Earnings Beat: Xvivo Perfusion AB (publ) Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Models

Shareholders of Xvivo Perfusion AB (publ) (STO:XVIVO) will be pleased this week, given that the stock price is up 11% to kr470 following its latest annual results. It looks like a credible result overall - although revenues of kr822m were in line with what the analysts predicted, Xvivo Perfusion surprised by delivering a statutory profit of kr5.44 per share, a notable 14% above expectations. 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 gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

See our latest analysis for Xvivo Perfusion

Taking into account the latest results, the current consensus from Xvivo Perfusion's six analysts is for revenues of kr1.09b in 2025. This would reflect a sizeable 32% increase on its revenue over the past 12 months. Statutory earnings per share are forecast to fall 13% to kr4.74 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of kr1.07b and earnings per share (EPS) of kr5.61 in 2025. The analysts seem to have become more bearish following the latest results. While there were no changes to revenue forecasts, there was a substantial drop in EPS estimates.

It might be a surprise to learn that the consensus price target was broadly unchanged at kr522, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation. 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. There are some variant perceptions on Xvivo Perfusion, with the most bullish analyst valuing it at kr567 and the most bearish at kr480 per share. This is a very narrow spread of estimates, implying either that Xvivo Perfusion is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We can infer from the latest estimates that forecasts expect a continuation of Xvivo Perfusion'shistorical trends, as the 32% annualised revenue growth to the end of 2025 is roughly in line with the 32% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 17% annually. So it's pretty clear that Xvivo Perfusion is forecast to grow substantially faster than its industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Xvivo Perfusion. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider 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.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Xvivo Perfusion going out to 2027, and you can see them free on our platform here.

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 1 warning sign with Xvivo Perfusion , and understanding this should be part of your investment process.

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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.