Alcadon Group AB

Alcadon Group AB maintains a debt-to-equity ratio of 0.59, indicating a moderate level of leverage, and a current ratio of 1.97, suggesting adequate short-term liquidity to cover its obligations. The company's free cash flow of 18.2 million SEK and operating cash flow of 12.4 million SEK demonstrate positive cash generation, although capital expenditures of -5.1 million SEK suggest ongoing investment in infrastructure.

The company's return on equity of 1.72% and return on assets of 0.79% are below the industry median for communications and networking firms, indicating that Alcadon Group AB is underperforming in terms of capital efficiency and asset utilization. This suggests that the company may need to improve its operational performance or explore higher-margin opportunities to align with industry benchmarks.

Alcadon Group AB's revenue is concentrated in a single business segment, with no disclosed geographic diversification in the latest financial report. This lack of diversification increases the company's exposure to market-specific risks, particularly in its primary operating region. The absence of segment-specific revenue breakdowns limits the ability to assess the performance of individual product lines or geographic markets.

The company's revenue growth trajectory is mixed, with the most recent fiscal year showing a revenue of 399.2 million SEK, compared to a mean analyst estimate of 1,393 million SEK for the next fiscal year. This suggests a potential for growth, although the discrepancy between actual and estimated figures indicates uncertainty in the company's ability to meet expectations. The operating income of 16.7 million SEK and net income of 13.6 million SEK reflect a stable but modest profit margin.

Risk factors for Alcadon Group AB include a medium liquidity risk due to a negative net cash position after subtracting total debt, and a low dilution risk based on the current share structure. The company's ESG controversies score of 100.00 indicates no recent controversies, but its governance and social pillar scores are below the industry median, suggesting potential areas for improvement in corporate governance and social responsibility.

Recent events include a discrepancy between the company's actual EPS of -0.46 SEK and the mean analyst estimate of 2.06 SEK, highlighting a significant earnings miss. This could be attributed to operational challenges or market conditions affecting the company's performance. The company's EBIT estimate of 87 million SEK is also lower than the actual revenue of 1,433.7 million SEK, indicating a need for improved cost management.

Operating income grew 6.3% year-over-year to SEK 89.1 million, demonstrating resilience despite revenue decline.

Free cash flow increased 11.1% to SEK 90.3 million, indicating strong cash generation capabilities.

Cash conversion ratio of 0.91 surpasses the 0.76 cohort median, reflecting efficient earnings translation.

Revenue declined 4.5% year-over-year to SEK 1.43 billion, marking the first contraction in four years.

The company faces high credit risk, posing significant potential for financial instability or default.

Debt-to-equity ratio of 0.59 is well above the 0.22 cohort median, indicating higher leverage.

Medium liquidity risk suggests potential challenges in meeting short-term financial obligations.

Revenue kr 390.4M; Operating income kr 12.6M.

• ▍Revenue kr 390.4M
• ▍Operating income kr 12.6M
• ▍Net margin 1.4%

Revenue kr 425.2M; Operating income kr 25.1M.

• ▍Revenue kr 425.2M
• ▍Operating income kr 25.1M
• ▍Net margin 2.6%

Revenue kr 399.2M; Operating income kr 16.7M.

• ▍Revenue kr 399.2M
• ▍Operating income kr 16.7M
• ▍Net margin 3.4%

Revenue kr 1.43B, −4,5% YoY; Operating income +6,3% YoY.

• ▍Revenue kr 1.43B, −4,5% YoY
• ▍Operating income +6,3% YoY
• ▍Net income −130,2% YoY
• ▍Free cash flow +11,1% YoY
• ▍Net margin -0.8%

Revenue kr 1.50B, −4,5% YoY; Operating income −5,7% YoY.

• ▍Revenue kr 1.50B, −4,5% YoY
• ▍Operating income −5,7% YoY
• ▍Net income −2,8% YoY
• ▍Free cash flow +15,0% YoY
• ▍Net margin 2.5%

Revenue kr 1.57B, +41,6% YoY; Operating income +42,7% YoY.

• ▍Revenue kr 1.57B, +41,6% YoY
• ▍Operating income +42,7% YoY
• ▍Net income +2,1% YoY
• ▍Free cash flow +87,4% YoY
• ▍Net margin 2.4%

Revenue kr 1.11B, +50,8% YoY; Operating income −5,5% YoY.

• ▍Revenue kr 1.11B, +50,8% YoY
• ▍Operating income −5,5% YoY
• ▍Net income −21,5% YoY
• ▍Free cash flow −39,0% YoY
• ▍Net margin 3.3%

Revenue kr 736.5M; Operating income kr 65.9M.

• ▍Revenue kr 736.5M
• ▍Operating income kr 65.9M
• ▍Net margin 6.4%