StrongPoint: One step at a time - ABG

Q2 EBITDA of NOK 7m
StrongPoint showed a positive development with sales +18% y-o-y, mostly driven by solid performances in UK & Ireland, Sweden and the Baltics. Revenues came in at NOK 350m, +6% vs. our estimate of NOK 330m. GP was +9% vs. our estimate, giving a solid GM of 43.7% (ABGSCe 42.5%). EBITDA landed at NOK 7m vs. ABGSCe at NOK 3m, supported by higher gross profit and the absence of a non-recurring cost incurred last year as part of a headcount and cost reduction initiative. The EBITDA margin was 2.1% (vs. ABGSCe 0.9%), marking a y-o-y improvement (Q2'24 0.3%), while the H1'25 EBITDA margin was 2.5%. EPS came in at NOK -0.07 vs. ABGSCe at NOK -0.19. Cash flow from operations was NOK 20m vs NOK 8m in Q1. Net debt came in at NOK 74m vs. NOK 72m in Q1. On the outlook, StrongPoint sees a continued improvement in EBITDA and recurring revenue, and has a long-term ambition of "healthy" revenue growth and an EBITDA margin >10%.