Suominen Oyj (HEL:SUY1V) Just Released Its Yearly Earnings: Here's What Analysts Think

Last week, you might have seen that Suominen Oyj (HEL:SUY1V) released its annual result to the market. The early response was not positive, with shares down 2.3% to €2.10 in the past week. Suominen Oyj reported revenues of €462m, in line with expectations, but it unfortunately also reported (statutory) losses of €0.09 per share, which were slightly larger than expected. The analysts 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Check out our latest analysis for Suominen Oyj

Taking into account the latest results, the consensus forecast from Suominen Oyj's three analysts is for revenues of €481.2m in 2025. This reflects a modest 4.1% improvement in revenue compared to the last 12 months. Statutory losses are forecast to balloon 89% to €0.01 per share. Before this earnings report, the analysts had been forecasting revenues of €476.8m and earnings per share (EPS) of €0.10 in 2025. While the analysts have made no real change to their revenue estimates, we can see that the consensus is now modelling a loss next year - a clear dip in sentiment compared to the previous outlook of a profit.

As a result, there was no major change to the consensus price target of €1.95, with the analysts implicitly confirming that the business looks to be performing in line with expectations, despite higher forecast losses. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. Currently, the most bullish analyst values Suominen Oyj at €2.00 per share, while the most bearish prices it at €1.90. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Suominen Oyj is an easy business to forecast or the the analysts are all using similar assumptions.

Of course, another way to look at these forecasts is to place them into context against the industry itself. The analysts are definitely expecting Suominen Oyj's growth to accelerate, with the forecast 4.1% annualised growth to the end of 2025 ranking favourably alongside historical growth of 1.8% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 3.3% annually. Suominen Oyj is expected to grow at about the same rate as its industry, so it's not clear that we can draw any conclusions from its growth relative to competitors.

The Bottom Line

The biggest low-light for us was that the forecasts for Suominen Oyj dropped from profits to a loss next year. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

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 forecasts for Suominen Oyj going out to 2027, and you can see them free on our platform here.

We don't want to rain on the parade too much, but we did also find 2 warning signs for Suominen Oyj that you need to be mindful of.

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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.