- Elekta’s adjusted operating profit for Q2 exceeded expectations at SEK 411 million, although it declined by 2.8% compared to the previous year.
- Net sales for the quarter slightly surpassed forecasts at SEK 4.07 billion, despite a 6.2% decrease year-over-year.
- The company’s operating profit increased by 0.5% year-over-year, reaching SEK 390 million.
- Adjusted earnings per share (EPS) came in above estimates at SEK 0.65.
- Net income for the quarter was recorded at SEK 229 million.
- The EBITDA was marginally down by 0.3% from the previous year, totaling SEK 704 million.
- Elekta maintains a positive full-year outlook, anticipating year-over-year net sales growth in constant currency.
- China’s sales are expected to recover in the latter half of the fiscal year 2025/26.
- Current foreign exchange rates and tariffs continue to negatively impact earnings.
- Elekta plans to reduce its global workforce by approximately 450 employees, largely affecting managerial roles, as part of a cost-saving restructuring strategy.
- The restructuring aims to achieve SEK 500 million in annualized cost savings, with full impact expected in Q1 2026/27.
- Restructuring charges related to cost savings will be disclosed with the 3Q earnings report.
- A review of existing orders led to a cancellation worth SEK 2,197 million, adjusting the order backlog to SEK 34,150 million.
- Investment perspectives on Elekta show 5 buys, 6 holds, and 6 sells.
A look at Elekta AB Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 5 | |
| Growth | 2 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.4 |
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
Elekta AB, a company specializing in advanced medical products for neurological disorders and cancer radiation treatment, shows a promising long-term outlook according to the Smartkarma Smart Scores. With a high score for dividends and a strong value rating, Elekta AB seems to be financially stable and rewarding for investors seeking income. Although the growth score is moderate and resilience and momentum scores are in the middle range, the overall outlook for Elekta AB appears positive based on its solid fundamentals and dividend offering.
Elekta AB, known for its innovative Gamma Knife and stereotactic neurosurgery system, operates globally, catering to the ever-important healthcare sector. The company’s focus on cutting-edge medical technologies positions it well for future growth and sustained success in the healthcare industry. Investors looking for a company with a strong dividend yield and solid value proposition may find Elekta AB an attractive long-term investment option based on the provided Smartkarma Smart Scores evaluation.
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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