Results: Kreate Group Oyj Beat Earnings Expectations And Analysts Now Have New Forecasts

It's been a good week for Kreate Group Oyj (HEL:KREATE) shareholders, because the company has just released its latest full-year results, and the shares gained 5.7% to €7.76. The result was positive overall - although revenues of €276m were in line with what the analyst predicted, Kreate Group Oyj surprised by delivering a statutory profit of €0.49 per share, modestly greater than expected. The analyst typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analyst has changed their mind on Kreate Group Oyj after the latest results.

Check out our latest analysis for Kreate Group Oyj

Following the latest results, Kreate Group Oyj's sole analyst are now forecasting revenues of €295.6m in 2025. This would be a modest 7.3% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to soar 27% to €0.63. In the lead-up to this report, the analyst had been modelling revenues of €287.3m and earnings per share (EPS) of €0.64 in 2025. There doesn't appear to have been a major change in sentiment following the results, other than the small increase to revenue estimates.

As a result, it might come as a surprise that the consensus price target has been cut 9.1% to €8.00, which could suggest that these earnings are considered less valuable by the market than previously.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's clear from the latest estimates that Kreate Group Oyj's rate of growth is expected to accelerate meaningfully, with the forecast 7.3% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 5.7% p.a. over the past three years. Compare this with other companies in the same industry, which are forecast to grow their revenue 4.6% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Kreate Group Oyj is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analyst reconfirming that the business is performing in line with their previous earnings per share estimates. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. Furthermore, the analyst also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have analyst estimates for Kreate Group Oyj going out as far as 2027, and you can see them free on our platform here.

It is also worth noting that we have found 4 warning signs for Kreate Group Oyj (3 are concerning!) that you need to take into consideration.

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This article by Simply Wall St is general in nature. We provide commentary 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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.