Raute - High orders, low profitability
Raute’s Q2 order intake grew even more than we expected, while profitability remained weak.
- Q2 revenue grew by 45.5% y/y and amounted to EUR 35.5m, compared to our EUR 36.0m estimate. Project deliveries top line was EUR 19.2m (vs our EUR 24.0m estimate) while technology services was EUR 16.3m (vs our EUR 12.0m estimate).
- EBIT was EUR -1.0m vs our EUR 1.6m estimate, meaning EBIT margin was -2.9% while we expected 4.4%. The comparison period had exceptionally low payroll costs, in addition to which marketing and digitalization efforts were continued, and thus the result remained in the red.
- Q2 order intake amounted to EUR 65m, while we expected EUR 55m. Project deliveries orders were EUR 47m, compared to our EUR 42m estimate, while technology services amounted to EUR 18m vs our EUR 13m estimate.
- Order book stood at EUR 129m at the end of Q2 (EUR 80m a year ago).
- Raute guides revenue to grow and operating profit to improve in 2021 (unchanged).