Prevas Publishes Interim Report for the Period January-September 2023

”Once again Prevas reports a strong quarter in a market that presents both challenges and opportunities. During the quarter we intensified our market proximity and navigated the changing demands by growing with customers in the growth segments.”

Turnover amounted to 311.4 MSEK (283.4) in the third quarter, representing growth of 10.0 percent. Approximately 45 percent of the turnover growth was organic. The profit for the third quarter was also strong despite a slightly lower utilization than previous years. The background is that we increased customer value in our deliveries, balanced our recruitment and had good cost control. The EBITA results amounted to 31.0 MSEK (33.2) with an EBITA margin of 10.0 percent (11.7). Note that considering that this year’s quarter is one working day shorter (65 compared to 66) we increased EBITA profits. Cash flow from current operations remained strong and more than doubled to 50.4 MSEK (23.0) compared to the corresponding period of the previous year.

On a rolling 12-month basis, we are delivering in line with our financial targets, which are 10 percent sales growth per year and an average EBITA margin of 12 percent. Both turnover and profits thus far are at an all-time-high for Prevas, which we are very proud of – particularly in the prevailing market conditions.

To read the word from the CEO in full, see interim report page 4-5.

The quarter in brief

• Net turnover amounted to 311.4 MSEK (283.4), an increase of 28.0 MSEK and 10.0 percent.
• Operating profit EBITA amounted to 31.0 MSEK (33.2), which gives an operating margin of 10.0 percent (11.7). The quarter was one working day shorter than the corresponding period of the previous year, which affected the operating profit EBITA negatively with approximately 5 MSEK.
• Operating profit EBIT amounted to 29.3 MSEK (31.8), which gives an operating margin of 9.4 percent (11.2).
• Profit after tax amounted to 22.7 MSEK (25.6).
• Profit per share before dilution was 1.74 SEK per share (1,94) and after dilution was 1.73 SEK per share (1.94).
• The cash flow from operating activities amounted to 50.4 MSEK (23.0).

The period in brief
 

• Net turnover amounted to 1,083.4 MSEK (934.3), an increase of 149.1 MSEK and 16.0 percent. More than half the growth was organic and the remainder comes from acquisitions made during 2022.
• Operating profit EBITA amounted to 125.2 MSEK (112.3), which gives an operating margin of 11.6 percent (12.0).
• Operating profit EBIT amounted to 120.0 MSEK (108.6), which gives an operating margin of 11.1 percent (11.6).
• Profit after tax amounted to 89.5 MSEK (86.0). 
• Profit per share before dilution was 6.86 SEK per share (6,57) and after dilution was 6.81 SEK per share (6.57).  
• The cash flow from operating activities amounted to 123.2 (75.5).

Significant events

• Acquisition of DVel. Prevas has during the period signed an agreement for the acquisition of 51 percent of DVel AB. DVel is one of Sweden's largest suppliers of customized hardware test systems and is based in Lund with 25 employees. The transition occurred on October 2nd, 2023. The transaction is expected to have a marginal impact on Prevas’ earnings per share during the 2023 financial year.
   
• Takes over Unibap’s industrial operations within robotics and AI. The previously announced letter of intent for the transfer of Unibap's industrial operations has been successfully implemented. The companies agreed on a business transfer regarding 4 employees and ongoing assignments of Unibap's industrial operations. The business transition took place on August 1, 2023. The transaction is expected to have a marginal impact on Prevas' earnings per share during the 2023 financial year.

Prevas' interim report January-September 2023 will be available at https://www.prevas.com/Financial-Reporting and is attached to this press release.

Presentation of Prevas’ interim report jan-sep 2023

Thursday, October 26 at 09.00 a press and analyst presentation will be held which can be followed via webcast (https://ir.financialhearings.com/prevas-q3-2023) and conference call  (https://conference.financialhearings.com/teleconference/?id=5002195).

The presentation is given in English by Magnus Welén (CEO) and Helena Burström (CFO) from Prevas AB. No pre-registration is required.

This information is such that Prevas AB (publ) is required to make public in accordance with EU regulations to prevent market abuse and the Securities Market Act. The information was submitted by the below contact person for publication on October 26th, 2023, at 08.30.

For more information, contact
Magnus Welén, President & CEO, Prevas AB, Mobil: +46 70 593 44 57, E-mail: magnus.welen@prevas.se 
Helena Burström, CFO, Prevas AB, Mobil: +46 72 201 11 14, E-mail: helena.burstrom@prevas.se 

About Prevas
Prevas is a development hub with ingenuity at its core. With a high technical competence and a deep business understanding, we help customers from a wide variety of industries benefit through continuous technological innovation. Good for people, planet, and profit. Prevas was established in 1985 and currently employs 900 people in Sweden, Denmark and Norway. Prevas is listed on NASDAQ Stockholm since 1998. For more information about Prevas, visit www.prevas.com.

Tags: