Svedbergs Group Q3: 12% EBITA growth, all segments contribute - ABG

* Net sales SEK 529m, +2% vs ABGSCe, +3% vs Factset cons.* EBITA SEK 80m, +5% vs ABGSCe, +6% vs cons* Outlook: market remains hesitant, Svedbergs acceleratedQ3 in brief: 6% better EBITA than consOur impression is that Svedbergs Group's Q3'25 report is better than Factset consensus estimates overall. The Group reports net sales of SEK 529m, for organic growth of +7% y-o-y. This is +2% vs ABGSCe and +3% vs cons. Looking closer at the three largest segments, Svedbergs grew 7%, Roper Rhodes by 3% (+9% org.) and Thebalux by -1% (+2% org.), which means the deviation to our sales estimate was primarily driven by Svedbergs. All segments delivered positive org. growth and an improved margin y-o-y. Gross margins grew 250bp y-o-y to 48.5% on previous price adjustments. This was the primary reason for 120bp better EBITA margins y-o-y, for EBITA of SEK 80, +5% vs ABGSCe and +6% vs cons. FCF improved from SEK -2.4m in Q3'24 to SEK +86.2m in Q3'25.Outlook: market remains hesitantIn the Q2 report, Svedbergs Group said the current market climate remained uncertain but manageable, and we assessed that the message was of a delayed recovery driven by this uncertainty. In Q3, it largely reiterates this message. As such, it appears the accelerated growth in Svedbergs is driven by an added sales focus and not primarily a better market.Conclusion: Q3 moves consensus EBITA by +1.5%The share has returned -1% L3M, and is now trading at 10.5x-9x our '25e-'26e EV/EBITA vs a historical trading range of 7x-11x NTM. The Q3 report moves consensus' '25e EBITA by +1.5%. Svedbergs Group hosts a conference call and Q&A today at 10:00 CET, a dial-in link can be found here.