Enea: Higher Software Upgrades Activity

Research Note

2020-12-17

14:15

Redeye notes that the business seems to pick up the pace again for Enea. The company has during the past week won two big software upgrade contracts for a total of EUR ~7m. During the 2020 pandemic, some customers have delayed their software upgrades. The two contracts indicate that customers are coming back to a more normal activity, which is in line with our view that Enea's software is mission critical and can only be temporarily delayed. We believe Enea is positioned for a sales growth of at least 20% during 2021. Earnings are set to scale by well over 30%, considering substantial, temporary one-time costs in 2020.

VW

Viktor Westman

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