New Risk • Jul 13
New minor risk - Revenue size The company makes less than US$5m in revenue. Total revenue: kr47m (US$4.9m) This is considered a minor risk. Companies with a small amount of revenue are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (19% average weekly change). Earnings have declined by 36% per year over the past 5 years. Market cap is less than US$10m (kr21.6m market cap, or US$2.23m). Minor Risk Revenue is less than US$5m (kr47m revenue, or US$4.9m). Board Change • May 20
No independent directors Following the recent departure of a director, there are no independent directors on the board. The company's board is composed of: No independent directors. 4 non-independent directors. Director Marie Bengtsson was the last director to join the board, commencing their role in 2026. The company's lack of independent directors is a risk according to the Simply Wall St Risk Model. New Risk • Dec 03
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Swedish stocks, typically moving 12% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (12% average weekly change). Earnings have declined by 27% per year over the past 5 years. Market cap is less than US$10m (kr26.9m market cap, or US$2.87m). Reported Earnings • Nov 03
Third quarter 2025 earnings released Third quarter 2025 results: Revenue: kr9.77m (down 30% from 3Q 2024). Net loss: kr584.0k (loss narrowed 10% from 3Q 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 74 percentage points per year, which is a significant difference in performance. Reported Earnings • Aug 31
Second quarter 2025 earnings released Second quarter 2025 results: Revenue: kr12.8m (down 29% from 2Q 2024). Net loss: kr391.0k (loss widened 11% from 2Q 2024). New Risk • Aug 01
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Swedish stocks, typically moving 9.0% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 11% per year over the past 5 years. Market cap is less than US$10m (kr45.9m market cap, or US$4.74m). Minor Risk Share price has been volatile over the past 3 months (9.0% average weekly change). Reported Earnings • May 05
First quarter 2025 earnings released First quarter 2025 results: Revenue: kr13.2m (down 26% from 1Q 2024). Net loss: kr59.0k (loss narrowed 80% from 1Q 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 48 percentage points per year, which is a significant difference in performance. New Risk • Mar 06
New major risk - Revenue and earnings growth Earnings have declined by 4.9% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Dividend is not well covered by earnings and cash flows. Paying a dividend despite being loss-making. Cash payout ratio: 138% Earnings have declined by 4.9% per year over the past 5 years. Market cap is less than US$10m (kr65.4m market cap, or US$6.48m). Announcement • Feb 28
Diadrom Holding AB (publ), Annual General Meeting, Mar 27, 2025 Diadrom Holding AB (publ), Annual General Meeting, Mar 27, 2025, at 15:00 W. Europe Standard Time. Location: at diadrom`s offices at forstalanggatan 17, 413 27 gothenburg Sweden Reported Earnings • Oct 30
Third quarter 2024 earnings released Third quarter 2024 results: Revenue: kr13.9m (down 18% from 3Q 2023). Net loss: kr652.0k (down 154% from profit in 3Q 2023). Over the last 3 years on average, earnings per share has fallen by 21% per year but the company’s share price has only fallen by 14% per year, which means it has not declined as severely as earnings. Announcement • Aug 31
Diadrom Holding AB (publ) Announces CEO Changes, Effective September 2, 2024 Diadrom Holding AB (publ) announces after more than five years as CEO of Diadrom, Carl Johan Andersson has announced his decision to step down. The board has appointed Viktor Eliasson, the current Deputy CEO, to succeed him as CEO, effective September 2, 2024. Viktor Eliasson joined Diadrom in 2015, focusing on sales and marketing. He was appointed Deputy CEO in 2019, and more recently, he has led Diadrom Software AB as CEO, overseeing the company’s product business. Reported Earnings • Aug 30
Second quarter 2024 earnings released Second quarter 2024 results: Revenue: kr18.0m (down 17% from 2Q 2023). Net loss: kr353.0k (down 118% from profit in 2Q 2023). Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has fallen by 13% per year, which means it is significantly lagging earnings. Reported Earnings • May 05
First quarter 2024 earnings released First quarter 2024 results: Revenue: kr17.7m (down 19% from 1Q 2023). Net loss: kr294.0k (down 109% from profit in 1Q 2023). Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Upcoming Dividend • Mar 20
