lleida.net announced 2Q21 results with a +17% increase in gross profits (vs +6% in 1Q21) coupled with an uptick in costs (+30%) that has resulted in a 7% decline in operating profits to €311k and a drop of 3% in pre-tax profits to €271k. Despite the headline profit numbers, Lleida net remains on a strong growth trajectory for the year.
We are toning down our forecasts on the lower than expected SaaS growth in 2Q21 (we had a +65% growth for 2021), but we still expect 2021 to be a stellar year for Lleida.net. The announced acquisition will provide a strong value creation opportunity for the company.
We will maintain our target price unchanged for now based on the probable upside provided by the proposed acquisition.
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22 Jul 2021
Organic and inorganic growth in the right direction
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Organic and inorganic growth in the right direction
LleidaNetworks Serveis Telematics SA (ALLLN:PAR) | 0 0 0.0% | Mkt Cap: 12.5m
- Published:
22 Jul 2021 -
Author:
Guillermo Serrano -
Pages:
16 -
lleida.net announced 2Q21 results with a +17% increase in gross profits (vs +6% in 1Q21) coupled with an uptick in costs (+30%) that has resulted in a 7% decline in operating profits to €311k and a drop of 3% in pre-tax profits to €271k. Despite the headline profit numbers, Lleida net remains on a strong growth trajectory for the year.
We are toning down our forecasts on the lower than expected SaaS growth in 2Q21 (we had a +65% growth for 2021), but we still expect 2021 to be a stellar year for Lleida.net. The announced acquisition will provide a strong value creation opportunity for the company.
We will maintain our target price unchanged for now based on the probable upside provided by the proposed acquisition.