Earnings Miss: Tecnotree Oyj Missed EPS By 86% And Analysts Are Revising Their Forecasts

The analyst might have been a bit too bullish on Tecnotree Oyj (HEL:TEM1V), given that the company fell short of expectations when it released its second-quarter results last week. Unfortunately, Tecnotree Oyj delivered a serious earnings miss. Revenues of €17m were 13% below expectations, and statutory earnings per share of €0.04 missed estimates by 86%. 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. So we gathered the latest post-earnings forecasts to see what estimate suggests is in store for next year.

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After the latest results, the one analyst covering Tecnotree Oyj are now predicting revenues of €73.8m in 2025. If met, this would reflect a credible 4.1% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to shoot up 67% to €0.74. Before this earnings report, the analyst had been forecasting revenues of €76.2m and earnings per share (EPS) of €0.87 in 2025. From this we can that sentiment has definitely become more bearish after the latest results, leading to lower revenue forecasts and a real cut to earnings per share estimates.

See our latest analysis for Tecnotree Oyj

The average price target climbed 13% to €4.30despite the reduced earnings forecasts, suggesting that this earnings impact could be a positive for the stock, once it passes.

Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2025 brings more of the same, according to the analyst, with revenue forecast to display 8.5% growth on an annualised basis. That is in line with its 7.8% annual growth over the past five years. Compare this with the broader industry (in aggregate), which analyst estimates suggest will see revenues grow 11% annually. So it's pretty clear that Tecnotree Oyj is expected to grow slower than similar companies in the same industry.

The Bottom Line

The most important thing to take away is that the analyst downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will perform worse than the wider industry. There was also a nice increase in the price target, with the analyst clearly feeling that the intrinsic value of the business is improving.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for Tecnotree Oyj going out as far as 2027, and you can see them free on our platform here.

You should always think about risks though. Case in point, we've spotted 3 warning signs for Tecnotree Oyj you should be aware of, and 1 of them is a bit concerning.

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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.