Press the button and be introduced to a new random company!

Introduce me >

Social media

facebook   Follow us on Twitter

Coverage

StrongPoint

StrongPoint

Send subscription Close

Retail technology solutions

StrongPoint is a retail technology company that sells a wide variety of technology solutions that save costs, increase productivity, reduce theft or facilitate e-commerce sales for retailers. Its product portfolio includes electronic shelf labels, cash management systems, self-checkout terminals, click & collect lockers and digital e-commerce solutions. In addition, it holds strong positions in security cases for cash-in-transit and in adhesive labels. The company has strong positions in Norway, Sweden and the Baltics and is targeting to grow significantly in Spain.

StrongPoint’s earnings are to some degree dependent on large product orders. If StrongPoint is unable to win large contracts from new or existing customers, it could pose a risk to its future sales and earnings growth. The Nordic grocery retail market is highly concentrated and several of these large chains are StrongPoint customers. Losing one of these customers could result in a significant loss of repeat business for StrongPoint. As there are some competing products, StrongPoint could be exposed to price pressure from new or existing competitors. Other risk factors include FX, macroeconomy, warranty issues and regulatory risks.

Financials

NOKm 2022 2023e 2024e
Sales 1372 1594 1769
Sales growth (%) 39,8 16,1 11
EBITDA 76 123 185
EBITDA margin (%) 5,5 7,7 10,4
EBIT adj. 41 79 141
EBIT adj. margin (%) 3 5 8
Pretax profit 38 75 136
EPS 0,65 1,3 2,36
EPS growth (%) -84,9 100,5 81,2
EPS adj. 0,83 1,49 2,55
DPS 0,9 0,95 1
EV/EBITDA (x) 14,6 8,8 5,6
EV/EBIT adj. (x) 26,9 13,6 7,4
P/E (x) 35,9 17,9 9,9
P/E adj. (x) 28,1 15,6 9,1
EV/sales (x) 0,81 0,68 0,59
FCF yield (%) -5,6 8,7 10,2
Le. adj. FCF yld. (%) -5,6 8,7 10,2
Dividend yield (%) 3,9 4,1 4,3
Net IB debt/EBITDA (x) 0,9 0,3 0
Le. adj. ND/EBITDA (x) 0,2 0,4 0,5
NOKm 2022 2023e 2024e
Sales 1372 1594 1769
COGS -851 -978 -1042
Gross profit 521 616 727
Other operating items -446 -493 -542
EBITDA 76 123 185
Depreciation and amortisation -32 -32 -33
of which leasing depreciation -19 -20 -20
EBITA 44 90 152
EO Items -4 0 0
Impairment and PPA amortisation -6 -11 -11
EBIT 37 79 141
Net financial items 1 -5 -5
Pretax profit 38 75 136
Tax -9 -16 -30
Net profit 29 58 106
Minority interest 0 0 0
Net profit discontinued 0 0 0
Net profit to shareholders 29 58 106
EPS 0,65 1,3 2,36
EPS adj. 0,83 1,49 2,55
Total extraordinary items after tax -3 0 0
Leasing payments -19 -20 -20
Tax rate (%) 23,7 22 22
Gross margin (%) 38 38,6 41,1
EBITDA margin (%) 5,5 7,7 10,4
EBITA margin (%) 3,2 5,7 8,6
EBIT margin (%) 2,7 5 8
Pre-tax margin (%) 2,8 4,7 7,7
Net margin (%) 2,1 3,7 6
Sales growth (%) 39,8 16,1 11
EBITDA growth (%) 43,9 61,7 50,5
EBITA growth (%) 59 106,3 68,3
EBIT growth (%) 35,8 N/A 77,4
Net profit growth (%) 30,2 100,5 81,2
EPS growth (%) -84,9 100,5 81,2
Profitability N/A N/A N/A
ROE (%) 5,8 11,3 19
ROE adj. (%) 7,7 13,4 21
ROCE (%) 6,6 12,5 20,8
ROCE adj. (%) 8,1 14,2 22,5
ROIC (%) 6,9 12,3 20,5
ROIC adj. (%) 7,6 12,3 20,5
Adj. earnings numbers N/A N/A N/A
EBITDA adj. 80 123 185
EBITDA adj. margin (%) 5,8 7,7 10,4
EBITDA lease adj. 61 103 164
EBITDA lease adj. margin (%) 4,4 6,4 9,3
EBITA adj. 48 90 152
EBITA adj. margin (%) 3,5 5,7 8,6
EBIT adj. 41 79 141
EBIT adj. margin (%) 3 5 8
Pretax profit Adj. 49 86 147
Net profit Adj. 39 69 117
Net profit to shareholders adj. 39 69 117
Net adj. margin (%) 2,8 4,3 6,6
NOKm 2022 2023e 2024e
EBITDA 76 123 185
Goodwill 160 160 160
