Elekta (Buy, TP: SEK120.00) - Profit warning for Q3 2021/22
Elekta have given a profit warning for its upcoming quarter, again stating that pandemic effects and logistics challenges hurt sales and the gross margin. The gross margin was down c300bp YOY. Organic sales growth declined c3% YOY. Q3 EBIT was cSEK375m, c29% below our estimate. The company stated that it expects the component shortages to normalise in H2 of calendar year 2022. We believe the gross margin will gradually improve, but that it might take longer than we initially expected. We reiterate our BUY, but have cut our target price to SEK120 (140).Elekta AB is a human care company providing clinical solutions for treating cancer and brain disorders. Co. develops tools and treatment planning systems for radiation therapy including brachytherapy and radiosurgery, as well as workflow improving software systems across the field of cancer care. Co. has four product areas: Elekta Neuroscience, which develops solutions for the diagnosis and treatment of neurological diseases; Elekta Oncology, which develops clinical solutions for radiation therapy, imaging systems and clinical solutions for patient positioning and immobilization; Elekta Brachytherapy, which is engaged in cancer treatment based on internal radiation; and Elekta Software.
DNB Markets is the investment banking arm of DNB Bank ASA and is focused primarily on the Nordic region, as well as internationally on niches such as global shipping, energy and related services, and seafood. DNB Markets offers services in FICC, Equities and Investment Banking advisory from offices in Oslo, Stockholm, London, Singapore and New York. Equity research coverage is offered on c250 Nordic companies. DNB was ranked no.2 in Extel Nordic Research 2017. The DNB Markets’ Credit and FICC Macro & FX Research teams are repeatedly highly rated by Prospera Nordic Institutional Investor Surveys.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.