* Orders +62% y-o-y, BTB ~1.5x * Strength across segments, EBITA +15% vs. ABGSCe * Trading at 13-10x '26e-'28e P/E vs. 17-12x Nordic EMS peers
ANNONS
Displaying broad-based strength
Inission reported a better-than-expected Q3, with order intake +62% y-o-y (+50% vs. ABGSCe) for a book-to-bill of ~1.5x. Orders were driven mainly by underlying demand, with SEK ~100m from customers extending order horizons beyond the next 12 months, partly reflecting component shortage concerns. Sales grew +18% y-o-y (+18% organic), +8% vs. ABGSCe despite some seasonal effects within Inission EMS. Inission Power grew ~40% y-o-y on higher volumes, led by increased sales of customised power supplies to industrial OEM customers, against easy comps. The strong underlying demand provided good operating leverage, resulting in adj. EBITA increasing 41% y-o-y (+15% vs. ABGSCe). Inission Power posting its highest EBITA result since Q2'23 (+82% vs. ABGSCe, -2m Q3'25). Supply chain constraints, such as for PCBs and memory chips, did not materially disrupt production in the quarter, unlike at some peers, but management expects conditions to tighten ahead.
'26e-'27e EBITA lifted by 9-10%
We lift our '26e/'27e/'28e EBITA estimates by 9%/10%/8% following the strong Q3 beat, reflecting higher margin assumptions for Inission Power, where we believe the profitability improvement should prove durable. We have also incorporated the BDT acquisition into our estimates, raising our '27e-'28e sales forecasts by ~7%.
Visibility through record-high order book
The record-high order book of ~1,900m (o/w ~300m sits outside the N12m) and a R12m book-to-bill of 1.2x, providing good visibility into Q4 and '27e. Verticals like defence and data centres continue to lead, with the general industry picking up the pace. Medium-term targets were reiterated, with annual sales growth above 15% (10% organic, 5% M&A) and an EBITA margin above 9%. The share is currently trading at 13-10x '26e/'28e P/E vs. Nordic EMS peers at 17x-12x.