Upcoming dividend of kr0.75 per share Eligible shareholders must have bought the stock before 27 March 2024. Payment date: 04 April 2024. Payout ratio is on the higher end at 80%, and the cash payout ratio is above 100%. Trailing yield: 6.9%. Within top quartile of Swedish dividend payers (4.5%). Higher than average of industry peers (2.2%). New Risk • Feb 28
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 8.6% Last year net profit margin: 14% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risk Market cap is less than US$10m (kr78.3m market cap, or US$7.57m). Minor Risks Dividend is not well covered by cash flows (143% cash payout ratio). Profit margins are more than 30% lower than last year (8.6% net profit margin). Announcement • Jan 08
Diadrom Holding AB (Publ) Announces Appointment of Joakim Hökegård as New Marketing and Sales Director for Its Consulting Business Diadrom Holding AB (publ) strengthening its team with a new Marketing and Sales Director for its consulting business. It has been previously communicated that the former Marketing and Sales Director, Viktor Eliasson, would assume the role of CEO of Diadrom Software AB starting from January 1, 2024. This move aims to intensify the company's focus on its product business. Joakim Hökegård, the new Marketing and Sales Director, will focus on marketing, sales, and business development of the consulting business in the subsidiary Diadrom Systems AB. Joakim is a veteran in marketing and sales, with a long and successful career behind him. He has held roles as a management consultant, sales manager, marketing director, and CEO of an advertising agency. His most significant experiences include several successful years as a business developer and communication strategist at the IT consulting company HiQ. Joakim's arrival is an important part of the company's strategy to strengthen its market position and further develop its consulting operations and offerings. With his solid experience and established network, he is expected to significantly contribute to the company's growth and success. Recent Insider Transactions • Dec 17
Deputy CEO recently bought kr54k worth of stock On the 11th of December, Viktor Eliasson bought around 5k shares on-market at roughly kr11.24 per share. This transaction amounted to 24% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was the only on-market transaction from insiders over the last 12 months. Valuation Update With 7 Day Price Move • Dec 12
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to kr10.40, the stock trades at a trailing P/E ratio of 8.3x. Average trailing P/E is 16x in the IT industry in Sweden. Total returns to shareholders of 64% over the past three years. Reported Earnings • Aug 28
Second quarter 2023 earnings released Second quarter 2023 results: Revenue: kr21.7m (up 25% from 2Q 2022). Net income: kr1.99m (down 3.8% from 2Q 2022). Profit margin: 9.2% (down from 12% in 2Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 61% per year but the company’s share price has only increased by 26% per year, which means it is significantly lagging earnings growth. Buying Opportunity • May 14
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 17%. The fair value is estimated to be kr17.16, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 17% over the last 3 years. Earnings per share has grown by 56%. Reported Earnings • Apr 27
First quarter 2023 earnings released First quarter 2023 results: Revenue: kr21.9m (up 20% from 1Q 2022). Net income: kr3.26m (down 18% from 1Q 2022). Profit margin: 15% (down from 22% in 1Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 56% per year but the company’s share price has only increased by 28% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Apr 24
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 5.6%. The fair value is estimated to be kr18.51, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 10% over the last 3 years. Earnings per share has grown by 42%. Buying Opportunity • Apr 03
Now 20% undervalued The stock has been flat over the last 90 days. The fair value is estimated to be kr18.63, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 10% over the last 3 years. Earnings per share has grown by 42%. Upcoming Dividend • Mar 24
Upcoming dividend of kr1.30 per share at 8.2% yield Eligible shareholders must have bought the stock before 31 March 2023. Payment date: 06 April 2023. Payout ratio and cash payout ratio are on the higher end at 80% and 96% respectively. Trailing yield: 8.2%. Within top quartile of Swedish dividend payers (5.1%). Higher than average of industry peers (2.2%). Board Change • Nov 16
