco.