Formpipe Software AB (publ) Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now

Investors in Formpipe Software AB (publ) (STO:FPIP) had a good week, as its shares rose 9.2% to close at kr26.00 following the release of its full-year results. Statutory earnings per share fell badly short of expectations, coming in at kr0.32, some 46% below analyst forecasts, although revenues were okay, approximately in line with analyst estimates at kr529m. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

View our latest analysis for Formpipe Software

After the latest results, the dual analysts covering Formpipe Software are now predicting revenues of kr577.1m in 2025. If met, this would reflect a decent 9.1% improvement in revenue compared to the last 12 months. Per-share earnings are expected to jump 275% to kr1.18. Before this earnings report, the analysts had been forecasting revenues of kr575.6m and earnings per share (EPS) of kr1.19 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

The consensus price target rose 9.7% to kr34.00despite there being no meaningful change to earnings estimates. It could be that the analystsare reflecting the predictability of Formpipe Software's earnings by assigning a price premium.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's clear from the latest estimates that Formpipe Software's rate of growth is expected to accelerate meaningfully, with the forecast 9.1% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 6.6% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to see revenue growth of 16% annually. It seems obvious that, while the future growth outlook is brighter than the recent past, Formpipe Software is expected to grow slower than the wider industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Formpipe Software's revenue is expected to perform worse than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

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 Formpipe Software going out as far as 2027, and you can see them free on our platform here.

Plus, you should also learn about the 2 warning signs we've spotted with Formpipe Software .

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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.