Earnings Report: Robit Oyj Missed Revenue Estimates By 7.2%

It's been a good week for Robit Oyj (HEL:ROBIT) shareholders, because the company has just released its latest quarterly results, and the shares gained 5.4% to €5.86. Results look mixed - while revenue fell marginally short of analyst estimates at €23m, statutory earnings were in line with expectations, at €0.02 per share. Earnings are an important time for investors, as they can track a company's performance, look at what the analyst is forecasting for next year, and see if there's been a change in sentiment towards the company. With this in mind, we've gathered the latest statutory forecasts to see what the analyst is expecting for next year.

See our latest analysis for Robit Oyj

Following the latest results, Robit Oyj's one analyst are now forecasting revenues of €100.2m in 2021. This would be a reasonable 7.6% improvement in sales compared to the last 12 months. Earnings are expected to improve, with Robit Oyj forecast to report a statutory profit of €0.08 per share. In the lead-up to this report, the analyst had been modelling revenues of €103.3m and earnings per share (EPS) of €0.10 in 2021. The analyst seem less optimistic after the recent results, reducing their sales forecasts and making a pretty serious reduction to earnings per share numbers.

The analyst made no major changes to their price target of €5.80, suggesting the downgrades are not expected to have a long-term impact on Robit Oyj's valuation.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Robit Oyj's past performance and to peers in the same industry. The period to the end of 2021 brings more of the same, according to the analyst, with revenue forecast to display 10% growth on an annualised basis. That is in line with its 9.0% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 4.9% per year. So it's pretty clear that Robit Oyj is forecast to grow substantially faster than its industry.

The Bottom Line

The biggest concern is that the analyst reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Robit Oyj. Regrettably, they also downgraded their revenue estimates, but the latest forecasts still imply the business will grow faster than the wider industry. The consensus price target held steady at €5.80, with the latest estimates not enough to have an impact on their price target.

With that in mind, we wouldn't be too quick to come to a conclusion on Robit Oyj. Long-term earnings power is much more important than next year's profits. We have analyst estimates for Robit Oyj going out as far as 2025, and you can see them free on our platform here.

You can also view our analysis of Robit Oyj's balance sheet, and whether we think Robit Oyj is carrying too much debt, for free on our platform here.

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