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 2 experienced directors. 3 highly experienced directors. 1 independent director (4 non-independent directors). Independent Director Lars Kristensen was the last independent director to join the board, commencing their role in 2005. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Oct 21
Third quarter 2022 earnings released Third quarter 2022 results: Revenue: kr14.9m (up 40% from 3Q 2021). Net income: kr1.28m (up 5.6% from 3Q 2021). Profit margin: 8.6% (down from 11% in 3Q 2021). The decrease in margin was driven by higher expenses. Valuation Update With 7 Day Price Move • Oct 06
Investor sentiment improved over the past week After last week's 18% share price gain to kr13.40, the stock trades at a trailing P/E ratio of 9.3x. Average trailing P/E is 14x in the IT industry in Sweden. Total returns to shareholders of 15% over the past three years. Reported Earnings • Aug 28
Second quarter 2022 earnings released Second quarter 2022 results: Revenue: kr17.4m (up 39% from 2Q 2021). Net income: kr2.07m (up 76% from 2Q 2021). Profit margin: 12% (up from 9.3% in 2Q 2021). The increase in margin was driven by higher revenue. Recent Insider Transactions • May 18
Chairman of the Board recently sold kr459k worth of stock On the 11th of May, Henrik Fagrell sold around 28k shares on-market at roughly kr16.40 per share. In the last 3 months, there was an even bigger sale from another insider worth kr1.2m. This was Henrik's only on-market trade for the last 12 months. Recent Insider Transactions • May 03
Deputy CEO & Sales Manager recently sold kr1.2m worth of stock On the 26th of April, Viktor Eliasson sold around 68k shares on-market at roughly kr17.45 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of kr1.0m more than they bought in the last 12 months. Reported Earnings • Apr 27
First quarter 2022 earnings released First quarter 2022 results: Revenue: kr18.3m (up 44% from 1Q 2021). Net income: kr3.97m (up 152% from 1Q 2021). Profit margin: 22% (up from 12% in 1Q 2021). The increase in margin was driven by higher revenue. Buying Opportunity • Apr 27
Now 21% undervalued Over the last 90 days, the stock is up 3.9%. The fair value is estimated to be kr21.66, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 8.2% over the last 3 years. Earnings per share has declined by 17%. Upcoming Dividend • Mar 18
Upcoming dividend of kr0.95 per share Eligible shareholders must have bought the stock before 25 March 2022. Payment date: 31 March 2022. Payout ratio is on the higher end at 81%, however this is supported by cash flows. Trailing yield: 5.2%. Within top quartile of Swedish dividend payers (4.5%). Higher than average of industry peers (2.2%). Reported Earnings • Feb 28
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: kr0.99 (up from kr0.21 in FY 2020). Revenue: kr53.3m (up 37% from FY 2020). Net income: kr7.19m (up 360% from FY 2020). Profit margin: 14% (up from 4.0% in FY 2020). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has increased by 8% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Jan 17
Investor sentiment improved over the past week After last week's 17% share price gain to kr16.35, the stock trades at a trailing P/E ratio of 21.6x. Average trailing P/E is 26x in the IT industry in Sweden. Total returns to shareholders of 85% over the past three years. Reported Earnings • Nov 01
Third quarter 2021 earnings released The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: kr10.7m (up 39% from 3Q 2020). Net income: kr1.21m (up kr1.23m from 3Q 2020). Profit margin: 11% (up from net loss in 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 35% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Recent Insider Transactions • Sep 16
Deputy CEO & Sales Manager recently bought kr59k worth of stock On the 13th of September, Viktor Eliasson bought around 4k shares on-market at roughly kr14.13 per share. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought kr65k more in shares than they have sold in the last 12 months. Reported Earnings • Aug 30
Second quarter 2021 earnings released The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: kr12.6m (up 68% from 2Q 2020). Net income: kr1.18m (up kr2.24m from 2Q 2020). Profit margin: 9.3% (up from net loss in 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 38% per year but the company’s share price has increased by 5% per year, which means it is well ahead of earnings. Upcoming Dividend • Jun 25
Upcoming dividend of kr1.40 per share Eligible shareholders must have bought the stock before 01 July 2021. Payment date: 07 July 2021. Trailing yield: 10%. Within top quartile of Swedish dividend payers (3.6%). Higher than average of industry peers (2.1%). Valuation Update With 7 Day Price Move • Jun 02
