Consti - Profitability slightly weaker than anticipated
Consti's Q3 results were fairly in line with our expectations Net sales in Q3 amounted to EUR 90.8m, slightly above our estimate (Evli EUR 88.9m.), with growth of 5.6% y/y. EBIT amounted to EUR 3.1m, while we had estimated EBIT of EUR 3.5m. The Service business continued to impact on net sales and profitability.
- Net sales in Q3 were EUR 90.8m (EUR 86.1m in Q3/24), slightly surpassing our estimates (Evli EUR 88.9m).
- On a business area level, the difference in actual net sales to our estimates came from higher than anticipated net sales in building technology and lower than anticipated items relating to the parent company and eliminations.
- Operating profit in Q3 amounted to EUR 3.1m (EUR 3.4m in Q3/24), below our estimate of EUR 3.5m.
- Profitability remained negatively impacted by lower-than-expected net sales and weaker-than-anticipated performance in the Service business. Additionally, allocation of resources to tendering and negotiation activities and the continued weakness in the market further affected profitability negatively.
- We had expected slight improvement for the Service business q/q, which appears to not have materialized to larger extent.
- EPS in Q3 amounted to EUR 0.30 (EUR 0.31 in Q3/24, EUR 0.33 Evli est.).
- The order backlog at the end of Q3 was EUR 240m (EUR 250m in Q3/24), declining 4.2% y/y. Order intake was EUR 41.2m in Q3 (Q3/24: EUR 64.8m).
- The order backlog stayed at a healthy level but declined slightly. Good order intake in Q2 possibly affected weaker order intake in Q3.
- Free cash flow amounted to EUR 3.4m (Q3/24: EUR 1.7m).
- Guidance for 2025 (unchanged): Operating result for 2025 will be in the range of EUR 9–12 million.