Sweden's Careium Q3 sales rise 21.6%, margin improves

By Reuters News


Overview

  • Sweden technology-enabled care provider's Q3 net sales rose 21.6% yr/yr

  • Q3 operating margin improved to 10.3% from 6.7%

  • Earnings per share for Q3 more than doubled yr/yr


Outlook

  • Company says it will continue to invest in its offering and operational efficiency for growth

  • Careium sees stable recurring revenues from multi-year service contracts supporting future visibility

  • Company expects ongoing demand for home-based care solutions to support its market position


Result Drivers

  • SERVICE SALES - Service sales rose 27.2% yr/yr, supported by new customer onboarding in the UK and Norway, according to CEO Tove Christiansson

  • PRODUCT SALES - Product sales increased 9.3% yr/yr, with strong momentum for mobile alarms, per CEO Tove Christiansson

  • GROSS MARGIN IMPROVEMENT - Gross margin rose to 45.0% from 44.2%, attributed to growth in all markets


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Sales

SEK 259.90 mln

Q3 EPS

SEK 0.84

Q3 Gross Margin

45.00%

Q3 Free Cash Flow

SEK 13.60 mln

Q3 Operating Margin

10.30%


Analyst Coverage

  • The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 12 three months ago


Reuters Recommended Reads

  • Oct 21 - Sweden's AddLife beats Q3 net sales expectations

  • Oct 21 - Sweden's Husqvarna slightly misses Q3 sales estimates amid weak demand

  • Oct 21 - Sweden's SKF misses Q3 sales, operating profit estimates


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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