Neither the Fingerprint Cards revenue in the third quarter or the operating profit reached the analysts ‘ expectations. It is, however, the lower the sales forecast, which draws attention to itself with the analysts, according to a series of snabbkommentarer after the report.
“all in all, a weak (soft) report lower sales and guidance, and we expect that the consensus of the resultatestimaten come down to 4-6% based on these results,” writes the Pareto in a comment.
Fingerprint Cards new, lower sales forecast for the year 2016 indicates revenues of eur 2.2-2.5 billion in the fourth quarter. The centerpiece of the FPC new forecast is thus 2.35 billion in revenue the last quarter, which can be set against konsensusestimatet as the face of the report, to 2.47 billion, according to SME direkt.
the revenue forecast of 7.2-7.5 billion kronor in the year means a cut seen to the midpoint of the range, with around 5 per cent compared with the previous forecast of 7.2-8.3 billion.
In dollar amounts, however, the reduction to 7 percent, as the dollar-the base of the forecast was changed, points out the Carnegie.
Nordea notes that the comments of the FPC regarding that some customers reduced their production forecasts is consistent with some data on a weaker chinese smartphoneefterfrågan ahead of the fourth quarter.
“We figured, however, that the second half would hold up better than it is now will do, and that lagerkorrektionen would come in the first half of 2017,” writes Nordea.
Nordea will most likely not make any major changes in its estimates for 2017 in the wake of this report, which rather appears to depend on the correction of the stocks.
“Our cautious view of the FPC in 2017 is mainly based on a lower market growth (measured in terms of value: the red note), in combination with some lost market share,” writes the bank.
the Gross margin is singled out as a bright spot in the report. Higher operating expenses contributed to the operating profit came in slightly below analysts ‘ expectations.
Both Carnegie ABG Sundal Collier also highlights that cash flow, as well as at the previous report, is on the weak side.
“the difference between a net profit of 598 million and free operating cash flow of sek 127 million is simply too large to ignore,” writes the ABG in a comment.
If possible, increasing the report for the third quarter of the focus on the comments of 2017, which is expected either in the context of the capital markets day on december 8, or in the year-end report.