Earnings Alerts

Alfa Laval AB (ALFA) Earnings: 3Q Adjusted Ebita Falls Short of Estimates Despite Strong Demand

By October 24, 2024 No Comments
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  • Alfa Laval’s adjusted EBITA in Q3 was SEK2.80 billion, slightly below the estimated SEK2.85 billion.
  • Net sales reached SEK16.21 billion, under the forecasted SEK17.47 billion.
  • Sales in the Energy sector totaled SEK4.61 billion, compared to an expected SEK4.98 billion.
  • The Food & Water sector reported net sales of SEK6.34 billion, falling short of the SEK6.59 billion estimate.
  • Marine sector sales amounted to SEK5.26 billion, below the estimated SEK5.85 billion.
  • Orders in Q3 were robust at SEK18.93 billion, surpassing the prediction of SEK18.18 billion.
  • The adjusted EBITA margin stood at 17.3%, higher than the anticipated 16.8%.
  • Pretax profit recorded was SEK2.53 billion.
  • The company anticipates a decrease in demand for Q4 compared to Q3.
  • The demand in Q3 was strong, supported by clean energy and data center sectors amidst a drop in HVAC volumes.
  • The book-to-bill ratio was noted at 1.17, contributing to an order book value of SEK52 billion, setting a platform for 2025 and 2026 invoicing.
  • Analyst recommendations for Alfa Laval include 7 buys, 9 holds, and 7 sells.

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A look at Alfa Laval AB Smart Scores

FactorScoreMagnitude
Value2
Dividend3
Growth4
Resilience3
Momentum4
OVERALL SMART SCORE3.2

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Analysts reviewing Alfa Laval AB‘s long-term outlook are optimistic based on the Smartkarma Smart Scores. The company has received a solid score of 4 for Growth, indicating positive expectations for expanding its operations and market presence. With a Momentum score of 4, Alfa Laval AB is showing strong performance and is expected to continue on this path. The company’s Dividend score of 3 suggests a moderate dividend payout outlook, providing investors with potential income. Alfa Laval AB‘s Resilience score of 3 highlights its ability to weather economic uncertainties and industry challenges. However, the Value score of 2 indicates that the company may be trading at a slightly higher valuation than its perceived worth.

Alfa Laval AB is a global provider of specialized products and engineering solutions, offering equipment and systems for various industries including oil, water, chemicals, food, and pharmaceuticals. With favorable scores in Growth and Momentum, the company seems well-positioned for future expansion and sustained performance. While the Value score is not as high, investors may still find value in the company’s growth potential and resilience in the face of market fluctuations. Overall, Alfa Laval AB‘s diversified product line and global market presence contribute to a positive long-term outlook as indicated by the Smartkarma Smart Scores.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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