Gofore Oyj Just Missed Earnings - But Analysts Have Updated Their Models

Last week saw the newest annual earnings release from Gofore Oyj (HEL:GOFORE), an important milestone in the company's journey to build a stronger business. It looks like the results were a bit of a negative overall. While revenues of €187m were in line with analyst predictions, statutory earnings were less than expected, missing estimates by 7.3% to hit €1.02 per share. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

See our latest analysis for Gofore Oyj

Taking into account the latest results, the consensus forecast from Gofore Oyj's dual analysts is for revenues of €193.0m in 2025. This reflects a modest 3.1% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to rise 8.2% to €1.13. In the lead-up to this report, the analysts had been modelling revenues of €196.2m and earnings per share (EPS) of €1.25 in 2025. The analysts seem to have become a little more negative on the business after the latest results, given the minor downgrade to their earnings per share numbers for next year.

The consensus price target held steady at €24.50, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We would highlight that Gofore Oyj's revenue growth is expected to slow, with the forecast 3.1% annualised growth rate until the end of 2025 being well below the historical 24% p.a. growth over the last five years. Compare this to the 7 other companies in this industry with analyst coverage, which are forecast to grow their revenue at 2.7% per year. So it's pretty clear that, while Gofore Oyj's revenue growth is expected to slow, it's expected to grow roughly in line with the industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Gofore Oyj. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at €24.50, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have analyst estimates for Gofore Oyj going out as far as 2027, and you can see them free on our platform here.

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.

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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.