Better than it looked

Sales -6% due to Enedo despite high material sales in Inission comps. EBITA margin 5.6% (adj. 6.4%), Enedo SEK 5m inventory write-down. '24 guidance in line with our estimates, trading at 9-7x '24e-'26e P/E.

Weaker orders, sales to remain intact

Q4'23 results fast comment

Expect a bit of a slowdown for EMS players

Q4e: sales SEK 574m, -3% y-o-y, SEK 60m material sales in comps. Tougher comps and an EMS slowdown after a great '22-'23. Makes good acquisition, long-term and fair value intact: SEK 50-70.

Another impressive quarter, outlook good

Growth of 17.5% and strong adj. EBITA margin of 8.8% (4.8%). Demand in Inission still good, Enedo seeing some slowdown. Expect growth to continue in '24e, but less than in elevated '23.

Strong profitability on increased efficiency (re-published)

Inission Q3'23 results fast comment

Destocking effects in the EMS industry

Q3e: sales SEK 511m, up 17% y-o-y, adj. EBITA margin 6.9% (4.8%). EMS demand remains, but backlogs shrink due to destocking effects. Inission trading in line after sector drop, fair value SEK 50-70.

Continued outperformance

20% organic growth, 7.3% EBITA margin, 8% margin in Enedo. Order intake still strong, investing to execute on order book. 7-9% EBITA upgrades, trading in line with peers, FV SEK 50-70.

Very strong 8% EBITA margin in Enedo

Sales +0% and adj. EBITA +23% vs. ABGSCe. EBITA beat driven by strong execution in Enedo. Order intake remains good, M&A market waking up.

Nordic EMS still going strong

Expect continued growth in Q2e, but some margin headwinds. Nordic EMS demand remains strong, but expectations are high. Trading at 17x '23e P/E vs. peers at 14x, FVR SEK 50-70 (55-75).

Exceeding expectations

26.5% organic sales growth, EBITA margin reaches 7.9% (4.8%). Demand remains strong, investing in increased capacity. 11x '23e EV/EBITA, 15x '23e P/E, fair value SEK 55-75.

Impressive improvements to profitability

Diversified EMS players going strong

EMS industry thriving on strong demand, fading shortages. Expect continued growth in Q1e: sales SEK 517m, EBITA 28m. 13x '23e P/E vs. peers at 16x, fair value SEK 50-70.

Inission at ABGSC's Investor Days

Q4: an exercise in accounting

41% org. growth and 4.7% EBITA, but some adjustments are due. We increase ests. following strong quarter and transition to IFRS.

Extremely strong 41% organic growth