Investor sentiment improved over the past week After last week's 15% share price gain to kr13.55, the stock trades at a trailing P/E ratio of 48.2x. Average trailing P/E is 27x in the IT industry in Sweden. Total returns to shareholders of 4.6% over the past three years. Reported Earnings • May 18
First quarter 2021 earnings released The company reported a solid first quarter result with improved earnings and profit margins, although revenues were flat. First quarter 2021 results: Revenue: kr12.7m (flat on 1Q 2020). Net income: kr1.58m (up 43% from 1Q 2020). Profit margin: 12% (up from 8.8% in 1Q 2020). Over the last 3 years on average, earnings per share has fallen by 30% per year but the company’s share price has only fallen by 7% per year, which means it has not declined as severely as earnings. Is New 90 Day High Low • Mar 15
New 90-day high: kr10.90 The company is up 34% from a price of kr8.12 on 15 December 2020. Outperformed the Swedish market which is up 14% over the last 90 days. Exceeded the IT industry, which is up 8.0% over the same period. Reported Earnings • Mar 13
Full year 2020 earnings released: EPS kr0.21 (vs kr0.91 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: kr41.3m (down 32% from FY 2019). Net income: kr1.56m (down 76% from FY 2019). Profit margin: 3.8% (down from 11% in FY 2019). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has only fallen by 15% per year, which means it has not declined as severely as earnings. Is New 90 Day High Low • Feb 10
New 90-day high: kr10.60 The company is up 30% from its price of kr8.18 on 11 November 2020. The Swedish market is up 9.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the IT industry, which is up 18% over the same period. Announcement • Jan 29
Diadrom Systems AB Receives Order Diadrom Systems AB announced that it has received an order from a global leading producer of outdoor power products and innovative solutions for
forest, park and garden care. The order refers to expert consultation for further development of a production related system. The value of the order, approximately SEK 100 000 is not significant at this stage, but the management of Diadrom believes that the order is strategically important. Announcement • Jan 23
Diadrom Software Joins Kvaser´s TA network Diadrom Software AB, a wholly owned subsidiary of Diadrom Holding AB (publ), is a leading software company in diagnostics of Autotech, has signed an agreement with Kvaser and joined Kvaser’s Technical Associate (TA) network. Kvaser is well known for their Controller Area Network (CAN) development experience and more than 100 products to their name. As a technical associate, Diadrom Software AB will implement support for the Kvaser hardware interfaces in the test automation tool Diadrom Dolphin. This will help company customers to connect any Kvaser hardware interface with Diadrom Dolphin. Is New 90 Day High Low • Jan 23
New 90-day high: kr9.42 The company is up 23% from its price of kr7.64 on 23 October 2020. The Swedish market is up 11% over the last 90 days, indicating the company outperformed over that time. It also outperformed the IT industry, which is up 16% over the same period. Valuation Update With 7 Day Price Move • Nov 13
Market bids up stock over the past week After last week's 15% share price gain to kr8.16, the stock is trading at a trailing P/E ratio of 48.1x, up from the previous P/E ratio of 41.8x. This compares to an average P/E of 26x in the IT industry in Sweden. Total return to shareholders over the past three years is a loss of 46%. Valuation Update With 7 Day Price Move • Nov 11
Market bids up stock over the past week After last week's 21% share price gain to kr8.48, the stock is trading at a trailing P/E ratio of 50x, up from the previous P/E ratio of 41.3x. This compares to an average P/E of 26x in the IT industry in Sweden. Total return to shareholders over the past three years is a loss of 46%. Is New 90 Day High Low • Nov 11
New 90-day high: kr8.48 The company is up 19% from its price of kr7.14 on 12 August 2020. The Swedish market is up 7.0% over the last 90 days, indicating the company outperformed over that time. However, its price trend is similar to the IT industry, which is also up 19% over the same period. Reported Earnings • Oct 24
Third quarter earnings released Over the last 12 months the company has reported total profits of kr1.23m, down 84% from the prior year. Total revenue was kr43.5m over the last 12 months, down 30% from the prior year.