* EBITA SEK 260m (-2% vs. ABG, 0% vs. IR consensus)
* We expect no material revisions to cons EBITA
* Share trading at 13x '26e EV/EBITA on our pre-Q1 estimates
Q1 outcome
Sales came in at SEK 2,357m (-2% vs. ABG 2,394m, 0% vs. IR cons 2,358m), down 4% y-o-y, of which organic growth was +3% (ABG +3%). EBITA was SEK 260m (-1% vs ABG 262m, +1% vs. cons 258m), for an EBITA margin of 11.0% (ABG 11.0%, cons 10.9%). At the segment-level, Medical came in 2% below cons on EBITA, while Engineered was 4% above. FCF was SEK +32m, for a low cash conversion of 18%, yet this is due to typical seasonal working capital tie-up in Q1.
Outlook and estimate changes
The company does not give guidance or much outlook commentary in the report. However, it does mention that higher input costs risk having temporary effects (on margins), although over time are moved on to customers, and in our experience this typically takes 3-6 months. Also, the company reiterates that commercial deliveries from the new Hungarian site will commence towards the end of Q2. All in all, we expect no material revisions to cons EBITA following an in-line report.
Valuation and conference call details
In our view, the report did not contain any major surprises, with in-line numbers and reassuring commentary on moving higher input costs on to customers (as expected). On our pre-Q1 estimates (and on yesterday's closing price) the share trades at 13x '26e EV/EBITA, compared to its historical average fwd. multiple of 15. Finally, the company will host a conference call at 13:30 CEST, register here.