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Third party research

B3 Consulting Group: On the road towards positive net recruitment - ABG

B3 Consulting Group

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

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Minor, positive estimate revisions
Stable utilisation rate and positive margin surprise
'25e EV/EBITA of ~8x, FVR reiterated


Improving conditions allow for pos. net recruitment in H2'25

Q1 missed slightly on sales but beat on adj. EBITA compared with FactSet consensus' expectations. Organically, sales declined ~11% and the adj. EBITA margin was 6.4%, which was better than expected but on the low end compared to historical levels. The utilisation rate keeps rising mathematically because B3 has laid off unstaffed IT consultants. Moreover, the company announced another cost-cutting program that should save around SEK 25m annually. Our understanding is that there is more work to be done on a subsidiary, rather than HQ, level in terms of streamlining costs.
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