Earnings improvement slower than expected
Suominen's first-quarter results missed expectations but were better than the comparison period, and the company reiterated its guidance for adj. EBITDA improvement in 2024 vs. 2023. We have lowered our forecasts for this year and continue to see risks of earnings misses. In our view, the stock is already pricing in some sort of normal earnings, which are well above the current earnings level. We believe it will take until 2025 at the earliest for the company to reach this level.
Suominen
Suominen is a manufacturing company. The company manufactures and develops a wide range of napkins, hygiene products, and medical applications. The production is based on non-woven fabrics that can be used for various purposes. Customers are found in a number of industries, with the largest operations in Europe and North America. The company is headquartered in Helsinki.
Read more on company pageKey Estimate Figures07.05
2023 | 24e | 25e | |
---|---|---|---|
Revenue | 450.8 | 456.5 | 465.6 |
growth-% | -8.62 % | 1.26 % | 2.00 % |
EBIT (adj.) | -2.7 | 8.2 | 18.9 |
EBIT-% (adj.) | -0.60 % | 1.80 % | 4.07 % |
EPS (adj.) | -0.14 | 0.04 | 0.19 |
Dividend | 0.10 | 0.10 | 0.10 |
Dividend % | 3.51 % | 4.20 % | 4.20 % |
P/E (adj.) | - | 58.71 | 12.26 |
EV/EBITDA | 18.60 | 7.67 | 5.01 |