Net financial items 1 -5 -5
Other intangible assets 83 66 49
Paid tax -9 -16 -30
Tangible fixed assets 24 24 24
Non-cash items 23 0 0
Right-of-use asset 83 83 83
Cash flow before change in WC 91 102 149
Total other fixed assets 41 41 41
Change in working capital -74 -4 -36
Fixed assets 390 373 357
Operating cash flow 17 98 114
Inventories 232 232 252
Capex tangible fixed assets -9 -7 -7
Receivables 274 287 331
Capex intangible fixed assets 0 0 0
Other current assets 42 42 42
Acquisitions and Disposals -66 0 0
Cash and liquid assets 47 78 122
Free cash flow -58 91 107
Total assets 986 1012 1103
Dividend paid -35 -40 -43
Shareholders equity 507 525 588
Share issues and buybacks -3 0 0
Minority 0 0 0
Leasing liability amortisation 0 0 0
Total equity 507 525 588
Other non-cash items -103 -20 -20
Long-term debt 8 8 8
Pension debt 0 0 0
Convertible debt 0 0 0
Leasing liability 81 81 81
Total other long-term liabilities 21 21 21
Short-term debt 30 30 30
Accounts payable 159 167 196
Other current liabilities 180 180 180
Total liabilities and equity 986 1012 1103
Net IB debt 72 41 -3
Net IB debt excl. pension debt 72 41 -3
Net IB debt excl. leasing -9 -40 -84
Capital employed 626 644 707
Capital invested 579 566 586
Working capital 210 214 250
Market cap. diluted (m) 1044 1044 1044
Net IB debt adj. 72 41 -3
Market value of minority 0 0 0
Reversal of shares and participations -5 -5 -5
Reversal of conv. debt assumed equity N/A N/A N/A
EV 1110 1080 1036
Total assets turnover (%) 149,8 159,6 167,3
Working capital/sales (%) 12,6 13,3 13,1
Financial risk and debt service N/A N/A N/A
Net debt/equity (%) 14,1 7,9 -0,5
Net debt / market cap (%) 6,9 4 -0,3
Equity ratio (%) 51,5 51,9 53,3
Net IB debt adj. / equity (%) 14,1 7,9 -0,5
Current ratio 1,62 1,7 1,84
EBITDA/net interest 92,6 27,1 35,4
Net IB debt/EBITDA (x) 0,9 0,3 0
Net IB debt/EBITDA lease adj. (x) -0,2 -0,4 -0,5
Interest coverage 53,4 19,9 29,1
NOKm 2022 2023e 2024e
Shares outstanding adj. 45 45 45
Diluted shares adj. 45 45 45
EPS 0,65 1,3 2,36
Dividend per share 0,9 0,95 1
EPS adj. 0,83 1,49 2,55
BVPS 11,3 11,7 13,1
BVPS adj. 5,9 6,67 8,44
Net IB debt/share 1,6 0,92 -0,06
Share price 23,3 23,3 23,3
Market cap. (m) 1044 1044 1044
P/E (x) 35,9 17,9 9,9
EV/sales (x) 0,81 0,68 0,59
EV/EBITDA (x) 14,6 8,8 5,6
EV/EBITA (x) 25,4 12 6,8
EV/EBIT (x) 29,7 13,6 7,4
Dividend yield (%) 3,9 4,1 4,3
FCF yield (%) -5,6 8,7 10,2
Le. adj. FCF yld. (%) -5,6 8,7 10,2
P/BVPS (x) 2,06 1,99 1,77
P/BVPS adj. (x) 3,94 3,49 2,75
P/E adj. (x) 28,1 15,6 9,1
EV/EBITDA adj. (x) 13,9 8,8 5,6
EV/EBITA adj. (x) 23,3 12 6,8
EV/EBIT adj. (x) 26,9 13,6 7,4
EV/CE (x) 1,8 1,7 1,5
Investment ratios N/A N/A N/A
Capex/sales (%) 0,7 0,4 0,4
Capex/depreciation 0,7 0,5 0,5
Capex tangibles / tangible fixed assets 39,4 28,6 28,9
Capex intangibles / definite intangibles 0 0 0
Depreciation on intang / def. intang 8 9 12
Depreciation on tangibles / tangibles 26,78 28,63 28,9

Equity research

Read earlier research

Media

StrongPoint - Company presentation with CEO Jacob Tveraabak
StrongPoint - Company presentation with CEO Jacob Tveraabak

Main Shareholders - Strongpoint

Main shareholders Share capital % Voting shares % Verified
Strømstangen AS 8.8 % 8.8 % 16 Mar 2023
Nordnet Bank AB 6.0 % 6.0 % 16 Mar 2023
Sole Active AS 4.9 % 4.9 % 16 Mar 2023
Canaccord Genuity Wealth Management 4.2 % 4.2 % 30 Nov 2022
V. Eiendom Holding AS 4.2 % 4.2 % 16 Mar 2023
Quaero Capital S.A. 3.7 % 3.7 % 31 Aug 2022
Nordnet Pensionsförsäkring 3.2 % 3.2 % 31 Jul 2021
Avanza Bank AB 2.8 % 2.8 % 16 Mar 2023
Jan Ring 2.6 % 2.6 % 16 Mar 2023
Georg Zetterberg 2.5 % 2.5 % 31 Jul 2021
Source: Holdings by Modular Finance AB