Sweden's Saab Q3 sales rise 31% on contract wins

By Reuters News


Overview

  • Sweden defence firm's Q3 sales rose 30.6% yr/yr, beating analyst expectations

  • Company secured major orders for Gripen, GlobalEye and German frigate systems


Outlook

  • Saab says strong order backlog and programme progress position it for continued growth

  • Company sees growing customer demand reflected in recent major contract awards


Result Drivers

  • MAJOR CONTRACT AWARDS - Co said Q3 results were driven by large orders for Gripen E, GlobalEye and German frigate systems

  • ORGANIC SALES GROWTH - Co reported 30.6% organic sales growth in Q3

  • HIGHER CASH FLOW - Co said operational cash flow increased sharply in Q3


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Sales

Beat

SEK 20.55 bln

SEK 20.20 bln (9 Analysts)

Q3 EPS

SEK 2.57

Q3 Net Income

SEK 1.43 bln

Q3 EBITDA

SEK 2.83 bln

Q3 EBITDA Margin

13.8%

Q3 EBIT Margin

9.5%

Q3 Orders

SEK 65.83 bln


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 7 "strong buy" or "buy", 6 "hold" and 2 "sell" or "strong sell"

  • The average consensus recommendation for the aerospace & defense peer group is "buy."

  • Wall Street's median 12-month price target for Saab AB is SEK630.00, about 0.8% below its October 22 closing price of SEK634.90

  • The stock recently traded at 34 times the next 12-month earnings vs. a P/E of 31 three months ago


Reuters Recommended Reads

  • Oct 20 - Aerospace and military contractors raise 2026 profit forecasts

  • Oct 22 - Lockheed lands Pentagon deal for 850 F-35 jets, lifts annual forecast

  • Oct 22 - Norway's Kitron Q3 revenue beats estimates on defence demand


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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